Key Performance Indicators

Nestlé’s performance indicators provide a focus for measuring and reporting Creating Shared Value, sustainability and compliance. This performance summary forms part of our communication on progress for the United Nations Global Compact Principles. Unless otherwise stated, performance indicators are for the year ending 31 December 2014. The references in the GRI column relate to the applicable indicator from the Global Reporting Initiative G4 guidelines.

We report against GRI G4 guidelines and indicators, in line with the material issues we need to address. The issues are identified through our stakeholder engagement process and they also shape the public commitments we have made. To provide transparency for our stakeholders, in this table we have indicated the correlation between GRI indicators, our KPIs and our commitments.

  • KPI definition GRI 2013 2014 Page
    Total Group sales (CHF million) (a) G4‑EC1 92158 91612 5
    Net profit (CHF million) (b) G4‑EC1 10015 14456 n/a
    (a) Does not include joint ventures.

    (b) Includes Nestlé’s share in net result of joint ventures.
  • KPI definition GRI 2013 2014 Page
    Products meeting or exceeding Nestlé Nutritional Foundation profiling criteria (as % of total sales) (c) G4‑EC1 76.0 78.5 10,11,12
    Renovated products for nutrition or health considerations (d) G4‑FP7 7 789 10 812 10,11,12
    Products with increase in nutritious ingredients or essential nutrients (d) G4‑FP7 4778 6359 10
    Products with reduction of sodium, sugars, trans fats, total fat, calories or artificial colourings (d) G4‑FP6 4221 6973 11,12
    Products analysed and improved or confirmed via 60/40+ programme (sales, CHF million) (e) G4‑PR1 33001 33233 10,11,12
    Products containing Branded Active Benefits (sales, CHF million) G4‑FP7 6836 6687 10
    Products featuring Nestlé Nutritional Compass labelling (% of sales worldwide) (f) G4‑PR3 92.5 92.8 13
    Products with Guideline Daily Amounts (GDA) labelling on front of pack (% of sales) (g) G4‑PR3 99.3 79.7 13
    Products with specific portion guidance (sales, CHF million) (h) G4‑PR3 26700 26456 14
    Popularly Positioned Product SKUs (i) G4‑EC1 9562 5014 10
    Popularly Positioned Products (sales, CHF million) G4‑EC1 11803 12205 10
    Nestlé television advertising to children under 12 in compliance with policies on responsible marketing (%) (j) G4‑PR7 98.3 99.9 16
    Contraventions to the Nestlé Policy and Instructions for Implementation of the WHO International Code of Marketing of Breast-milk Substitutes (k) G4‑PR7 27 29 17
    Infant formula marketing staff in higher-risk countries trained on the WHO Code (% of staff) (l) G4‑PR6 100 100 17
    (c) 2014 assessment scope: 73.8% total Nestlé sales volume. We evaluate our products against the Nestlé Nutritional Foundation criteria, which are based on scientific and public health recommendations (WHO, Institute of Medicine (IOM) and others).

    (d) Based on reports of approximately 75% of worldwide product development teams. Products can have ‘less of’ one ingredient and ‘more of’ another at the same time.

    (e) In the 60/40 programme products are tested with consumer panels and at least 60 of the 100 people must prefer the Nestlé product over the competitor’s. This KPI reflects the dynamic nature of our 60/40+ programme. Assessment results are valid for a maximum of three years, only if all parameters remain equal.

    (f) Excludes total petcare and, for USA only, Dreyer’s and licensed brands Häagen-Dazs and California Pizza Kitchen.

    (g) 2014 figure is global. 2013 figure is EU 28 plus Switzerland, the Adriatic Region, Ukraine and Moldavia. Excludes plain coffee, tea and water, products for Nestlé Professional, gifting chocolate, seasonings, petcare, Nestlé Health Science and Nestlé Nutrition.

    (h) Products sold as single servings and meeting/exceeding Nestlé Nutritional Foundation OR sold with/via a device or equipment delivering a serving meeting/exceeding Nestlé Nutritional Foundation OR sold to caregivers with detailed instructions on adjusting servings to evolving nutritional needs. This currently represents only a subset of the portfolio with portion guidance.

    (i) SKU count recalculated for increased accuracy and now only includes active SKUs.

    (j) The percentage reflects Nestlé’s full-year compliance to the stricter 35% children audience threshold as redefined in September 2011.

    (k) Based on internal and external audits. Internal audits are conducted by HQ-based auditors (Nestlé Group Audit) and country-based auditors (Nestlé Market Audit). External audits were conducted by Bureau Veritas.

    (l) We follow the FTSE4Good breast-milk substitute marketing criteria, which classify countries as ‘higher-risk’ if they have mortality rates for under-fives of more than 10 per 1 000, or more than 2% acute malnutrition among under-fives. All other countries are ‘lower-risk’.
  • KPI definition GRI 2013 2014 Page
    Farmers trained through capacity-building programmes   300000 376000 18,20,21
    Markets covered by Sustainable Agriculture Initiative Nestlé (SAIN) programmes   48 51 23,24
    Direct procurement markets covered by SAIN programmes (%)   100 100 23,24
    Percentage of suppliers that fully comply with the Nestlé Supplier Code G4‑FP1 74.0 73.0 19
    Percentage of purchased volume fully compliant with the Nestlé Supplier Code G4‑FP1 92.0 95.0 19
  • KPI definition GRI 2013 2014 Page
    Total water withdrawal (million m3) G4‑EN8 152 147 22
    Total water withdrawal (m3 per tonne of product) G4‑EN8 2.92 2.74 22
    (m) Includes joint ventures.
  • KPI definition GRI 2013 2014 Page
    Production volume
    Total production volume (million tonnes)   52.1 53.7 n/a
    Materials
    Raw materials used (million tonnes) (n) G4‑EN1 25.1 25.8 n/a
    Materials for packaging purposes (million tonnes) (n) G4‑EN1 5.7 5.6 26
    Packaging source optimisation (kilotonnes saved)   66.6 45.8 26
    Energy
    Total on-site energy consumption (petajoules)   97.7 95.8 26
    Total on-site energy consumption (gigajoules per tonne of product)   1.87 1.78 26
    Total on-site energy consumption from renewable sources (% total) G4‑EN3 13.3 14.7 n/a
    Total direct energy consumption (petajoules) G4‑EN3 67.1 65.5 26
    Total direct energy consumption from renewable sources (% total direct) G4‑EN3 10.8 11.3 n/a
    Total indirect energy consumption (petajoules) G4‑EN4 81.5 81.1 26
    Biodiversity
    Total size of manufacturing sites located in protected areas (hectares) (o) G4‑EN11 32.9 18.8 28
    Emissions, effluents and waste
    Direct GHG emissions (million tonnes CO2eq) G4‑EN15 3.99 3.81 28
    Direct GHG emissions (kg CO2eq per tonne of product) G4‑EN15 76.0 71.0 28
    Indirect GHG emissions (million tonnes CO2eq) G4‑EN16 3.81 3.80 28
    Indirect GHG emissions (kg CO2eq per tonne of product) G4‑EN16 73.0 71.0 28
    Total water discharge (million m3) G4‑EN22 91.0 87.0 24
    Total water discharge (m3 per tonne of product) G4‑EN22 1.74 1.63 24
    Average quality of water discharged (mg COD/l) G4‑EN22 76.0 72.0 24
    By-products (kg per tonne of product) G4‑EN23 29.1 28.9 26
    Waste for disposal (kg per tonne of product) G4‑EN23 4.9 4.0 26
    Environmental sustainability governance
    Manufacturing sites certified against ISO 14001 (% of total manufacturing sites)   91.0 92.0 n/a
    (m) Includes joint ventures.

    (n) 2013 data restated due to some of our large joint ventures reporting environmental data for the first time in 2013 but not having material consumption data available at the time.

    (o) Differences from 2013 due to correction of factory coordinates, clarification of PA boundaries and sale of three factories.
  • KPI definition GRI 2013 2014 Page
    Total number of significant product recalls or incidents of non-compliance G4‑PR2 10 12 n/a
    Number of human rights impact assessments completed G4‑HR9 1 1 30
    Number of employees trained on human rights   13793 7485 30
  • KPI definition GRI 2013 2014 Page
    Total workforce (number of employees) (a)   333214 339456 5
    Total rate of new employee hires (%) (p) G4‑LA1 10.7 10.3 n/a
    Total rate of employee turnover (%) (p) G4‑LA1 11.1 11.7 n/a
    CARE gaps identified related to Business Integrity and HR (q)   146 32 32
    Of which: Minor   130 32 32
    Major   16 0 32
    Critical   0 0 32
    Lost-time injuries and illnesses rate (per million hours worked) (employees, on-site contractors and on-site members of public) (m) G4‑LA6 2.34 2.35 33
    Total recordable injuries and illnesses rate (per million hours worked) (employees, on-site contractors and on-site members of public) (m) G4‑LA6 4.10 3.98 33
    Total number of fatalities (employees, on-site contractors and on-site members of public) (m) G4‑LA6 12 5 33
    Average hours of training per year per employee per category (r) G4‑LA9 23.0 28.8 35
    Leadership positions held by women (%) (p) G4‑LA12 31.1 33.7 33
    Local Management Committee members native to country in developing countries (%) (s) G4‑EC6 52.0 56.4 n/a
    (a) Does not include joint ventures.

    (m) Includes joint ventures.

    (p) Covers Nestlé employees registered in the HR system (approximately 85% of all employees).

    (q) CARE, our global external audit programme, is conducted by three audit companies and verifies that all employees and sites we own or operate comply with local legislation, our Corporate Business Principles and Code of Business Conduct. The audits take place every three years.

    (r) Covers approximately 85% of all employees through a combination of manual submission from the markets and the training system.

    (s) Covers all Nestlé employees including joint ventures.