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Highlights

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Challenges

Effective management of the relationship with consumers is vital to be preferred when satisfying their needs for wellness, nutrition and pleasure. Therefore, organizations must implement processes that meet regulations on the quality, advertising and fair competition of their brands while maintaining satisfaction.

The use of social networks as a way to express dissatisfaction regarding the quality and safety of products and the emergence of increasingly more demanding consumers who are more knowledgeable about nutrition and health has led Grupo Nutresa to innovate with differentiating products and services that satisfy these expectations.

Changes in legislation related to consumer protection have promoted a trend to increase reporting of complaints from consumers, thus allowing companies to identify opportunities for improvement and take the steps necessary to seek continual improvement in the processes.

Moreover, in the Organization’s strategic region, the confluence of tradition, modernity and being at the forefront are currently evidenced, which is changing the meaning of attitudes, interests, opinions and behavior of consumers.

As a result of this reality and its understanding, today’s consumers demand greater quality in their life; they are willing to accept new proposals for healthier lifestyles, they crave experiences that get them out of their daily routine, they live a diversity of roles simultaneously and reward their efforts through consumption. Therefore, we have permanently connected consumers who establish a more direct relationship with their preferred brands to express their opinions and receive immediate responses, looking to have a real effect in their communities.

These elements generate a greater demand towards brands and involve a greater commitment by Grupo Nutresa to place consumers at the center of its corporate Vision and Mission and place them as a primary stakeholder, while maintaining permanent interaction with them to identify their needs, expectations, behaviors and habits. Through the management of reputational risks and strengthening the positioning of its brands and products, Grupo Nutresa promotes the creation of financial capital for the Organization.

Biscuits Business distribution center auxiliary in Medellin.

 

 


 

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BON ice cream shop employees in Santo Domingo, Dominican Republic.

 

Progress

 

Integrated management system

Committed to its clients and consumers, for more than ten years Grupo Nutresa has implemented an Integrated Management System in each of its Businesses and in each one of the countries in which it is present.

This Integrated Management System (IMS) (Sistema Integrado de Gestión, SIG) includes management systems for quality, food safety, environmental management, occupational health and safety management, control and security (security in the supply chain), management of the risk of cardiovascular diseases and other communicable chronic diseases (Healthy Organizations) and the management model of reconciliation and equality (Family Responsible Companies, FRC). All of these management systems are based on minimizing risks that may affect the different stakeholders.

To implement this Integrated Management System, each of the Grupo Nutresa companies has an Integrated Quality Policy, aligned with the Grupo Nutresa strategic objectives, where programs and projects are created for their compliance. Additionally, verification of the continuous compliance and improvement of the Integrated Management System is conducted through internal and external audits by certification bodies and clients.

 

Certifications

To strengthen the Integrated Management System, in 2014 Grupo Nutresa maintained current certifications and obtained the following achievements with the support and transfer of good practices by the Businesses, which today have mature management systems.

 

  • Certification in ISO 9001:2008: In 2014, the plants in Rionegro, Envigado (Cold Cut Business) and the plant in Armenia (Ice Cream Business) obtained this certification, with which Grupo Nutresa reaches a total of 17 plants certified.  In addition, the Servicios Nutresa strategic ally was certified in this standard in all its offices, as well as the headquarters of Comercial Nutresa in Medellín.

  • Certification in ISO 14001:2004: During 2014, several of the Organization’s plants obtained certification in this standard, among which are Molino Santa Marta, in Buga and Pozuelo Costa Rica (Biscuit Business); the plant Costa Rica (Chocolate Business); Comarrico (Pasta Business); the plant in Manizales (Ice Cream Business); Tropical Coffee (Coffee Business), and the plant in Medellín (Cold Cut Business), bringing the total to 16 plants certified.  Additionally, the Servicios Nutresa strategic ally was certified in this standard in all its offices, as well as the headquarters of Comercial Nutresa in Medellín.

  • Certification in OHSAS 18001:2007: The following businesses were certified in 2014 in this standard:  the plants in Bogotá and Manizales (Ice Cream Business), Servicios Nutresa and Comercial Nutresa, with which a total of eight sites are certified.

  • Certification in Hazard Analysis and Critical Control Point (HACCP): In 2014, the plants in Caloto, La Ceja and Barranquilla (Cold Cut Business) and the plant in Bogotá (Ice Cream Business) achieved this certification, bringing the total to 10 plants certified.

  • Certification as Family – Responsible Company (FRC): During 2014, the following businesses achieved certification in this standard:  Pastas, in its Mosquera, Cundinamarca, plant; Biscuits, in its sites in Medellín; and Litoempaques, for a total of eight sites that have obtained this certification.

  • Certification BAP (Best Agricultural Practices): The Chocolate Business’ Yariguíes Farm obtained this certification.

Food quality and safety

Para garantizar la calidad, preferencia y seguridad de los alimentos que Grupo Nutresa ofrece a sus clientes y consumidores, se han adoptado los siguientes sistemas y/o herramientas de gestión:

  • Hazard Analysis and Critical Control Point (HACCP): A system to identify and control possible problems that can arise during the production processes of foods. Grupo Nutresa aims to implement this system in all its plants by 2020, after achieving an advance of 77% in 2014.

  • British Retail Consortium (BRC), International Food Standard (IFS), ISO 22000, and Safe Quality Food), which aim to protect and generate trust in consumers by supplying safe foods.

  • Best Manufacturing Practices (BMP): This refers to the best practices for the manipulation, packing, storage and transport of food products.

  • Other certifications: In order to satisfy client and consumer needs associated with their cultures, beliefs and lifestyles, some Grupo Nutresa businesses have made improvements in their products and processes to obtain seals, such as Kosher.

  • Genetically Modified Organism Policy: In 2014, we achieved an advance of 68% in the businesses, in the implementation of the Policy for Genetically Modified Organisms (GMOs) guidelines, including the elaboration of the protocol of requirements for suppliers and the requirement of GMO certificates of analysis for the applicable materials.

 

Monitoring and measurement

To measure the effectiveness of food–safety management, the Grupo Nutresa companies have monitoring indicators, including Public Health Services (PHS) Hygienic Sanitary Inspections of the plants, Process and Product Compliance, Complaints, and the Evaluation of Client and Consumer Satisfaction.

 

Presentation and delivery of information on Grupo Nutresa products

With the current trend of consumers who increasingly want to know more about the ingredients contained in products and the amount of components that are present therein, Grupo Nutresa reports its ingredients and nutritional content on the packaging of its products, as well as stating the recommendations for consumption and how to dispose of the packaging. This is based on the guidelines present in national and international legislation and the technocal regulations on nutritional labeling that must be met by packaged foods for human consumption.

 

Mechanism to manage unsuitable products in some markets

To prevent the sale of banned or challenged products, legal monitoring is conducted on regulations in Colombia and abroad, and their application is reviewed from stages of development to product sales.

The Businesses continue to apply the policy of self–regulation, advertising and marketing, to comply with the principles of transparency, truthfulness and fair competition. Additionally, through the Client Attention Center, we respond to the questions and concerns about the portfolio of products.

Assistant in the Biscuits Business Distribution Center in Medellin.

 

 

Best practices for storage and distribution

During 2014, progress was made in promoting and updating the Best Practices for Storage and Distribution in Commercial Networks, to maintain conditions for the quality and safety of products and ensure that they are delivered to clients in optimal conditions. For this, we make visits that include the evaluation of marketer warehouses in Colombia, in order to identify opportunities for improvement and establish action plans to avoid the materialization of risks that could affect product quality and safety. Additionally, during these visit we provide staff training on best storage practices and integrated pest management.

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Reputation and crisis management

As a measure of responsibility and building trust with consumers and as a fundamental part of managing business continuity and the Organization’s reputation, the Grupo Nutresa companies have an approved risk– and crisis–management process to ensure a timely, effective response to crisis events arising from the occurrence of risks that can compromise related third parties. This process includes a functional structure, periodic training plans and protocols for the different segments of employees.

As part of the risk– and crisis–management consolidation process, in 2014, teams in five businesses were trained; we held spokesperson workshops in three units (the Office of the Grupo Nutresa CEO and two businesses) and we approved and internally disclosed the Social Network Policy, which provides criteria to manage communications in digital media to attend crisis events.

Noteworthy is that, for the sixth consecutive year, Grupo Nutresa ranked third in the list of companies with the best reputation in Colombia, in the MERCO Empresas ranking. However, the results last year showed a novelty, the growth – compared to 2013 – which marked the surpassing, for the first time, of the barrier of 9.000 points (out of the 10.000 obtained by the leader). These results confirmed Grupo Nutresa’s first–place ranking in the Food and Beverage sector. MERCO Empresas evaluates Colombian companies according to their economic and financial results, quality of the commercial offer, internal reputation, corporate ethics and responsibility, international dimension and innovation.

Additionally, results were presented from the VI Opinion Panel 2014, conducted by the firm Cifras y Conceptos, which showed an increase of two positions by Grupo Nutresa within the group of companies most admired by opinion leaders, including the media, the private sector, academia, the public sector and social organizations. Thus, the organization ranked seventh within this study.

 

Better understanding of consumers

To support compliance of the Grupo Nutresa strategic objectives, the Market Intelligence Unit was consolidated; it was created to generate and transfer relevant, differentiated knowledge on the principal market forces (Consumers, Buyers, Clients/Channels) to support the decision–making process, identify and minimize risks and discover and/or boost opportunities. This, in order to be closer to consumers and find better ways to satisfy their needs.

Incidents derived from breaches in the regulation or the voluntary codes related to the impacts of products and services on health and safety G4-PR2

In 2013, 79% of the products were elaborated in plants that have certifications in food – safety management system standards, including the Global Food Safety Initiative (GFSI) standards. G4-FP5

 

Information on the labeling of products and services G4-PR3

The Organization’s procedures regarding information and labeling require that 100% of the categories of products contain data related to the origin of the raw materials, the content of substances that have environmental and social effects, and instructions on safety and the elimination of the environmental impact.

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Breaches in the regulation and voluntary codes related to the information and labeling of products and services G4-PR4

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In 2014, no fines or sanctions related to product information and labeling were reported.  As for voluntary codes, there were 18 incidents.

 

Sale of prohibited products or those in litigation G4-PR6

We continue to apply the Grupo Nutresa policy of advertising and marketing self – regulation, in order to comply with the principles of honesty, trustworthiness and loyal competence. The policy is available at:

www.gruponutresa.com/es/content/nutricion#politicas_en_comunicacion_publicitaria

The Organization regularly monitors the codes and standard in the Market Synergy Committee.  Additionally, through the Telecliente Line, we respond to questions and concerns regarding the portfolio.  The Grupo Nutresa companies do not have any prohibited products in any market where they are present, nor are the products subject to question.

 

Breaches in the regulations and voluntary codes related to marketing communications. G4-PR7

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Cold Cuts consumption moments in Panama.

 


 

Future vision

To further strengthen the corporate principle of responsibility to consumers, in 2015 we will continue with the implementation, in all the Grupo Nutresa Companies, of the Food Defense Program, an initiative that emerged in the United States to protect foods from intentional contamination, which will strengthen risk management and facilitate the adoption of the Integral Food–Protection model.

Additionally, during 2015 we will continue strengthening the Integrated Management System (Quality, Environmental, Occupational Safety and Health, Safety in the Supply Chain, Healthy Organizations and Family–Responsible Companies), through the adoption and standardization of transversal practices and tools in the different management systems, through synergies conducted among the Grupo Nutresa Businesses. With this, we intend that the Companies are increasingly more preventive in the timely identification of risks that may affect people, the environment, products, information and the infrastructure.

Part of the Grupo Nutresa philosophy consists of providing safe foods that satisfy consumer needs for wellness, nutrition and pleasure. This is why, in 2015, we will advance in the Hazard Analysis and Critical Control Points (HACCP) System in all the factories of the Businesses.

Clients are the basis of growth in Grupo Nutresa and its full attention forms the path to being better every day. Thus, the basic objectives of client service is to listen to consumer complaints and suggestions, properly answer all their doubts and questions, ensure compliance of their rights and achieve their full satisfaction. We propose strengthening the attention model for consumers who prefer to use social networks as a means to express their news and continue with attention by phone for consumers who choose it as a means to contact Grupo Nutresa.

 


 

Some initiatives

 

Protocol requirements for suppliers

During 2014, we constructed protocol requirements for suppliers to respond to legislative requirements associated with materials in direct contact with food, Genetically Modified Organisms (GMOs) and Contaminants in Foods. These protocols have been communicated to all suppliers and we are monitoring their response.

 

Protocol of promotional items

Promotion items are articles or other objects that accompany products and may be in direct or indirect contact with food. Committed to the safety, health and integrity of its consumers, Grupo Nutresa has defined and implemented a Policy and a Protocol with which it seeks to implement controls from design, supplier selection and the purchase and receipt of promotional items, to ensure compliance with current legislation and avoid inherent risks. This protocol was socialized in the Grupo Nutresa Businesses; as of 2014, we have progressed 66% in its implementation.

 

Evaluation of suppliers

We adopted a new model to evaluate suppliers which includes topics related to Sustainable Development and safety in the supply chain, to ensure the proper handling and disposal of non–conforming packages that may affect brand image. This initiative has been implemented since May 2014 and had a 97% compliance rate for all the suppliers that were programmed during the year.

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Cocoa crop at the Yaringuíes farm in Santander.

 

Social Network Policies

In the pursuit of putting the digital universe at the service of meeting the Grupo Nutresa strategic objectives, and in particular its Mega 2020, in 2014 the Organization presented its Social Network Policies, a set of basic management and coexistence rules in Grupo Nutresa Social Networks and those of its businesses. The purpose of these policies is to encourage healthy, effective communication in the Social Networks in which Grupo Nutresa participates, founded on a constructive, transparent, respectful dialogue. This, to avoid situations that endanger the Grupo Nutresa reputation, its businesses and its brands and maximize the opportunities presented to strengthen them.

In 2014 this document served as a guide to attend three potential crisis situations inside the businesses.

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Chocolatina Jet Facebook Page.