Tracking the change: Mondelēz is delivering on bold Snacking Made Right goals
Mondelez International is empowering people to snack mindfully by using its scale to create meaningful, lasting change through its resilient Environmental, Social and Governance (ESG) priorities.
The Chicago-headquartered snack giant recently published its 2022 Snacking Made Right Report, which maps out the progress it has made towards achieving its 2025 goals towards helping to reduce climate change and advancing diversity, equity and inclusion (DE&I) initiatives, among others.
Bold ambitions
The report specifically provides measurable information for its stakeholders on its ESG goals, policies, initiatives and programmes, while seeking to amplify its vision to help create a future where together people and the planet thrive. Last year, the company elevated sustainability as the fourth pillar of its long term growth strategy.
“As we continue confidently into our second decade as a responsible, high-growth, pure-play global snacking company, we are prioritising key areas of Snacking Made Right so we can drive innovative, more sustainable growth the right way for people and the planet,” said Dirk Van de Put, chairman and CEO of Mondelēz International.
“I am proud that at Mondelēz International we are making progress toward achieving our vision at a time of considerable change and challenges. We are demonstrating our clear commitment to leading the future of snacking.”
In the past year, Mondelēz made considerable headway towards its 2025 goals.
Goal | 2022 performance |
Mindful snacking | |
100% revenue from Mindful Portion Snacks (individually wrapped and <200 calories or portion labelling on pack) | 45% |
Maintain 100% palm oil volume Roundtable on Sustainable Palm Oil (RSPO) certified | 100% |
100% wheat volume needed for Europe business biscuits production grown under the Harmony charter by 2022 | 98% |
100% cage free eggs globally by 2025, excluding Russia & Ukraine (Russia to be determined & Ukraine by 2027) | 43% |
100% cocoa volume for chocolate brands sourced through Cocoa Life by 2025 | 80% |
Dairy supply sourced from suppliers with formal animal welfare standards | 73% |
Environment | |
10% end-to-end CO2e emissions reductions by 2025 | In progress |
10% CO2e emissions reductions across our manufacturing operations by 2025 | -25% (vs 2018) |
10% absolute water usage reduction in priority sites by 2025 | -14% (vs 2018) |
15% food waste reduction in internal manufacturing sites by 2025 | -25% (vs 2018) |
50% food waste reduction from distribution by 2025 | -58% (vs 2018) |
100% packaging designed to be recyclable by 2025 | 96% |
5% reduction in virgin plastic by 2025 | -1.5% (vs 2020) |
25% reduction in rigid virgin plastic by 2025 | 7% (vs 2020) |
5% recycled plastic content by 2025 | 1% |
Social |
|
Spend $1 billion with minority and women owned businesses by 2024 | $510m |
Double US Black representation in management percentage by 2024 | 5.5% (vs 2020 base of 3.2%) |
Double representation of women in executive leadership (defined as MLT+1) roles by 2024 | 40% (vs 2018 base of 18%) |
Child Labour Monitoring & Remediation Systems (CLMRS) cover 100% Cocoa Life communities in West Africa by 2025 | 74% |
Severity and Total Accident Rate (TAR): Continued focus to reduce severity 1 safety incidents to zero | 3% |
100% manufacturing sites completed SMETA audit (ethical trading standard) within the past 3 years | 62% |
100% prioritised supplier sites completed SMETA audit in past 3 years | 87% |
The right snack made the right way
People love snacks. In fact, with almost half the US population tucking into a treat three or more times a day, according to Circana.
However, the consumer’s focus has changed and has become more centred on their own health - ramped up since COVID - but also on the health of the planet. People increasingly want to feel good about their snacks - not only that they taste delicious but are good for their minds and bodies and are not doing harm to the planet.
From climate change to population growth, our global food system faces numerous challenges, which is putting pressure on agriculture. These challenges are complex and lasting solutions call for the concerted collaboration of all concerned – from farming communities to governments and companies like Mondelēz.
During 2022, Mondelēz International continued to lead the way in the cocoa sector with its Cocoa Life sustainability programme, which to-date has enlisted over 230,000 participating farmers. The next phase of Cocoa Life - backed by an additional $600m through to 2030, making a total of $1bn in investment since the start of the programme - aims to recruit a further 70,000 farmers by 2030.
Another signature programme is Harmony Wheat, aimed to make a positive long-term impact on the farms and communities in which it operates. The company is using its vast power and reach to give farmers a voice, while promoting widespread change so that sustainability becomes the normal way to do business around the world.
“We are wholeheartedly committed to going further and faster in terms of sustainable growth and impact,” said Christine Montenegro McGrath, senior VP and chief global impact and sustainability officer at Mondelēz.
“Building on our 2025 public goals, we have bold and targeted long-term ambitions which help us focus, accelerate and scale our efforts, and we are also putting a longer-term focus on working toward our 2050 goals of net zero carbon and packaging waste by supporting circular economies.”
