Scope 1 Emissions
2022 Communication on Progress
Anadolu Efes Biracilik ve Malt Sanayii A.S
Published date
June 28, 2022
No. of questions
60
Supplemental files
CEO Statement
Signed
Governance
Policies and Responsibilities
1. Does the Board / highest governance body or most senior executive of the company:
Optional commentWe manage our sustainability efforts with the Global Sustainability Committee led by our CEO. The Global Sustainability Committee undertakes the tasks of drawing the strategy in the field of sustainability, setting goals and policies, monitoring and auditing performance. We have four Sub-Committees affiliated to the Global Sustainability Committee, formed within the framework of the Positive Impact Plan, and working groups depending on the intensity of the issues. Our Sub-Committees, consisting of Environment, Employees, Society and Integrated Risk Management committees, are led by our Group Supply Chain Director, Group Human Resources Director, Group Corporate Communications and Relations Director, and Group Risk Management Director, who are the highest level responsible within our Company in the relevant areas, respectively. Our Sustainability Manager carries out the coordination of all committees and the sustainability activities within the company. We plan to monitor the activities and progress of the working groups by the relevant group function leaders and country leaders, who are also included in the Global Sustainability Committee, through meetings to be held every three months. All developments are reported to the Global Sustainability Committee, which meets twice a year, to our country General Managers and our CEO through group function leaders. The Board of Directors is periodically informed about our actions and performance through the Corporate Governance Committee. Furthermore, every year, Our CEO issues an annual statement regarding the relevance of sustainable development to the company and addresses our company’s impacts on both people and the environment, through our Sustainability Reports. Our CEO’s statement for 2021 will be available in our upcoming 2021 Sustainability Report.2. Does the company have a publicly stated commitment regarding the following sustainability topics?
Optional commentHuman Rights: Respect for human rights is a fundamental value of Anadolu Efes. Our commitments can be found in our Human Rights Policy, publicly available in our website. As part of our Annual Sustainability Report, we are committed to regularly reviewing and reporting to the public our human rights commitments, efforts and statements in accordance with our Human Rights Policy. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20Human%20Rights%20Policy.pdf Labour Rights / Decent Work: As Anadolu Efes, we are committed to providing a fair, equal work environment that respects human rights. Towards this end, we committed to increase the representations of women in our organization from 30% to 51% and to become certified in gender equality in all our operations by 2030. Environment: As a manufacturer that supplies its raw materials from nature, environmental sustainability plays a key role in the continuity of our activities. Towards this end, we committed become net zero in all our operations and to a certified zero-waste beer producer in all our operations by 2030. In this context, as in our malt and beer production facilities in Turkey, we are working to produce zero waste across all our operations, to develop innovative solutions against plastic pollution, and to neutralize our carbon emissions. https://www.anadoluefes.com/sayfa/1/756/2030-surdurulebilirlik-hedefleri Anti-corruption: Anadolu Efes has a zero-tolerance policy towards bribery and corruption. This attitude extends to all businesses and transactions in all countries in which it operates. Our commitment can be found in our Code as well as the Code of Conduct for Suppliers, publicly available in our website. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofBusiness%20Conduct%20and%20Ethics.pdf https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofConduct%20for%20Suppliers.pdf3. Does the company have in place a code of conduct regarding each of the following sustainability topics?
Optional commentAnadolu Efes complies with all applicable laws and legal regulations in the countries where it operates. In addition, company policies, strategies, and business processes are devised carefully in accordance with internationally accepted norms and the company ensures that its employees comply with the same. Having embraced the corporate governance notion and core values of the Anadolu Group, of which it is a member, Anadolu Efes has developed structures and principles that will optimally serve the interests of its shareholders and all of its stakeholders and has produced a detailed “Code of Business Conduct and Ethics” (“the Code”). The set of rules captured in this document, which is also made public on the corporate website, is based on the Corporate Governance Principles introduced for publicly-held jointstock companies by the Capital Markets Board of Turkey (CMB), other applicable CMB legislation, and the ethical values and corporate culture of Anadolu Efes. This Code of Business Conduct and Ethics (the “Code”) is applicable for all Company operations and binding for all Anadolu Efes employees including Board members. In addition, distributors, suppliers, and other business partners are all expected to comply with the Code. Our Code includes principles regarding Human Rights, Discrimination and Harassment; Environmental Responsibility Insider Trading; Conflicts of Interest; Anti-bribery and Anti-Corruption and so on. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofBusiness%20Conduct%20and%20Ethics.pdf Anadolu Efes Code of Conduct for Suppliers applies to all suppliers of Anadolu Efes who produce materials or provide services for Anadolu Efes. All Anadolu Efes suppliers are required to adhere to the principles and standards set in the Supplier Code and comply with national laws and regulations. The principles include but not limited to human rights principles such as discrimination and harassment, child labor, forced and compulsory labour, working hours and wages, Health and Safety Principles, Environmental Standards and Business Integrity Principles such as ethical and compliant business conduct, conflicts of interests, anti-bribery and corruption, and confidentiality. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofConduct%20for%20Suppliers.pdf4. Has the company appointed an individual or group responsible for each of the following sustainability topics?
5. Does the company have a formal structure(s) (such as a cross-functional committee) to address each of the following sustainability topics?
Optional commentHuman Rights: CEO of Anadolu Efes is primarily responsible for the implementation of the Human Rights Policy, as well as General Managers of the companies that Anadolu Efes operates. Anadolu Efes Human Rights Policy is overseen by the Executive Board of Anadolu Efes. Group Ethics Committee is established for the purpose of (i) promoting a strong “culture of ethics” across the Company by means of the Code; (ii) ensuring that the allegations of the violation of the Code are appropriately investigated; (iii) taking corrective measures when violation is determined to have taken place; and (iv) determining the required disciplinary measures. Group Ethics Committee is composed of four (4) members, being Group Legal Affairs Director, Group Finance Director, Group Human Resources Director and Group Internal Audit Director. Group Legal Affairs Director serves as “Group Ethics Officer”. Each country organization is responsible for the establishment of Local Ethics Committee to achieve the same purpose with Group Ethics Committee in the particular country. Labour Rights / Decent Work: We manage all issues concerning our employees in an inclusive way, under the headings of equality, diversity and inclusion, talent development and employee health, safety and well-being. Human resources management, where strategies are centrally determined and policies are determined locally, is carried out by our Group Human Resources Directorate. Our Human Resources Units, which are affiliated to the Directorate, are responsible for the execution of the relevant processes in the country operations. We offer a safe and decent working environment to our employees with our Occupational Health and Safety Policy, our leaders affiliated to the Country General Managers and the Group Supply Chain Directorate, and our administrative and health personnel affiliated to the Group Human Resources Directorate. Environment: Within the scope of our Sustainability Governance, all our employees are responsible for the implementation of the action plans determined for each country operation, and the Country Environment Committees are responsible for the realization of the targets. Guided by our Positive Impact Plan, we carry out our sustainability efforts in all countries where we operate under the Environment Committee led by our Group Supply Chain Director. The Environment Committee, on the other hand, carries out its activities under the Global Sustainability Committee led by our CEO. Anti-Corruption: Anadolu Efes has a zero-tolerance policy towards bribery and corruption. This attitude extends to all businesses and transactions in all countries in which it operates. Our Audit Committee is responsible for monitoring whether a system regarding compliance to the Company’s code of business conduct and ethical rules is established by the management. Additionally, the Audit Committee reviews whether the management monitors the Company’s compliance to code of business conduct and code of ethics, makes fraud risk assessments, and gives code of business conduct and fraud and code of ethics training to Company employees.Prevention
6. Does the company have a process or processes to assess risk?
Optional commentThe Board of Directors establishes risk management, internal control, and internal audit systems to minimize negative risks that may affect all stakeholders, primarily shareholders. The Committee for Early Detection of Risks is established within the Company for early detection of risks that might endanger the existence, development, and perpetuation of the Company and to implement measures required against the risks determined as well as the management of risks. Identification of the existing and potential risks for the Company, development of practices for obtaining competitive advantage and sustainability by taking appropriate actions against the identified risks in the framework of our Company’s risk appetite, and monitoring of such practices constitute the basic starting point of the risk management system. Existing or potential risks for our Company are defined below: - Financial risk; liquidity risk, receivables risk, equity/ debt ratio, exchange rate risk, and other factors that can affect the Company’s financial status. - Strategic Risk; risk factors that may affect the company and brand value, or risks regarding mergers and acquisitions that may affect the sustainable growth of the Company. - Operational risk; risks that may affect every part of the business from the suppliers to the customers, and so the processes including business continuity, compliance, reputation, occupational health, and safety. - Environmental risk; risk factors such as fire, earthquake, etc. that can affect the Company’s business continuity and safety. - Sustainability Risks: Risk factors that can affect sustainability such as climate change and water scarcity.7. Does the company have a due diligence process through which it identifies, prevents, mitigates, and accounts for actual and potential negative impacts on sustainability topics?
Concerns and grievance mechanisms
8. Are there any processes through which members of the company’s workforce can raise concerns about the company’s conduct related to human rights, labour rights, environment, or anti-corruption?
Optional commentOur employees can report all kinds of ethical violations to the Local Ethics Officer or Group Ethics Officer via telephone or e-mail. Alternatively, anonymous notifications are made through the communication channels operated by an independent third party via telephone, e-mail or internet. Violations can be reported by means of calling the telephone line defined for each country of operation, completing the notification form available at www.efesethicsline.com or otherwise sending an e-mail to efes@ efesethicsline.com. Any necessary measures are taken by the Company for the prevention of any probable retaliation against the persons who report a violation incident and the investigations are conducted in strict confidence. https://www.anadoluefes.com/Upload/Docs/AEFES%202021%20Annual%20Report.pdf8.1. Please provide additional detail regarding the process(es) the company has through which members of the company’s workforce can raise concerns about the company’s conduct.
9. Does the company provide or enable access to effective remedy to right holders / stakeholders where it has caused or contributed to the adverse impact?
Lessons
10. How does the company capture lessons regarding each of the following sustainability topics?
Executive Pay
11. Is executive pay linked to performance on one or more of the following sustainability topics?
Board Composition
12. Percentage of individuals within the company’s Board / highest governance body by:
Optional commentAs of 31 December 2021, there is one woman Board member in our Board of Directors. It is recommended by the Corporate Governance Committee to the Board of Directors to increase women members in the Board in the coming years and our efforts continue in this regard.13. Do you produce sustainability reporting according to:
Optional commentWe have been publishing our sustainability approach and performance through the sustainability reports complying with the GRI Standards on a yearly basis since 2010. We are now incorporating a new initiative into the sustainability initiatives that we complied with in our sustainability report for 2021. We aim at drawing up a report in which we respond to the WEF Stakeholder Capitalism Metrics pioneered by the International Business Council in the World Economic Forum of 2020. Furthermore, we have been disclosing our climate performance within the scope of our operations in Turkey through the Climate Program of the Carbon Disclosure Project (CDP) since 2018. Listed in the Sustainability Index of BIST since 2015, the company aims to fully comply with the “Framework for Compliance with the Sustainability Principles” in accordance with the revision made by the Capital Market Board (CMB) on the Communique of Corporate Governance on 02.10.2020. Within this scope, the summary and performance of the initiatives taken in the areas of environment, society and governance in 2021 are provided in the 2021 Annual Report, page 125-135.Data Assurance
14. Is the information disclosed in this questionnaire assured by a third-party?
Human Rights
Materiality / Saliency
1. Which of the following has the company identified as material human rights issues connected with its operations and/or value chain, whether based on their salience (i.e., the most severe potential negative impacts on people) or another basis?
Optional commentAnadolu Efes Group Human Rights Policy is publicly available in our website. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20Human%20Rights%20Policy.pdfResponse
8. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the human rights principles, including any challenges faced and actions taken towards prevention and/or remediation.
Respect for human rights is a fundamental value of Anadolu Efes. We conduct our operations which have extended to a wide geography with such an approach that respects human rights, pays regard to equal opportunities, esteems differences, is inclusive and focuses on development. As a signatory of the United Nations Global Compact and Women’s Empowerment Principles (WEPs), we guarantee to provide a working environment that is fair, equitable and respects human rights. Our Human Resources Policy and Human Rights Policy that have been established on the basis of this approach and predicates upon justice, equality and integrity guides us. In addition, Anadolu Efes supports the OECD Guiding Principles for Multinational Enterprises and the ILO's Trilateral Declaration of Principles on Multinational Companies and Social Policy. Our Human Rights Policy applies to the businesses we own and the facilities we manage. Anadolu Efes also expects its suppliers and business partners to implement these principles and encourages them to adopt similar policies in their own business. Furthermore, Anadolu Efes Code of Conduct for Suppliers applies to all suppliers of Anadolu Efes who produce materials or provide services for Anadolu Efes. All Anadolu Efes suppliers are required to adhere to the principles and standards set in the Supplier Code and comply with national laws and regulations. The principles include but not limited to human rights principles such as discrimination and harassment, child labor, forced and compulsory labour, working hours and wages, Health and Safety Principles, Environmental Standards and Business Integrity Principles such as ethical and compliant business conduct, conflicts of interests, anti-bribery and corruption, and confidentiality. For further details please see Anadolu Efes Code of Conduct for Suppliers in our website: https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofConduct%20for%20Suppliers.pdf We strive to operate in accordance with the United Nations Universal Declaration of Human Rights in our relations with our employees, suppliers, business partners and the society we are in, and to encourage them to be sensitive in this regard. Our Human Rights Policy is guided by international human rights principles, including the International Bill of Rights, the International Labor Organization’s 1998 Declaratıon on Fundamental Principles and Rights at Work, the United Nations Global Compact and the UN Guiding Principles on Business and Human Rights. Furthermore, the Policy reporting refers to the UN Guidelines Reporting Framework. In our Human Rights Policy includes our commitments regarding human rights issues: - We do not tolerate discrimination. - We value the differences of the people we work with and try to make them feel included. - We prohibit to employ child as a labor. - We prohibit all forms of forced labor, including prison labor, debt servicing, modern forms of slavery, and any kinds of all human trafficking. - We are committed to providing a workplace free of violence, harassment and intimidation. - We recognize that we are a part of the community where we operate. While doing our job, we establish a relationship with all our stakeholders, including vulnerable and disadvantaged groups, where their views are heard and taken into account on human rights issues that matter to them. We believe that local problems can be optimally resolved at the local level. - We respect the right of our employees to join, form or not join a trade union without fear - of retaliation or threat. - The safety and health of our employees is of paramount importance. We work to provide and maintain a healthy and productive workplace environment. - We establish our wage policy and benefits competitively according to the industry, local labor market and in accordance with the terms of applicable collective bargaining agreements. We conduct our operations in compliance with applicable laws on wages and working hours. We provide opportunities for our employees to develop their talents and potential and make progress. - We are aware of the possible effects of our land and water use on human rights within our value chain and we address this issue with special practices. In line with our Environmental Policy, we respect the human need for water resources and safe drinking water and the protection of both ecosystems and communities with proper sanitation. We take due care to identify and prevent human rights risks to those in our business and those around us as part of business risks. In the event that we identify adverse human rights impacts resulting from our business activities, we are committed to providing or cooperating for improvement in a fair and reasonable manner. If we are connected to or are involved in these negative effects due to our relationships with third parties, we try to improve this situation. Anadolu Efes undertakes to contact government officials when it sees that human rights are at risk in countries where it operates, and aims to work with specific independent local stakeholders to eliminate violations of rights.Labour
Commitment
1. Does the company have a policy commitment in relation to the following labour rights principles?
Optional commentAnadolu Efes Group Human Rights Policy includes Freedom of association and the effective recognition of the right to collective bargaining, forced labour, child labour, and working conditions (wages, working hours) topics. The policy is publicly available in our website. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20Human%20Rights%20Policy.pdf - Anadolu Efes Health and Safety Policy is a publicly available stand-alone policy in our website. https://www.anadoluefes.com/Upload/Docs/Group%20Health%20and%20Safety%20Policy.pdf - Anadolu Efes Equity, Diversity and Inclusion Policy is a publicly available stand-alone policy including Non-discrimination in respect to employment and occupation topic. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20Equity,Diversity%20andInclusionPolicy.pdf Anadolu Efes Code of Conduct for Suppliers is publicly available in our website. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofConduct%20for%20Suppliers.pdf1.1. For each labour rights policy, is it:
Optional commentAnadolu Efes Code of Conduct for Suppliers applies to all suppliers of Anadolu Efes who produce materials or provide services for Anadolu Efes. All Anadolu Efes suppliers are required to adhere to the principles and standards set in the Supplier Code and comply with national laws and regulations. The principles include but not limited to human rights principles such as discrimination and harassment, child labor, forced and compulsory labour, working hours and wages, Health and Safety Principles. For further details please see Anadolu Efes Code of Conduct for Suppliers in our website: https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofConduct%20for%20Suppliers.pdf Furthermore, Anadolu Efes Health and Safety Policy applies to all plants operating by Anadolu Efes and all our suppliers and business partners are obliged to comply with this policy. https://www.anadoluefes.com/Upload/Docs/Group%20Health%20and%20Safety%20Policy.pdfPrevention
2. In the course of the reporting period, has the company engaged with affected stakeholders or their legitimate representatives in relation to the following labour rights issues?
3. What type of action has the company taken in the reporting period with the aim of preventing/mitigating the risks/impacts associated with this labour rights issue?
Optional commentNon-discrimination: As a signatory of the United Nations Principles for Women Empowerment since 2015, we believe that equal opportunities, diversity and inclusion makes us stronger. In 2021, we carried out various awareness activities to contribute to gender equality efforts at the Days of Activism against Gender-Based Violence, announced under the leadership of the United Nations. As part of the Activism Days, the company's gender equality manifesto was published. We are getting stronger through equal opportunity with our manifesto titled “+1 to Equality”. Inspired by the unifying power of Anatolia, our journey in business life for 52 years continues in pursuit of the harmony of diversity.That's why equal opportunity, diversity and inclusion are not just words for us, they are key elements of our company culture. We know that every +1 step taken says more than words. We are determined to take those steps to strengthen gender equality not only in our organization but also in the communities we serve. During the 16-day Activism Days, we collaborated with the Yanındayız Association, which carries out activities to raise awareness about gender equality and gender-based discrimination. Anadolu Efes employees and business partners were trained on gender equality awareness. Within the scope of the training, gender equality was discussed through fundamental concepts, gender roles and language use. Occupational safety and health: At Anadolu Efes, we aim to increase the level of knowledge of our employees by increasing their competencies in occupational health and safety, as well as our stakeholders. we have completed the first phase of the two-stage Health and Safety Organizational Culture and Leadership Development project we have planned in this area, which includes the establishment of the Organizational Culture Diagnostic Tool (OCDI), the measurement of organizational culture at regular intervals, Cold Eyes reviews, gap analyzes and location-based reporting. We aim to complete the second phase of our project by 2023. Thus, we plan to use the Leadership Development Tool (LDI) to measure leadership and organize workshops on security, leadership, strategy and vision. With the completion of the project, we aim to improve the reporting processes with the right follow-up mechanism by ensuring the development of Health and Safety Organizational Culture and Leadership for all Turkey Factories and Related Headquarters Teams. We work to create safe working conditions by providing safe driving training to our sales teams, who are actively on the move by nature. In our project, the first phase of which we realized in 2021, we installed tracking devices on duty vehicles, so that our employees can see the details of their vehicle usage with the application they download to their phones and ensure that they are reported regularly. In 2022, we plan to organize trainings on the mistakes of our employees, especially those with low safe driving scores, based on all the data we have collected. We aim to encourage all our employees to drive safely by establishing a reward system for our employees and sales teams with high safe driving scores, who take into account certain driving parameters such as exceeding the speed limit, sudden acceleration, sudden braking or turns.4. Who receives training for the following labour rights issues?
Optional commentIn 2021, we held 7 different sessions the Gender Equality training, including 2 sessions for our dealers and all employees, 3 sessions for our employees at factory locations, and 2 sessions for our long-term interns. We reached approximately 1000 people. In 2021, all our employees received 23,148 hours of OHS training with 2.71 hours per employee. Please refer to our 2021 Annual Report for further explanations: https://www.anadoluefes.com/Upload/Docs/AEFES%202021%20Faaliyet%20Raporu.pdf5. How does the company assess progress in preventing/mitigating the risks/impacts associated with the following labour rights issues?
Performance
6. What is the percentage of employees covered under collective bargaining agreements?
Optional commentRelations with Blue Collar personnel in our company are regulated according to the Collective Bargaining Agreement, and a total of 6 Chief Representatives and 7 Union Representatives operate in our 3 Beer and 2 Malt Factories in Turkey, which are within the scope of the agreement. The aforementioned Representatives are responsible for conveying the requests, complaints, and problems of our Blue-Collar employees to the Senior Management within the limits set by the Collective Bargaining Agreement and the Laws, following the results, representing the employees in practices such as the Occupational Safety Board and observing their legal rights. Please refer to our 2021 Annual Report for further explanations: https://www.anadoluefes.com/Upload/Docs/AEFES%202021%20Annual%20Report.pdf7. What is the percentage of employees in a trade union or other workers' organization?
8. In the course of the reporting period, what was the percentage of women in:
9. What was the average ratio of the basic salary and remuneration of women to men (comparing jobs of equal value) during the reporting period?
Optional commentWe continue to develop awareness activities and the opportunities we offer to our female employees so that gender equality is embraced by all our employees and stakeholders. In the light of our Equality, Diversity and Inclusion Policy, we provide equality of opportunity to all our employees in all human resources practices, starting from the recruitment of our employees, including education, wages, careers and financial opportunities. As a signatory of the United Nations Global Compact and Women's Empowerment Principles (WEPs), we are committed to providing a fair, equitable and respectful working environment for human rights. In addition to holding the Equal Opportunity Model Certificate, developed under the leadership of KAGIDER with the technical support of the World Bank, we became the first company in Turkey to receive the Equal Women at Work Certificate awarded by the Sustainability Academy in cooperation with Intertek. For our operations excluding Russia and Ukraine, independent assurance service was obtained for the Gender Pay Gap Ratio by Compensation Policy in 2021.10. In the course of the reporting period, how frequently were workers injured (injuries per hour worked)?
Optional commentInjury frequency is calculation methodology is as follows; Total Number of Injuries x 200,000 / Total Working Hours Please refer to our 2021 Annual Report for further explanations: https://www.anadoluefes.com/Upload/Docs/AEFES%202021%20Annual%20Report.pdf11. In the course of the reporting period, what was the company’s incident rate?
Optional commentThis ratio only includes operations in Turkey.Response and Reporting
12. In the course of the reporting period, has the company been involved in providing or enabling remedy where it has caused or contributed to the adverse impact associated with the following labour rights issues?
13. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the labour rights principles, including any challenges faced and actions taken towards prevention and/or remediation.
At Anadolu Efes, equal opportunity is provided to all our employees in all human resources practices, starting with the recruitment of our employees, including training, wages, careers, and financial opportunities. Respecting and protecting the rights of our employees under laws and regulations has been determined as one of the most important duties and priorities of the Company. Within the scope of our Human Resources structure for both our Blue Collar and White Collar Employees, there is a Business Partner organization located in our company headquarters and a total of 9 regional Human Resources Managers affiliated to this organization. The Business Partner and regional Human Resources Managers mentioned above are responsible for evaluating the requests, complaints, and problems communicated to them by the employees, and following the results of the process related to the requests, complaints, and problems received in coordination with the Senior Management, in accordance with their job descriptions. Company employees can access information, documents, regulations, and policies related to their jobs through the corporate portal. Individual performance and potential evaluations are carried out through the online system and evaluation, success, and rewarding criteria and expectations are presented to the agreement and information of the employees since the beginning of the year. All human resources systems used are regularly reviewed and redesigned. “Occupational Health and Safety Worker Representative” is selected for white-collar employees in order to represent employees on occupational health and safety issues. While providing a safe working environment and conditions for employees, General Occupational Health and Safety training, which requires the participation of all our employees, is organized by our company at regular intervals. Relations with Blue Collar personnel in our company are regulated according to the Collective Bargaining Agreement, and a total of 6 Chief Representatives and 7 Union Representatives operate in our 3 Beer and 2 Malt Factories in Turkey, which are within the scope of the agreement. The aforementioned Representatives are responsible for conveying the requests, complaints, and problems of our Blue Collar employees to the Senior Management within the limits set by the Collective Bargaining Agreement and the Laws, following the results, representing the employees in practices such as the Occupational Safety Board and observing their legal rights. There is also a “Workplace Union Representative” for blue-collar employees, as stated in our Collective Bargaining Agreement. The duties and responsibilities of the representatives can be listed as follows; Workplace union representatives fulfill the following duties assigned to them in order to ensure work peace, to maintain and observe the balance between the employer and the employer: a) To protect the cooperation and work peace between the employee and the employer in the workplace, b) Examining the demands and complaints made by the workers, convincing the worker in unreasonable demands and complaints, reflecting the demands and complaints that he/she finds reasonable to the employer at his/her own discretion. (The representative cannot be punished due to the discretion used in these complaints.) c) To try to resolve the disputes that may arise between the worker and the employer in a friendly way, d) To find solutions to problems that may arise in the implementation of the provisions of the collective bargaining agreement and, if necessary, to bring the issue to the employer after consulting the workers, e) To try to prevent illegal attempts and behaviors within its own authority, not to take part in such attempts and behaviors, f) To regulate the relations of unionized workers with the union, g) To work for the smooth execution of the Collective Bargaining Agreement, h) To convey in writing the issues that cannot be resolved in the workplace to the union branch to which it is affiliated, i) To fulfill other obligations given to it by the legislation. Please refer to our 2021 Annual Report for further explanations: https://www.anadoluefes.com/Upload/Docs/AEFES%202021%20Annual%20Report.pdfEnvironment
Commitment
1. Does the company have a formal policy on the following environmental topics?
Optional commentAnadolu Efes places environmental sustainability at the core of its business. Anadolu Efes source raw materials from nature; therefore, we foster environmental sustainability for the success of our business as well as for society. Making the right choices is vital where water is increasingly scarce, climate change is inevitable, natural sources are constrained and biodiversity is under threat. Anadolu Efes believes that, as a responsible member of the community, the company has an obligation to manage the environmental impacts of our activities while pursuing our business aims. Anadolu Efes management is committed to maintaining an environment that meets the needs of current and future generations. https://www.anadoluefes.com/Upload/Docs/GSC_TD_PL006.00_Environmental_Policy.pdf1.1. For each environmental policy, is it:
Optional commentAnadolu Efes establishes environmental systems; ensures system reliability with internationally recognized certifications such as ISO 14001 or similar. Anadolu Efes Group Environmental Policy is publicly available in our website. The Policy is approved by our CEO and applies to all plants operated by Anadolu Efes, including subsidiaries. All our suppliers and business partners are obliged to comply with the Policy.Prevention
2. In the course of the reporting period, has the company engaged with affected stakeholders or their legitimate representatives in relation to the following environmental issues?
Optional commentAs Anadolu Efes, we work to reduce our environmental impact and carbon footprint in the life cycle from raw material production to the disposal of our waste. We made a substantial strategic decision by setting an ambition to reach net zero in our operations by 2030. Additionally, we are working to understand our environmental impacts and opportunities beyond our facilities. We started our carbon footprint calculation and mapping study in 2021, which involves all of our Scope 1, Scope 2 and Scope 3 emissions in all our operations. The next phase of the study will be the calculation and mapping of Scope 3 GHG emissions. Within the scope of our study, we are working with our suppliers and started to survey them regarding their GHG inventory to understand and decrease our collective environmental impact.3. What type of action has the company taken in the reporting period with the aim of preventing/mitigating the risks/impacts associated with these environmental topics?
Optional commentAs a manufacturer that supplies its raw materials from nature, environmental sustainability plays a key role in the continuity of our activities. We analyze the opportunities and risks caused by environmental trends particularly the climate crisis for Anadolu Efes and implement practices on issues such as energy and water efficiency, circular economy etc. As Anadolu Efes, we are working with an aim to zero our impact on the environment by 2030. Within this scope, we strive to become a registered zero waste organization in all our operations just like in our malt and beer production facilities in Turkey, generate innovative solutions for plastic pollution and zero the carbon emissions resulting from our operations. In 2021, we provided 10,635 employees/hour of environmental training to our employees in Turkey. Our environmental training includes climate action, water & oceans, biodiversity, land use, air pollution and waste management. We implemented 52 projects in 2021 within the scope of our minimization, transition and facilitation investments in the field of struggle with the climate crisis. We achieved 15,202 MWh electricity saving corresponding to annual electricity consumption of about 4 thousand and 17 million TRL cost saving, resulting from our efficiency and improvement initiatives. Collaborating with Ecording, an initiative that develops environmental technologies to support afforestation efforts, we shot millions of seed balls through the sales of our main brand's green bottled product. After the forest fires in August, we added an additional 1 million to our promise of 2 million seed balls thrown as part of our Nature is Special project. We brought a total of 3 million seed balls to the soil in steep lands untouched by human hands. We launched 17 projects in total for the sake of maximizing our water efficiency. Upon the development of such practices as reverse osmosis and optimization of the existing lines, we achieved 488,909 m3 water saving and 12.9 million TRL financing saving. As a member of the Business Plastics Initiative, we develop more environmentally friendly solutions instead of using plastic in our multi-packaging and service presentation materials, together with universities, suppliers and the entrepreneurial ecosystem. We aim at further reducing the use of plastics in our ecosystem which is already at a low level. One of the products we developed within the scope of our initiatives for reducing the consumption of plastics is biodegradable festival cups. Unlike plastic cups, biodegradable cups dissolve completely naturally in less than two years and leave no waste behind. For our service and presentation materials, we collaborate with one of the members of our entrepreneurial ecosystem, Biolive, which produces completely natural bioplastic granules made from olive waste. Within the scope of these practices, we have started to use the service and presentation materials, 20% of which consist of olive seeds. We implemented the Smart Agriculture project as a pilot scheme in collaboration with WWF Turkey between the years of 2018-2021. We keep implementing our project in which we target not only to raise the awareness of and train our farmers in terms of sustainable agriculture but also minimize the environmental impact arising from agricultural production. Introducing smart agriculture technologies and sustainable agriculture practices to our farmers in the production of our raw materials, the program makes life easier for farmers and contributes to the minimization of any impacts on the ecological balance. Besides effectively using their agricultural inputs, the farmers enhance their business capacities and efficiencies thanks to technology. Please refer to our 2021 Annual Report for further explanations:4. How does the company assess progress in preventing/mitigating the risks/impacts associated with the following environmental topics?
Optional commentAs Anadolu Efefs, we focus on our entire value chain to effectively combat the climate crisis, which poses a risk for the continuity of our production and operations. We strive to minimize our environmental impact on the lifecycle of our products from raw material production to waste disposal as well as our carbon footprint. By accelerating our initiatives within the scope of climate risks, we map our existing risks and try to identify transitional or physical climate risks in the medium- and long term. We endeavor to reveal the risks associated with our company and industry under 2 main topics which are namely transitional and physical risks. Updating our risk inventory with the perspective of climate risk and expanding our climate reporting in accordance with the TCFD framework are also among our plans for the upcoming period Through our Sustainability Governance Project, we organized workshops within the scope of 4 Subcommittees of our Global Sustainability Committee, including working groups. Through the workshops, we aimed to see the latest developments in the sector around our focus areas and to increase information sharing and cooperation among the countries in which we operate. As a result of these workshops, sustainability action plans were prepared on country basis to reduce GHG emissions, water use and waste generation. In 2021, we started our carbon footprint calculation and mapping work, which includes all of our Scope 1,2 and 3 emissions in all our operations. In this way, we have demonstrated a holistic understanding of our entire environmental impact on the basis of emissions. As the first step of the project, we recalculated our Scope 1 and 2 emissions in 2020, which we defined as the base year within the scope of our 2030 target, with our expanded scope and updated methodology. In this way, we have done due diligence for our carbon footprint in 2020, our base year, and clarified our starting point. At the same time, as a result of our methodological and strict follow-up carbon footprint mapping study, we calculated our 2021 Scope 1 and 2 emissions and determined our environmental impact on the basis of emissions within the reporting period. In the next phase of the project, we will complete the Scope 3 emission calculations with an expanded framework and evaluate our carbon footprint. we're going to map it along our chain. We will measure our progress over the years based on this study.4.1. For each environmental topic in which the company sets timebound goals / targets, what kind of targets has the company set?
Optional commentAs Anadolu Efes, we are working with an aim to zero our impact on the environment by 2030. Within this scope, we strive to become a registered zero waste organization in all our operations just like in our malt and beer production facilities in Turkey, generate innovative solutions for plastic pollution and zero the carbon emissions resulting from our operations.4.2. For each environmental topic in which the company sets timebound goals / targets, how is progress against target / goal tracked?
5. In the course of the reporting period, has the company been involved in providing or enabling remedy for any actual impacts associated with the following environmental issue(s)?
Optional commentWe focus on our entire value chain to effectively combat the climate crisis, which poses a risk for the continuity of our production and operations. We strive to minimize our environmental impact on the lifecycle of our products from raw material production to waste disposal as well as our carbon footprint. We are planning to become a brewer with net zero emission in all our global operations in 2030 by leveraging many tools such as energy efficiency, renewable electricity supply. We implemented 52 projects in 2021 within the scope of our minimization, transition and facilitation investments in the field of struggle with the climate crisis. We achieved 15,202 MWh electricity saving. We shifted to the use of renewable energy in our three factories located in Saransk, Volzhsky and Ivanovo in 2021 within the scope of our AB InBev Efes operations. In this way, the share of green energy in total energy consumption in Russia reached 40%. Besides the supply of renewable energy, we are also evaluating the opportunities for renewable energy installation in our operation sites. We launched 17 projects in total for the sake of maximizing our water efficiency. Upon the development of such practices as reverse osmosis and optimization of the existing lines, we achieved 488,909 m3 water saving and 12.9 million TRL financing saving. Collaborating with Ecording, an initiative that develops environmental technologies to support afforestation efforts, we shot millions of seed balls through the sales of our main brand's green bottled product. After the forest fires in Turkey in August, we added an additional 1 million to our promise of 2 million seed balls thrown as part of our Nature is Special project. We brought a total of 3 million seed balls to the soil in steep lands untouched by human hands. We have made one of our brands completely plastic-free as part of our efforts to reduce the use of plastic. The plastic crates belonging to the brand are evaluated through upcycling and wastes are prevented from mixing with nature. With the scope of this study, the plastic crates that do not have a function any longer are brought in the daily life and converted into a coffee table, pouf, key chains etc. through upcycling.Climate Action
6. What were the company’s gross global greenhouse gas emissions for the reporting period?
Scope 2 Emissions
Scope 3 Emissions
Optional commentWe continue to develop awareness activities and the opportunities we offer to our female employees so that gender equality is embraced by all our employees and stakeholders. In the light of our Equality, Diversity and Inclusion Policy, we provide equality of opportunity to all our employees in all human resources practices, starting from the recruitment of our employees, including education, wages, careers and financial opportunities. As a signatory of the United Nations Global Compact and Women's Empowerment Principles (WEPs), we are committed to providing a fair, equitable and respectful working environment for human rights. In addition to holding the Equal Opportunity Model Certificate, developed under the leadership of KAGIDER with the technical support of the World Bank, we became the first company in Turkey to receive the Equal Women at Work Certificate awarded by the Sustainability Academy in cooperation with Intertek.7. What percentage of the company's revenue was invested in R&D of low-carbon products/services during this reporting period?
8. Has the organization acted to support climate change adaptation and resilience?
Energy / Resource Use
9. Please report the company's renewable energy consumption as a percentage of total energy consumption in the reporting period.
Technology
10. What percent of the company's revenue came from environmentally friendly products / services during this reporting period?
Sector-specific Questions
11. Which sector(s) does the company operate in? If diversified, choose top 3 by revenue.
Sector-specific: Water
12. Please provide details regarding the company's water withdrawal and consumption (own operations) during the reporting period.
Water withdrawal (volume of water in megaliters):
Water consumption (volume of water in megaliters):
13. Please provide details about the company’s water intensity of products in regions with high or extremely high water stress.
Sector-specific: Forest, biodiversity, and land use
14. Please report the number and area (in hectares) of sites owned, leased, or managed by the company in or adjacent to protected areas and/or key biodiversity areas (KBA).
15. What area (in hectares) of natural ecosystems was converted during the reporting period in areas owned, leased, or managed by the company?
16. Is the company supporting or implementing project(s) focused on ecosystem restoration and protection?
Optional commentAnadolu Efes continues its projects that create value for society and the environment in line with its goal of securing a sustainable world for future generations. In 2022, we plan to launch a project in cooperation of Marine Life Conservation Society. The project will be focused on the contribution to biodiversity by protecting the coral species in the Sea of Marmara. As part of the project, corals that have been cut off from their natural environment will be transported and grafted off the shore of Tavşan Island, which has been designated an environmentally sensitive area that needs protection. And new coral gardens will be created.Overall Environment
21. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the environment principles, including any challenges faced and actions taken towards prevention and/or remediation.
Anadolu Efes combines sustainability efforts under the “Positive Impact Plan” and defines its sustainability targets 3 main pillars: “Targeting zero for the environment”, ‘Increasing our support for social impact’ and “Getting stronger through diversity & inclusion’. AEFES aims to become net zero in all its operation by 2030, become a certified zero-waste beer producer in all our operations by 2030 and continue to reduce plastic usage. As Anadolu Efes with production activities in six countries and a volume of export to over 70 countries, we are working to strengthen all stakeholders in our value chain. We make efforts to protect the soil and improve the capabilities of our farmers thanks to sustainable agriculture. We are always in collaboration with our suppliers who play an important role in our ecosystem. To take a more efficient way towards achieving their goals, Anadolu Efes started carbon footprint calculation and mapping study in 2021, which involves all of Scope 1, Scope 2 and Scope 3 emissions in all operations. Within this framework, with the expanded scope and updated methodology, Scope 1 and Scope 2 emissions for 2020 are recalculated, which was defined as the base year within the scope of our 2030 goal, and also Scope 1 and Scope 2 emissions for 2021 are calculated. The next phase of the study will be the calculation and mapping of Scope 3 emissions. By accelerating our initiatives within the scope of climate risks, we map our existing risks and try to identify transitional or physical climate risks in the medium- and long term. We endeavor to reveal the risks associated with our company and industry under 2 main topics which are namely transitional and physical risks. Updating our risk inventory with the perspective of climate risk and expanding our climate reporting in accordance with the TCFD framework are also among our plans for the upcoming period. We aim to become a zero-waste brewer by taking steps to eliminate the sending of wastes generated as a result of production activities in our factories to landfills. We manage our waste with a systematic approach in all our production facilities in order to minimize the level of waste sent to solid waste sites. As a result of these efforts, only about 1% of our 16,639,054 tons of hazardous and non-hazardous wastes generated within the scope of production in Turkey in 2021 were sent to landfills. Anadolu Efes is “aiming for zero” impact on the environment by 2030. In this context, we received the Zero Waste Certificate given to companies that set good examples in waste management by the Ministry of Environment and Urban Planning of the Republic of Turkey for all our facilities in Turkey.Anti-corruption
Commitment
1. Does the company have an anti-corruption compliance programme?
Optional commentAnadolu Efes has a zero-tolerance policy towards bribery and corruption. This attitude extends to all businesses and transactions in all countries in which it operates. We comply with all applicable laws and legal regulations in the countries where it operates. In addition, company policies, strategies, and business processes are devised carefully in accordance with internationally accepted norms and the company ensures that its employees comply with the same. Our Audit Committee is responsible for monitoring whether a system regarding compliance to the Company’s code of business conduct and ethical rules is established by the management. Additionally, the Audit Committee reviews whether the management monitors the Company’s compliance to code of business conduct and code of ethics, makes fraud risk assessments, and gives code of business conduct and fraud and code of ethics training to Company employees. Having embraced the corporate governance notion and core values of the Anadolu Group, of which it is a member, Anadolu Efes has developed structures and principles that will optimally serve the interests of its shareholders and all of its stakeholders and has produced a detailed “Code of Business Conduct and Ethics” (“the Code”). The set of rules captured in this document, which is also made public on the corporate website, is based on the Corporate Governance Principles introduced for publicly-held jointstock companies by the Capital Markets Board of Turkey (CMB), other applicable CMB legislation, and the ethical values and corporate culture of Anadolu Efes. This Code of Business Conduct and Ethics (the “Code”) is applicable for all Company operations and binding for all Anadolu Efes employees including Board members. In addition, distributors, suppliers, and other business partners are all expected to comply with the Code. Our Code includes principles regarding Human Rights, Discrimination and Harassment; Environmental Responsibility Insider Trading; Conflicts of Interest; Anti-bribery and Anti-Corruption and so on. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofBusiness%20Conduct%20and%20Ethics.pdf2. Does your company have policies and recommendations for employees on how to act in case of doubt and/or in situations that may represent a conflict of interest, e.g. with regard to gifts and hospitality, donations, sponsorship, or interactions with public officials?
Optional commentAnadolu Efes has Policy on Gifts, Entertainment and Hospitality as well as a Conflict-of-Interest Policy, both of which is approved by the senior management. Our Policy on Gifts, Entertainment and Hospitality, which provides additional and more detailed explanations in relation to compliance with the principles set out in Anadolu Efes Code of Business Conduct and Ethics. Our Conflict-of-Interest Policy is produced to prevent conflicts of interest where possible and if not possible, to deal with them in an ethical and responsible way, to ensure disclosure of them and to mitigate the risk of conflicts of interest. The Policy is applicable to and binding for all Associates of Anadolu Efes and all Associates are expected to comply with the Policy. Any violation of it will not be tolerated and may lead to remedial and disciplinary actions including termination of employment contract.Prevention
3. Who receives training on anti-corruption and integrity?
3.1. How often is such training provided?
Optional commentAll employees who start working in Anadolu Efes receive the Code of Business Conduct and Ethics training as part of the orientation. Furthermore, we provide the Codes of Business Ethics training to our employees at periodical intervals. These trainings contain anti-bribery and anti-corruption issues as well. We provided 1270 person*hours of Codes of Business Ethics, anti-bribery and anti-corruption training in our Turkey, Kazakhstan, Georgia and Moldova operations in 2021.4. Does the company monitor its anti-corruption compliance programme?
Response and Reporting
5. Please report the company's total number and nature of incidents of corruption during the reporting year.
6. Within the reporting period, what measures has the company taken to address suspected incidents of corruption independently or in response to a dispute or investigation by a government regulator?
7. Does your company engage in Collective Action against corruption?
8. Briefly describe practical actions the company has taken during the reporting period and/or plans to take to implement the anti-corruption principle, including any challenges faced and actions taken towards prevention and/or remediation.
Anadolu Efes has a zero-tolerance policy towards bribery and corruption. This attitude extends to all businesses and transactions in all countries in which it operates. Our Audit Committee is responsible for monitoring whether a system regarding compliance to the Company’s code of business conduct and ethical rules is established by the management. Additionally, the Audit Committee reviews whether the management monitors the Company’s compliance to code of business conduct and code of ethics, makes fraud risk assessments, and gives code of business conduct and fraud and code of ethics training to Company employees. Our “Code of Business Conduct and Ethics” (“the Code”) is applicable for all Company operations and binding for all Anadolu Efes employees including Board members. In addition, distributors, suppliers, and other business partners are all expected to comply with the Code. Our Code includes principles regarding Human Rights, Discrimination and Harassment; Environmental Responsibility Insider Trading; Conflicts of Interest; Anti-bribery and Anti-Corruption and so on. https://www.anadoluefes.com/Upload/Docs/Anadolu%20Efes%20CodeofBusiness%20Conduct%20and%20Ethics.pdf In addition to our Code, Anadolu Efes also has Policy on Gifts, Entertainment and Hospitality as well as a Conflict-of-Interest Policy, both of which is approved by the senior management. These policies include detailed procedures on how to handle bribes, gifts, entertainment and expenses, donations and sponsorships, political contributions, facilitation payments and conflicts of interest.