Mondelēz International – The importance of Food Safety to our business

Peter Begg, Sr. Director, Global Quality Programs

Welcome

“Trust can take years to build, but only a moment to destroy. That’s why we all need to inspire trust everyday and to act like owners when difficult situations arise”

Irene Rosenfeld, CEO Mondelez International:

Food safety management occurs at multiple levels

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MDLZ International Board of Directors

Level

• Review food safety management

Responsibility

• Assess company risk profile and management programs

• Assess and proactively manage issues, issues prevention, and communication of lessons learned

• Implementation of company food safety policy and programs, ensure regulatory compliance

• Establish food safety policy, control programs, and compliance mechanisms

MDLZ Executive Team:

Special Situations Management Team

Food Safety & Quality Senior Management

BU’s/ Regions:

CONFIDENTIAL

We have an Integrated Quality Chain Management Approach that focuses on Systems across Key Factors

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Risk Categories

Design Procure Convert* Distribute Trade Consumer

• Design Safety Analysis

• Specifications

• HACCP

• Allergen Mgmt

• Supplier QA

• Plant & Equipment Design/Capability

• Package Integrity

• Contracts

• Selection/ Approval

• Material Monitoring

• Continuous Improvement

• Specifications

• HACCP

• Supplier QA

• Traceability

• Sanitation & Allergen Control

• Complaint Mgmt

• Process Capability/Lean Six Sigma

• Infrastructure Investment

• Traceability

• Warehouse Controls

• Complaints

• Warehouse Control

• Specification

• Labeling

• Consumer Feedback

• Process Capabilities

*Applies to internal & external plants

Microbiology Chemical Physical

Scope

Quality Risk Prevention Programs

Background

CONFIDENTIAL Quality / Food Safety Programs Assess, Manage, and Mitigate Risk

• Risk Assessment

– Supplier Approval & Management – determines suppliers risk profile and ability to meet Kraft standards before use and on an ongoing basis

– Design Safety Analysis (DSA) – new/changed product concepts are evaluated to design out potential physical hazards

– Hazard Analysis & Critical Control Points (HACCP) – focused on prevention, identifies conversion risks, controls, and monitoring compliance

– Third Party Validation - validation of key systems; Design, HACCP, Micro, Allergen, Supplier, Auditing

• Risk Management

– Auditing – risk based approach to assesses compliance to policy and execution of programs leading to corrective/ preventive actions

– Material Monitoring – incoming material testing program to verify the effectiveness of preventative programs

– Training – drives awareness of policies, programs, roles & responsibilities and enhances organizational competency

– Traceability – programs to manage and trace materials thru finished goods

– Spec Management – specification development and change management process for materials, processes, and finished goods

– Contingency Planning for single/ sole source and regionally isolated ingredients

• Risk Mitigation

– Special Situations Management – defined company wide process for proactive and effective management of issues minimizing potential impact to the business

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CONFIDENTIAL

We benchmark annually through Third parties to ensure program robustness for key controls • Design

– Product/package design (DSA) – Intertek; Premium Safety – Bureau Veritas

– Product design micro – process authority recognized by US FDA

– Equipment design benchmarked to 3-A and EHEDG

• HACCP

– Governments review HACCP plans

– Scientific basis for CCP’s generated by academic institutions or regulatory agencies

• Microbiological

– Zoning principles based on ICMFS; Internal laboratory certified by US CDC

– Specification limits – ICMSF, PMO, DMO, WHO …. Methods AOAC, FDA, ISO

• Allergen Management

– Scientific and medical literature; interaction with Reg. agencies US FDA, HC, EFSA, EuroPrevall

– Benchmark with peer companies and scientific organizations and FARRP

• Material Monitoring – Leatherhead assessment, peer company benchmarking, sample testing by Eurofins

• Auditing – ISO-based, GFSI/ FSSC 22000 audits and certification

• Food Security – US DHS, FDA, USDA, FBI, CBP, CDC, Interpol

• Special Situations Management Team – recognized industry leader. Benchmarked by Baxter & Fonterra,

• Traceability – GS1

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Risk Management

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Quality Management – QCMS

• Quality Policy

– Policies set our worldwide standards for food safety and quality

– Based on ISO standards, provides a foundation and common language to communicate design, product safety and quality requirements throughout the supply chain.

• Compliance with regulations, code of conduct and industry standards

• Scope includes MDLZ Int. sites, external manufacturers, and suppliers

– Training program builds understanding & competencies

– Consistency across entire company

– Audits verify adherence

Minimum

legal requirements

Quality Chain

Management System

Food Safety &

Quality Assurance

HACCP

GMP

Quality Audits

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GMP/GHP HACCP QCMS/ISO QM

Prerequisite

Programs Food Safety

(HACCP) Quality

Systems

Cultural & Managerial

Approaches

How it fits together

Summary

• Making food that is safe to eat is our #1 priority

• Safety of our products and Great Quality are 2 of our strategic outcomes that drive the company’s success

• Food Safety and Quality leadership starts at the highest levels in the company

• Mondelēz International looks for partners who share the same values and approach on Food Safety and Quality

• We look forward to working with each of you to drive food safety for our consumers

• Enjoy the rest of the day