Report. It compares Unilevers and Nestle responses to pressures to reduce their carbon footprint. It explains how Unilever employees and Tescos can assist and support a reduction in the organisational carbon footprint

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Henry Kiss – 7th May 2009

Study Centre: Sheffield College

Assignment: Formal report for Coporate Communications Manager

Stakeholder Marketing (Reducing Organisational Carbon Footprint)

Word Count:

Introduction

This report includes:  

A summary of the key stakeholder audit findings, including identification of key stakeholders and their level of influence and impact on reducing the organisational carbon footprint.

It explains the types and benefits of long term mutually beneficial relationships between key stakeholders and

It compares Unilever’s and Nestle responses to pressures to reduce their carbon footprint.

It explains how Unilever employees and Tesco’s can assist and support a reduction in the organisational carbon footprint

It describes how marketing could encourage interaction and dialogue between Greenpeace and Unilever

It recommends the aspects of the coordinated marketing mix that may need to change in the future as a result of improved relationships with Greenpeace.

Background

Summary of audit findings

Throughout the Audit the key stakeholders who have the largest impact on reducing the organisation Carbon footprint were Employee’s and two major retailers. Employee’s had the highest reduction of Carbon footprint throughout Unilever due to the re-education of new software which has reduced the kg/per tonne by almost 68% throughout the decade. This shows that the strategy used to reduce the footprint throughout the employee’s are working well.

Major retailers like Tesco and ASDA have also helped In the reduction of Carbon Footprint model. Identifying that these major retailers have been wasting fuel on unnecessary trips the organisation has become a lot more efficient with their warehousing of their products.

Looking into pressure groups as well, the audit found that Greenpeace, appealing against of the products which Unilever sells high in also had a massive impact on the carbon footprint. Unilever was using deforestation techniques to reach the natural resource palm oil which was needed but wasn’t replanting the tree’s they had cut down. Greenpeace appealed with media interest and managed to manipulate the way Unilever and their sustainability program.

Types and benefits of long term mutually beneficial relationships

Unilever’s main objective with stakeholders is to create activity and to engage with external and internal stakeholders to help identify the issues of concern and provide feedback with specific areas of activity. Generally Unilever finds that constructive dialogue, including with those who may hold critical views, helps understanding of the dilemmas they face in running a business that is seeking to be more sustainable.

Its mission Statement regarding Stakeholders is stated as - “Listening to others and learning from our stakeholders informs our decision-making, strengthens our relationships and helps us succeed as a business.” (, 7-05-09)


Table 1. Types and benefits of long term mutually beneficial relationships

Comparison of Unilever and Nestle responses to pressures to reduce their carbon footprint

It is not surprising that one of Unilever’s key competitors, Nestle, have a similar approach and response to pressures to reduce their carbon footprint. Unilever is committed to reducing carbon dioxide emissions from energy in its manufacturing operations by 25% by 2012. In the UK, Nestlé works with The Carbon Trust, and its manufacturing sites are working to reduce emissions

to comply with the UK Climate Change Levy Agreements and the EU Emissions Trading Scheme. Its target for 2010 is to reduce carbon usage by 10% against a 2006 baseline. Thus both Unilever and Nestle have an ongoing programme of reducing energy and carbon footprint by working with recognised bodies in this area, setting targets and monitoring and reporting back.

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Both companies are installing combined heat and power plants as a means of reducing energy usage and reduce green house gas emissions.

Unilever reports its progress against targets via its annual Sustainability report whilst Nestle does this through its Creating Shared Value report. Both Nosetle and Unilever make extensive use of their websites to give data on how they are tackling Green house Gas emissions, Minimising Water Usage, Reducing Packaging and waste in general.

Both Nestle and Unilever is engaging with its partners, suppliers and customers to reduce transport miles. Both participate in the Carbon Disclosure Project (CDP) which shares ...

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