Keurig Sustainability Efforts in Water Stewardship

Keurig Green Mountain, Inc. Releases 2014 Sustainability Report, “Beyond The Cup” Efforts

Time to celebrate Keurig sustainability efforts in 2014. For today Keurig Green Mountain, Inc. (Keurig) (NASDAQ: GMCR), a leader in specialty coffee, coffee makers, teas, and other beverages, launched its tenth annual Sustainability Report on their 2014 green efforts. So the report focuses on Keurig’s efforts to strengthen its global corporate citizenship and sustainability leadership. It highlights recent sustainability initiatives, progress against the Company’s 2020 sustainability targets, and a new water stewardship target. The report also underscores accomplishments and opportunities within Keurig’s sustainability practice areas. This includes a particular focus on water stewardship, supply chain resiliency, and sustainable products, especially K-Cup® recyclability.

Keurig Sustainability with Water

“In our fiscal 2014, we looked inward to ensure we are integrating sustainability into everything we do, from our operations to our business planning,” said Brian Kelley, Keurig’s President and CEO. “Building a sustainable organization takes time, vision, and persistence. We’re proud of where we are now, and realistic about the challenges that lie ahead. We’re deeply committed to becoming more sustainable through relentless, incremental improvements that allow us to get a little bit better each and every day.”

Keurig Waste Diversion

Keurig has achieved solid progress against several 2020 targets ranging from increased waste diversion from landfill to employee engagement.

Said Monique Oxender, Keurig’s Chief Sustainability Officer,

“This year, we focused on identifying the opportunities and building the processes and partnerships necessary to deliver on our 2020 sustainability targets — steps that will also be integral to delivering on our core business objectives. We couldn’t do it without the engagement of employees across the organization, who enable us to continue to translate our company values into action.”

Highlights from this year’s sustainability report include the following:

SUSTAINABLE PRODUCTS: K-CUP PACK RECYCLABILITY

A top sustainability priority for Keurig is ensuring that 100% of K-Cup® packs are recyclable by 2020. Keurig is taking a holistic approach to finding a solution to this challenge. The focus is on product design, recycling infrastructure, and the end market development for the materials. The Company expects to make significant progress well before 2020. They are currently testing key design concepts for a K-Cup® pack that can be easily separated and readily recycled.

Keurig is collaborating with the recycling community and its partners. This is to ensure that K-Cup® packs aren’t just recyclable in theory, but can also be effectively recycled in the majority of communities. This includes supporting efforts to expand the recycling infrastructure. The aim is so more materials can be conveniently recycled in more locations. In 2014, Keurig committed to investing $5 million over five years in recycling solutions via the Closed Loop Fund. This is a coalition of companies that are providing essential investments required to meet some of the larger challenges to recycling access in the United States.

WATER STEWARDSHIP

Access to and availability of water is critical throughout Keurig’s value chain. It is intertwined with other global challenges such as climate change and the need to feed a growing population. Within this complexity, Keurig is addressing water stewardship opportunities with a new 2020 target. They are engaging their network of partners and consumers to expand the impact of their efforts.

Keurig Water Stewardship

The Company’s new 2020 water stewardship target is to balance, ounce for ounce, the water used in all of Keurig’s beverages. For every cup consumers brew, Keurig’s target is to restore the same amount of water for natural and community uses.

Keurig is developing quantifiable projects, with an emphasis on those that build or promote natural water management infrastructure. These projects will provide source water protection. They will also restore river and streambank zones and urban waters.
Keurig’s approach to water stewardship aims to be both responsive and restorative. Keurig intends to optimize resources through efficient use of water in their own operations. They aim to balance the water used in all their beverages through projects that restore an equal volume of water and connect people to clean water sources.

Keurig Water Sustainability Partner Network

The company achieved a significant milestone in 2014. They convened more than 130 leaders from the companies within the Keurig partner network. Leaders from the public and NGO sectors were also present. This was at its first annual water summit, CURRENT: Collaborating for a Water-Secure World. This summit sought to identify opportunities to overcome barriers and collaborate on solutions for key water challenges at home and across the globe. Keurig will reconvene this invited group at the second annual CURRENT event in Vermont, September 2-3, 2015.

RESILIENT SUPPLY CHAIN

Keurig’s responsible sourcing and supply chain outreach programs equip its suppliers, their employees, and their communities with essential skills and tools to build a strong foundation of resilience that withstands economic fluctuations and environmental changes. This foundation not only improves their business practices but also enhances employees’ livelihoods, empowering them with better opportunities and a more stable future.

Moreover, these initiatives foster a culture of sustainability by ensuring that suppliers adopt environmentally friendly practices, ultimately contributing to the well-being of the planet. By focusing on education and resource accessibility, Keurig commits to cultivating long-term, sustainable relationships that guarantee a consistent supply of high-quality products and ingredients while uplifting the communities involved in the supply chain.

In doing so, Keurig aims to create a positive impact that resonates beyond their immediate business interests, fostering a more equitable and responsible sourcing ecosystem for all stakeholders.

In early 2014, Keurig set corporate targets to help improve livelihoods and provide access to clean water in supply chain communities. Work performed in supply chain communities in 2014 showed significant overlap in the impact driven by these two workstreams. As a result, water security is being folded into a revised supply chain livelihoods target. In fiscal year 2014, more than 383,000 people were positively impacted through Keurig-funded partner projects in its supply chain.

Keurig Responsible Sourcing Guidelines

Keurig has also committed to source 100% of primary agricultural and manufactured products by 2020. This will be according to its established responsible sourcing guidelines. In fiscal year 2014, Keurig released updated guidelines to suppliers. These reinforce the Company’s efforts to help suppliers meet its high standards for quality, safety, and social and environmental responsibility. Knowing where products originate is the first step towards responsible sourcing. In that fiscal year, 64% of the Company’s coffee was traceable to source.

Full details of Keurig’s 2014 Sustainability Report can be found here. Moreover, this comprehensive report highlights the company’s commitment to environmental stewardship, social responsibility, and economic sustainability. Specifically, it covers various initiatives undertaken by Keurig, including their sustainability efforts to reduce waste, increase energy efficiency, and support sustainable coffee sourcing practices. Consequently, readers will gain insights into the measurable impacts of these initiatives, and they will also learn about the company’s future goals as it strives to create a positive change within the community and the industry overall.

Keurig Green Mountain, Inc.

Submitted by: Keurig Green Mountain, Inc
Posted: Feb 19, 2015 – 12:10 PM EST