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OUR COMMITMENTS. Corporate Sustainability Program Bill Gill August 5, 2011. Presentation Overview. Our Sustainability Program Current Status What’s Next. Smithfield Foods’ CSR/Sustainability Focus. Structure Overview:. Smithfield Foods Corporate:

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OUR COMMITMENTS

Corporate Sustainability Program

Bill Gill

August 5, 2011


Presentation overview
Presentation Overview

  • Our Sustainability Program

  • Current Status

  • What’s Next



Structure overview
Structure Overview:

  • Smithfield Foods Corporate:

    • Foods’ Executive Sustainability Committee sets goals and targets for IOCs

    • Foods’ Sustainability Council maintains communications, oversight, database and scorecards

  • Each IOC:

    • Has IOC level CSR/Sustainability Coordinator

    • Manages goals and targets

    • Provides recommendations to Foods and participation on Council

    • Reports to Foods (data used for CSR Report)


Accountability for each ioc
Accountability For Each IOC:

  • Sustainability goals and targets in each IOC strategic plan

  • Larry Pope will review IOC performance/year

  • Incentives

    • Internal Recognition (by CEO or highlighted with the Board)

    • External Recognition (press releases, customers, etc.)


Foods committees
Foods Committees:

  • Board level Sustainability, Community and Public Affairs Committee:

    • Wendell H. Murphy, David Nelson, Paul S. Trible, Jr. (Chair)

  • Corporate level Executive Sustainability Committee:

    • George H. Richter

    • Joseph W. Luter, IV

    • Robert W. Manly, IV

    • Dennis H. Treacy (Chair)

  • Executive Sustainability Committee reports and meets annually with CEO

  • Jerry H. Godwin

  • Michael E. Brown

  • Timothy O. Schellpeper

  • Joseph B. Sebring


Your partners
Your Partners:

  • Your IOC Environmental Coordinator

    • John Meyer at John Morrell

    • Keith Bailey at Smithfield Packing

    • Susan Murphy at Farmland

    • Kraig Westerbeek at Murphy-Brown

  • Your IOC Sustainability Coordinator

    • John Meyer at John Morrell

    • Jeff Gough at Smithfield Packing

    • Mark Garrett at Farmland

    • Don Butler at Murphy-Brown 


More partners
More Partners:

  • Smithfield Foods Environmental Affairs

    • Stewart Leeth (Legal / Overall Administration)

    • Bill Gill (Logistics / Implementation)

    • David Townsend (Hog Production / FFA / Learners to Leaders)

    • Kathleen Pope (Social Media / YouTube / Twitter)

    • Sylwia LaBudde (WebMetrics / EMS)

    • Rocky Beem (Regulatory)

    • Eric Lassalle (Energy / GHG’s)

    • Keira Ullrich (PR / Investor Relations)

  • Let us help you make the program work for you


Goals and targets for each ioc environmental
Goals and Targets for Each IOC: Environmental

Goals => Eliminate NOVs and reduce natural resource demand

IOC Targets (all by FY):

  • Energy reduction => 10% reduction over 2008 (normalized) by 2016

  • Water use reduction => 10% reduction over 2008 (normalized) by 2016

  • Solid waste reduction => 10% reduction over 2008 (normalized) by 2016

  • GHG emissions reduction => 10% reduction over 2008 (normalized) by 2016


Goals and targets for each ioc community
Goals and Targets for Each IOC: Community

Goals => Provide food to the needy and enhance education in our communities

IOC Targets:

Pork Group IOCs:

  • Provide needy with 1 million servings/year

  • Coordinate all food relief under Helping Hungry Homes initiative

  • Add and maintain Learners to Leaders programs (goal: a minimum 2/IOC)

    Facility/Farm Division Targets:

  • Participate in 2 community events (e.g., FFA environmental competitions judging) where each major facility/farm division located

  • Clean Community Program - Sponsor a minimum of 1 community-level cleanup project/year

  • Participate in WWMD


Goals and targets each ioc animal well being
Goals and Targets Each IOC: Animal Well-being

Goal => Keep our animals safe, comfortable, and healthy

IOC Targets:

  • Hog Production IOC Must Maintain and Build Upon Industry Leadership

    • Maintain 100% PQA Plus Certification and site assessments

    • Continue pen gestation conversion

  • Pork Group IOCs Must Demonstrate Continuous Improvement and Systematic Approach to Humane Handling

    • Maintain written program, training and 3rd party audits at slaughter plants according to AMIF Recommended Animal Handling Guidelines and Audit Guide: A Systematic Approach to Animal Welfare

    • Maintain TQA certification for all drivers

    • PQA Plus Certification and site assessments for suppliers by 2011


Goals and targets for each ioc employees
Goals and Targets For Each IOC: Employees

Goal => Reduce employee injury rates

Facility/Farm Division Targets:

  • Meet or beat company goals based on general manufacturing industry national average for injuries

  • 10-hour general industry training by all safety leadership

  • Safety Roundtable meetings at all locations

  • Achieve hourly employee engagement to 25% by FY 2015


Goals and targets each ioc food safety
Goals and Targets Each IOC: Food Safety

Goals => Deliver safe, high quality meat products with no recalls

IOC Targets

  • Achieve superior food safety program

    • Obtain 100% Global Food Safety Initiative (GFSI) certification for all facilities and 100% USDA Process Verified

  • Nutrition

    • Assure wide variety for different diets and needs

    • Assess nutrition issues like salt content, obesity, etc.


Communication and recognition
Communication and Recognition

Goal => Increase awareness of our programs and achievements

IOC Targets

  • Undertake a minimum of 2 speaking engagements/year

    Facility/Farm Division Targets

  • Participate each year in 1 or more state and/or trade association environmental awards program

  • Minimum of 2 meetings/year with community stakeholders to highlight programs and obtain input and provide report

  • Participate in Foods’ environmental awards programs



Data collected and compiled (after extensive review and correction)

Preliminary results discussed with IOC CSR/Sustainability Coordinators

Assessing weighting and results (Safety adjustments and NOV scoring)

Finalizing scores and reporting

Everyone looks pretty good

Data Collection and Scoring:


What s next

What’s Next correction)


Reporting
Reporting correction)

  • Finalize scores with IOC Sustainability Coordinators and Dennis Treacy

  • Report results to the Executive Sustainability Committee and CEO

  • Presidents to distribute information throughout their respective organizations

  • Plan / Do / Check / Act at all levels

  • Press Release with highlights of program and results


Ongoing to do s
Ongoing To Do’s correction)

  • Work with your Coordinators to determine by who and how Sustainability Program targets will be addressed

  • Continue to make inputs to WebMetrics. Look for the **SMS** designator

  • Address any new responsibilities

  • Provide support to new Team members

  • Ask questions/provide input/make comments


QUESTIONS? correction)

Corporate Sustainability Program

Bill Gill

August 5, 2011


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