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Page 1: Company and Responsibility - Dr. OetkerDr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries

Company and Responsibility

Sust

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abili

ty R

epo

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011/

2012

Page 2: Company and Responsibility - Dr. OetkerDr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries

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3 | FOREWORD

4 | REPORTING FRAMEWORK

6 | PORTRAIT

14 | SUSTAINABILITY STRATEGY

20 | MANAGEMENT SYSTEMS

24 | PRODUCT RESPONSIBILITY

28 | Quality Assurance

30 | Product Development

36 | Purchasing

40 | Production

50 | Logistics

56 | Consumers

60 | ENVIRONMENTAL AND CLIMATE PROTECTION

66 | EMPLOYEES

76 | SOCIETAL RESPONSIBILITY

Page 3: Company and Responsibility - Dr. OetkerDr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries

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in our own sphere. As a family business we have always implemented measures and projects directed towards sustain-able development, even when they did not yet produce perfect results at fi rst. In doing so, however, we invariably walked the Dr. Oetker path.

This means we implement measures in a carefully considered way. It is not our wish to make a rash decision mere-ly because an issue happens to be en vogue in the public arena, or is even be-ing falsely portrayed as a scandal by a few interest groups. We are also mindful of the fact that we cannot deal with all necessary tasks at once. This is why we focus primarily on the processes we can infl uence fundamentally.

As a family business we think in genera-tions and have our own “recipes for the future”. Here, too, as with every good cake, it comes down to the ingredients. The most important for us are motivated employees, high-quality products and sophisticated manufacturing processes. Our wish in presenting this Sustainabil-ity Report 2011/2012 is to give you in-sight into our formula.

Richard Oetker

Mankind is living beyond its means, especially in the industrialised west-ern nations. We are consuming natural resources faster than they can grow back and producing more waste and climate-gas emissions than the Earth can bear. According to the latest Living Planet Report of the WWF, we would need about 2.5 planet Earths if people worldwide lived like the Europeans; cal-culated on the lifestyle of the Americans, as many as four.

We are therefore all called upon to re-think. Admittedly, that is easily said, but each one of us can make a contribution

FOREWORD

Page 4: Company and Responsibility - Dr. OetkerDr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries

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lish) can be downloaded from the home-page at oetker.de and at oetker.com. A relaunch is planned for oetker.com. As a result of the revisions being made, re-strictions might apply.

As the printed report cannot refl ect the full spectrum of Dr. Oetker’s commit-ment to sustainability, the symbol refers to further information on the internet.

The Dr. Oetker Sustainability Report contains forward-looking statements which are based on expectations and assumptions made at the time of pub-lication. A variety of factors beyond the company’s control and diffi cult to gauge may result in actual outcomes which di-verge from the objectives stated here. These factors include, among other things, future market conditions and economic developments, the behaviour of other market participants as well as statutory and political decisions.

Sustainability Reportwww.oetker.de

The environmental data in the chapter Product Responsibility relate solely to the production sites. All other data – un-less otherwise stated – encompass all locations apart from, as noted above, Countries Division 3A. An exception is made on page 68 in the chapter Em-ployees, which also contains Countries Division 3A.

The information in this report is ad-dressed to the trade, consumers, em-ployees and the company’s business partners, as well as to the media, non-governmental organisations, poli-cymakers and the wider community. For improved readability, this report uses the generic masculine form and refrains from referring to both sexes.

It appears as a print version in German and as a PDF in German and English. The online version (in German and Eng-

Reporting Framework

The Dr. Oetker company fi rst present-ed an environmental report in 1994, the regularly published environmental reports being replaced by sustainability reports from 2003 onwards. In 2010 the company extended its coverage of sus-tainability to all international locations and since then has reported on its sus-tainability activities on a two-year cycle.

This report encompasses the period from 1 January 2011 to 31 December 2012 and replaces the sustainability re-port of 2010.

The Sustainability Report 2011/2012 re-fl ects the issues and challenges of sus-tainable development important to the company and informs the reader about the company’s sustainability strategy as well as about projects and measures in the areas of climate and environmental protection, product responsibility, em-ployees and societal engagement.

The company bases its coverage of sustainability on the universally recog-nised guidelines of the Global Reporting Initiative (GRI). The information in the report relates to Dr. Oetker GmbH. This includes all German distribution and production locations wholly owned by the company. Countries Division 3A (Af-rica, Asia, Australia) is not yet the sub-ject of this sustainability report, as this division is still being built up. The focus at the locations in Australia, South Africa and India is initially on the organisation of further market development; in China a production facility was not completed until autumn 2011.

Interests in companies are not covered in this report. Nor does it deal with eco-nomic fi gures such as turnover, mar-ket shares or capital spending. Details of these are provided by the Oetker Group’s annual report, which, since it is published annually, always presents the latest data on the previous fi nancial year in each instance.

Group Annual Report www.oetker-group.com

REPORTING FRAMEWORK

Page 5: Company and Responsibility - Dr. OetkerDr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries

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The Dr. Oetker brand

From the outset, the company’s found-er, Dr August Oetker, vouched for his products with his name as guarantor of superlative quality. In so doing, he had created one of the fi rst branded products in Germany, and at a very early stage, built up the brand to form the sound ba-sis of his company. Then, as now, the Dr. Oetker trademark denotes that the products are of the superior quality, are guaranteed to produce the best results, and taste outstanding. The value of the brand was, and is, preserved by the fact that this special pledge of quality is al-ways redeemed.

To this end, all activities are guided by a stringent quality policy. This begins with the meticulous selection of raw materi-als and continues through to the main-tenance of the very highest standards in production and logistics. In pursuit of this brand orientation, Dr. Oetker manu-factures branded products and markets them at prices commensurate with this special service. Moreover, the company sets new directions time and again, giv-ing fresh stimulus for new trends. This contributes to safeguarding the val-ue-creation potential of the Dr. Oetker brand.

Independent and representative sur-veys have repeatedly shown that

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Product ResponsibilityPage 25

A fourth-generation family enterprise

The companies managed by Dr. Oetker GmbH and active in the branded food business form one part of the Oetker Group. Within the Group they are as-signed to the Food Division.

Dr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries. Globally, more than 9,000 employees generate turnover of around two billion euros. The German core company is Dr. Au-gust Oetker Nahrungsmittel KG, based in Bielefeld.

The development from its formation in 1891 to today’s internationally active and broadly diversifi ed company has been shaped largely by the Oetker fami-ly. The company is wholly family-owned and, by virtue of its legal form as a reg-istered partnership, independent of the equity markets. Under Richard Oetker it is managed today in the fourth genera-tion. Apart from their fundamental infl u-ence on strategy and corporate policy, the owner family embodies and guaran-tees soundness, continuity and stability, permitting employees a large measure of identifi cation. They have set out the principle of their entrepreneurial com-mitment with the words: “The interests of the company take precedence over those of the family.”

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The Oetker GroupPage 12

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Sustainability Strategy Page 15

Sustainable Action With A Long TraditionEntrepreneurial responsibility has long been standard practice in the Dr. Oetker family business. Throughout a company history of more than 120 years, cer-tain principles and forms of behaviour have evolved at Dr. Oetker which are never directed towards quick profi t maximisation, but invariably geared towards the sustainable economic development of the company.

PORTRAIT

Page 6: Company and Responsibility - Dr. OetkerDr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries

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In Europe the company leads the mar-ket in the baking, dessert and frozen pizza segments. In all, the internation-al assortments embrace more than 3,500 different products, some being the same across national borders, oth-ers appealing to country-specifi c tastes. Through the acquisition of Fun Foods India, Dr. Oetker is present in the Indian market with various dressings, sauces and dips.

The end-consumer business is aug-mented by special ranges aimed at bulk consumers, with Dr. Oetker Food Ser-vice supplying products in correspond-ing package sizes for kitchens and can-teens in the restaurant trade, hospitals and other institutions.

Dr. Oetker occupies a leading position among German food brands and also ranks among the most trusted food brands in the European region.

The product lines

To meet the changing needs and de-sires of consumers, new products are constantly being designed and exist-ing products refi ned. In the process, the company focuses on three strate-gic product lines in the end-consumer business: ambient food, frozen food and chilled products. Dr. Oetker is rep-resented by roughly 400 different items in Germany and is market leader there in almost all its assortments, which in-clude baking and decoration products, baking mixes, dessert powders, pre-serving products, muesli and chilled ready desserts, as well as frozen pizzas and snacks.

Bulk consumers

Ambient food

Frozen food

Chilled products

STRATEGIC PRODUCT LINES

For historical reasons the brand name in Italy is “cameo”.

PORTRAIT

Page 7: Company and Responsibility - Dr. OetkerDr. Oetker GmbH constitutes the parent company of numerous Dr. Oetker pro-duction and distribution companies op-erating in some 40 countries

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Melbourne

Frozen food

The production sites:

Bielefeld

Ettlingen

Oerlinghausen

Wittenburg

Straßburg Schirmeck

Wittlich

Moers

Leeuwarden Danzig

Lebcz

Maków Mazowiecki

Plock

Mississauga

São Paulo

Buenos Aires

Johannesburg

Kashipur

Pancar

Belgorod

Curtea de Argeş

Boleraz

Jánossomorja

Kladno

Desenzano

Ambient food

Leyland

Chilled products

GERMANY WESTERN EUROPE EASTERN EUROPE AMERICA DIVISION 3A (AFRICA, ASIA, AUSTRALIA)

PRODUCTION SITES Bielefeld | Ettlingen | Moers | Oerlinghausen | Wittenburg | Wittlich

France | Italy | Netherlands | United Kingdom

Czech Republic | Hungary| Poland | Romania | Russia | Serbia | Slovakia | Turkey |

Argentina | Brazil | Canada

Australia | China | India | South Africa

DISTRIBUTION SITES Austria | Belgium | Denmark | Finland | Ireland | Norway | Portugal | Spain | Sweden | Switzerland

Bulgaria | Croatia | Greece | Lithuania | Slovenia | Ukraine

USA

Dr. Oetker markets its products world-wide. To this end, it is represented by distribution and production sites in some 40 countries. The company is based in Bielefeld.

The Plants

PORTRAIT | THE PLANTS

Bhiwadi

Taicang

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ranks among the leading and few inde-pendent private banks in Germany and has a shareholder background industri-al in character.

The Other Interests Division embraces Oetker Group companies which operate in diverse sectors. It includes a chemi-cal industry (Chemische Fabrik Buden-heim), luxury hotels (Oetker Collection), publishing (Dr. Oetker Verlag) and other enterprises.

Safeguarding the future

Operating in varied branches of industry serves, in particular, to spread entrepre-neurial risks and thus ensure the com-pany’s long-term existence. The Oetker Group is coordinated centrally while, at the same time, the individual companies are managed decentrally and operate in the marketplace with a high degree of independence.

The holding company of the Oetker Group and the relevant Group compa-nies trade under the legal form of the registered partnership and are wholly family-owned. This means that strate-gies are not driven by the needs of cap-ital markets but guided above all by the

www.budenheim.com

www.oetkercollection.comwww.oetker-verlag.de

The companies under the overall man-agement of Dr. Oetker GmbH constitute the Food Division of the Oetker Group. Moreover, this division includes several companies operating in the bulk con-sumer business whose customers are chiefl y bakeries and confectioneries, restaurants and canteens.

The Oetker Group, whose holding com-pany is Dr. Oetker KG, comprises more than 400 companies operating in differ-ent industries. With turnover of some ten billion euros and a workforce of more than 26,000 worldwide, the Oetker Group ranks among the major German family enterprises.

The business divisions

Along with the Food Division, fi ve other business divisions belong to the Oetker Group.

The Beer and Non-Alcoholic Beverage Division is managed by the Radeberger Group and comprises numerous beer brands such as Jever, Clausthaler and Schöfferhofer Weizen. Further compo-nents are the well-known mineral water brand Selters and the soft drink Bio-

www.oetker-group.com

www.radeberger-

gruppe.de

nade. International beers such as Coro-na Extra, Estrella Damm or Guinness are distributed exclusively by the Rade-berger Group in Germany.

In the Sparkling Wine, Wine and Spirits Division, Henkell & Co. is the lead com-pany. The portfolio contains such spar-kling wine specialities as Fürst von Met-ternich and Henkell Trocken as well as spirits like Wodka Gorbatschow, with which the company is market leader in Germany. A wine trading company (Johannisberger Weinvertriebs gesell-schaft) is also part of this business divi-sion.

The largest entity of the Oetker Group by turnover is the Shipping Division, un-der the control of the long-established shipping group Hamburg Süd. This group also includes the Brazilian ship-ping company Aliança as well as the tramp activities operating under Rudolf A. Oetker and Furness Withy Charter-ing. With some 160 vessels, the ship-ping group occupies a leading position among the private ship-owning compa-nies in Germany.

Operating in the Banking Division are Bankhaus Lampe and its subsidiaries. It

www.henkell-sektkellerei.de

www.hamburgsud.com

www.bankhaus-lampe.de

principle of sustainability. In addition, a high level of earnings retention by the partners ensures the company’s future viability. An initial public offering is not contemplated.

In all Group companies long-term per-sonnel development strategies ensure that management expertise will be re-tained into the future and continuously expanded. At the same time, the man-agers working in the Group demonstrate that an atmosphere of trust and a large measure of discretionary freedom are ensured.

The Oetker Group

Dr. August Oetker KG

OTHER INTERESTSBANKINGSHIPPINGBEER AND NON-ALCOHOLIC BEVERAGESFOOD SPARKLING WINE, WINE AND SPIRITS

PORTRAIT | THE OETKER GROUP

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Entrepreneurial actions are always guided by the values of an international-ly active and simultaneously long-estab-lished family enterprise. In particular, consistency, trust, credibility, farsighted-ness and independence possess signifi -cance for Dr. Oetker and are exempli-fi ed by the owner family. Corporate strategies and decisions are structured for sustainability: they are never direct-ed solely at short-term successes but always at the continued existence of the company. The basis of this is the own-ers’ maxim that the interests of the com-pany take precedence over those of the family.

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Portrait Page 7. xxx

Sustainable development at Dr. Oetker is based on the four building blocks of economy, ecology, social and societal responsibility, with the economic dimen-sion forming the foundation. It creates the funds which fi nance the other areas. All these building blocks are mutually dependent. This is why the company’s fundamental attitude is to harmonise economic success with its responsibility to the environment, employees and so-ciety, to anchor it fi rmly in its corporate identity and thus in the way it thinks and acts. This sustainable corporate gov-ernance puts people at the centre.

Sustainability Strategy

Sustainable corporate governance is the basis of all decision processes at Dr. Oetker. The overriding aim is to preserve and enhance the values of the family business and safeguard the continued existence of the company.

PUTTING PEOPLE AT THE CENTRE

SUSTAINABILITY STRATEGY

With its brand, its products, its technologies and processes, Dr. Oetker

wants to meet people’s needs.

The company deals responsibly and fairly with its customers, busi-

ness partners, employees

and fellow human beings.

Dr. Oetker makes a contribution to the conservation of the environ-

ment and to the development of

society with its numerous initiatives

and measures.

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Outlook and goals

• Increasing company value annually and thereby safeguarding the con-tinued existence of the company.

• Further strategic integration of the is-sue of sustainability in the company.

• Continuous expansion of energy management and monitoring with the aim of further reducing energy consumption and emissions.

• Developing the organisation, man-agement expertise and employee qualifi cation to meet constantly changing company requirements successfully.

• Making an active contribution to fostering a positive, familial working environment and the education of people of all ages.

Moreover, Dr. Oetker looks beyond its own factory gates and works closely with other companies, associations, sci-entifi c institutes and educational institu-tions. The aim is to meet the challenges of a changing environment and design strategies for sustainable corporate de-velopment and the associated safe-guarding of jobs. Additionally, the com-pany cooperates with other institutions to analyse and enhance its sustainabili-ty structure.

Beyond that, the family business has, since its founding, concerned itself with the pressing societal issues of the par-ticular era and has always made a con-tribution to social, cultural and educa-tional development.

Sustainability at Dr. Oetker is a continu-ously practised conviction. All company employees assume responsibility for it in their sphere of infl uence on a daily basis.

www.oetker.de

www.oetker.de

The company operates in more than 40 countries and is decentrally structured. The Executive Board bears overall re-sponsibility for the strategic and sustain-able alignment of the company, con-trolling and steering it worldwide. The managers in the respective depart-ments and national companies coordi-nate sustainability activities locally. In doing so, each national company acts on its own responsibility and against the backdrop of its cultural setting.

Dr. Oetker has established appropriate management Systems and standards to support all employees in performing and exercising this responsibility. Within the framework of its sustainability strategy, the company works constantly on suc-cessively implementing these high standards at all locations.

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Management SystemsPage 21S. xxx

Dr. Oetker acts on the principle of the “honourable merchant” and views com-pliance with statutory provisions and ethical principles as a matter of course. Management positions are fi lled by peo-ple who share the company’s values. Furthermore, the prudent corporate pol-icy is characterised by a combination of tradition and progress. The quality pledge and balancing of risks corre-spond with the creation of innovations and the opening up of new markets.

The more than 120-year history of the family business illustrates the success of this sustainable alignment. Account is also taken of this long-term orienta-tion within the context of increasing international growth. A foresighted ap-proach is pursued with activities in emerging markets, and the structures necessary for opening up the market built up gradually.

Richard Oetker, Chairman of the Executive Board, operates a prudent corporate policy and is committed to social concerns.

Board member Ralf Blomeier sees employ-ees as key to corporate success and ensures the optimum use of transport in Logistics.

Board member Otto Clüsener is responsible for Environmental and Quality Management, overseeing production processes for envi-ronmental and social compatibility.

Board member Rainer Lührs practises sus-tainability with consumers’ needs in mind and is responsible for the portfolios Research and Development as well as Marketing.

Board member Dr Martin Reintjes is in charge of Sales and answers for the further development of sustainable product line and process solutions vis-à-vis the partners in the trade.

Board member Andreas Unruhe oversees Purchasing, among other things, and en-sures the responsible procurement of basic ingredients and materials.

SUSTAINABILITY STRATEGY

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packaging would be undertaken, if at all, in a measured way, and then only if it really made sense and were compre-hensible for the consumer.

Is there a confl ict of aims between quality and sustainability?

Rainer Lührs: No, to my mind, quality and sustainability are not mutually ex-clusive. The Dr. Oetker brand has al-ways stood for outstanding quality and for products that taste exceptionally good and are guaranteed to turn out well. At the present time - but in the fu-ture too - the quality concept, though, should be augmented by sustainability aspects. They are something we must take into account even more in order to develop the best possible product. We regard that as our responsibility to the Dr. Oetker brand, which has always been something special and which should continue to be something quite special.

demand here is not big enough to allow us a part in shaping the market. Unlike with cheese or fl our, we have fewer op-portunities here to bring infl uence to bear on the upstream supply chain.

What role does the consumer play in the context of Dr. Oetker's product responsibility?

Rainer Lührs: As a responsible compa-ny, we need, for example, to give thought to how consumers can prepare our products in an even more ener-gy-friendly way. Consideration would have to be given, for instance, to wheth-er the oven will have to be preheated, or if there are other sure-fi re ways to pre-pare our products. We should also study the question of whether we still need a folding box for our products, or whether stronger plastic fi lm would appeal to the consumer more because he no longer wants to have the outer packaging at all. In terms of the ingredients, the question is whether a consumer would pay more for the same product if basic materials were used that take even greater ac-count than before of sustainability con-cerns. Various studies have shown us that consumers would be very willing to do so, but the sales fi gures are currently speaking a different language.

Many product packages feature seals that stand for certain statements. Why doesn't Dr. Oetker use seals?

Rainer Lührs: There's now a fl ood of seals. We, at Dr. Oetker, are of the opin-ion that very few of them offer the con-sumer guidance. In our view, the best seal we have is the Dr. Oetker brand it-self. Our brand sends out the signal that the consumer is buying a decent prod-uct. Any use of seals on our product

SUSTAINABILITY STRATEGY | INTERVIEW

Interview with Rainer LührsMember of the Executive Board Marketing, Research and Development

Which issues has Dr. Oetker identi-fi ed, and how are they being tackled?

Rainer Lührs: Dr. Oetker has always been a sustainable company. We've imple-mented many measures in the past hun-dred years, always in the context of events at the time. For instance, we've ensured proper production methods, cre-ated sustainable work models for our staff and improved our employees' old-age provision. Today we must concentrate even harder on the products. In the pro-cess we should focus primarily on the ones that give us the ability to bring about changes by virtue of the quantities we purchase, as is the case with cheese or fl our. This is where we buy in relatively sizeable quantities. We also source co-coa. But with our very low-quantity pur-chases when measured against total worldwide cocoa bean production, our

Is sustainability a fashionable issue?

Rainer Lührs: No, I don't believe it is. Our society needs to deal with global warming, population growth and the lim-ited ability, even today, to put food in people's stomachs. Sustainability is the issue of the future, one we'll have to en-gage with even more as we go forward. But we also have to distinguish between urgencies because, as a company in the food sector, our job is to feed peo-ple, and that has certain limitations. Companies can't do everything at once; that would be a very idealistic way of thinking.

“Quality and sustainability are not mutually exclusive.”

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Environmental and energy management

With the introduction of an environmen-tal management system according to the globally valid ISO 14001 standard, Dr. Oetker incorporated environmental protection into the entrepreneurial activi-ties and decisions, whose framework is formed by, among other things, the Dr. Oetker Environmental Guidelines. Moreover, the executive manager of the Environment Department is involved in all environmentally relevant decisions and so contributes to the further devel-opment of environmental protection. In-tegration of the environmental and quali-ty management system took place in the mid-1990s.

To counter the effects of global climate change, Dr. Oetker works constantly on lowering its energy consumption and thus its CO2 output. The company in-stalled energy monitoring systems in its plants many years ago for this purpose. With the implementation of the ISO 50001 energy management system in 2011, a further systematic and continu-ous approach to energy reduction was created. All national locations were suc-cessfully ISO 50001 certifi ed in 2012 to take account of heightened requirements for energy effi ciency.

Environmental Guidelineswww.oetker.de

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ProductionPage 42

Quality management

Basic prerequisites for the success of the Dr. Oetker brand are the high quality and safety standards of the products. Consideration of them begins right back at the development stage and extend through to preparation by the consumer. To guarantee product quality and safety at all times and continuously improve it at a high level, the company is guided by a stringent quality policy. To this end, Dr. Oetker has built up a comprehensive quality system with explicit and globally valid requirements. One part of this quality system is quality management in accordance with the international stand-ard IS0 9001, which is regularly recerti-fi ed.

In 2012 this existing quality manage-ment system was broadened to include a food safety system based on the inter-nationally recognised ISO 22000 norm. Initially, one German, one Polish and the Italian location were integrated. It is planned to complete full integration of all German and international locations by 2015.

Quality Brochure www.oetker.de

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Quality Assurance Page 28

Management Systems

As a globally operating company, Dr. Oetker faces a corporate structure gaining in complexity. Besides an organisation with clear responsibilities, the family business has established various management systems based on internation-ally recognised standards to align its sustainable corporate governance. Bind-ing standards of conduct support employees in carrying out their work and the company's performance with regard to quality, the environment and workplace safety is reviewed by means of regular audits.

MANAGEMENT SYSTEMS

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A fundamental element of this system is the Oetker Code of Business Conduct. The Code applies to all employees in all business fi elds and countries in which the company operates. Apart from the core statement that breaches of appli-cable law will not be tolerated, the Code summarises the key rules of conduct for staff, for instance:

• No anti-competitive agreements • No inadmissible granting or accept-

ance of benefi ts • Separation of business and private

interests • Rejection of any form of discrimina-

tion • Careful and correct handling of com-

pany information

In addition, a compliance organisation was established whose compliance of-fi cers are available to all members of staff as neutral and independent points of contact for questions regarding com-pliance. To avoid ambiguous situations in the day-to-day work from the outset, managers and staff are sensitised in regularly held courses and given sup-port in understanding and complying with the legal provisions

Outlook and goals

It is planned to complete the full integra-tion of all locations into the food safety system in line with the ISO 22000 stand-ard by 2015.

The environmental and quality manage-ment representatives report directly to the Executive Board. They supervise implementation of all environmental protection measures resulting from the environmental and energy policy, as well as the quality policy, and support plant managers in an advisory capacity. Carrying out internal audits and prepar-ing all locations for external certifi cation are as much a part of these areas of re-sponsibility as is instituting appropriate corrective measures in the event of non-conformity.

Within the framework of regular man-agement reviews, the Executive Board assesses the effectiveness of the sys-tem. Furthermore, continuous improve-ment measures are defi ned and the at-tainment of environmental and quality targets reviewed. Information is provid-ed by the environmental and quality au-dits, among other things.

Additionally, environmental and quality management representatives are active at each location. All representatives re-ceive regular training and are the imme-diate contacts for their colleagues on issues relating to the implementation of the environmental and energy policy as well as the quality policy.

Compliance management

As a result of the company's strong in-ternational growth, the issue of compli-ance has gained in importance. Global business activity faces employees with different legal and value systems. An added factor is that statutory require-ments are constantly increasing world-wide. A compliance management sys-tem has therefore been developed for the entire Oetker Group.

In addition to training in preventative health care and work safety, regular fi re drills and fi rst-aid courses are held. Comprehensive training also sensitises employees to emergency situations.

Integrated management systems

For the optimal exploitation of syner-gies, Dr. Oetker began to establish a uniform and integrated environmental and quality management system in the mid-1990s.

The integrated management system in-cludes the organisational arrange-ments, processes, competences, pro-cedures and work instructions which serve the monitoring and further im-provement of the environmental and quality management system within the company. Corresponding processes and structures are mapped out in an in-ternationally applicable management manual.

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Environmental Management Page 21

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Quality Management Page 21

Workplace safety management

At Dr. Oetker staff safety is paramount. Occupational health and safety is or-ganised on the basis of OHSAS 18001. Within the framework of occupational health and safety, numerous specially trained safety representatives in various areas check the implementation of health and safety standards and acci-dent prevention measures. They report identifi ed shortcomings, propose meas-ures for remedying them and ensure these measures are carried out. Ma-chinery and plant are regularly checked for any risk they may pose, and equal care is taken to ensure that work equip-ment is safe and its organisation com-mensurate with health protection within the terms of the Ordinance on Industrial Health and Safety. Annual health and safety reports record accident statistics as well as the health and safety meas-ures and corresponding training meas-ures carried out.

MANAGEMENT SYSTEMS

Safety is writ large at all Dr. Oetker plants. In cooperation with the local fi re brigade, employees are repeatedly sensitised to fi re protection, as here at the production site in Brazil.

Dr. Oetker plants are regularly certifi ed by external auditors.

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24 25

sized portions. At the same time, the company is not pursuing the aim of dis-placing "traditional nutritional knowl-edge". On the contrary: Dr. Oetker im-parts nutritional knowledge, gives tips on balanced and conscious nutrition and, through instructions and seminars, sup-ports consumers in preparing food them-selves.

Quality pledge

The industrial production of conveni-ence food does not mean having to for-go quality. With the slogan "Quality is the best recipe", Dr. Oetker gives ex-pression to the high quality of its prod-ucts, regardless of the country in which and for which they are produced. Any-one reaching for a Dr. Oetker product expects an excellent product and that special taste experience. Recipes and recipe suggestions document the ex-pertise of the Dr. Oetker brand. The preparation of Dr. Oetker products and recipes is simple and can also be achieved by less ambitious consumers reliably and without fail.

As well as incomparable enjoyment, Dr. Oetker brand quality means product safety through the careful selection of

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Consumers Page 57

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PortraitPage 7

Culinary culture in fl ux

In the past decades the prevailing soci-etal conditions have changed signifi cant-ly and are responsible for an adaptation of food habits. In a society strongly reli-ant on the division of labour and experi-encing heightened pressure in relation to qualifi cation and effi ciency, there is in-creasingly less room for broadly based practical nutritional knowledge and in-creasingly less time for daily meals re-quiring elaborate preparation. Nor does everyone have the necessary ingredi-ents to hand.

These changes are also refl ected in culi-nary culture. The proportion of industrial-ly semi-fi nished and fi nished products – convenience food – involved in feeding the population has risen in recent years. Dr. Oetker is also a provider of conveni-ence products and, with them, is taking heed of the changing needs and desires of consumers.

Convenience products from Dr. Oetker are time-saving, demand no special pre-vious knowledge, are guaranteed to pro-duce the best results and always deliver the same quality. Moreover, they take account of a growing number of single households that require appropriately

Product Responsibility

Dr. Oetker manufactures products that are exclusively of the superior quality, are guaranteed to produce the best results and taste outstanding. To this end, the company is guided by consumers' needs resulting from societal change. But the manufacture of products under socially compatible and environmental-ly sound conditions is also a fundamental part of Dr. Oetker's quality pledge. Product responsibility therefore begins right back at the development stage of products and packaging, and runs through the entire value-added chain. Sim-ilarly, the avoidance of the unnecessary destruction of food is an important concern for the company

PRODUCT RESPONSIBILITY

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26 27

To avoid waste, Dr. Oetker is intent on making the fullest possible use of all raw materials. This requires the close coop-eration of the Purchasing, Production Planning and Sales Planning divisions. In its transport operations the company ensures that the goods produced are delivered to the trade in perfect condi-tion. Should, contrary to all expecta-tions, the goods fail to meet the high quality standards at any time, consider-ation is given to possible alternative uses of the goods.

Good organisation and logistics throughout the production process enable waste, as well as faulty and ex-cess production, to be avoided to the greatest possible extent and thus to keep the destruction of food to the abso-lute minimum.

the raw materials and the fulfi lment of stringent quality standards throughout the production process. The aspiration to meet consumer requirements in the best possible way is to be understood not least by the special quality of this brand. They are ascertained with inten-sive market research. Moreover, more than 4,000 testers sample and assess the various products and have quite considerable infl uence on Dr. Oetker products. At the same time, account is taken of regional preferences.

Avoidance of food destruction

Quality for Dr. Oetker also means the ethical handling of food. As a responsi-ble branded food company in the food sector, Dr. Oetker shares public criti-cism of the wasteful treatment of food. The fact that food is thrown away – some of it even in its original packaging – especially in the industrialised west-ern countries, has induced Dr. Oetker to deal sensitively with this issue for many years.

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Quality AssurancePage 28

PRODUCT RESPONSIBILITY

QUALITY The focus on the quality of the products has always been a decisive success factor of the company. Consideration of safety and quality begins with the development of products and extends through all stages of the product process.

At Dr. Oetker, quality and sustainability aspects begin with the development of products and pack-aging and extend through the entire product manufacturing process.

PRODUCT DEVELOPMENT Dr. Oetker products are of the highest quality. The foundation stone for this is laid at the product development stage. First-class quality also includes the consideration of environmental and cli-mate impact, which Dr. Oetker takes into account in the develop-ment of products and packaging.

PURCHASINGThe consideration of sustainability aspects also plays an impor-tant role in the selection and purchase of the necessary basic ingredients and materials. The company exerts as much infl uence as it can by applying proprietary, internationally valid purchasing standards and vetting suppliers.

PRODUCTIONDr. Oetker produces at around 30 locations worldwide. Minimisa-tion of the impact on the environment and climate caused in the production process forms one focus of the company-wide envi-ronmental activities. The company works constantly on improving its production processes to this end.

LOGISTICSThe increasing globalisation and diversifi cation of markets has led to a rise in commodity fl ows at Dr. Oetker. Sophisticated logistics concepts and investments in infrastructure ensure that transport volume is optimised and the impact on environment and climate reduced.

CONSUMERSAs an innovative company, Dr. Oetker accompanies changing consumers’ needs with newly developed products. For this pur-pose, it stays in constant, direct touch with the consumer and also provides information on all aspects of nutrition.

PRODUCT RESPONSIBILITY

With its product offer-ings, Dr. Oetker takes heed of changing consumers’ needs.

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28 29

It must be assured that the goods come to no harm in transit and their prove-nance remains clearly identifi able throughout. Especially in the case of chilled and frozen products, attention must be paid to an unbroken cool chain. This is why the quality assurance meas-ures for all products are also aligned with the HACCP concept in logistics.

A process data information system ena-bles the individual production sequenc-es and measurement data to be accu-rately checked. In this way, all production steps can be tracked and possible sources of error detected.

The fi nal word, however, is with the con-sumers, because the products are in-tended to meet their requirements. More than 4,000 consumers therefore regular-ly assess the taste of the products and test their simple and safe preparation. The testers’ wishes and suggestions in turn feed into the optimisation of prod-ucts and the development of new ones.

Outlook and goals

The company’s Research and Develop-ment Division devotes continuous effort to testing new methods and optimising those in use to meet the constantly in-creasing demands made on quality as-surance.

truck delivery in accordance with pre-cisely specifi ed methods. Elaborate analysis techniques and methods are used to test them both for harmful mi-cro-organisms and residues such as plant protection agents. Only when all tests have been successfully completed are the raw ingredients released for fur-ther processing.

In production, quality assurance takes care of strict compliance with all speci-fi ed quality and hygiene standards. In addition to the right dosage and the monitoring of the processes, the checks are directed towards bacteriological safety and the detection of any contami-nation, by foreign bodies, for instance. Production-related quality assurance guarantees that only safe and high-qual-ity products leave the plants.

Other important prerequisites for main-taining safety and quality in food are packaging and fast, monitored and prop-er transportation. Here, too, high hy-giene standards have to be met. For this reason, care is taken to ensure that transport containers and packaging pro-vide adequate protection during trans-portation and storage, and no interaction between packaging and product takes place.

PRODUCT RESPONSIBILITY | QUALITY ASSURANCE

Quality Assurance

Quality assurance plays an overarching role at Dr. Oetker and takes place at all stages of the product life-cycle. Consideration of product safety and quality begins with the development of a new product. Even at this point, the hygienic organisation of the production facilities is considered, packaging designed with a view to product protection, and the selection and inspection of the basic in-gredients taken into account.

The basis for ensuring raw-ingredient quality is a comprehensive supplier and specifi cations management regime. The desired quality characteristics are de-scribed in detail in the specifi cations. They are part of the contracts and the basis for the quality inspections to be carried out upon receipt of the goods. Suppliers are constantly vetted for their “quality capability”. This is done chiefl y by regular external audits whose results feed into the supplier evaluations.

Initial intensive checks take place upon receipt of the raw ingredients to be used. Samples are drawn from every single

Quality assurance at Dr. Oetker follows the HACCP concept pursuant to the Food Hygiene Ordinance, which analy-ses the entire manufacturing process for any risks to health. Appropriate control measures at precisely specifi ed stages in the process guarantee product safety and quality, with each detail of the pre-ventive quality assurance measures be-ing stipulated. The standards laid down by Quality Assurance are applied at all Dr. Oetker locations. The quality man-agement system is regularly examined by external auditors and recertifi ed ac-cording to internationally valid stand-ards.

Quality Brochurewww.oetker.de

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Management SystemsPage 21

Even the smallest traces of plant protection agents can be detected with the aid of gas chromatography.

At the Dr. Oetker production sites, samples are drawn from every single truck delivery in accordance with precisely specifi ed methods.

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Ingredients

In some products, industry cannot dis-pense with the use of additives for the same reason as the craft sector, or the consumer in the domestic kitchen; a cake, for instance, would not rise with-out a raising agent. Additives (also known as E numbers) have always been used in food production. Today’s wide range of high-quality food would be inconceivable without them. They serve to make food safe and non-per-ishable, thereby also contributing to re-ducing food destruction.

Dr. Oetker takes growing consumer de-mand for natural food ingredients and natural food seriously. To ensure that food remains hygienically fl awless to the end of its shelf life, does not change in taste and appearance, and consistent quality can be guaranteed, a minimum of additives is sometimes necessary. In

PRODUCT RESPONSIBILITY | PRODUCT DEVELOPMENT

Product Development

The development of a product, including the method used in its manufacture, involves the cooperation of many specialists from different divisions within the company. Prominent in the minds of those involved is the quality pledge and the consideration of consumer desires. Furthermore, recipe and raw material requirements are specifi ed, and the development and testing of production technology planned, also with a view to reducing environmental and climate impact.

Today, just as much as at the time the company was founded, the wishes of consumers form the basis for the devel-opment of Dr. Oetker products. To iden-tify their diverse needs at an early stage, their requirements are systematically in-corporated into the product evolution process. In order to satisfy customer de-mands, the company monitors global consumer trends and conducts consum-er surveys as part of its systematic mar-ket research. Additionally, sensory tests rate the chances of a new product in the marketplace. The insights gained in this cooperation with consumers help prod-uct developers to choose optimum raw materials and recipes. In the contact with consumers, the products and cook-ing instructions are examined for the de-gree to which they meet their demands.

Cooperation with business, science and authorities

Dr. Oetker works with a large number of external partners from the business and scientifi c community to generate ideas and realise innovations. Together with universities and research laboratories, projects on basic research are imple-mented. Furthermore, the company holds memberships in associations di-rected at exchanging information re-garding developments in food law as well as exploiting technological and sci-entifi c know-how. The company contrib-

Quality Brochurewww.oetker.de

Involving consumers

Baking powder had been invented be-fore the founding of Dr. Oetker. Yet the idea of developing the baking powder Backin, which is non-perishable, devoid of any aftertaste and precisely meas-ured out for 500 grams of fl our, emerged because the company’s founder, Dr. Au-gust Oetker, recognised the needs of his customers. Thanks to his proximity to his fellow human beings he learned of the challenges they faced in domestic kitchens, and developed solutions for a method of preparing baking products and desserts guaranteed to produce perfect results.

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ConsumersPage 56

Backin is the com-pany’s fi rst product and the one which

simultaneously laid the foundation stone for company

formation.

utes to the further development of food law standards for the benefi t of the con-sumer.

Raw materials

As part of product development, the quality parameters and characteristics of the raw ingredients are laid down in detailed specifi cations and audit plans with which selected suppliers must comply. Whether a supplier comes into question for Dr. Oetker on a sustained basis is decided only after several deliv-eries of raw materials, which must al-ways satisfy the specifi cations drawn up in product development and stand up to tests regarding the product attributes described there.

The insights gained in the sensory test assist Dr. Oetker in selecting raw materials and recipes.

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Environmental protection throughout the product life-cycle

For the consideration of environmental and climate impact, the entire product life-cycle is analysed with regard to eco-logical implications. From the initial product idea through product and pack-aging development, from the selection of raw materials through the individual production stages to product shipment and the recycling or disposal of packag-ing: at Dr. Oetker, account is taken of environmental effects at all stages of the product life-cycle, and measures de-

To protect the environment, Dr. Oetker uses recycling boxes to the greatest possible extent. Recent surveys in the paper recycling industry have revealed that the use of recycled paper substanc-es as packaging material can lead to contamination from traces of mineral oil. As a result, Dr. Oetker has converted the printing of all packaging to mineral oil free or low mineral oil ink and had extensive tests carried out by independ-ent institutes. In no Dr. Oetker product is there direct contact between box and product. All products are wrapped in fl exible fi lm to guarantee the highest possible product protection.

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For salt is needed in the production of the sausage and cheese specialities purchased by Dr. Oetker, in order to pre-vent the growth of bacteria and mould and thus guarantee the microbiological safety of the product. Moreover, in its market research the company has es-tablished that too sharp a reduction in one step results in consumers rejecting products or adding salt. The company’s strategy is therefore to reduce salt con-tent step by step while retaining the qualitative characteristics. A start was made fi ve years ago. It has so far been possible to achieve a reduction of more than 10 % in salt content across the en-tire pizza segment.

Packaging

Packaging development is part of prod-uct development. Product packaging is designed in such a way as to provide adequate protection during transporta-tion and storage and meet ecological demands, especially as regards mini-mising transport weight and disposal volume. Moreover, it must be guaran-teed at the product development stage that there is no interaction between packaging and product.

this, Dr. Oetker proceeds on the quan-tum satis principle: only as few additives as possible and only as many as need-ed are used. Wherever possible, the company dispenses entirely with the use of additives. They do not replace in-gredients. It goes without saying that the use of additives, as well as their la-belling, is undertaken in accordance with the national and European statuto-ry provisions.

Dr. Oetker converted its products from azo dyes to colouring foodstuffs or other harmless colorants for the product reci-pes concerned a number of years ago. It also made this change for the baking decorations business of Schwartauer Werke, which was taken over in March 2010. Since July 2010 they are pro-duced according to the new recipes, which dispense with azo dyes.

Another issue which Dr. Oetker has been actively addressing for many years is the reduction of salt in frozen pizzas. Salt is used here for sensory and taste reasons. The fundamental salt content in the pizza, however, re-sults from the ingredients. For this rea-son, implementation is proving some-what more diffi cult for some products.

PRODUCT RESPONSIBILITY | PRODUCT DEVELOPMENT

PACKAGING

PRODUCT

Packaging development

Product development

Emissions into the air and water (harmful substanc-es); energy con-sumption, waste

Energy consumption, effl uent/waste

PRE-PRODUCTION STAGE

Operation(production)

Operation (production)

Raw materials

Agricul-tural raw materials

Preparation/consumption by consumer

Packaging industry

Processing industry, mills, chemi-cal industry, meat proces-sors

Recycling/disposal

Energy consump-tion, emissions into the air, impact on water/soil

PRODUCTION STAGE

POST-PRODUCTION STAGE

Energy consumption,effl uent

Preparation/consumption by consumer

Energy consumption,effl uent

Energy con-sumption,emissions into the air, effl uent/waste, noise

Energy con-sumption,emissions into the air, effl uent/waste, noise

Resource consumption

Impact on soil and ground water

PRODUCT LIFE-CYCLE

major infl uence Emissions into the air Transport little infl uence moderate infl uence

tw

Packaging must provide adequate

product protection and meet environmental

demands.

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Outlook and goals

For the Dr. Oetker brand, consumers’ wishes are foremost. The company of-fers high-quality products that can be prepared safely and reliably by consum-ers. Dr. Oetker will continue to be guided by changing consumers’ needs and offer products which are certain to produce the best results and provide incompara-ble eating pleasure.

A further 10 % reduction in the salt con-tent in frozen pizza is planned for the coming fi ve years.

study shows that the products’ formula as well as the shopping trip and pro-cesses in households, such as storage and preparation, have a greater infl u-ence on the climate balance than prod-uct formats. Thus the consumer can make a crucial contribution to reducing greenhouse gases by, for instance, cy-cling or walking to the supermarket for short distances. Based on the study, it is not Dr. Oetker’s intention to shift re-sponsibility to the consumer. Rather, the company takes the issue of climate pro-tection seriously and will critically ana-lyse and refi ne its activities on the basis of the results of the study.

veloped in advance to keep the environ-mental impact as low as possible.

The products of the frozen food indus-try, in particular, are repeatedly the sub-ject of unwarranted criticism for being especially harmful to the climate on the basis of their production process as well as the need to maintain constant refrig-eration in distribution and storage. Dr. Oetker takes these matters seriously and has therefore made the reduction of greenhouse gas emissions a focal point of environmental activities.

In addition, the company is also engag-ing with the German Frozen Food Insti-tute (“Deutsches Tiefkühlinstitut” or “dti” for short) on this subject and has collab-orated here on a climate balance study commissioned from a well known Ger-man Institut for Applied Ecology (Öko-In-stitut). The result of this study, which was published in September 2012, is that frozen food products are no more harmful to the climate than chilled prod-ucts or comparable products prepared by consumers themselves. Further, the

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Climate Balance Study dti and Öko-Institut

www.tiefkuehlkost.de

PRODUCT RESPONSIBILITY | PRODUCT DEVELOPMENT

Based on the results of the climate bal-ance study by the German Frozen Food Institute and Öko-Institut, Dr. Oetker will investigate the feasibility of expanded cooking instructions enabling consum-ers to prepare frozen pizzas certain to turn out right without the need to preheat the oven. At the same time, however, top priority will be given to the guarantee of product success that has always been provided by the company and must be assured in any event. Dr. Oetker will also take account of the insights gained from this investigation in other product categories.

Preheat the oven or not? Based on the results of the climate balance study by the German Frozen Food Istitut, Dr. Oetker intends to look into the question. A foremost consideration in the process will be assured product success, which must be guaranteed in any event.

Source: dti and Öko-Institut

Climate balance frozen pizza

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36 37

standards in production and are re-quired to ensure that the working condi-tions at their sub-contractors accord with this standard.

The standards demanded are in accord-ance with the provisions of the Interna-tional Labour Organisation (ILO) and the guidelines of the Organisation for Economic Cooperation and Develop-ment (OECD). The company tolerates neither child labour nor forced labour in supplier businesses and at their sub-contractors. The weekly working time, as well as the permissible daily maximum working time, must at least comply with customary national legisla-tion and directives. Furthermore, wage levels must meet the statutory or indus-try standard, whichever is the higher.

Certain raw materials, in particular, are frequently suspected of being harvested and processed with the use of illegal child labour. As part of its purchasing

The use of genetic engineering fi nds dif-ferent levels of acceptance around the world, being viewed with scepticism es-pecially in the countries of the EU. Dr. Oetker takes heed of the consumer wishes prevailing here and consequent-ly uses no genetically modifi ed raw ma-terials. Should the agricultural industry extend the areas under cultivation with genetically modifi ed crops to such an extent that signifi cant and demonstrable changes in the statutory threshold value are exceeded, Dr. Oetker will immedi-ately inform consumers by means of correct labelling.

In terms of its social responsibility, the company sees it as its duty also to en-sure compliance with social standards throughout the supply chain. To this end, Dr. Oetker has established an in-ternational suppliers manual which is the subject of all supplier contracts. All the company’s business partners un-dertake to comply with specifi ed social

PRODUCT RESPONSIBILITY | PURCHASING

Responsible Raw Material Management At Dr. Oetker the consideration of sustainability aspects begins with the selec-tion and purchase of the necessary raw ingredients and materials. The com-plex commodity fl ows within the supply chain can be infl uenced to only a limit-ed extent. Its own internationally valid purchasing guidelines, as well as the comprehensive vetting of suppliers and stringent monitoring, permit the com-pany to exert the greatest possible infl uence.

ees and the sustainable husbanding of ecological resources. The company’s purchasing standards are binding for the business relationship between Dr. Oetker and its suppliers and are continuously adapted to refl ect prevail-ing requirements.

Dedicated purchasing standards

The Dr. Oetker Food Standard de-scribes and lays down precise criteria that are binding on suppliers. Conse-quently, suppliers of raw materials must demonstrate a functioning, tested and documented traceability system in line with EU Regulation 178/2002.

Purchasing decisions also take account of ethical considerations. The Dr. Oetker Food Standard therefore specifi es re-quirements concerning animal welfare and the protection of species: suppliers must, for instance, demonstrate that tuna is caught only with the use of dol-phin-friendly fi shing methods, or that eggs or chicken meat comes only from fl oor-raised animals.

In the case of meat and meat products, the use of antibiotics is permitted solely for combating diseases among animals. Their use as fattening agents or growth promoters – in common with other sub-stances used for these purposes – is not permitted for Dr. Oetker suppliers.

Cooperation with suppliers

As an internationally operating manu-facturer, Dr. Oetker assumes responsi-bility worldwide. The company wishes to offer its customers products that are of the highest quality but have also been produced with economic effi ciency, as well as under socially and environmen-tally compatible conditions, along the entire value chain. A key factor in this are the suppliers.

The company expects the conduct of its suppliers and contractual partners to conform to Dr. Oetker’s corporate val-ues. In the choice of suppliers, there-fore, account is taken of both the quality of the raw materials and compliance with social and ecological standards.

Dr. Oetker aims to establish fair and co-operative business relations with its suppliers that are based on honesty and trust and are binding in character. Con-structive dialogue and close coopera-tion form a sound framework for the company’s activities.

In addition, Dr. Oetker has developed fi rm, dedicated purchasing guidelines and integrated them into its framework supplier agreements. The standards de-fi ned in them are exceptionally high and apply globally. They are aimed at achieving compliance with quality re-quirements, meeting minimum social standards among the suppliers’ employ-

In their talks with suppliers, Dr. Oetker’s buyers draw attention to compliance with the company’s own high purchasing standards.

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Purchasing pursues three main goals in relation to sustainability:• Creating transparency: critical raw

materials are identifi ed and moni-tored.

• Creating value: sustainability is en-sured along the entire value-added chain in economic, ecological and social terms.

• Avoiding risks: critical raw materials are managed sustainably and sub-stituted whenever possible.

If a supplier proves uncooperative or in-fringes statutory provisions, Dr. Oetker institutes a reminders procedure and bars the supplier. As a last resort, the company terminates the business rela-tionship with the supplier.

Critical raw materials

The company also considers the protec-tion of natural resources and biodiversi-ty part of responsible raw materials management. For this reason, it aims to dispense with the use of unsustainably produced agricultural and animal prod-ucts.

Since 2011 Dr. Oetker has been a mem-ber of the Roundtable for Sustainable Palm Oil (RSPO). In the intervening pe-riod, the relevant Dr. Oetker locations have been successively RSPO certifi ed and converted to the procurement of sustainably grown palm oil. In Germany only sustainably grown palm oil has been used since the end of 2012; world-wide conversion is planned for 2015.

Outlook and goals

Beyond this, Dr. Oetker is also devoting constant effort to continuing to improve its purchasing policy. Since 2011 the company has been specifi cally assess-ing socially or ecologically risky raw ma-terials in the Purchasing Division as part of a holistic risk management regime. This risk assessment is now being tak-en into account in the selection of sup-pliers.

quirements in the areas of quality, safe-ty, health, environment, human rights, working conditions and anti-corruption. Additionally, employees visit the pro-duction sites. By means of interviews with those involved and a joint inspec-tion of the plant, they check compliance with the standards demanded and the management systems on the spot.

Finally, an evaluation of the auditing is carried out. Successful supplier audits are followed up by regular visits to the suppliers. If a supplier fails to meet re-quirements, an action plan is drawn up and a period set within which subse-quent improvements have to be imple-mented. In this way, the company’s standards are also established at the suppliers, are supported by them and their compliance ensured. Dr. Oetker needs partners who contribute towards continuously redeeming its quality pledge.

The audit results are placed in a data-base and are available to all buyers and quality assurance staff. This enables ex-perience values with suppliers to be ex-changed company-wide and resources used effi ciently.

operations, therefore, the company re-quires a binding undertaking from all its suppliers not to support child or forced labour, or allow other forms of exploita-tion.

Supplier evaluations

To avoid quality losses or reputation risks, Dr. Oetker has, in addition to its own purchasing standards, developed a supplier rating system to evaluate its suppliers and simultaneously support them in their further development. Ex-acting test procedures ensure the quali-ty of purchased raw ingredients, and attention is paid to compliance with en-vironmental, safety and social stand-ards. The Purchasing and Quality As-surance divisions work closely together and communicate intensively to this end.

Apart from continuous supplier evalua-tion, the method of supplier auditing is an important tool. Auditing is a multi-lev-el process carried out according to an internationally uniform system: fi rst, suppliers undergo self-assessment on the basis of industry-specifi c question-naires. These underline Dr. Oetker’s re-

Independent auditors have successfully certifi ed Dr. Oetker’s production sites for the sourcing of sustainable palm oil.

PRODUCT RESPONSIBILITY | PURCHASING

At Dr. Oetker, suppliers are audited according to an internationally uniform system.

Selection of supplier

Self-assessment by supplier

Perform audit

Agree follow-up audit if required

Defi nition of corrective measures

Grading/rating

Barring of supplier

Serious non-conformity

Minor non-conformity

election of supplier

Self-assessment by supplier

Performaudit

Agree follow-up audit if required

Definition of correctivemeasures

Grading/rating

Minor non-conformity

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40 41

seepage wells and so kept within the nat-ural cycle. In addition, well water is used to water green spaces and for sanitary installations.

the development stage, and care is taken to ensure the greatest possible environ-mental compatibility. Dr. Oetker uses chiefl y cardboard and paper alongside glass, plastics and composites. Transport packing is predominantly 100 % recycla-ble corrugated paperboard and stretch fi lm. At 70 %, paper and cardboard make up the biggest proportion of the packag-ing material used at Dr. Oetker. In 2012 the share of recyclable material in prod-uct packaging stood at roughly 60 %.

Water

At Dr. Oetker plants water is used for the most part in the cleaning of production sites. Apart from municipal drinking wa-ter, Dr. Oetker uses self-generated well water at a number of works locations. Well water is used chiefl y to cool com-pressor units and is then fed back into

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Environmental/Climate Protection

Pages 64–65

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Environmental/Climate Protection

Pages 62–65

PRODUCT RESPONSIBILITY | PRODUCTION

Environmentally Sound Production Processes The constant improvement of the production process and an accompanying responsible use of resources are a fundamental part of Dr. Oetker’s quality pledge. The prerequisites are effi cient and modern production sites as well as the continuous minimisation of the environmental impact on soil, air and water. To achieve this, all processes are analysed and compliance with quality stand-ards checked on a continuous basis.

Packaging

In the food industry, packaging performs such important basic functions as pro-tecting the product, taste and fl avour and ensuring hygiene and is therefore indis-pensable. It contributes signifi cantly to the outstanding quality of Dr. Oetker products. Moreover, it provides the con-sumer with important information on the product, its preparation and use.

All the environmental effects of product packaging are considered right back at

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Ecological operating balance

Prepared at regular intervals, an eco-logical operating balance documents all material and energy fl ows which enter (input) and exit (output) the company in the course of the year. Eco accounting provides a precise overview of the envi-ronmentally relevant effects of entrepre-neurial activity. It enables ecological weaknesses to be identifi ed, new tar-gets to be set and their success precise-ly monitored. The following presents in-dividual values in this balance.

PRODUCT PACKAGING, TOTAL(t/to* fi nished product)

*t/to = ton per ton of fi nished product

COMPOSITES(t/to fi nished product)

PLASTICS(t/to fi nished product)

2010 2011 2012 2010 2011 2012 2010 2011 2012

0.155 0.145 0.137

0.019 0.021 0.020

0.019 0.035 0.033

Cardboard and paper constitute the major proportion of packaging materials.

MUNICIPAL WATER (m3/t fi nished product)

2010 2011 2012

1.95 1.97 2.06

GLASS(t/to fi nished product)

PAPER/CARDBOARD(t/to fi nished product)

2010 2011 2012 2010 2011 2012

0.006 0.006 0.004

0.094 0.093 0.087

WELL WATER (m3/t fi nished product)

2010 2011 2012

1.68 1.01 1.03

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42 43

ly trained in collaboration with local fi re brigades, and contingencies – however unlikely they may be – repeatedly simu-lated for practice purposes.

implemented at Dr. Oetker plants. EDP-based visual displays of detailed energy consumption data permit a precise over-view and pinpoint control, which is benefi t-ing resource conservation appreciably. Additionally, an environmental monitoring system provides an overall view of con-sumption fi gures, allowing comparison of the individual plant locations. This enables the transparent depiction of savings po-tentials.

Coolants

Coolants are used In the manufacture and storage of chilled and frozen prod-ucts – exclusively nitrogen and ammo-nia, to be precise. The latter is used because, in contrast to CFCs (chloro-fl uorocarbons), it does not damage the ozone layer. The refrigeration units are regularly maintained to the highest tech-nical standards to avoid the release of ammonia. At the Dr. Oetker plants manu-facturing frozen food, the safety man-agement system has been constantly broadened. Thus employees are regular-

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Environmental/Climate Protection

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sible to reduce the consumption of natural gas by returning this water to the produc-tion process and introducing more ener-gy-effi cient process fl ows and energy-sav-ing measures.

The relative increase in total energy con-sumption can be attributed to the expan-sion of the energy-intensive frozen pizza segment. The reasons behind this were the acquisition of new plants and the ex-pansion of new production lines. Since the newly introduced units were not working to full capacity initially, lower product out-put is refl ected in a rise in relative overall consumption.

The reduction of energy consumption and the associated lowering of emissions will continue to constitute one of the areas of focus of environmental activities at Dr. Oetker. For this purpose, energy man-agement systems have been successively

Energy

Energy needs at Dr. Oetker are met by the energy sources electricity, heating oil, nat-ural gas, liquid gas and district heating. Where local conditions permit, the compa-ny uses lower-emission district heating: a number of European plants have already been integrated into local-heating net-works. In addition, in Lebcz (Poland) the switch was made from heating oil to the more climate-friendly natural gas availa-ble there. For producing warm water, solar collectors are installed on the buildings the production sites in Italy and Turkey. The Brazilian plant, in São Paulo, sources some of its energy from a local hydro-elec-trical plant.

Furthermore, various Dr. Oetker plants have used waste heat from production processes specifi cally to heat service wa-ter and supply buildings. It has been pos-

ENERGY CONSUMPTION, TOTAL

(kWh/t fi nished product)

ELECTRICITY(kWh/t fi nished product)

HEATING OIL (kWh/t fi nished product)

2010 2011 2012

200.95 72.34 52.98

2010 2011 2012

334.09 335.28290.95

2010 2011 2012

659.39 649.96 664.62

PRODUCT RESPONSIBILITY | PRODUCTION

At the Pancar plant in Turkey, solar

collectors are used to produce warm water.

Energy consumption data are displayed by means of EDP, enabling the transparent depiction of savings potential.

NATURAL GAS (kWh/t fi nished product)

LIQUID GAS (kWh/t fi nished product)

DISTRICT HEATING(kWh/t fi nished product)

2010 2011 2012

135.64 204.81 179.42

2010 2011 2012

105.50 91.38 101.53

2010 2011 2012

439.88 300.98 298.94

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ditionally, appropriate employee training takes place. The hazardous materials register, available in each Dr. Oetker plant, provides a precise overview of the substances used. In addition, a regular review is held, the aim being to replace materials posing a greater hazard with less harmful or harmless ones.

Hazardous materials

Possible risks to human beings and the environment emanating from hazardous materials and materials harmful to water are checked in advance. Organisational regulations governing the handling of such materials are prescribed in the envi-ronmental management manual and, ad-

The pleasing result of the numerous safety measures and training courses has been that no emergency situations involving the escape of ammonia were recorded in the 2010–2012 period.

Cleaning agents

As a food manufacturer, Dr. Oetker is subject to stringent statutory hygiene and cleanliness requirements. There-fore the use of cleaning agents and dis-infectants is essential, although very strict attention is paid to their environ-mentally compatible composition. All cleaning agents are discussed and agreed with the environment represent-ative in accordance with a precise re-quirements catalogue prior to their use and entered in an EDP-based cata-logue. This allows the level of consump-tion at their place of use to be very accu-rately recorded.

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PRODUCT RESPONSIBILITY | PRODUCTION

High safety and hygiene standards play a major role in industrial food production.

The refrigeration plant is regularly serviced and kept state-of-the-art.

COOLANTS(t/to fi nished product)

2010 2011 2012

0.084 0.106 0.123

2.27 4.38 3.09

CLEANING AGENTS (t/to fi nished product)

2010 2011 2012

0.63 0.53 0.61

0.010 0.004 0.003

LUBRICANTS, SOLID (t/to fi nished product)

TECHNICAL GASES(l/to fi nished product)

GLUES AND ADHESIVES(t/to fi nished product)

2010 2011 2012 2010 2011 2012 2010 2011 2012

3.28 0.95 0.82

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municipal sewers. Fresh-water con-sumption increased marginally, which, however, is related to the disproportion-ate expansion of the frozen food plants and necessitates more cleaning in the production facilities. As a result of in-creased production output, the upper limits for chemical oxygen demand (COD) were exceeded temporarily in the effl uent loads at the Markow plant in Poland. Here a new pre-purifi cation unit was put into operation in 2012 in close consultation with the responsible local authority. The recirculation of lightly contaminated effl uents and the associ-ated recycling for pre-rinse processes makes sense only at plants producing ambient foods. Purposeful recirculation has enabled up to 60 % of effl uent to be used repeatedly as grey water, thereby sustainably conserving the resource water. One of Dr. Oetker’s targets is to further increase the level of grey-water use.

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Environmental/ Climate ProtectionPages 62–65

of pneumatic raw material conveyor equipment to counter rising amounts of waste was driven forward. Initial suc-cesses were achieved in 2012. In addi-tion, the waste disposal service providers are required not to dispose of waste across borders. Compliance with this contractual performance is verifi ed by random samples taken as part of internal audits.

Effl uents

Regular measurements monitor the lev-el of harmful materials in effl uents. At the Dr. Oetker plants where ambient foods are produced, the effl uent is so clean that it is classifi ed as “house-hold-like”. At production sites manufac-turing frozen products, the effl uent con-tains organic substances which accrue mainly in the cleaning of production equipment. At the Dr. Oetker plants in Wittlich, Moers and Pancar (Turkey) the effl uent is pre-purifi ed in a compa-ny-owned biological water-treatment plant before being discharged into the

Dr. Oetker plants go to great lengths to separate up to 30 different waste catego-ries, with a colour-coded separation sys-tem ensuring that they are clearly identifi -able. Containers that are easy to distinguish visually are available for waste separation on factory premises be-fore the waste undergoes further sorting and is recycled as a raw material. Pleas-ingly, the share of recyclable waste in the total amount of waste generated was in-creased in the reporting period. The use of reusable containers and the expansion

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Environmental/ Climate ProtectionPages 63–65

Solid waste

As in any manufacturing business, sever-al types of waste accrue at Dr. Oetker plants. The respective national compa-nies have set up various recycling pro-grammes to deal with it and cooperate with appropriate waste disposal opera-tors locally. In accordance with statutory guidelines in Germany, waste is divided into the categories “Waste for disposal” and “Waste for recycling”, among other things, at the Dr. Oetker locations.

0.019 0.041 0.042

0.016 0.007 0.006

0.059 0.092 0.092

WASTE, TOTAL(t/to fi nished product)

WASTE FOR DISPOSAL(t/to fi nished product)

WASTE FOR RECYCLING(t/to fi nished product)

2010 2011 2012 2010 2011 2012 2010 2011 2012

PRODUCT RESPONSIBILITY | PRODUCTION

Dr. Oetker reduces the amount of waste produced by using returnable containers.

In ambient food production, effl uent is classifi ed as “household-like”.

1.98 1.64 1.68

EFFLUENT(m3/t fi nished product)

2010 2011 2012

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48 49

0.242 0.248 0.251

CO2-EMISSIONSOF THE PLANTS

(l/to fi nished product)

2010 2011 2012

Emissions

Emissions responsible for polluting the air arise mainly through the use of elec-tricity from coal-fi red power stations and the burning of heating oil and natural gas. In addition, the output of CO2 and other gases caused by truck and auto-mobile traffi c contributes to air pollution.

Thanks above all to the lowering of en-ergy consumption levels, Dr. Oetker also pays attention to the reduction of CO2 emissions, which are calculated and monitored in relation to the quantity produced. In total, the 23 Dr. Oetker production sites released a volume of roughly 134,500 tons of CO2 emissions in the past reporting year. The acquisi-

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LogisticsPages 50–55

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Environmental/ Climate Protection

Pages 61–65

tion of a plant and the expansion of fro-zen-food plants, as well as signifi cantly higher production levels in the more en-ergy-intensive frozen-food segment, caused a slight overall increase in CO2 emissions over the three-year period.

Emissions such as odour and noise oc-cur to a relatively low degree at Dr. Oetker. The company takes the in-terests of local residents very seriously and goes to great lengths to reduce any impact. Attention is paid to noise emis-sions in the acquisition of new machin-ery, for instance. At the Dr. Oetker plant in Oerlinghausen, where food odours occur in the manufacture of muesli, a sophisticated extracted air fi lter using UV radiation was installed to lower odour emissions. To ensure that Dr. Oetker employees can work in im-peccable conditions, complex aspiration fi lters were fi tted in the production rooms at several plant locations for dust-reduction purposes. Regular measurements in the works also help in the process of assessing noise sources and deriving appropriate measures when necessary.

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Outlook and goals

The reduction of energy consumption and the associated lowering of emis-sions will continue to constitute one of the areas of focus of environmental ac-tivities at Dr. Oetker. For this purpose, energy management systems have been successively implemented at Dr. Oetker plants. EDP-based visual displays of detailed energy consump-tion data and control systems are being further expanded.

In addition, the reduction of the amount of waste is being driven forward and the level of fresh-water reduction is to be increased further.

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Dr. Oetker devotes constant effort to lowering energy

consumption and, by association,

emissions.

PRODUCT RESPONSIBILITY | PRODUCTION

To ensure that employees can work under impeccable conditions, Dr. Oetker pays great attention to noise and odour emissions in the production facilities.

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50 51

addition, the regional distribution struc-tures play an important role: on short routes and to deliver small quantities – so-called part-load traffi c – road trans-port is still more economical and more fl exible.

Whenever costs, infrastructure and product character permit, however, the switch from road to alternative carriers like ship or rail is made. For long trans-port routes, delivering frozen products from Germany to Italy, say, or the vast distances in Canada and Australia, the company uses rail. Transport by ship comes into operation, in particular, for traffi c between Europe and North and South America, as well as to the United Kingdom and the Scandinavian coun-tries, but also between Greece and Italy.

Against this background, in the product range frozen pizza Dr. Oetker pursues the strategy of being able to supply cus-tomers without additional distribution stages as quantities increase. For each stage in storage causes both costs and detrimental environmental impact in the form of space and energy consumed. As far as possible, the central ware-

fed into the production process without the need for costly transverse journeys, thereby avoiding additional transport movements.

Distribution structures

After production and intermediate stor-age Dr. Oetker products are transported to the trade partners. With logistics con-cepts precisely attuned to the respec-tive consignee groups, as well as investment in the appropriate infra-structure, the resulting transport mile-age and environmental impact are curbed to the greatest possible extent. The company’s production and logistics locations are assigned to precisely de-fi ned sales markets. This alignment means that goods reach the corre-sponding regions quickly and reliably, and production can be carried out close to point of sale.

Products are transported chiefl y by road, as rail transport does not always represent an alternative for numerous Dr. Oetker national companies in view of the high logistical requirements. In

pany Dr. Oetker, working with suppliers, ensures that transport movements are kept as low as possible. The family en-terprise pursues a variety of avenues to achieve this: raw ingredients, for exam-ple, are sourced from regional providers because shorter distances enable it to save transport mileage and aim for con-tinuity in production – an aspect which also benefi ts the environment. Exotic raw ingredients have to be sourced on a supraregional basis due to availability. Owing to the longer routes involved in these cases, the company relies on high-load, high-capacity carriage in or-der to reduce the number of journeys. In procurement logistics, Dr. Oetker invari-ably seeks the most economical – and thus most environment-friendly – solu-tion.

This approach demands close coopera-tion between the Purchasing and Logis-tics divisions. With the aim of lowering the number of transport journeys, the total quantity of commodities to be pro-cured is pooled. In the course of sales planning, Logistics defi nes the corre-sponding quantities required.

In addition, Dr. Oetker works with its suppliers on effi cient and environmen-tally sound concepts. Delivery in silo ve-hicles, big bags and various re-usable container systems minimises the use of raw-ingredient packaging. Furthermore, the proximity of internal production and logistics locations permits incoming raw materials and packaging materials to be

PRODUCT RESPONSIBILITY | LOGISTICS

Optimisation Throughout The Logistics Chain The increasing globalisation and diversifi cation of markets has led to a rise in global commodity fl ows at Dr. Oetker in recent years. In this changed environ-ment the Logistics Division is constantly at pains to make its own processes economically sustainable and environmentally compatible. To this end, the company is currently focusing its measures on activities directed at transport avoidance.

Procurement logistics

Before end-consumers fi nd Dr. Oetker products in the trade’s shelves, the goods have mostly been transported, handled and stored several times. In or-der to make the necessary fl ows of commodities and materials as effi cient as possible, the supply and transport structures in the supply chains are kept under constant review – starting with in-ward delivery of raw ingredients and ex-tending through to fi nal delivery at the trade partners’ loading ramps. For in-stance, frequency of need is checked against transport frequency and load carrier capacity utilisation. This ap-proach reduces costs and environmen-tal impact alike.

Right back at the raw materials and packaging procurement stage, the com-

Effi cient logistics helps to relieve pressure on the roads.

Raw ingredients are preferably sourced from regional providers. An aspect which also benefi ts the environment.

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52 53

Saving transport mileage through pooling effects

Both in procurement and distribution, the pooling of shipments and the opti-mised utilisation of carriers are funda-mental cornerstones for reducing trans-port mileage. Forming the basis for this is a close-meshed distribution network. With the aim of planning delivery routes effi ciently utilising volume capacity to best possible effect, local carriers, for example, consolidate products from Dr. Oetker, as well as from other compa-nies in the food industry, in one load at their own depots and transport them to the respective destination regions, ex-ploiting the greatest possible synergies. Especially for the transport of small quantities, the cross-company combina-tion of commodity fl ows is very advanta-geous, as substantial pooling effects accrue, both when the goods are col-lected and when they are delivered, and transport capacities are utilised to the greatest possible extent. Furthermore, direct delivery to the customer aims for full capacity utilisation of load carriers, thereby avoiding additional mileage, saving costs and effectively avoiding environmental impact from CO2 emis-sions.

Making optimum use of transport capacity

To largely avoid transport movements, Dr. Oetker devotes constant effort to uti-lising to the greatest possible effect the capacity of the re-usable load carriers deployed. Special programs ensure maximum exploitation of pallet space while observing standardised height rec-ommendations. Pallets of frozen pizza delivered from Germany to Russia have been loaded 30 % higher since 2011, so that truck utilisation, and hence CO2 emissions as well as costs, is improved. This applies equally in France: here it was possible to increase load volume per carrier by 12 % to 33 %. In addition, new pouch formats were introduced in the ambient food product range, ena-bling a good 40 % of transport space per truck to be gained. Thanks to changes in the way pallets are packed, the Serbian production site succeeded in reducing its transport mileage by around 20 %.

Dr. Oetker in Greece also devoted atten-tion to improved pallet utilisation. To this end, the company worked on redesign-ing the shipping boxes. The aim is to in-crease product layers, from the current four to fi ve in the future.

Changes in delivery structures also re-sulted in lower transport volumes at a number of national companies. In Great Britain a storage stage was saved be-fore the goods reach the customer’s central warehouse. The plant in Stras-bourg, France, was able to reduce its transport movements between produc-tion site and external warehouse by ap-proximately 15 % as a result of higher warehouse utilisation and accompany-ing changes in distribution structures. Pooling effects in production and changed delivery structures for the loca-tions in Austria and Switzerland brought about higher utilisation of the trucks de-ployed and shorter delivery routes.

At Dr. Oetker in Argentina, the switch to an external warehouse and the order picking and loading of trucks there with a multiplicity of products for the trade achieved full capacity utilisation of the trucks. Previously some 60 % of the loading space was used. A production facility for the manufacture of frozen piz-zas is currently being built at the loca-tion in Canada. Consequently, the ex-tent of maritime transport from Europe to Canada will be quite substantially re-duced in the years ahead, thereby sav-ing further CO2 emissions.

houses of key accounts in Germany and Europe are supplied straight from the production plants. In line with this strat-egy, Dr. Oetker is currently expanding storage capacity at the locations of the frozen food plants in Wittlich and Wit-tenburg. In the future, this will produce further potential to reach the goal of avoiding transport mileage per ton of pizza produced or of making better use of carriers. For this reason, the compa-ny has invested in automatic re-pallet-ing in the storage area, giving it the abil-ity to respond fl exibly to new market and customer requirements. This enables it to shift the number of layers of frozen pizza boxes on the pallet from the height geared to German standards (CCG2) to the internationally recommended height EUL1 and EUL2. For shipments over commensurately longer distances, trucks can thus be signifi cantly better utilised than with the original pallets.

At Dr. Oetker Food Service, too, consid-erable haulage capacity per year will be saved in future. To achieve this, in 2012 the company sited its frozen products warehouse closer to the geographical midpoint of the consignees and simulta-neously closer to the place of produc-tion.

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PRODUCT RESPONSIBILITY | LOGISTICS

To avoid transport movements, Dr. Oetker works constantly on

optimising packaging and packing pallets to the best possible effect.

Dr. Oetker is expanding its storage capacity at a number

of locations to supply the production sites’ central

warehouses direct.

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54 55

theme of sustainability will be continu-ously expanded in Dr. Oetker logistics and have a positive impact both on in-frastructure investment projects and process design. The expansion of storage capacity at Germany’s Wittenburg plant currently under way is due to be completed in 2013, the enlargement of the ware-house in Wittlich planned for 2014. With the completion of the new production facility at the location in Canada – ex-pected in early 2014 – the extent of transatlantic shipment will be sharply reduced, thereby saving further green-house gas emissions.

the standards of the worldwide organi-sation GS1 and is actively collaborating on further development and implemen-tation. For unbroken product traceabili-ty, for example, a label is attached to each pallet at Dr. Oetker in accordance with GS1-128. This international stand-ard prescribes a distinctive and unam-biguous code, containing, among other things, the number of the consignment unit, article quantity, the best-before date and the production batch. Electron-ic logging and tracking across the logis-tics chain enables the type of product, the transport route from consignor to consignee and time of delivery to be identifi ed.

Outlook and goals

A changing logistics market is increas-ingly turning the spotlight on sustainable logistics concepts. For this reason, the

www.gs1-germany.de

Carbon footprint

Dr. Oetker has long built up comprehen-sive systems for its production opera-tions in order to capture a variety of en-ergy consumption data, identify savings potential and thus lower emissions. Dr. Oetker is seeking to implement this documentation in the logistics area as well. Recording the CO2 emissions caused by logistics is very challenging at present, as Dr. Oetker contracts logistics companies and has no access to their data, such as fuel consumption levels, empty runs, vehicle routes and utilisa-tion. Work is under way at EU level on a norm describing methods that can be used to estimate consumption and emis-sion data when no measurement data are available. Dr. Oetker will examine the application of this norm for itself and implement it if a positive view is taken.

Use of global standards

The decentralised nature of Dr. Oetker national companies ensures that near-market decisions are taken locally. However, due to the global increase in commodity movements, the process fl ows along the entire logistical chain are growing ever more complex. There-fore Dr. Oetker logistics is pursuing the aim of intensifying cooperation between the national companies. Through the in-troduction of globally agreed standards applicable to all national companies, processes with suppliers and trade part-ners are also rendered more effi cient and synergy effects for transport forma-tion and transparent warehousing real-ised. To this end, Dr. Oetker is guided by

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Reliable logistics partners

To ensure that products are in the right place at the right time year round and are available to customers and fi nal consumers in suffi cient quantities and the best quality, Dr. Oetker needs relia-ble logistics partners who meet the company’s high quality specifi cations. Dr. Oetker does not maintain a vehicle fl eet of its own, but works with forward-ers who have a location and distribution network that is as complex as it is fl exi-ble. Additionally, the company ensures that the transport vehicles of the logis-tics service providers are state-of-the-art and satisfy applicable exhaust-gas norms. Dr. Oetker audits and assesses its logistics service providers at regular intervals.

PRODUCT RESPONSIBILITY | LOGISTICS

An EAN-128 barcode is attached to each pallet to ensure traceability at all stages of production, processing and distribution.

Full carrier utilisation is sought for deliveries to customers.

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Dr. Oetker Test Kitchen in Germany has a direct service for allergy sufferers.

Moreover, Dr. Oetker has published a food lexicon available as a book and on the homepage. Containing more than 8,000 terms, the reference work pro-vides the consumer with, among other things, information on food, ingredients, nutritional physiology as well as on technological and legal aspects.

Consumer protection

The satisfaction of its customers is a particular concern of Dr. Oetker, be-cause only satisfi ed customers stay loy-al to the brand. The company therefore attaches major importance to compli-ance with food law regulations at the national and international level. This fi nds application, in particular, in the ap-praisal of marketing concepts, advertis-ing materials and in the drafting of pack-aging declarations and design.

Dr. Oetker makes every effort to illus-trate the product on packaging in such a way as to show how it is best prepared and served. Above all, however, care must be taken to ensure that package marking contains all the information consumers need and takes account of the extensive legal provisions on prod-uct declaration and consumer informa-tion. Changes in regulations therefore are monitored and the necessary changes promptly implemented. The in-gredients used are shown in the ingredi-ents list of the particular products and stated in the ingredients index on the product packaging in descending order of weight.

www.oetker.de

consumers in Germany the opportunity to get in direct touch with the seasoned specialists of the Dr. Oetker Test Kitch-en. In addition, many national compa-nies have a local consumer service on their own.

Information on conscious nutrition

The company concerns itself with the most varied consumer issues and pro-vides information on nutritional health topics through various channels. On its homepage, for instance, Dr. Oetker of-fers a comprehensive nutrition portal describing useful facts and daily food and drink requirements. For the purpos-es of a balanced diet, for example, the company gives information about the individual building blocks of food, on water in general, and on the energy bal-ance. In addition, the company main-tains databases containing nutritional value tables for all Dr. Oetker products to be able to make these widely availa-ble to consumers.

The company further takes account of the specifi c requirements of a variety of consumers, providing information on dealing with food allergies and incom-patibilities, diabetes, coeliac disease and obesity. With the aid of the “allergy search”, those affected can retrieve the notifi able allergens of Dr. Oetker prod-ucts capable of individually triggering an allergy or incompatibility. The list so compiled helps in the decision as to which foods can be included in the par-ticular nutrition plan without hesitation and which not. The Dr. Oetker Consum-er Service is only too happy to provide further assistance in response to wider enquiries. At the same time, the

www.oetker.de

www.oetker.de

www.oetker.de

PRODUCT RESPONSIBILITY | CONSUMERS

Consumers

The ability to retain customer loyalty over years and even decades is one of Dr. Oetker’s central goals. For long-term customer retention secures the com-pany’s sustainable value creation. This is why product quality and diversity, knowledge of customers’ wishes, and dialogue with consumers, play an ex-ceptionally important role.

and preserving, the staff of the Dr. Oetker Test Kitchen pass on their wide knowledge.

Consumer service

Dr. Oetker as manufacturer does not re-main anonymous but is a competent point of contact for consumers. For more than 40 years, Consumer Service staff have been answering all questions on ingredients, those triggering aller-gies, nutritional values, recipes and much more. By putting contact details on each packet, the company gives

Dr. Oetker Test Kitchen

The Dr. Oetker Test Kitchen has been vouching for the assured success of Dr. Oetker products for more than 100 years. It is here that newly developed products are tested prior to market launch, preparation instructions drawn up and recipes developed. These tasks always take place under normal house-hold conditions. This means that, for the preparation of products and recipes, Dr. Oetker Test Kitchen staff always use kitchen appliances commonly found in homes. At seminars and demonstra-tions on the themes of baking, cooking www.oetker.de

Employees of the Dr. Oetker Test Kitchen test recipes and products under conditions typically encountered by consumers.

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Confi dential treatment of customer data

Trust also plays a major role in the way customer data are handled. Compliance with statutory data protection legislation and the protection of personal customer data are taken very seriously by all Dr. Oetker national companies. The company therefore observes the princi-ple of data avoidance and data frugality. When using data, the company ensures compliance with the applicable statutory data protection rules. At no time are data passed on to third parties. These meas-ures are backed up by the security of the IT systems themselves as well as by ac-cess protection.

Outlook and goals

The satisfaction of its customers is, and will remain, a particular concern of Dr. Oetker. Therefore the company will continue to address the most varied consumer issues and put products on the market that conform to the wishes and needs of consumers. In doing so, company and brand will always remain true to their quality pledge.

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Treatment of advertising

Dr. Oetker regards advertising and mar-keting as an indispensable element in an open, self-determined society. It plays a fundamental role in fair and hon-est competition. But advertising is also information about products that is ac-cessible to all consumers, provides guidance and facilitates the choice of brand within a product group. Children and young people must be enabled to deal with the advertising surrounding them and which they encounter daily and to properly assess it. In the pro-cess, imparting media competence should be the subject of education by those engaged in education and by ed-ucational institutions. At the same time, companies like Dr. Oetker bear respon-sibility for not exploiting the inexperi-ence of children but take account of their need for protection through the re-sponsible advertising of products. Dr. Oetker therefore follows the corre-sponding rules of the German Advertis-ing Council.

The company does not currently use quality seals for product promotion. Rather, when purchasing its raw ingre-dients, Dr. Oetker ensures that they ful-fi l precise requirements. The company has developed proprietary purchasing standards to this end.

www.werberat.de

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Calorie calculation

The actual daily calorie requirement var-ies greatly between individuals and de-pends on a multitude of parameters. For this reason, the company has designed a calorie calculator for its homepage which takes account of an individual’s age, sex and degree of exercise. Addi-tionally, after any Dr. Oetker product has been selected, the percentage energy share covered by a portion can be calcu-lated individually. Dr. Oetker thus goes to great lengths to make the energy and nutrient content of its products available to the consumer simply and clearly.

The energy recommendations are based on the calorie calculations for a person of normal weight. The special needs of spe-cifi c consumer groups such as pregnant women, elderly people, children and youths, or people needing to follow a special diet as a result of certain illness-es, are not covered by them. The back-ground to this is that the company can-not judge individual stages of development in adolescents or the pro-gression of a disease, and advice from specialists, such as physicians, is neces-sary for optimum assessment. In addi-tion, consumers can obtain an objective overview with the help of the nutrition and calorie details per 100 grams.

www.oetker.de

Nutrition facts

For the purposes of responsible con-sumer information, the company volun-tarily introduced a uniform labelling mod-el many years ago to present nutrition facts and give the daily requirements percentages on virtually all products. The aim is to provide consumers with guidance and decision-making aids for a balanced and conscious diet.

Labelling encompasses details on the calorifi c value (energy) and the key nutri-ents – fat, saturated fatty acids, carbohy-drates, sugar, protein and salt. The rec-ommended dietary allowances for the daily intake requirement are geared to the reference quantities for an average adult (8400 kJ/2000 kcal). These are based on the food law provisions of the Food Information Regulation (EU 1169/2011). In the case of the recom-mended portion sizes, the company is guided by the national and international competitive environment, which recom-mends these quantities generally. The details relate either to the pure product or, if the products has still to be prepared, to the prepared product, enabling the consumer to more easily compare the products of different providers at point of consumption.

www.oetker.de

PRODUCT RESPONSIBILITY | CONSUMERS

The staff of the Food Law Department ensure that all Dr. Oetker products comply with food law regulations.

Dr. Oetker has been providing informa-tion on energy and nutritional values in its products for many years.

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on the ramp doors was improved in the reporting period to avoid uncontrolled air exchange when trucks are docked, thereby achieving a long-term reduction in energy for cooling. Furthermore, in 2011 a state-of-the-art battery charging station was put into operation. Besides lengthening battery life through the use of EDP assisted and controlled monitor-ing of the charging operation, this ena-bled power consumption to be reduced. A further power-saving measure was the installation of motion sensors in less frequented sections of the storage are-as. In this way artifi cial light is activat-ed only as needed. Moreover, the use of an effi cient LED-supported lighting technology is being considered.

The major portion of the Dr. Oetker works premises consists of green spac-es. Following new construction and re-building measures, de-sealing has been carried out in many places and account taken of habitat for fl ora and fauna wherever compatible. In keeping with a tradition, the “Tree of the Year” is plant-ed at all European Dr. Oetker locations every year.

At the Bielefeld and Oerlinghausen lo-cations further successes were record-ed in the reporting period 2011/2012 in the reduction of energy consumption. As a result of targeted monitoring and tracking energy consumption levels, electricity consumption in 2012, at 335.3 kWh per ton of fi nished product, was kept virtually on a par with that of the previous reporting period. The in-stallation of several exhaust gas heat exchangers and the use of the waste heat from the chiller compressor unit at the production facility in Oerlinghausen enabled roughly 380,000 kWh of district heating to be saved, lowering CO2 emis-sions by 0.1 tons a year. In addition, the heat distributor was fi tted with cut-ting-edge feedback control technology to avoid unchecked energy losses.

At the Moers plant the focus was on re-ducing compressed air leaks in dormant phases. The rigorous tracking of leaks enabled approximately 400,000 kWh to be saved in 2012 compared with the previous year. In addition, the insulation

Committed To Environmental And Climate Protection Protection of the environment has very special signifi cance at Dr. Oetker and is fi rmly integrated into corporate governance. In this way it has been possible to achieve high environmental standards. That notwithstanding, the company al-ways pursues the aim of constantly reducing environmental impact. In order to optimise products and processes further, demanding objectives and concrete measures are formulated and their attainment subjected to regular review.

ENVIRONMENTAL AND CLIMATE PROTECTION

GROUND (m2)

Green spaceSealed areasBuilt-up areas

23.34 %

17.79 %

58.87 %

Stockfoto

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annually on a sustainable basis. With exhaust gas control on the chiller to operate the defrosting programme, as well as optimisation of the control unit, a further approximately 285,000 kWh a year is being saved. Beyond this, it is planned to reduce fresh water use. In the future grey water is to be used in the pre-cleaning of screening units in the preliminary sedimentation plant, thereby saving more than 5,000 m³ of precious drinking water.

With the construction of the high-bay warehouse at the Wittenburg location, numerous energy reduction measures were implemented that enable 720 tons of CO2 to be saved annually. Ad-ditionally, frost heave protection was installed in the high-bay warehouse and the smart cooling cycle for the cold stores realigned. The pneumatic pres-sure level in the compressed air com-pressors was reduced by 1 bar. This is in pursuit of the ambitious target of re-quiring around 870,000 kWh less power annually. Moreover, optimisation of the production lines enabled energy con-sumption per ton of fi nished product to be reduced by 2 %.

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At the Dr. Oetker plant in Wittlich en-hancement of the energy management system was in the forefront of environ-mental and climate protection activities. Systematically, energy meters were in-stalled and the energy monitoring sys-tem extended. A project to lower energy consumption was successfully imple-mented in 2011 with the installation of a weather-compensated condensation pressure regulator on the chiller unit. This enables 450,000 kWh of electricity to be saved annually. In addition, heat recovery measures were implemented – the waste heat from the small chiller units of the provers is now fed into the energy cycle. In the production area, moreover, cross-fl ow heat exchangers were installed, enabling energy to be recovered and heating with fossil fuels abandoned. The heat energy saved amounts to 280,000 kWh annually; with the addition of heat recovery at the cooling tower, it produces a reduction of 720,000 kWh hours. Almost 80 tons of CO2 emissions can thus be saved

ENVIRONMENTAL AND CLIMATE PROTECTION

Disused pens are collected and recycled to produce new items of practical use.

www.terracycle.de

To gain experience in the use of electric cars, one was acquired for staff of the Dr. Oetker Test Kitchen in Bielefeld.

toring system was at the centre of envi-ronmental activities and the fi rst steps in implementing an energy management system completed. Moreover, the plant abuts a nature conservation area. Here Dr. Oetker fully meets the high statutory safety standards. In the same reporting period the central extraction unit was expanded at the Strasbourg location. This lowered dust emissions, which re-sulted in a further improvement in work-ing conditions. Other measures at the Strasbourg location were the installation of a smart control system for the lighting equipment in the logistics area as well as the refurbishment of the staff rooms with a view to saving energy and water.

At Italy’s Desenzano plant the brand exhibition Dolce Casa was opened in 2011. Construction of the building in-corporated cutting-edge environmental and energy-saving aspects. In 2012 the deployment of a smart control system on the compressed air and compressor units increased energy effi ciency and economy in the production area.

Following the extensive investments of recent years, it was possible to achieve high environmental standards at the Polish locations. In addition, energy consumption levels were cut and waste

At the Ettlingen location, in addition to the consistent expansion of the ener-gy monitoring system, the administra-tion building was revitalised. This puts energy consumption 3 % below the applicable statutory energy saving re-quirements. The heat recovered in com-pressed air generation, and the asso-ciated installation of a heat exchanger, heats the service water used to produce warm water in the staff rooms. Other en-ergy saving measures were the contin-uing replacement of conventional lamps with LED lamps in the production area, and the fi xing of workplace lighting in distinct circuits to enable lighting to be used with pinpoint accuracy.

As a result of continual potentials anal-yses, gas consumption at the Leyland plant in the United Kingdom was re-duced by 4 % per ton of fi nished product and power consumption by 6 %. Addi-tionally, power saving measures were implemented in the administration area: adjustment of the control units of the air-conditioning system brought about a saving of 4 %.

Energy monitoring was also enhanced at the Leeuwarden plant in the Neth-erlands in order to identify further sav-ings potential in energy consumption. Additionally, the in-plant process fl ows for waste disposal were improved and waste separation precision increased as a result. A further environmental measure in 2012 was the modernisa-tion of the cleaning dosage station. This produced a reduction of 5 % in the facil-ities-related use of cleaning agents and of 8 % in the use of fresh water.

Cleaning processes were also opti-mised at France’s Schirmeck plant. Central and exact dosing of cleaning agents is now carried out with the use of a new cleaning station. Additionally, the establishment of an energy moni-

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Outlook and goals

The lowering of energy consumption and the associated reduction of emis-sions continue to constitute an area of focus of the company’s activities in the area of environmental and climate pro-tection. To this end, the visualisation of energy consumption levels and control systems, among other things, are being further expanded. A major project to this effect is, in particular, the current con-struction of a production site to produce frozen pizzas at the Canada location. Consequently, in the years ahead the scale of transport by sea from Europe to Canada will be reduced substantial-ly and result in further savings in CO2 emissions.

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year. This was achieved by using the waste heat from the refrigeration pro-cess in frozen food production to heat up service water and by the associated reduction in gas consumption. Pleas-ingly, compressed air consumption was also reduced, by 10 %, by purpose-ful monitoring; this was accompanied by a reduction in power consumption. The use of grey water for watering the grounds achieved an additional reduc-tion in drinking water use of 9,000 m3 a year.

At Dr. Oetker Canada, 2011 saw the successful completion of a project to lower waste water loads. In the follow-ing year, prominence was given to op-timising internal waste fl ow processes. By sensitising staff and increasing sep-aration precision, more than three tons of re-usable waste was returned to the materials cycle.

At Brazil’s São Paulo plant implemen-tation of the integrated management system was successfully completed and ISO 14001 certifi ed.

ing year thanks to the installation of a new window system and detailed, smart temperature monitoring in the produc-tion area. Consistent and sustainable waste separation arrangements enable the proportion of recyclable waste mate-rials to be increased by a good 18 tons.

At the Kladno production facility, in the Czech Republic, water consump-tion was limited by the use of mod-ern, low-consumption fi ttings. Further savings were produced by optimising the heating system. These measures resulted in a 3 % reduction in gas con-sumption.

At the Jánossomorja plant, in Hungary, attention was on the reduction of waste and packaging. Increased separation precision enabled waste to be returned to the materials cycle, and the amount of waste for disposal declined by some 40 %. Furthermore, qualitative improve-ments to the packaging machines led to a 20 % in the consumption of stretch fi lm.

Romania’s Curtea de Arges plant saved 40 % of packaging as a result of opti-mising product packaging and using state-of-the-art packaging material, and reduced its paper consumption by in-creasingly sensitising staff.

Environmental protection measures were successfully implemented, too, at the Izmir location (Turkey). The in-troduction of new packaging machine technology and the use of state-of-the-art packaging material produced a sav-ing in product-related packaging in 2012 of 18 % on the previous year. Initial suc-cesses are also being seen in the imple-mentation of an energy monitoring sys-tem. Consistent consumption tracking produced a 2 % reduction in the area of natural gas compared with the previous

management optimised. The expansion of the plant in Plock was carried out suc-cessfully with a view to energy effi cien-cy. To this end, heating distribution was modernised and conventional lighting replaced by modern lighting systems, and presence detectors installed in the staff rooms. The fi tting of frequen-cy-regulated electric motors in the area of the production facilities brought about a further reduction in energy consump-tion. Additionally, paper consumption in administration was lowered by 8.5 % on the previous year.

At the Belgorod plant, in Russia, pack-aging material was minimised, by 5 % on the previous year as a result of opti-mising product packaging.

As a result of more effi cient internal pro-cess fl ows, energy consumption at the Boleraz plant (Slovakia) was reduced by 1.5 % in 2011. A further saving of the same amount was possible in the follow-

ENVIRONMENTAL AND CLIMATE PROTECTION

As part of its societal engagement, Dr. Oetker Romania carried out a local reforestation project with the involvement of its staff.

Conventional lighting is being replaced by LED lighting at all Dr. Oetker locations, as here at the brand exhibition, Dr. Oetker Welt, in Bielefeld.

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tation and identity. For the company fi rmly believes that this is how people identify with their company and transmit their enthusiasm for it to customers and business partners. Dr. Oetker has reaf-fi rmed the importance of this culture of fairness and appreciation already prac-tised in the company by subscribing to the Diversity Charter.

Sustainable employment policy

Sustainably safeguarding employment is extremely high on Dr. Oetker’s agen-da. As a result of the development and expansion of new markets, employment levels have seen a continuous increase in recent years. Of note is the long peri-od of employment of, on average, around 15 years. Twenty-fi ve to for-ty-year anniversaries are no rarity at Dr. Oetker and are accorded special recognition, though more than 75 % of the workforce is under 50 years of age.

The success of a staff policy intent on long-term retention and the high level of identifi cation with the family enterprise is refl ected in low staff turnover. In Ger-many the turnover rate regularly stands below 2 %; internationally, the rate aver-ages less than 7 %.

www.charta-der-vielfalt.de

Future demands

Dr. Oetker is continuing to grow and de-velop. The increasing internationalisa-tion of recent years can be gauged both by the regional distribution of turnover and the workforce structure. At the same time, breakneck economic and technical development makes new de-mands on the company as much as do social changes. Western industrialised countries in particular are affected by a demographic development character-ised by falling population levels, a rising average age and an accompanying shortage of skilled labour.

To achieve long-term success in this en-vironment, Dr. Oetker banks on well-trained, committed and motivated em-ployees. Junior staff recruitment and the promotion of training, therefore, are as much special concerns for the company as are health protection and pension provision for the staff.

Principle of equal treatment

It is important to Dr. Oetker to acknowl-edge the diversity of its employees and create a working environment for them that is free from prejudices. All employ-ees should experience appreciation and equal opportunity, regardless of gender, nationality, ethnic origin, religion or world view, disability, age, sexual orien-

Motivated Employees As A Success Factor With their personalities, skills and ideas, it is people who are the most impor-tant success factor for companies. The aim of Dr. Oetker’s socially responsible personnel policy is to retain these employees for as long as possible and secure sustainable corporate success by attracting new talent. To achieve this, Dr. Oetker’s personnel development work is guided by the local standards of its respective locations, as the tools applied here more closely follow societal and cultural factors.

EMPLOYEES

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employees are kept informed on issues relevant to the company through a vari-ety of events and internal media.

Competition for talent

The effects of demographic change, which is leading to a shortage of quali-fi ed employees, are heightening compe-tition on the personnel market. Dr. Oetker therefore carefully seeks talented indi-

A further cornerstone of corporate cul-ture is the systematic appraisal inter-views, in which the achievements and perspectives of staff are to the fore. These annual exchanges are intended to indicate employees’ strengths and potential for improvement and support them in their duties. To actively involve staff in achieving corporate objectives, individual and realistic goals are agreed between employee and immediate su-perior. Besides individual interviews,

Dr. Oetker is an attractive employer, too, for university graduates. In polls con-ducted by various independent opinion research institutes, Dr. Oetker ranked among the top 50 most popular employ-ers in Germany.

An atmosphere of trust

Companies that strive for sustainable growth require a corporate structure in which employees can unfold their po-tential. Dr. Oetker practises an “open-door culture” in which employees’ opin-ions are welcome. The working relationship between direct superiors and staff is characterised by openness, mutual respect and transparency. Many new and further developments have their origin in ideas coming from staff. In addition, an employee suggestion scheme – the Dr. Oetker Ideas Pro-gramme – ensures the involvement of staff in the continuous optimisation of business processes.

The commitment to the creation and re-tention of jobs also goes beyond imple-menting in-house measures.

Staff satisfaction

The satisfaction of staff as well as iden-tifi cation with the company are funda-mental factors for binding employees to their scope of duties and to the compa-ny. To ensure continuous improvement in work fl ows and working conditions, a number of locations conduct employee surveys at regular intervals. In Germany and some western European and Scan-dinavian countries, this is done in writ-ing and anonymously at intervals of three years; in other national companies employee surveys are carried out indi-vidually as and when needed, a refl ec-tion of the size of the particular loca-tions. Within the areas of work in which employee satisfaction is capable of fur-ther enhancement, measures are devel-oped and implemented promptly.

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EMPLOYEES

EMPLOYEE DEVELOPMENT

2010 2011 2012

997698099655

As an employer, Dr. Oetker assumes responsibility for thousands of employees worldwide.

Many ideas for product innovation and further development come from employees.

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ation of all employees across national and cultural borders is a major chal-lenge. Dr. Oetker therefore attaches special value to international experi-ence in the applicants for the manage-ment trainee programme, as they com-plete an assignment of several months at a different national company during the programme and, after conclusion of their trainee time, have the possibility of going on to work at the foreign loca-tions.

Employee qualifi cation

Dr. Oetker’s efforts are directed not only at attracting qualifi ed staff from outside the company. The company also pur-sues the strategy of fi lling positions with graduates of its own training measures and systematically developing and sup-porting its employees. People deployed in tune with their abilities and leanings can produce optimum achievements for themselves and the company. For this reason, Dr. Oetker invests in the knowl-

Junior staff development

Junior staff development takes place at Dr. Oetker in accordance with the par-ticular cultural training systems of the countries. Different locations offer young people an early chance to gain their fi rst impressions of their occupa-tion of choice as part of a pupil intern-ship. A particular form of junior staff de-velopment is in-company vocational training. This type of skills training is of-fered only in Germany. Dr. Oetker offers young people who choose an appren-ticeship in the commercial or industri-al-technical fi eld a wide range of solid training occupations. On average the company hires some 60 new apprentic-es every year. Additionally, in Germany Dr. Oetker has been offering degree courses with integrated vocational train-ing to a greater extent for a number of years. The completion of vocational training not only opens up the prospect of trainees being offered an unlimited contract but also further education and career perspectives at Dr. Oetker.

Dr. Oetker stands for the responsible treatment of specialist and manage-ment personnel. This begins already with the academically educated. Aside from direct entry, different national com-panies offer graduates the possibility of entering an international management trainee programme. As a long-term rela-tionship is of particular interest to Dr. Oetker, management trainees re-ceive an unlimited employment contract from the outset. Within the framework of personnel development, former interns or students working towards a diploma are offered a position. For an interna-tionally operating company, the cooper-

www.oetker.de

www.oetker.de

In addition, qualifi ed students are of-fered the possibility of putting their theo-retical knowledge into practice. Without the pressure to succeed, they are able to learn from Dr. Oetker staff and demon-strate what they know in challenging projects. Full-time positions at Dr. Oetker are never substituted with interns, sup-posed student apprentices or guest stu-dents. For this fair treatment of interns, Dr. Oetker has been awarded the Ger-man “Fair Company” seal. To keep in touch with these potential young recruits and facilitate possible career entry, Dr. Oetker developed the internship re-tention programme “Stay-in-Touch” jointly with other Oetker Group compa-nies. This has made it possible to take interns on the payroll after graduation.

viduals in order to be equipped for future challenges. To ensure that students are made aware of Dr. Oetker as early as possible, the company conducts a num-ber of internal and external lectures, ap-plicant training courses and workshops annually. Furthermore, the national companies maintain cooperative ven-tures with schools and universities, es-tablish contacts at numerous university fairs and recruiting events, and stage in-house career days specially for job start-ers, such as the “Take off day” at the Wittlich location for interested school leavers and the “Dr. Oetker Talent Days” at the headquarters in Bielefeld for com-mitted students.

www.oetker.de

EMPLOYEES

NUMBER OF NEW APPRENTICES

(GERMANY)

2010 2011 2012

6559

63

On-the-job training is a special form of junior staff development in Germany.

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grammes, the locations choose different areas of focus depending on national and cultural conditions, but with early detection and preventative care, as well as the promotion of health awareness, to the fore. Moreover, the company en-courages its employees to make their own health protection efforts by organis-ing fairs and initiatives dealing with healthy nutrition and a healthy lifestyle at home and supporting a variety of sporting and physical exercise initia-tives.

Women in management

The employment of women is a further aspect of demographic change: never before has the labour market offered well-trained and highly qualifi ed women such good career prospects as now. At the same time, it is mostly women who have to accept breaks in their profes-sional career in favour of caring for the family.

Around 53 % of all employees at Dr. Oetker are women. In relation to this, there is room for improvement in the proportion of female executives within the company. In 2012 roughly 36 % of all staff in management were women. As an employer who cam-paigns for the equal opportunity of all employees and whose personnel strate-gy includes recruiting managers from within its own ranks, the proportion of women in leadership positions will in-crease in the years to come.

Health

Falling birth rates, continuously rising life expectation and an accompanying lengthening of the working life are lead-ing to substantial changes. In ageing societies, therefore, it will become in-creasingly important for companies to maintain the effi ciency of their employ-ees long term. In the light of this knowl-edge, Dr. Oetker has organised occupa-tional health and safety in line with OHSAS 18001, and signed up to the European Union’s Luxembourg Decla-ration on Workplace Health Promotion as early as 1999.

Furthermore, the company has imple-mented numerous health promotion models aimed at enhancing the mental and physical fi tness of all members of staff. When structuring health pro-

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for the success of the company. Pre-cisely because of the increasing speed of technological innovation and the in-ternational complexity of business rela-tions, it is of major importance constant-ly to ensure that suitable competences are built up and maintained, and the necessary life-long learning of the work-force made possible.

The range of further-training opportuni-ties is extremely diverse in all national companies. It embraces charac-ter-building seminars and workshops, subject-specifi c further education, lan-guage courses, individual coaching as well as management training courses and academic training support schemes. In addition, employees are regularly sensitised to environmental protection. Following the management trainee pro-gramme or direct entry, all employees transnationally have the chance to qual-ify in the International Talent Develop-ment Programme, in which junior staff are systematically prepared for future management duties.

edge, creativity and social competence of its staff. Consequently, at the centre of Dr. Oetker’s sustainable personnel strategy lie the identifi cation of varied talents and, building on this, continuous support through targeted initial and fur-ther-training measures. For it is the high level of qualifi cation of staff that makes

WOMEN AND MENIN MANAGEMENT

35.88 %

Women Men

64.12 %

EMPLOYEES

EMPLOYMENT RELATIONSHIPS IN 2012

Unlimited contractsLimited contracts Temporary staff

5,79 %

86.37 %

7.84 %

Dr. Oetker supports its employees with well-directed programmes.

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gional and supraregional bodies, em-ployer and employee representatives devote themselves constructively to tackling a variety of tasks jointly. Contin-uous effort for the interests of staff guar-antees that the bases for a lasting com-mitment of employees are preserved by mutual agreement. Employee repre-sentative bodies are also organised transnationally within the framework of the Dr. Oetker Europa Forum.

Outlook and goals

The demographic development, espe-cially in the western industrialised coun-tries, will continue to play a major role in personnel work in the future. Dr. Oetker sees itself well equipped for this chal-lenge and will focus further on stepping up its recruiting activities. Nonetheless, it will drive forward the development of its employees as well as health promo-tion measures and further expand its worldwide personnel activities as part of its internationalisation strategy.

“Hand in Hand” in Germany in 2011. With it, Dr. Oetker wishes to support the personal activities of staff for the benefi t of the wider society with monetary and product donations and simultaneously further involve them in the company’s societal responsibility efforts.

Employee representation

Social responsibility is a signifi cant ele-ment in the corporate culture at Dr. Oetker. It includes standing up for fair and just working conditions as well as for a constructive partnership with staff, employees’ representatives and unions. Dr. Oetker declares its belief in the fi rm principles of this cooperation, which encompasses, among other things, as much the recognition of the right to collective bargaining as the right to the freedom of association of staff. Traditionally, company management and employee representatives at the various locations cultivate a working re-lationship marked by mutual respect and fairness. In a large number of re-

reconcile the needs of children and ca-reer. The respective locations have tak-en different measures to achieve this. In Germany, for example, return-to-work programmes have been established to help in the return from parental leave. Additionally, the company helps in the search for child-minders, crèche places or homework tutoring, and offers holi-day care opportunities . A kindergarten supported by the company is open to employees’ children at the Bielefeld headquarters. Dr. Oetker offers staff who have to nurse dependants advice and information, and accommodates them with fl exible working time models. Furthermore, in Germany cooperative ventures have been concluded with family advice centres.

Against the backdrop of low state bene-fi ts, the national company in Poland supports its employees with fi nancial aid from a social fund on the birth of a child or for the care of dependants.

Supporting voluntary work

In order to support staff and pensioners who perform voluntary work, the com-pany launched a programme called

Provision in old age

In a number of countries economic and demographic change processes have contributed to making more private re-sponsibility necessary in providing for old age and security in the event of illness. Dr. Oetker offers its staff various provision options to make appropriate provision so that they have a secure in-come after their working life and can en-joy their leisure time.

Work and family in harmony

The compatibility of work and family is an important issue for Dr. Oetker. The company fi rmly believes that employees can best display their effi ciency if pro-fessional and private life are in harmo-ny. To shape this individual interplay, the company allows its employees fl exible working time structures such as part-time or fl exible working. Where the type of work permits, various locations offer their staff the use of teleworking. A spe-cial role is played by the support of women and men on the birth of a child or the care of dependants. The offer of full-day child care is an important pre-requisite to enable women and men to

The compatibility of work and family is an important concern for Dr. Oetker, as is the health of its staff. At the Wittlich location a fi tness room was cre-ated for all interested employees.

EMPLOYEES

With the “Hand in Hand” programme Dr. Oetker promotes the voluntary involvement of its em-ployees.

fürs Ehrenamt

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the national company entered into a co-operative venture with Epith, a service provider. In Great Britain the company has been working with Job Centre Plus for many years. In 2012 Dr. Oetker took part in the campaign “Feeding Britain’s Future – Skills for Work” for the fi rst time. This is an initiative which supports unemployed young people aged be-tween 16 and 24 and qualifi es them bet-ter for the labour market.

Cooperation with educational institutions

Dr. Oetker champions the education and training of young people with great interest.

Promoting involvement in education is undertaken according to the needs in the particular environment of the nation-al companies, each Dr. Oetker national company taking different approaches and aligning its engagement with the societal and cultural conditions of the country and with its own economic pos-sibilities. In view of the diversity of the commitment shown by the respective locations, this can only be described here on the basis of just a few exam-ples.

The foundation stone

The foundation stone for the company’s societal engagement was laid by the founder, Dr. August Oetker. Back at the start of the 20th century he supported academic institutions, especially in the fi eld of the natural sciences, and set up a microbiological institute in his busi-ness whose biochemical seminars were open to the public at large. In the tradi-tion of the company’s founder, subse-quent generations have championed societal concerns.

Commitment to employment

The commitment of the company to the creation and preservation of jobs ex-tends beyond the implementation of in-house measures.

For a good seven years, the national company in Switzerland has been sup-porting Solodaris Stiftung, a foundation which is involved in the professional and social integration of mentally disabled people in day-to-day life. The national company in France also concerns itself with the integration of people with disa-bilities in the world of work. To this end,

Responsibility from the outsetwww.oetker.de

Societal Responsibility

The range of need is great, and not always can these concerns be resolved by the state. Companies, too, on account of the diversity of need and limited by the funds available, are obliged to concentrate their support and their activities. Dr. Oetker’s strategy has always been to champion a positive family environ-ment and the education of people of all ages. In the company’s view, both are fundamental building blocks for an intact society and, for the individual, mean the chance of a self-determined life. A family imparts values and assists in de-veloping individual personality; a good education is the basis for employment throughout the world.

SOCIETAL RESPONSIBILITY

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than ten years, the location in Brazil has been supporting the German Vocational School of São Paulo (IFPA) as well as the National Service for Industrial Train-ing and, for a good two years, also the Transformar Institute. The goal is to ex-pand the range of training for pupils to enable them access to more advanced educational institutions or to prepare them for professional life.

Partnership with SOS Children’s Villages

Although Germany has a very high standard of living, children are increas-ingly caught up in problematic and stressful family situations. Social ne-

der to accompany young people on their path into professional life, the locations in Hungary, the Czech Republic and Slovakia, as well as the Turkish national company, maintain collaborative ar-rangements with vocational schools and universities. Moreover, the Slovakian national company has been regularly promoting the state-organised German language competition. In this context, the location’s contribution focuses es-sentially on conducting professional seminars and training courses.

In America the national companies in Canada and Brazil support various schools in their local surroundings. In Canada this has been the German School of Toronto since 2011. For more

The national companies in western Eu-rope have likewise entered into cooper-ative ventures with various educational institutions. In Austria the company is in contact with the University of Klagen-furt, the Villach University of Applied Sciences and Business Promotion Insti-tute of the Carinthian Economic Cham-ber. The company implements different case studies with the students, enabling them to gain insight into practice. Dr. Oetker in Switzerland also gives stu-dents of the University of St. Gallen sup-port in their studies, as has, since 2012, the Spanish national company to stu-dents of the University of Pompeu-Fab-ra. For a good fi ve years, the Italian company, cameo, has been working with various of the country’s universi-ties. These include the universities in Parma, Verona, Padua, Trieste, Venice and Bergamo. In addition, cameo sup-ports students in the marketing and communication departments of the uni-versities of Publiitalia, Alta Scuola per l’Ambiente and Il Sol 24 Ore. With the aim of imparting practical training con-tent to young people in the laboratory and production, Dr. Oetker in France entered into a cooperative venture with the Aristide Briand grammar school in Saint Nazaire.

In eastern Europe, employees of Dr. Oetker Poland are members of the Curriculum Advisory Council of the Fac-ulty of Chemistry of the University of Gdansk. Additionally, the plant in Ma-kow, Poland, works closely with the Faculty of Food Sciences at the Univer-sity of Olsztyn. The aim of each collabo-ration is the exchange between learning and practice. Furthermore, the compa-ny is engaged with the Historical Muse-um of the City of Gdansk. With the in-tention of conveying knowledge of the city’s culture and history to children es-pecially, the company has enabled the acquisition of educational books. In or-

In Germany the company has estab-lished cooperative ventures with a vari-ety of educational institutions. The aim of the school partnerships initiated is to accompany the graduates on their path into working life and awaken in young people an interest in science subjects. Furthermore, Dr. Oetker works with the University of East Westphalia-Lippe in the promotion of forward-looking tech-nological research and development. Every year since 1992 the company has awarded the Dr. Oetker Prize to budding young scientists in the Food Technology Department in recognition of their out-standing academic achievements. Through the Verein Bielefelder Gilden-haus the company involves itself in the economic education of coming genera-tions. The society was founded in 1920 by companies from Bielefeld to make knowledge of economic relationships accessible to the public.

SOCIETAL RESPONSIBILITY

Special academic achievements in the Life Science Technologies Department of the University of East Westphalia-Lippe are honoured with the Dr. Oetker Prize.

Dr. Oetker engages with schools, wishing to awaken in young people an interest in science subjects. As part of cooperation with a school in Germany, Dr. Oetker apprentices supported pupils in building a solar-powered Bobby-Car.

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part of the voluntary social year scheme. A further area of focus of the foundation is the support of sick, disabled and el-derly people in collaboration with social and charitable institutions.

Outlook and goals

The owners of the Dr. Oetker family business have always concerned them-selves with the pressing social issues of their time and invariably made a contri-bution to societal, cultural and educa-tional development. This engagement is something the company will also contin-ue to pursue in the future.

Alliance (Deutscher Kinderschutzbund) in Bielefeld for more than four decades. The charity gives direct and unbureau-cratic support to children and families through its numerous activities and pro-grammes. Dr. Oetker provides, free of charge, a company-owned house which acts as an important drop-in centre for children and parents.

Oetker foundations

Founded in 1998 by Rudolf-August Oet-ker, the foundation of the same name is dedicated to fostering art, culture, learn-ing and the care of historical monu-ments. In its early days the focus was on the refurbishment of village and pa-tronage churches in the east of a reuni-fi ed Germany. More than 200 churches have been saved in this way in the nine new federal states. Important consider-ations for backing are not just the build-ing itself but also the social and societal environment. The Rudolf-August Oetker Foundation is now increasingly en-gaged in sponsoring selected art exhibi-tions, acquisitions by museums and in the restoration of works of art. In the academic fi eld it has been supporting the privately-run University of Witten/Herdecke.

The Ida and Richard Kaselowsky Foun-dation supports children and young people in the areas of sport, upbringing, education, music and art, as well as young people in their stay abroad as

www.dksb-bielefeld.de

www.oetker-stiftungen.de

dren’s Villages in their own countries. Currently, these are locations in Bel-gium, Finland, France, Italy, Canada, Croatia, the Netherlands, Austria, Po-land, Romania, Serbia, the Czech Re-public and Hungary. This is more than just a matter of fi nancial help: a multi-plicity of activities and the personal con-tact of employees breathe life into the partnership.

German Child Protection Alliance

The owner family and the company have backed German Child Protection

glect or deprivation are, unfortunately, no longer a rarity. In SOS Children’s Vil-lage, Dr. Oetker has found a partner which makes life in a family, with all its positive values, possible for many chil-dren. To support the work of SOS Chil-dren’s Villages, Dr. Oetker has entered into a partnership with the organisation. This support is not linked to the sale of Dr. Oetker products. Dr. Oetker’s com-mitment is based solely on its sense of social responsibility to the institution of the family, which has always occupied a high place value at Dr. Oetker. More and more national companies are increas-ingly focusing on support for SOS Chil-

www.sos-kinderdorf.de

SOCIETAL RESPONSIBILITY

The partnership with SOS Children’s Villages lives through the active commitment of staff, as here in Italy.

For the work of the Child Protection Alliance, Dr. Oetker provides, free of charge, a company-owned house that is an important drop-in centre for children and parents.

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Picture credits Page 74: Fotolia/Tomasz Trojanowski Page 76: Getty Images/Jan Greune

Publishing detailsDr. Oetker GmbHHauptabteilung ÖffentlichkeitsarbeitLutterstraße 1433617 BielefeldGermany

Tel.: +49 (0) 521 155 0Fax.: +49 (0) 521 155 2995Email: [email protected]: www.oetker.de

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