Milton the logo indicates the depicted young

 

 

Milton
friedman

 

Introduction:

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Nestle is an
international brand and the world largest food and beverage company which has more
than 2000 brand in 191 countries around the world. The history of nestle was initiated
from the year 1866 with the foundation of Anglo Swiss. In 1905 Henri nestle who
was a German-born Swiss confectioner and founder of nestle, merged company with
Anglo Swiss and now it is known as nestle group. The headquarter of Nestle lies
in Vevey, Switzerland.

The word
nestle is a German word which represents a nest and the logo indicates the
depicted young birds being fed by their parents, hence in this way forming a
link with the company’s specialization. (thain, 2014).

This report
emphasis on the sustainability of Nestle company and especially, focusing on
its Corporate Social Responsibility. Nowadays, CSR activities is being one of
the mandatory part of organization. All the recognized company perform CSR exercises
for society or as a piece of their obligation to sustain in the environment.

 

Accordingly,
all through the report, I have tried to focus upon CSR activities of Nestle and
how the activities are done by the company and its impacts in the society. I have
put a light on giving a brief about company philosophy that include the long
term vision and goals of the company along with its moral principles and values.
Then I move toward the stakeholder interest that explains their engagement which
is fundamental to nestles continuing business success. This report contains
past and present CSR report as well as the future commitment of the company.

 

 

 

 

 

Corporate social
responsibility  

 

Corporation
working in the society takes benefit from the society itself and that is the
reason why the corporation member of society itself needs to take certain steps
that would help in the improvement of the society. The improvement might be
environmental, social, cultural and so on. 
So this process of corporation helping the society voluntarily is known
as corporate social responsibility.

 

Corporate
social responsibility is an idea with numerous definitions and practices. The
way it is comprehended and actualized varies incredibly for each organization
and nation. In addition, CSR is an extremely expansive idea that tends to
numerous and different themes, for example, human rights, corporate
administration, wellbeing and security, natural impacts, working conditions and
commitment to financial advancement.

 

There
should be a prospective responsibility for making ethical judgement. As per, the
economic responsibility manager of the corporation should involve only with
legally or economically responsibilities where giving money to a charity with
regards to the income is considered as self-imposed taxation.

According to the ethical responsibility both the
society and business corporation are interrelated with each other that include
inputs i.e. employees, capital and physical resources.                                                       Discretionary
responsibility includes unidentified donations with no expectation of a payback
that does the sponsorship for the local event and fund to a charity (boddy, 2016).

 

 

 

 

 

Corporate Social Responsibility activities done by Nestle
corporation 

“Our objective is to be the
leader in Nutrition, Health and Wellness, and the industry reference for
financial performance, trusted by stakeholders.” (Anon., 2017)

 

 

Nestle
market has always focused on their CSR project with their overall umbrella
theme of shared value creation to ensure that the corporation meets the U.N.
prosperity development goals of nutrition, water and rural development. They
perform business that is guided by their values rooted in respect also by
contributing to the society to ensure the long term achievement of their
business. Throughout the business they assure that the following goals are to
be met.

 

 

 

 

 

 

Contribution toward agronomy
assistance

 

Nestle
company is a large-scale also known as an international food manufacturing
corporation that mass- produce the instant coffee, milk, ready-to-cook noodles,
dairy product and other numerous edible products. Nestle company has been
focusing on agronomy assistance. Nestle has been helping coffee farmers of
different countries by providing knowledge of crops and also by providing
barangays with livelihood skills and other opportunities (Miller, 2016). Nestle
has been able to improve the growing method of coffee of Philippines so that
farmers get better harvest and eventually help to increase the supply of coffee
that further enhance the income of the farmers  (miller, 2016). As nestle has been supporting upstream
market which benefits them for quality products that quite obviously supports the
downstream market including the customer and consumers creating a Win-Win
situation.

 

Contribution toward community and
nation

 

Nestle also
has contribution toward community and nation by creating different programs to
help the underprivileged members of the society of different countries. Few of
the projects like Cut and Sew livelihood project, Yard and Garden livelihood
project, Suklay and Gunting project, Julius Maggi kitchen project, Miss Kong
Trainor’s program, Street Illuminations Projects has been implemented in many
countries like Bangladesh (hasan, 2015).  The company donates money for a good cause, with
acquaintance of a charity partner. Their work force focuses on three areas that
has been supported by the following commitments.

·       Buildup
rural areas

·       Upgrading
the human rights

·       Promoting
honest employment and diversity

 

 

 

Contribution
toward environmental protection and preservation

 

Nestle had has been contributing towards environmental
protection and preservation. One of the many contributions of Nestle is a step
of initiation towards greeneries afforestation, as it has made the commitment
of not doing deforestation in 2010. Furthermore, nestle has promised not to
sell any product that includes the process of deforestation during its
manufacturing. They acquired an acquaintance with a non-governmental organization
in 2013 where they got hold of the guides to track and demonstrate the areas at
highest risk of deforestation.

Nestle has also supported Global Forest Watch (GFW) by
joining a number of companies through an online mapping application where they
shared information about the round-abouts of the forests worldwide (Nestle, 2013).

 

 

 

 

 

 

 

 

 

Company philosophy
(vision, Goals, Values and principles) 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nestle vision

 

 

a.     The vision of nestle is to remain
the main multinational association in food, nutrition, wellbeing then wellness.

 

b.    To maximize the utilization of good
quality of local raw material.

 

c.     To protect the earth by being focused
on ecologically solid business practices, and considering the need to safeguard
on common assets and spare energy.

 

d.    Nestlé’s idea is to be worldwide
renowned leading nutrition, health and wellness (NHW) company

 

 (Nestle, 2017)

 

 

Nestle goals

 

a.    
Nestle
goals is to help 50 million children to have healthier life as well as help 30
million livelihoods in community specifically associated with its business and
make progress toward reducing the effect in its operations.

 

b.    
Nestle
commits to reduce sugar by 5% added to its products by 2010 (Nestle, 2017)

 

c.    
Upgrade
farm economic among the farmers who provide them goods.

 

d.    
Progress
labors’ livelihood and protect children in their agricultural supply chain

 

 (Nestle, 2017).

 

 

 

 

Nestle mission

 

a.     Nestles mission is satisfying their
customer by providing the best tasting in their product and greatest nutritious
varieties in a wide choice of food and beverage categories and other eating
instances, since morning to night (Jurevicius, 2013)

 

 

Nestle values and principles

 

a.    
Nestle
believe in people rather than frameworks as they do the business according to a
set of principles founded on honesty, equality and general concern for society.

 

b.    
Nestle
is concerned on creating a motivation for their investors.

 

c.    
Nestle
believe in constant change focusing on their environment

 

(Nestle, 2010).

 

 

 

 

Stakeholder interest

 

 

 

 

Stakeholders

Engagement

 
Community

Nestle have worked
with the stake holders of the community in the Mossel    Bay Locale of South Africa since 2009.    Drought
(dry season) is one of the great problem in Moosel. Over inclusive way to
deal with water administration, nestle provided dairy agriculturists   with water and begun to address the water
quality in a local lagoon.  Nestlé’s
factory in those region is set to develop a zero water facility in 2017.
 
 

Non-governmental organizations
(NGOs)

Currently, nestle have
supported the World Animal Protection by contributing to the partner on a
business benchmark on Farm Animal Welfare (BBFWA), which is worldwide measure
of animal welfare principles in food organization. Representatives of NGOs
also supported Nestle on animal health and welfare issue.
 
·      
 

Suppliers (include farmers)

Nestle have helped the
coffee farmers in Lampung area of Indonesia that support productivity and
nature of the Robusta coffee through Nescafé plan.76 rancher(farmer) field
schools has started around 20000 ranchers on good agricultural practices (nestle, 2017).
Nestle also improved the growing method of growing coffee in Philippines so
that farmer get better harvest which will return in quality product to nestle (Miller,
2016)

 
 

Consumer and common public

Nestle have helped
62000 youthful Europeans to find employment opportunities or training project
as 200 organizations have joined Youth activity, started by nestle company.
Currently nestle is working with America and preparing the similar action
plan for Asia, Oceania, Africa and the Middle East
 
 
·      
 
 

 

 

(Nestle, 2017)

 

 

 

 

 

 

Past CSR activities done by Nestle
and its impacts

 

 

a.    
Nestle
had built up Rural Development Framework in 2012 which was begin to rollout in
2013 as the overall wellbeing of rural groups are essential for the long-term
success of their business.

 

b.    
Nestle
has given services that worth 37.8 million in 2012 so that they could help more
than 44000 farmers for better quality of products.

 

c.    
In
2012 Nestle carried out three Human Right Impacts Assessments (HRIAs), in
Russia, Uzbekistan and Kazakhstan

 

 

d.    
Nestle
utilized more than 1180 agronomists and 12000 support staff to give guidance,
training and specified help for farmers.

 

e.    
Nestlé’s
Fawdon confectionary production had line in the UK has put CHF (Swiss Franc)
4.9 millions of an anaerobic absorption framework, completed in September 2014,
that changes over solid and liquid sewage wastage into clean water and methane
gas using common natural absorption shapes. Due to this office will save 1000
tons CO2 reliably year, cut solid waste by 4000kg consistently

 

 (Nestle, 2012)

 

 

 

 

Current
CSR project and outcomes

 

 

a.    
Nestle has planted 480,000 trees in
the area of 2,300 hectares until 2016, according to their RILEAF project.

 Beside that nestle uses recyclable water bottle
that is prepared with almost thirty less plastic than the regular half-liter
bottle” for environment sustainability.

 

b.    
Nestle has worked on waste
management. By, 2016 Nestlé’s 182 factories reached nil waste for dumping.  Nestle reduces waste for disposal by 77%
(105000 tons) till 2006 which now increased to 82% which is the great achievement
for nestle.

 

c.    
Nestle joined the Feed the future action
for Climate Smart Cocoa which helped the cocoa maker in Ghana to receive
agriculture practices to counterbalance the difficulties of climate change

 

d.    
Nestle has started evolving
educational resources for both health maintenance professionals and parents on
the welfare of breastfeeding and run campaigns and seminars in 2016. It was
seen that mother who lacks breast feeding were using the milk powder for their
babies where uneducated mother dilutes the powder milk to make it long lasting
and often with contaminated water which is harmful for their babies.

 

e.    
Nescafe has been developed in
Vietnam so that it could reach the demands for their Nescafe coffee products
and also created more than 200 job opportunities.

 

(Saya, et
al., 2016)

 

 

 

 

 

 

 

 

 

 

Related
positive and negative outcomes of CSR activities

 

The globalization of nestle has brought both negative and
positive impacts in different aspects while doing CSR activities.

 

a.     Impacts on environment

 

The company has
been working on environment sustainability. Company brought the positive
changes in environmental sectors by producing the goods that is least harmful
to earth. For that they use recyclable bottles and since, 2008 greenhouse gas
release and non-renewable energy effects for the packaging process have been condensed
by 19% in Nestle water.

On the other side,
nestle have negative impacts on environment such as pollution and misuse of
resources.  As per the Green piece nestle
neglected to comply with the regulation of China and released mass waste in
rivers and lake there. Similarly, company illegally pumped many gallons of
water from California’s San Bernardino National Forest for a long time, which
is against the law.

 

 

b.    Impacts on economy

 

Nestle has positively
and negatively manipulated the economy of many nations. The positive side of
the organization is that Nestle have provided job and training opportunity to
people. Nestle has worked with Vietnam to order to meet the nestles coffee requirement
where company provided more than 200 job in that territory.

When nestle
conveyed work to the people of different country it also empowered child labor
in developing countries which is negative side of nestle. As per the report
provided by Fair Labor Association informed that 1.8 million kids in west
Africa are in risk of exploitation as well as child labor. Nestle signed a
contract in2001 which tells to end the child labor but nestle violated it.

 

 

c.     Impacts on society

 

Nestle is renowned
for many things, for instance, the newborn child recipe scandals, instant
noodles and so on. But every sides have different story.

Nestle has been
drawn out been the suspects of harming the health of children. Though nestle
claims that breastfeeding is finest, it was discovered that they would contract
deals young ladies dressed as medical caretakers to speak to moms and give them
tests to get them captured on new born child recipe. Various poor and
undernourished third-world ladies are physically unfit for breastfeeding and are
worried with the basics of survival where nestle take an advantage of that. These
uneducated mother dilute the powder milk and use contaminated water that harms
the child.  Recently, nestle start to
provide knowledge about the advantage of breastfeeding to both health care
professional and parents.

      

Nestle is a huge
company and has considerable measure of impact over many nations, particularly
in the consumer industry. They should utilize that energy to spread a positive
impact and be a good example with the goal that other developing organizations
can take after their lead so they can contend and be feasible in the global
market.

(haruka, et al., 2016)