4.18.24 Movement Legacies, Reflection, and Review.pptx
Sustainability Toolkit for Organic Businesses
1. Sustainability toolkit for
organic businesses
Better Organic Business Links
Why sustainability matters and practical steps
to achieve more in your business
March 2012
2. Foreword
This guide has been developed by Better Organic Business Links
(BOBL), an Organic Centre Wales project, in partnership with
Weir Total Supply Chain Sustainability (Weir tscs). In 2011 Weir
tscs carried out a project on behalf of BOBL to support organic
businesses in Wales understand and improve the sustainability of
their operations and their supply chains. Thanks to the participation
of 27 Welsh organic businesses this sustainability project was able
to engage with a good cross section of the organic sector, ranging
from dairy to meat to fresh produce to processed products and to
retail. The key findings of the project form the basis of this report.
3. Contents
1
Why sustainability matters
Understanding the terminology – footprints
2
3
Why should you be concerned about sustainability?
Why does sustainability matter
Key points
How can you approach sustainability?
2
3
3
3
4
4
5
Your score
5
Image: Anthony Pugh
How sustainable is your business?
Sustainability Action Plan
6
Why use the SAP?
What does the SAP cover?
What will the SAP give you?
How do you use the SAP
6
6
6
6
Developing your Sustainability Action Plan
Where you are now
6
4
Image: Jeremy Moore
Where you can make progress
Setting priorities and targets
Making it happen
Tools to measure and monitor sustainability
How to measure and monitor your progress?
Tools to help you and where to find them
6
9
10
10
11
11
12
Environmental 12
Energy reduction
12
Carbon Footprinting
12
Social
12
Consumer attitudes
12
Economic
12
Energy Efficiency and renewable electricity
12
Water efficiency
13
Resource efficiency and waste reduction
13
Other Sources of information for sustainability initiatives
13
Efficiency and environment
13
Social
13
Economic
13
5
Why communicating the benefits of your sustainability
strategy is vital to its success
14
Who needs to hear about your work
Develop your skills and understanding
How do you communicate?
Sustainability footprint charts
Meat sector
16
Fresh produce sector
18
Dairy produce sector
20
Process sub- sector
22
Wholesale / retail sector
24
14
15
15
4. Why
sustainability
matters
Imagine a three-legged stool. You can think of sustainability in your business as
a three legged stool, each leg of the stool represents one of the sustainability pillars:
environmental, economic and social. If one leg fails, the stool falls over. If one leg works
loose the stool becomes wobbly, unstable and ultimately useless as a place to sit.
What does sustainability mean for your
business?
sus.tain |səˈstān| v.t. 1. Carry weight of, hold up, keep from
falling or sinking, esp. for prolong period. 2. =SUPPORT 7.
Keep up or represent (part, character) adequately 8. Keep
(sound effort, etc) going continuously.1
If sustainability in food processing is about keeping our
food business from sinking or falling down in the long
term, then we should consider the three legs of our stool:
•
Economic sustainability is about maintaining viable
levels of profit in your business by smarter use of
resources, transport and more sustainable sourcing.
As energy prices rise, smart resource use will be
essential for businesses.
•
Environmental sustainability is about minimising
adverse impacts on the environment, making best
use of resources and lowering risks, adopting safe new
technologies and safeguarding your natural capital.
•
Social sustainability is about valuing and respecting
your staff and community, equipping the workforce
with the facts, helping to change attitudes and
adopting and promoting a sustainable ethos. It is also
about respecting other people in the supply chain by
making ethical business decisions and honouring
your obligations.
Working with the whole supply chain
You can’t have a sustainable business in isolation to be more sustainable involves working with the whole
supply chain. That means everyone involved in getting
food products from field to plate, from feed producers
to farmers and growers right through to consumers.
Businesses often have more influence than they realise.
Much deeper change, leading to more robust food
supply systems is achievable when you work with the
whole chain.
Opportunities for substantial cost savings
It is clear that improving sustainability across the supply
chain will help future proof all the businesses involved.
In addition, you can make substantial cost savings in
your business right now by adopting more sustainable
practices, processes and attitudes.
Source: Fowler H.W. and Fowler F.G. 1979. The Concise Oxford
Dictionary of Current English. Oxford: Oxford University Press
1
Diagram 1: The food supply chain
Current: Complex – High Cost – Unsustainable
MATERIALS
PERMITTED
INPUTS
WASTE
RETAILERS
WAREHOUSE
Local Producer
ENERGY
PROCESSING
PACKAGING
DISTRIBUTORS
WAREHOUSE
RETAIL STORE
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A guide for organic businesses
Local Warehouse
Local Shop
Local Community
LOCAL
WAREHOUSE
FARMERS
MARKET
CONSUMER
Future: Lower cost – less environmental impact – ethical
RECYCLING OR
LANDFILL
5. A child born in a wealthy country is likely to
consume, waste and pollute more in his lifetime
than 50 children born in developing nations.
George Carey,
former Archbishop of Canterbury
Image: Jeremy Moore
Understanding the terminology – footprints
The term footprint is used to express or measure the
impact on the environment of what we do. That includes
use of natural resources, emissions, waste and pollution,
and the impact on wildlife and communities. The most
common measurements of environmental footprint that
are used are ones that can be readily quantified – carbon,
water and waste.
The total emissions of green house gases in carbon
equivalents from a product across its life cycle (from the
production of raw materials through to manufacturing
and disposal of the finished product) are described as
the carbon footprint. Similarly, the waste footprint is
the environmental, economic and social impact of the
waste we leave behind, for example the landfill where nonrecycled materials end up. The water footprint refers to
the total volume of fresh water used directly and indirectly
to run and support the business. Footprints should include
processes and practices in the whole supply chain.
Why does sustainability matter
“... sustainability means running the global
environment - Earth Inc. - like a corporation:
with depreciation, amortization and
maintenance accounts. In other words,
keeping the asset whole, rather than
undermining your natural capital.”
Maurice Strong the first Executive Director of the United Nations
Environment Programme (UNEP).
Diagram 2:
Reasons to improve sustainability in your business
Purc
hasin
g
Waste
“A child born in a wealthy country is likely
to consume, waste and pollute more in his
lifetime than 50 children born in developing
nations. Our energy-burning lifestyles are
pushing our planet to the point of no return.”
Fuel
Ener
gy
George Carey, former Archbishop of Canterbury
Labo
ur
Why should you be concerned about
sustainability?
Re
d
ris uce
k
ce
du ts
Re os
c
Increase
sales
Your
business
Bo
mo ost
rale
It’s a hot topic for good reason. A business that fails
to address sustainability issues leaves itself vulnerable
to future changes such as increasing energy costs
and disruption of overseas supplies. On the flip side,
opportunities for business growth and more robust
food supply chains come from improving sustainability
performance.
Business survival depends on understanding
sustainability issues and what threats or opportunities
arise from them.
Business growth depends on responding to a
changing world.
Businesses can lead the way for consumers on
sustainability issues.
Meet
legislation
Im
co b pro
nfi uye ve
de r
nc
e
Improve
n
reputatio
– Organic
us
Pl
A guide for organic businesses
3
6. Boost morale:
engage staff to help
achieve sustainability
targets
Key points
Meeting legislation on emissions reductions will demand
change from businesses, being prepared in advance can
help you manage budgets.
Reducing costs needs no explanation. This makes
economic and environmental sense and can be achieved
through a variety of measures including improving your use
of resources, for example materials, energy and transport.
This gives some protection against price rises and in
areas like waste reduction empowers the business to take
control of processes where unsustainable practices incur
penalties, for example landfill tax.
Reducing risk is about looking at areas of current
or future vulnerability such as sourcing products from
overseas. Political, financial or environmental instability can
affect costs and supply.
Do you run an
active company
suggestion scheme
on sustainability
ideas?
Boost morale: engaging staff to help achieve
sustainability targets will boost morale within the business
and can affirm or lead to changes of behaviour at home
from staff and their families such as reducing energy use,
using the car less or recycling more. Active work in this
area can enhance your reputation and so increase sales.
Improve your reputation by first understanding
consumer concerns in this area and then shouting
about the work you are doing. Add information to your
website, terms of trading, invoices, brochures, product
specifications and staff manuals. In particular, highlight
where your activities go beyond the organic standards,
commonly known as organic plus attributes.
4
A guide for organic businesses
Read section 5 of this guide: Why communicating
the benefits of your sustainability strategy is vital to its
success.
Improve buyer confidence by being proactive in
this area. It allows you to budget for sustainability
improvements over time and demonstrates a commitment
to long term supply, which will encourage strong trading
relationships with customers and consumers.
Reduce risk of shortages of imported materials or poor
performance by overseas suppliers by moving towards
local sourcing and join or set up buying groups to optimise
vehicle utilisation and reduce costs.
How can you approach sustainability?
Sustainability requires a holistic approach to business
– extending from the principles of organic to the whole
supply chain and beyond:
• Attitudes and behaviours of staff, suppliers,
customers and consumers.
• Operational supply chain issues such as sourcing,
transport and logistics.
• Product design, promotion and sales.
For any change to happen you have to measure where
you are at now, set targets for change and monitor results
of new attitudes, operations and product development. To
do that you need a Sustainability Action Plan (SAP).
A SAP is a programme of actions to drive improvements
in your business; a guide on how to develop a SAP is
included in section 3 of this guide.
Image: Jeremy Moore
7. How
sustainable is
your business
As an organic business you will be
aware of sustainability issues and may
already be doing some good work,
for example, reducing waste going to
landfill, but perhaps you haven’t applied
sustainability thinking to all parts of your
business and to your supply chain.
Take this quiz and find out if you still have
work to do.
How
The quiz will take you less than 10 minutes to complete.
Score 1 for yes, 0 for no, then find out what your
score means.
Your score:
0-4
A low score indicates a lack of management control.
Your business may also need a greater focus on costs to
stay in business.
5-7
Some basic areas are under control.
Look at the remaining areas, identify what is preventing
full implementation and prioritise areas for action.
8-10
Good progress and good level of control.
Look at your results – what else can be done to
improve? Set further improvement targets and
continue to track.
top tip
check
Do you source the majority of supplies and services locally?
Do you have an ethical or fair trade policy with suppliers?
Do you order in supplies in bulk containers or on pallets?
Do you avoid packaging, use returnables or use packaging from renewable resources?
Do you measure and monitor electricity and fuel use?
Have you set targets to reduce electricity use?
Have you set targets to reduce fuel use?
Do you run an active company suggestion scheme on Sustainability ideas?
Do you ensure that all vehicles leave with full loads?
Do you ensure that vehicle tyres are at the correct pressure on a weekly basis?
This quiz is only a quick check to help you understand
how much more you need to do as a business. Your
score will reveal which areas are on your radar and where
you could do more.
Many businesses are gaining the benefits of lower costs
and higher reputation by taking a structured approach to
sustainability. If you haven’t already done so, develop a
Sustainability Action Plan.
A guide for organic businesses
5
8. Sustainability
Action
Plan
This guide provides a template to help you prepare your own Sustainability
Action Plan (SAP).
It has been provided specifically for businesses in the organic sector in Wales
but it is relevant for all Welsh food businesses wanting to operate more
sustainably.
Why use the SAP?
What will the SAP give you?
The SAP gives you a programme of actions to improve
your business financially, environmentally and socially.
Writing down your goals and having a plan of how to
achieve them gives you a better chance of success. More
than that, completing the SAP is a commitment to involve
employees, suppliers, customers and other stakeholders
in a practical journey.
- A clear picture of your status in each key area:
where you are now
What does the SAP cover?
It can cover:
- Policies and strategies: what you intend to do and
how you will do it
- Processes and measurement: what areas will be
covered and how you will track progress
- Employee engagement: how to get staff involved
and motivated
- Social impacts: your relationship with your local
community, ethical issues
- A set of objectives and desired benefits:
where you want to be and why
- A time frame for each to be achieved: when you
expect to reach your goals
- A set of actions to be carried out: how you will
get there
- Clear responsibilities and ownership: who will
take action
How do you use the SAP
There are four parts to the SAP:
1. Where you are now
2. Where you can make progress
3. Setting priorities and targets
4. Making it happen
- Resource efficiency: materials, energy, water
- Operational efficiency: manufacturing, logistics
(for example distribution)
- Environmental impacts: emissions, waste
- Purchasing: fair practices, sustainable sources
Developing your Sustainability Action Plan
1. Where you are now
This part of the SAP asks you to take a good hard look at how you are performing across different areas: strategy and
processes, communication and reputation management, resource use and business operations.
Section four of this guide signposts you to tools to measure and monitor your business to help you fulfil your
sustainability goals.
6
A guide for organic businesses
9. How well does your business meet these standards?
Table 1: Where you are now
Sustainability element
Fully
Mostly
Partly
NOT
Strategy and processes
Formal sustainability policies have been created
Strategies are being carried out
The board is fully committed
Is sustainability thinking adopted across the whole business?
Sustainability data such as weight of waste to landfill, electricity and water
consumption figures, fuel consumption figures, customer attitudes to waste,
food miles etc are collected, reported and tracked
Staff pay depends on performance on sustainability issues
Communications and reputation management
Sustainability targets are publicised and progress reported on a regular basis
Is your business recognised for its work on sustainability e.g. through press
coverage, awards, customer feedback, buyer confidence
How engaged are you with your staff and your community?
All staff understand your sustainability policies
All staff are actively involved in working towards your sustainability goals
Actively supporting programmes that benefit the economic, environmental
and social well being of the community (budgets set aside and ring fenced)
Marketing department understands sustainability issues and applies
sustainability thinking to product development and promotion
Engaging with customers and trading partners to develop more sustainable
practices and products
Resource use and impacts
Energy
Energy (oil, coal, gas, electricity and fuel) use is recorded and tracked
Energy reduction targets set
Energy champion appointed to drive improvements
Renewable energy options evaluated, for example solar, PV, wind,
hydro, biomass
Renewable energy systems installed
Carbon footprint
Business carbon footprint measured
Business carbon footprint reduction targets set
Supply chain carbon footprint measured
Supply chain carbon footprint reduction targets set
A guide for organic businesses
7
10. Sustainability element
Water
Water use is measured
Targets set for water use reduction
More sustainable water systems evaluated, for example recycling, renewable
boreholes, rainwater capture
More sustainable water systems installed
Waste
All waste is measured and segregated
Targets set for reducing all waste streams
Zero waste to landfill target met
Materials
Products designed with sustainability in mind
Materials from renewable sources are used where possible
All packaging minimised and recyclable
Footprints
Waste, carbon and water footprints of offices are measured
Targets set to reduce office footprints
Waste, carbon and water footprints of warehouses are measured
Targets set to reduce warehouse footprints
Waste, carbon and water footprints of employee travel are measured
Targets set to reduce employee travel footprints
Efficient operations
Stock (materials and products) kept to a minimum through effective planning
Waste or spoilage kept to a minimum
Equipment measured and assessed for effectiveness, for example: would
a higher power machine give you greater throughput for less cost/energy
use per item?
Targets set for improving operational efficiency
Co-ordinate inbound and outbound transport to minimise mileage and fuel use
Managing supplies
Materials and suppliers are regularly assessed against sustainability criteria
Critical suppliers are audited to ensure risks are eliminated, for example failure of
supply or customer trust
Sharing of best practice with supplier groups to improve performance and
encourage innovation
8
A guide for organic businesses
Fully
Mostly
Partly
NOT
11. 2. Where you can make progress
The next step is to identify the gap between your current status and the standard of excellence, and then decide how far
you want to close those gaps – what is a good target to aim for. You will need to take account of what the benefits will
be to your business and what resources (people, investment) may be needed to reach those targets.
A good way of deciding on the targets and to set priorities is to get key staff members and managers together and look
at each opportunity that the Sustainability audit has identified. Take everyone off site so you can really focus on the work
in hand. Together you can make an estimate of the impact and time/effort required to achieve the target.
Table 2: Where you can make progress
Area
Opportunity
Action
Sustainability
Impact
Financial
benefits
Timing
Resources
Sustainability
element
What is the
target?
What needs
to happen?
High/med/low
High/med/low
Months
People,
investment
e.g. Measurements
and reporting
Monthly
sustainability
report
Process for
collating data
High
Medium
3
Technical manager,
smart meter
e.g. Packaging
All packaging
minimised
and
recyclable
Review
current
packaging
and look at
switching
where
appropriate
to alternative
supplies
Medium
Medium
6
Marketing
manager
e.g. Waste
Zero waste
to landfill
Measure
and monitor
current
waste and
processing.
Introduce
waste policy
and train staff
High
Medium
9
Technical manager
Before finally confirming the priorities for action you need to review how these fit into your overall business strategy and
other programmes that may be underway or planned. These will determine the timings.
Create a simple “dashboard” to show your progress, it could for example look at energy, water and waste. Only measure
things that make sense, so if you don’t use or receive any packaging don’t measure packaging.
See page 11 for more information on “dashboards”.
Diagram 4: Sustainability Action Programme
Diagram 3: Sustainability Opportunity Map
Impact
Business
Benefit
Sustainability Opportunity Map
Sustainability Action Programme
High
Optimised
Packaging
Tyre
Pressures
Med
New
Lighting
5. Packaging Optimisation
4. Truck
Utilisation
Truck
Utilisation
3. Tyre
Pressures
2. New
Lighting
DashBoard
1. Dashboard
Low
6 12 18
Months
6 12 18
Months
A guide for organic businesses
9
12. 3. Setting priorities and targets
Having confirmed the priorities, the final step is to prepare an action plan with SMART goals, and to assign ownership
of the actions (SMART goals are Specific, Measurable, Attainable, Realistic and Timely). A good way to do this is to
nominate champions for different areas, for example energy or waste. This is a useful template for the action plan.
Table 3: Setting priorities and targets
Ref
No
SMART objective
Action
Owner
Start Date
Finish
Date
e.g. A1
Enable board to report
to key stakeholders on
sustainability progress
Develop monthly
sustainability
report for board
with 10 main
indicators
Technical Manager
01-Feb-12
01-May-12
4. Making it happen
Finally, you need to get started and make it happen. Regularly reviewing progress against the SAP will help keep you
going. It is usually best to set up a senior team to review these on a quarterly basis, and adjust the plan if progress is
slow or other priorities and opportunities emerge. Although some of the steps may seem very long term you need to
remember that every cost saving measure you take is a positive benefit for your business. Sustainability is not just a
buzz word, it means building a robust, strong business now and for the future.
Sustainability is not just
a buzz word, it means
building a robust, strong
business now and for
the future.
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A guide for organic businesses
13. Tools to measure
and monitor
sustainability
Sustainability in business means operating today in a way that doesn’t compromise
our future. It means balancing the environmental, social, and economic aspects
of your business.
How to measure and monitor your progress
Social
Bearable
Equitable
Sustainable
Environment
Viable
Economic
Over recent years there has been coordinated effort to define what is meant
by sustainability and to translate it into something meaningful that can be
measured and tracked. Organisations like the World Resources Institute
(WRI) and Business in the Community (BITC) have developed systems
that include reporting on ethical issues such as corporate and social
responsibility.
For sustainability to fully progress the three sustainability indicators
(environmental, social and economic) need to be balanced.
By choosing the right indicators and focusing on the important ones, many
businesses are able to track these with a “Sustainability Dashboard”, a type
of report, used to drive improvement. It is important that meaningful targets
are set and progress measured against these so that all stakeholders,
including your own employees, can understand the on going progress your
business.
Listed here, are some key ones that businesses should be tracking - most
should be measured at least monthly except where indicated.
Category
Indicator
Unit of measure
Source of data
Environmental
Energy
Usually measured in kWh
Utility bills
Fuel
Measured in litres or kWh
Fuel bills
Carbon Footprint
Tonnes CO2e. Operational scope
(1 and 2) mainly covers own energy
and fuel use
Utility fuel usage
converted to Tonnes CO2e
Water
Measured in cubic metres
Utility bills
Waste
Net waste, measured in kg or tonnes
Waste contractor
Waste to landfill
Amount (kg) and % of total wastage
that is not recycled
Waste contractor
Employee satisfaction
Measured by annual surveys
Own staff
Community engagement
% of annual marketing budget
allocated and £ per employee
Accounts
Ethical trading
% of suppliers and purchases covered Annual review of suppliers
by ethical trading policies
Profitability
Net margin over sales
Accounts
Materials efficiency
% Yield from materials (rest is waste)
Production measurement
Transport efficiency
Vehicle Utilisation
Transport contractor
Social
Economic
A guide for organic businesses
11
14. Tools to help you and
where to find them
To share best practice and for more free online resources, join the Organic Supply Chain Forum
http://www.weir-tscs.com/organicforum/index.php
Energy reduction
• Mayday Network Tel: 0207 566 8650 www.maydaynetwork.com/journey
• DairyCo (for dairy farms) Tel: 0247 669 2051
www.dairyco.net/farming-info-centre/tools-information/energy-cost-calculators/introduction.aspx
Carbon Footprinting
• Carbon footprinting for farm businesses, by Tony Little and Laurence Smith, is an Organic Centre Wales
publication that gives in depth reviews of nine carbon footprint calculators
www.organiccentrewales.org.uk/uploads/carbcalcfull_report_a4.pdf
• Weir-TSCS Tel: 0845 450 4021 www.weir-tscs.com
• Best Foot Forward Tel: 0186 525 0818 www.footprintreporter.com
• Carbon Footprint Ltd Tel: 0125 634 5645 www.carbonfootprint.com
• EcoStudio Tel: 0845 269 6105 www.ecostudio.org.uk
Resource efficiency
• Environment Agency Wales Tel: 0370 850 6506 - resource efficiency and environmental performance
www.environment-agency.gov.uk/cy/busnes/pynciau/perfformiad/default.aspx
Social
• Ethics a toolkit for Welsh organic businesses produced by the Food Ethics Council for Organic Centre Wales
www.organiccentrewales.org.uk/uploads/ethics_english__web.pdf
• Business in the Community (BITC) Tel: 0207 566 8650 - Responsible Business Check-up
http://www.bitc.org.uk/responsible_business_check_up/index.html
• Ethical Trade Initiative (ETI) Tel: 0207 841 4350 - The ETI Workbook A comprehensive, step-by-step guide for companies on putting ethical trade into practice
www.ethicaltrade.org/resources/key-eti-resources/eti-workbook
• Soil Association ethical trade certification Tel: 0117 914 2406 http://www.soilassociation.org/ethicaltrade
Consumer attitudes
• Consumer attitudes towards organic food. Key findings,
produced by Beaufort Research for Organic Centre Wales
www.organiccentrewales.org.uk/uploads/11265_beaufortresearchleaflet_final_lr.pdf
• IGD Shopper tracker reports www.IGD.com
• Survey Monkey, a free online tool to create your own customer or staff surveys www.surveymonkey.com
Economic - general accounting software for small businesses:
• SAGE www.sage.co.uk, QUICKBOOKS www.intuit.co.uk/quickbooks, MYBIZ www.mybiz.co.uk
• Farm management software FARMPLAN www.farmplan.co.uk
• Solar Accounts www.solaraccounts.co.uk
Energy Efficiency and renewable electricity
• Energy Saving Trust Wales Tel: 0800 512 012 www.energysavingtrust.org.uk/wales
• Carbon Trust Wales Tel: 0800 085 2005 www.carbontrust.co.uk/wales/wales/pages/default.aspx
• Carmarthenshire Energy Agency Tel: 01944 230003 www.ynnisirgar.org.uk
12
A guide for organic businesses
15. •
•
•
•
•
South East Wales Energy Agency Tel: 0800 512012 www.sewenergy.org.uk
Low Carbon Buildings Programme Tel: 0800 915 0990 www.lowcarbonbuildings.org.uk
Energy Efficiency Advice Centre Tel: 0800 512012 www.actonenergy.org.uk
Centre for Alternative Technology Tel. 01654 705950 www.cat.org.uk
Soil Association Low farming carbon project Tel: 0756 436 0914 www.soilassociation.org/lowcarbon
Water efficiency
• Wrap, the Rippleeffect is a free water efficiency initiative that can benefit businesses of all sizes
Tel: 0808 100 2040 http://www.wrap.org.uk/business/sme/rippleffect/
• Waterwise Tel: 0203 463 2400 www.waterwise.org.uk
Resource efficiency and waste reduction
• WRAP Cymru Tel: 0292 044 8090 http://www.wrapcymru.org.uk/
• IGD - Free guide and toolkits on waste prevention Tel. 01923 857141
http://www.igd.com/index.asp?id=1fid=5sid=43tid=158foid=127
Other sources of information for sustainability initiatives
•
•
•
•
•
Organic Centre Wales - Resource centre for organic businesses
Tel: 01970 622248 www.organiccentrewales.org.uk
Publication - Why sustainable agri-tourism is a market opportunity for the organic sector,
a BOBL publication, www.organiccentrewales.org.uk/uploads/agritourisme_july11.pdf
Farming Connect provide one-to-one support, knowledge, expertise, training and advisory services,
tailored to your needs. Many are fully funded or subsidised by 80%. They can all help you and your family
run your business more efficiently and safeguard the future of your farm business Tel: 0845 600 0813
Soil Association - A membership charity campaigning for planet-friendly organic food and farming
Tel: 0117 314 5000 www.soilassociation.org.uk
Centre for Alternative Land Use (CALU) – Tel: 01248 680450 www.calu.bangor.ac.uk
Publication - Managing energy and carbon. The farmer’s guide to energy audits,
www.calu.bangor.ac.uk/Technical%20leaflets/Energyauditmanual.pdf
Hybu Cig Cymru - Meat Promotion Wales (HCC) is the industry-led organisation responsible for the
development, promotion and marketing of Welsh red meat. Tel: 01970 625050 www.hccmpw.org.uk
Publication – A sustainable future – the welsh red meat roadmap
http://www.hccmpw.org.uk/medialibrary/publications/HCC%20Sustainable%20Red%20Meat%2
Roadmap%20English%20LR.pdf
Efficiency and environment
• Business Wales – Environment and efficiency Tel: 03000 603000
http://business.wales.gov.uk/bdotg/action/layer?site=230topicId=1079068363
Social
• United Nations Global Compact - Fair business practices www.unglobalcompact.org/
• Business in the Community (BITC) - Workforce and community engagement Tel: 0207 566 8650
www.bitc.org.uk
• Ethical Trading Initiative Tel: 0207 841 4350 www.ethicaltrade.org/
• The Food Ethics Council Tel: 0845 345 8574 www.foodethicscouncil.org
Economic
• Business Wales - Business advice for new and established businesses from the Welsh Government.
Tel: 03000 603000 http://business.wales.gov.uk
Finance and grants
•
•
•
For the latest grants and government support available call 0300 060 3000 or visit
http://business.wales.gov.uk/bdotg/action/layer?r.l1=1073858790r.l2=1084705429r.s=smsite=
230topicId=1073866776
Farming Connect provide one-to-one support, knowledge, expertise, training and advisory services,
tailored to your needs. Many are fully funded or subsidised by 80%. Tel: 0845 600 0813
For information about support for the organic sector contact Organic Centre Wales
Tel: 01970 622248 www.organiccentrewales.org.uk
Organic Centre Wales and its partners cannot accept responsibility for the consequences of any actions taken
on the basis of the information in this document or other publications.
A guide for organic businesses
13
16. Why communicating
the benefits of your
sustainability strategy
is vital to its success
Every business owner understands that lack of profit over an extended period of time
spells disaster so working hard to achieve profit is a given. However, the benefits of good
sustainability performance are less obvious. If people don’t see the benefits it will be hard
to engage them.
In order to get people on board you need to actively communicate your vision, your goals,
your progress and the tangible benefits for all concerned. These are:
Business – improved sales, financial performance
and reputation
Environment – reduce dependence on non-renewable
resources and maintain natural capital
Suppliers – reduce costs, risk and carbon footprints
For instance:
•
Actively promote the benefits of improved
sustainability performance e.g. cost savings,
increased reputation, resilience to change in the
future such as energy and fuel price rises
Customers – strengthen relationships by being a forward
thinking supplier
• Lead by example, share the goals and activity of
your own Sustainability Action Plan (SAP
(where appropriate) and regularly
communicate progress made
Consumers – working on their behalf to make their
choices more sustainable
• Share tools such as diagnostic tools and SAP
templates with suppliers
Who needs to hear about your work
on sustainability?
• Encourage measuring and monitoring of
sustainability performance by suppliers and
communicate this to your customers
Staff – boost morale and provide strong leadership
Everyone: suppliers, staff, customers and consumers.
It is not enough to simply ‘do’ work to improve your
sustainability performance because that performance
overall depends on the work others do too.
Sustainability has to be more than greenwash, it has to
permeate at every level and become a part of ‘whole
company thinking’.
Sustainability thinking applies to:
• Actions and behaviours
• Operational and supply chain
• Product design, promotion and sales
Communicating with suppliers
As a buyer you can influence the sustainability
performance of your suppliers. To do this you need to
engage your suppliers who may see only the costs rather
than the benefits. Therefore it is important to illustrate the
short and long term benefits of this work for your suppliers
and the whole supply chain.
14
A guide for organic businesses
Communicating with staff
Everyone in the supply chain, from the tractor driver to the
line worker, the marketing officer to the till operator, needs
to adopt this type of thinking. To achieve this requires
changing attitudes. This takes time and focused activity
such as:
• Involving representatives from every area of the
business when developing the SAP
• Running workshops to understand the benefits
of improved sustainability performance in
your business
• Appointing a Sustainability Champion within
your business
• Appointing an energy Champion
• Random monthly interviews with staff to test
familiarity with and understanding of the
Sustainability Action Plan (SAP) actions
17. •
Communicating with customers
Wherever you are in the supply chain, make it easier for
end consumers to understand the benefits of your work in
this area. For example, publish specific targets and
progress reports on:
• Waste to landfill.
• Average miles travelled by product to customer
• Water consumption per unit of output
• Carbon footprint
Communicating with consumers
The work in your Sustainability Action Plan (SAP) will go
beyond the requirements of the organic standards. In
these cases, you need to emphasise these ‘organic plus’
attributes. In Farmer consumer partnerships – How to
successfully communicate the values of organic food2,
case studies from across Europe demonstrate how
certain organic plus attributes appeal to consumers.
From a marketing point of view, outstanding work on
sustainability performance, e.g. local sourcing, can be
used to make your products stand out.
•
Make use of free social media sites to keep an
online journal of your sustainability progress.
This can be a written journal or make it more
interesting by creating a photo diary on sites
like Blipfoto, or create a video diary using
You Tube. For example, post a picture of new
hessian bags arriving and mention how they
are made from sustainable materials and help
reduce our dependence on plastic bags.
•
Post your progress on your blog or business
Facebook page. This is particularly useful for
small retailers who may have limited time and
budgets for promotion.
Engage with product design and marketing
teams so that sustainability analysis becomes
part of any development of new products,
promotion and sales material
Consider creating appealing point of sale
material such as shelf edge cards or pop up
banners which use graphics to illustrate
performance and progress
Work in this area can provide good material for press
releases, newsletter articles and blog posts on your own
or other business’ blogs.
How can you improve your
communication overall?
Understand consumer attitudes
Join forums
Keep a sustainability journal online
Become a ‘go to’ business sustainability
commentator for the press
Develop your skills and understanding
•
How do you communicate?
Use face-to-face opportunities during staff meetings,
training sessions, with customers during buying
negotiations and with consumers at food events and
every day at the checkout, to put out positive messages
about the work you are doing in this area.
In print, for instance in your:
• Packaging
• Point of sale material
• Staff induction and training manuals
• Invoicing and terms of trade templates
• Posters in the workplace
Online, for instance update your:
• Website
• Email signatures
• E-newsletters (for staff, suppliers, customers
and consumers if appropriate)
• Social media such as Facebook, Twitter,
You Tube, Flickr, LinkedIn and Google Plus
• Specialist Industry forums such as The Organic
Supply Chain Forum and relevant groups on
platforms like LinkedIn e.g. Sustainability
Working Group
How often do you need to communicate
your progress?
If you regularly communicate your progress your business
will become strongly identified with positive action in this
important area.
• Understand your customers’ concerns in this
area. Find details of consumer surveys and tools
to run your own surveys in section 4 of this guide:
Tools to monitor and measure sustainability
performance.
• Join industry forums such as Business in the
Community, Profit Through Ethics. Contribute
to discussions, and learn from others.
• Let the relevant press know that you have
a Sustainability Champion able to provide
industry comment on matters like new
legislation on for example, waste, energy
and issues to do with business sustainability
performance.
2
Zander, K. et al 2010. Farmer consumer partnerships - How to successfully communicate the values of organic food: a handbook. Kassel:
Department of Agricultural and Food Marketing, University of Kassel. Available on www.orgprints.org, or contact Organic Centre Wales for a copy.
A guide for organic businesses
15
18. Meat sector
Meat sector
Sustainability footprint charts –
MEAT
Key Issues
Excessive
packaging
% (up to 50%)
Opportunities
Lightweight
recyclable
% carbon
Materials
% cost
risk
% carbon
Sourcing
Overseas
suppliers
Local
suppliers
% cost
risk
% carbon
Inbound
Transport
Load
utilisation
Combine with
other loads
% cost
risk
On Farm
Resource usage
not measured
and targeted
% carbon
Integrated
planned and
measured system
% cost
risk
Process
Packaging
No energy
management
system
% carbon
Reduce energy
and carbon
% cost
risk
Primary
Transport
Load utilisation
and food miles
% carbon
Optimise
routing and
combine loads
% cost
risk
Secondary
Transport
Long distances
and load utilisation
not optimised
% carbon
Optimise
routing and
combine loads
% cost
risk
Wholesale
Retail
Prices paid for
organic too low.
Seasonal supply
variations
Energy
for cooking
% carbon
Direct sales to
key customers.
Exploit export
markets
All products
microwavable
% cost
risk
% carbon
Consumer
% cost
risk
% carbon
End
of Life
Waste
not recycled
Recyclable
packaging
% cost
risk
KEY
16
A guide for organic businesses
% of CARBON in chain
% of COST in chain
Element of RISK in chain
LOW
MEDIUM
HIGH
19. The organic meat sector supply chain in Wales comprises a
wide range of feed suppliers, farmers, marketing and distribution
companies, abattoirs, transporters and trade and retail customers.
The sustainability footprint chart for the meat sector (left) shows
where the carbon, sustainability risks and costs are in the typical
organic meat supply chain.
Understanding the Sustainability Footprint chart.
The data for the chart is based on sustainability work
by Weir TSCS with businesses in this sector and on
research findings in the meat and dairy sectors. The
results are representative only and meant to guide
businesses on where to focus their efforts
• Reduction in energy and water use in processing
and packing. Opportunities for renewable energy
production and better control/re-use of water to
be explored
• Collaborate on marketing and distribution to get
better prices and margins, essential for farmers to
stay in business and develop their farms
Carbon – The graph shows the typical percentage
of the total carbon emissions of the supply chain for
each element of the chain
•
Costs - The graph shows how costs are typically
distributed across the supply chain, expressed as a
percentage
• Collaborative approach to reducing waste,
particularly unused animal by-products, looking
at technology such as Anaerobic Digestion
Risk – The chart shows the typical level of risk of poor
sustainability performance in each element of the chain
The footprint of this sector is significant, particularly due to
the carbon emissions associated with animal production.
However, there are also opportunities to reduce the
footprint across the rest of the supply chain, such as
improving transport efficiency, reducing energy and water
consumption in processing and packing and reducing
process and packaging waste.
Organic beef and sheep farmers can help to improve their
own sustainability by focusing on these key areas:
•
Animal feed: Move towards more self-sufficiency for
animal feeds to minimise effects of rising feed prices,
either by producing feeds on farm, commissioning
local arable production or via buying groups1.
•
Input costs control: Measure input costs – feed,
labour, manure and fuel – and manage using simple
farm or business management software. Take
advantage of buying groups to reduce costs further
•
Impacts on the environment: Measure and manage
sustainability aspects – energy, carbon footprint (use
one of the free services available), waste (particularly
packaging used on feed), and soil quality. Set annual
targets for reduction and track progress.
• Cooperatives and marketing or distribution
groups: Work with such groups to get higher sales
value and volume of animals and to make better use
of shared transportation to the abattoir
For the sector there are wider structural issues that
need review. This will require effective collaborative
working involving all the members of the chain:
Develop sales of high quality meat to the
restaurant and food service sector to increase
volume and margins. A good example is that
achieved by Rhug Estates
• Reduction in use of packaging, for feedstuffs but
more importantly for final product. This is clearly
in the domain of the retailers
Structural issues
•
Re-establishment of more local abattoirs.
The opportunity for more local plants to reduce
live animal transport,improve freshness and
provide local employment, needs to be evaluated.
Summary
The organic red meat sector is particularly important as
livestock farmers make up 85 percent of organic farmers
across Wales. The sector has unique challenges
particularly in terms of abattoirs but a co-ordinated
approach to sustainability can continue to build robust
supply chains that improve the business performance
of all parties in the chain and help meet future challenges.
The new Hybu Cig Cymru2 document, A Sustainable
Future - The Welsh Red Meat Roadmap3, offers
stakeholders across the supply chain information on
greenhouse gases and climate change and helps support
the red meat industry to protect the Welsh environment
and to develop sustainable farming methods.
It presents detailed, practical ways to further improve
performance, achieve the new and agreed goals, while
adhering to the business model essentials of improving
efficiency and profitability.
See also HCC’s useful summary document ‘10 steps
to a lesser footprint’.
• Co-ordinated transport of animals to abattoir.
Graig Producers’ operation is a good example
of best practice in this area
Sources include: SA Marketplace (www.soilassociation.org/organicmarketplace), Graig Producers (www.graigproducers.co.uk),
OFG (www.organicfarmers.org.uk/classifieds).
1
2
See HCC website http://tinyurl.com/3sq6chh
3
See http://tinyurl.com/7vwhsn2
A guide for organic businesses
17
20. Sustainability footprint charts –
Fresh produce sector
Fresh produce sector
FRESH PRODUCE
Key Issues
% (up to 50%)
Opportunities
% carbon
Materials
Non-returnable
packaging
Returnable boxes
or crates
% cost
risk
Sourcing
Rising input
costs
% carbon
Join buying
groups to take
advantage of
lower costs
% cost
risk
% carbon
Inbound
Transport
Load
utilisation
Improved
planning
% cost
risk
On Farm
Resource usage
not measured
and targeted
% carbon
Integrated
planned and
measured system
% cost
risk
Process
Packaging
Resource usage
not fully measured
and targeted
% carbon
Measure and
target energy,
carbon and waste
% cost
risk
Primary
Transport
Secondary
Transport
Transport to
wholesaler or
distribution centre
not optimised
Long distances
and load utilisation
not optimised
% carbon
Optimise
routing and
combine loads
Optimise
routing and
combine loads
% cost
risk
% carbon
% cost
risk
Wholesale
Retail
Consumer
End
of Life
KEY
18
A guide for organic businesses
Prices paid for
organic too low.
Seasonal supply
variations
Value not fully
recognised to
justify price
premium
More information
on pack and
promotional
material
Short shelf life
and non-recyclable
packaging waste
% carbon
Direct sales to
key customers.
Exploit export
markets
Provide more
incentives to
consumers
to recycle
% of CARBON in chain
% of COST in chain
% cost
risk
% carbon
% cost
risk
% carbon
% cost
risk
Element of RISK in chain
LOW
MEDIUM
HIGH
21. As organic horticultural production in Wales is relatively limited, this
sector relies quite heavily on sourcing produce from further afield,
across the UK and overseas.
The sustainability footprint chart (left) shows where the carbon,
sustainability risks, and costs are in the typical organic fresh
produce supply chain.
Understanding the Sustainability Footprint chart.
The data for the chart is based on sustainability work
by Weir TSCS with businesses in this sector and on
research findings in the meat and dairy sectors. The
results are representative only and meant to guide
businesses on where to focus their efforts
• Co-operatives and marketing or distribution
groups: collaborate where possible to achieve
economies of scale, this can be with packing, transport
and marketing. Work with groups to get higher sales
value and volume of crops and make better use of
shared transport
Carbon – The graph shows the typical percentage of
the total carbon emissions of the supply chain for each
element of the chain
For the sector there are wider issues that need to be
reviewed:
Costs - The graph shows how costs are typically
distributed across the supply chain, expressed as
a percentage.
Risk – The chart shows the typical level of risk of poor
sustainability performance in each element of the chain
•
Communication – develop messages to convey
what the Organic Plus1 benefits work in this area
brings to the consumer, particularly with regard
to the appeal and benefits of e.g. more seasonal
consumption. Publicise success in improving your
sustainability performance
• Training drivers – to minimise transport costs
The footprint of this sector can be reduced in four
key areas:
• Waste – set targets to reduce spoilage and for zero
waste to landfill
• On farm fruit and vegetable production
•
• Transport optimisation
• Sustainability communications
Organic fruit and vegetable growers can help reduce their
sustainability footprint by:
•
Understanding the importance and benefits
of improved sustainability performance:
Processors and businesses further up the chain can
assist growers to develop their own Sustainability
Action Plan
• Input costs: Measure and manage input costs
– labour, manure and fuel
Procurement – work towards more sustainable
sourcing throughout the supply chain by setting
standards for suppliers and identifying more
sustainable sources
Summary
The fresh produce sector in Wales is performing well but
there is always room for improvement particularly in the
area of raising your reputation with consumers, lowering
the risk of sourcing inputs on farm and in the processing
operations, and cost reductions in terms of labour,
wastage, electricity and fuel.
• Sustainability aspects: Measure and manage
sustainability aspects – water, energy, carbon
footprint, waste, soil quality
• Packing: Carry out packing of produce close to field
to reduce transport and to preserve freshness
and appearance
• Buying groups: reduce the cost of inputs by joining or
forming buying groups with non competing companies
Sources include: SA Marketplace (www.soilassociation.org/organicmarketplace), Graig Producers (www.graigproducers.co.uk), OFG
(www.organicfarmers.org.uk/classifieds).
1
A guide for organic businesses
19
22. Dairyproduce sector
Dairy produce sector
Sustainability footprint charts –
DAIRY
Key Issues
Materials
Sourcing
Excessive
packaging and
some not
recyclable
Overseas
suppliers of feed
ingredients
% (up to 50%)
Opportunities
% carbon
Lightweight
recyclable
% cost
risk
% carbon
Local
suppliers
% cost
risk
Inbound
Transport
Long distances
and load utilisation
not optimised
% carbon
Combine with
other loads
% cost
risk
On Farm
Resource usage
not measured
and targeted
% carbon
Integrated
planned and
measured system
% cost
risk
Process
Packaging
Resource usage
not fully measured
and targeted
% carbon
Measure and
target energy,
carbon and waste
% cost
risk
Primary
Transport
Milk collection
transport not
optimised
% carbon
Optimise
routing and
combine loads
% cost
risk
Secondary
Transport
Long distances
and load utilisation
not optimised
% carbon
Optimise
routing and
combine loads
% cost
risk
Wholesale
Retail
Consumer
End
of Life
KEY
20
A guide for organic businesses
Prices paid for
organic too low.
Seasonal supply
variations
Limited
recognition
of value
% carbon
Direct sales to
key customers.
Exploit export
markets
More information
on pack and
promotional
material
Short shelf life
and non recyclable
packaging waste
% cost
risk
% carbon
% cost
risk
% carbon
Provide more
incentives to
consumer
to recycle
% of CARBON in chain
% of COST in chain
% cost
risk
Element of RISK in chain
LOW
MEDIUM
HIGH
23. The organic dairy sector supply chain in Wales comprises a wide
range of feed suppliers, farmers, marketing and distribution
companies, processing and bottling plants, transporters and trade
and retail customers.
The sustainability footprint chart (left) shows where the carbon,
sustainability risks, and costs are in the typical organic dairy
supply chain.
Understanding the Sustainability Footprint chart.
The data for the chart is based on sustainability work
by Weir TSCS with businesses in this sector and on
research findings in the meat and dairy sectors. The
results are representative only and meant to guide
businesses on where to focus their efforts
Carbon – The graph shows the typical percentage of
the total carbon emissions of the supply chain for each
element of the chain
Costs - The graph shows how costs are typically
distributed across the supply chain, expressed as a
percentage.
Risk – The chart shows the typical level of risk of poor
sustainability performance in each element of the chain
The footprint of this sector can be reduced in four
key areas:
• On farm milk production
• Sustainability management across the whole chain
• Logistics optimisation – using best practice to get the
most out of your supply chain
• Sustainability communications
Organic dairy farmers can help reduce their sustainability
footprint by:
• Understanding the importance and benefits of
improved sustainability performance: processors
and businesses further up the chain can assist dairy
farmers to develop their own Sustainability Action
Plan.
• Animal feed: Move towards more self-sufficiency for
animal feeds to minimise effects of rising feed prices,
either by producing feeds on farm, commissioning
local arable production or via buying groups. Develop
a better understanding of risks and costs
•
Greenhouse gas emissions (GHG): use e.g.
DairyCo’s carbon footprint service to gain an accurate
picture of GHG emissions on individual dairy farms
and for operations in the wider chain
• Input costs: Measure and manage input costs –
feed labour, manure and fuel
• Sustainability aspects: Measure and manage
sustainability aspects – water, energy, carbon
footprint, waste, soil quality
• Learn from others: Share best practice among
members of the same co-operative
For the sector there are wider issues that need to be
reviewed:
• Communication – develop messages to convey the
Organic Plus1 benefits for the consumer
• Packaging – continue developments to reduce
carbon footprint of packaging
• Procurement – work towards more sustainable
sourcing throughout the supply chain
• Training in sustainability procurement
– particularly for procurement officers and dairy
farming members
•
A strategic consideration could be to diversify and
develop premium products such as filtered milk for
longer shelf life and look at opportunities in UHT and
powdered milk
Structural issues
• Establish local dairy and processing facilities to
shorten transport legs, also optimise transport
through collaboration across the sector.
Summary
The dairy sector in Wales is performing well but there is
always room for improvement particularly in the area of
communication with the consumer, and lower risk
sourcing of inputs on farm and in the processing
operations.
Sources include: SA Marketplace (www.soilassociation.org/organicmarketplace), Graig Producers (www.graigproducers.co.uk), OFG
(www.organicfarmers.org.uk/classifieds).
1
A guide for organic businesses
21
24. Process sub-sector
Process sub-sector
Sustainability footprint charts –
PROCESS SUB-SECTOR
Key Issues
% (up to 50%)
Opportunities
% carbon
Materials
Excessive
packaging
Lightweight
recyclable
% cost
risk
% carbon
Sourcing
Overseas
suppliers
Local
suppliers
% cost
risk
% carbon
Inbound
Transport
Load
utilisation
Improved
planning
% cost
risk
Process
Packaging
Resource usage
not measured
and targeted
% carbon
Measure and
target energy,
carbon and waste
% cost
risk
Primary
Transport
Secondary
Transport
Transport to
wholesaler or
distribution centre
not optimised
Long distances
and load utilisation
not optimised
% carbon
Optimise
routing and
combine loads
Optimise
routing and
combine loads
% cost
risk
% carbon
% cost
risk
Wholesale
Retail
Prices paid for
organic too low.
Seasonal supply
variations
Energy
for cooking
% carbon
Direct sales to
key customers.
Exploit export
markets
All products
microwavable
% cost
risk
% carbon
Consumer
% cost
risk
% carbon
End
of Life
Waste not
recyclable
Recyclable
packaging
% cost
risk
% of CARBON in chain
KEY
22
A guide for organic businesses
% of COST in chain
Element of RISK in chain
LOW
MEDIUM
HIGH
25. Organic food processors in Wales include: egg packers,
vegetable packers, baby food manufacturers, pie makers,
bread makers and others.
The sustainability footprint chart (left) shows where the carbon,
sustainability risks, and costs are in the typical organic food
processing supply chain.
Understanding the Sustainability Footprint chart.
The data for the chart is based on sustainability work
by Weir TSCS with businesses in this sector and on
research findings in the meat and dairy sectors. The
results are representative only and meant to guide
businesses on where to focus their efforts.
Carbon – The graph shows the typical percentage
of the total carbon emissions of the supply chain for
each element of the chain
Costs - The graph shows how costs are typically
distributed across the supply chain, expressed as
a percentage.
Risk – The chart shows the typical level of risk of
poor sustainability performance in each element of
the chain
The footprint of this sector can be reduced in three
key areas:
• Sustainability aspects Measure and manage
sustainability aspects – water, energy, carbon
footprint, waste.
• Minimising waste Ensure you are aware of all waste
in the whole supply chain by carrying out a robust
evaluation and monitoring process.
•
Material sourcing was shown to have the biggest
carbon footprint and the highest risk. This is because
sustainability of the raw materials is out of sight, out of
mind as it were. For organic producers choice of
suppliers is often limited so work needs to be focused
on helping suppliers improve their sustainability
performance. Simply finding out more and asking
questions is the first step to improving this area.
Businesses can address this area by:
What to do
More information
Identify sources of all key raw materials and packaging
Ask suppliers for evidence of origin
Use sustainability checklists with suppliers
10 questions about the sustainability of their supply
Assess sourcing risks and eliminate non-sustainable
sources
Review responses and supplier knowledge to define
actions
Source 100% of materials locally where practical
1. Seek to eliminate materials sourced from long
distances 2. Identify local suppliers
Encourage key suppliers to improve and to provide ideas
through best practice sharing sessions
Show leadership by setting up quarterly conference calls
Join buying groups to reduce purchasing costs of key
materials
Use buying groups and collaboration to optimise vehicle
utilisation
Look at both legs of the journey
Use buying groups and collaboration to reduce nonreturnable transit packaging
Use buying groups to reduce cost of indirect/non-core
items and services
Summary
The organic food processing sector in Wales has significant opportunities to work with suppliers to improve sustainability
performance for the benefit of all businesses in the supply chain.
A guide for organic businesses
23
26. Sustainability footprint charts –
Wholesale retail sector
Wholesale / retail sector
WHOLSALE/RETAIL
Key Issues
% (up to 50%)
Opportunities
% carbon
Materials
Excessive
packaging
Lightweight,
recyclable
% cost
risk
Sourcing
Overseas
suppliers,
high costs
% carbon
Local suppliers.
Use buying groups
% cost
risk
Inbound
Transport
Load
utilisation
and cost
% carbon
Coordinate
transport for
fewer deliveries
% cost
risk
Wholesale
Retail
Resource usage
not fully measured
and targeted
% carbon
Measure and
target energy,
carbon and waste
% cost
risk
Transport
to Customer
High fuel and
maintenance
costs
% carbon
Driver
training
% cost
risk
% carbon
Consumer
Non-return
of boxes
Incentivise return
and re-use
% cost
risk
% carbon
End
of Life
Waste not
recyclable
Recyclable
packaging
% cost
risk
% of CARBON in chain
KEY
24
A guide for organic businesses
% of COST in chain
Element of RISK in chain
LOW
MEDIUM
HIGH
27. Wales has a whole range of different organic retail and wholesale
outlets, including farm shops, market stalls, retail shops, on-line
stores and wholesalers.
The sustainability footprint chart (left) shows where the carbon,
sustainability risks, and costs are in the typical organic wholesale
and retail business.
Understanding the Sustainability Footprint chart.
The data for the chart is based on sustainability work
by Weir TSCS with businesses in this sector and on
research findings in the meat and dairy sectors. The
results are representative only and meant to guide
businesses on where to focus their efforts
Carbon – The graph shows the typical percentage of
the total carbon emissions of the supply chain for each
element of the chain
Costs – The graph shows how costs are typically
distributed across the supply chain, expressed as a
percentage.
Risk – The chart shows the typical level of risk of poor
sustainability performance in each element of the chain
From the chart, it is clear that sourcing provides the
greatest opportunity for sustainability performance
improvements, and waste reduction is an area where
costs can also be reduced.
The footprint of this sector can be reduced by looking at
the following key areas:
• Sustainability Action Plan: Translate interest in
sustainability into a clear plan with objectives
and targets
• Measure and track performance: measuring key
indicators such as electricity, fuel for transport and
waste allows progress on this work to be tracked
•
•
Set wider sustainability targets for suppliers:
where choice is limited consider working with suppliers
to improve sustainability in areas such as waste,
labour, fuel and energy use
• Switch to local suppliers: where possible switch
to more local and sustainable suppliers or consider
alternative products to achieve better sustainability
performance
• Buying groups: set up or join buying groups with non
competing companies to reduce cost of supplies
•
Communication: develop messages to convey the
Organic Plus1 benefits for the consumer particularly
with regard to the appeal and benefits of e.g. more
seasonal consumption. Publicise improvements
in your sustainability performance and that of
your suppliers
• New market opportunities: identify opportunities
to sell to the hospitality trade including hotels,
restaurants and pubs
Summary
Wholesaling and retailing in Wales is performing well but
there is always room for improvement particularly in the
area of procurement and waste reduction. As with all
sectors, publicising the work done in this area is key to
enhancing the business reputation and bringing suppliers
with you.
Waste: set targets to reduce spoilage and write
downs and for zero waste to landfill. Consider
innovative ways to turn waste into profit e.g. setting up
an onsite café or outside catering unit
Sources include: SA Marketplace (www.soilassociation.org/organicmarketplace), Graig Producers (www.graigproducers.co.uk), OFG
(www.organicfarmers.org.uk/classifieds).
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A guide for organic businesses
25
28. This toolkit will help
support you to reduce your
sustainability footprint
Next steps:
Need a plan? Use section three of this guide to produce your own Sustainability Action Plan.
Need help measuring and monitoring? See section four of this guide on tools to measure
and monitor sustainability.
Need help bringing people with you? It is essential to communicate what you are doing, read more in
section five of this guide on why communicating the benefits of your sustainability strategy is vital to its success.
Need inspiration? Read about the key issues and opportunities for your sector in our sustainability footprint
charts. These cover red meat, dairy, fresh produce, processing, wholesaling and retailing.
For more free online resources, join the Organic Supply Chain Forum
www.weir-tscs.com/organicforum/index.php
This Sustainability Toolkit has been developed by Better Organic Business Links
(BOBL). The BOBL project provides opportunities, information and training
for businesses in the Welsh organic sector to help them deliver better profitability,
sustainability and exemplary environmental performance.
Find out more
Write to:
Organic Centre Wales, IBERS, Aberystwyth University, SY23 3EE
Email:
bobl-project@aber.ac.uk
Visit us online at:
www.organiccentrewales.org.uk
Or call the BOBL Project c/o Organic Centre Wales:
Tel: 01970 622248
A guide for organic businesses