Dive Brief:
- In its most recent 2014 "Creating Shared Value" report, Nestle USA highlights that 99% of its objectives from 2013 have seen progress, many of which were delivered on ahead of schedule.
- In one case, Nestle originally planned to make 12 of its plants "zero waste to landfill," but was able to convert 25 factories.
- Nestle has also reforumlated more than 1,000 products since 2013, which has entailed reducing sodium, sugar, or saturated fats, removing trans fats, and/or taking out artificial colors and preservatives. "We tend to be very careful about the changes we make—it’s done hand in hand with consumer testing. Change especially on nutritional side will never be overnight—it has to be gradual, but we want our change to be transparent as well," Nestle USA CEO Paul Grimwood told Fortune.
Dive Insight:
"At the heart of this movement is the idea that doing good makes good business sense," said Grimwood.
In the case of Nestle's objective to turn its factories into "zero waste to landfill" facilities, Grimwood told Fortune, "Clearly there’s an environmental benefit. There’s also a commercial benefit — we’re not paying to put product into landfill, so our focus on recycling, reusing, and not having waste happen at all leads to an improvement in business."
Nestle is also responding to concerns about its water product in California during the state's four-year drought. The company is investing in its Modesto dairy plant to transform it into a zero-water facility, similar to what Nestle did in Mexico.