Proving its commitment to building a sustainable and impactful business, Danone Indonesia achieves B Corp certification
Jakarta, 22 October 2024 – Continue to show consistency in bringing goodness to society and the environment through business, Danone Indonesia which consists of Danone-AQUA and Danone Specialized Nutrition Indonesia succeeded in obtaining B Corporation or B Corp certification with a score of 98.6. B Corp is a certification for companies that meet standards high levels of overall social and environmental performance, transparency, and accountability, provided by B Lab, a non-profit organization focused on encouraging for-profit companies to increase the positive impact of their business activities, making a business a force for good. This year, Danone Indonesia succeeded in expanding its B Corp certification for the Specialized category Nutrition. Meanwhile, in 2018 and 2021, Danone-AQUA got B Corp certification with an increase and became the first FMCG in Indonesia to obtain this prestigious certification.
Laurent Boissier, CEO of Danone Indonesia explained that in line with the ambition of the Danone Impact Journey (DIJ), Danone Indonesia is committed to increasing the positive impact of its business activities, especially in the fields of health, environment, and community as well as governance transparency. Danone Indonesia’s success increased the score each time obtaining B Corp certification from 2018-2024, which is concrete evidence of this commitment. “We are proud to return to become a B Corp certified company, for us is more than just certification, B Corp is a movement to create a better world, through sustainable business practices that have a positive impact both on business operations and on social and environmental impacts. Through this milestone, Danone Indonesia as a key country for Danone, contributes to support the global ambition of Danone to be 100% B Corp Certified by 2025″ explained Laurent.
Currently, Indonesia is experiencing complex challenges covering various aspects, such as economic, social, and environmental aspects. BPS data shows that 9.79% of Indonesia’s population includes the poor Meanwhile, social inequality is becoming increasingly evident, where currently the expenditure inequality of the Indonesian population (gini ratio) is 0.379 . The Indonesian people are also faced with the fact that Indonesia is the second largest producer of carbon emissions, especially from the land conversion sector , this of course affects the survival of society and the living creatures in it.
Thomas Ng, Executive Director of B Lab South East Asia explained that “In responding to current challenges, an active role is needed from various parties, one of which is industry by running a business that is not only profit-oriented but carries out its operations responsibly and has a positive impact. B Corp certification exists to evaluate how business practices run as a whole and measure how the business model has an impact on the environment and society as done by Danone Indonesia. We also see clearly that Danone Indonesia stands firm in using the power of business for good. “This is proven by audit scores which increase every year and how other business categories, namely Specialized Nutrition, join companies that have been certified as B Corp.”
As part of the evaluation to obtain B Corp certification, B Lab as a non-profit organization that carries out certification provides assessments on 5 aspects, including Community, Environment, Customers, Governance, and Workers. These five pillars are in line with the government’s target to achieve sustainability targets in the Sustainable Development Goals (SDGs). In the Community aspect, Danone Indonesia has embraced 15,000 Partners of the Innovative AQUA Home Service (AHS) Micro Distribution Model, supporting 10,000+ Small and Medium Enterprises (MSMEs), this is carried out to help develop the community economy in line with the government’s target of creating as many as 1 million entrepreneurs by 2024. In the production process, sustainability and environmental sustainability are Danone Indonesia’s priorities, this is realized by implementing a reuse business model, using new and renewable energy (EBT) through biomass boilers and Solar Power Plants (PLTS) on solar panel roofs. in several of its factories in Indonesia which is in line with the government’s target for Net Zero Emissions by 2060.
To provide the best for consumer health, Danone Indonesia guarantees product quality through certification standards and offers 24-hour consumer education and complaint services via multi-channel. Danone Indonesia’s commitment to providing a consistent impact on business, social, or environmental responsibility is firmly adhered to by every employee at every level by actively collaborating with stakeholders to respond to national and global challenges. Every kindness that Danone Indonesia carries out begins and continues through its employees, with the power to impact company decisions and encourage inclusive growth through share ownership programs, a maternity leave policy of 6 months for mothers and 10 days for fathers, presenting labor unions, and regularly presenting Danone People Survey to listen to employee input.
Apart from certification, B Corp is also a movement and is active in building communities, since 2018, in Indonesia there have been 27 B Corp certified companies, consisting of various industries with the same goal, namely contributing and collaborating with various stakeholders such as the government, consumers, society and non-profit institutions to answer and resolve the challenges currently facing society. B Corp also builds communities, since 2018, in Indonesia there have been 25 companies certified B Corp, which consists of various industries with the same goal, namely contributing and collaborating with the government and non-profit institutions to answer and resolve the challenges currently facing society. This is done to reduce inequality, reduce poverty levels, create healthier environments, and stronger communities, and create more high-quality jobs with dignity and purpose. B Corp certification for various industries globally is also in line with its realization of Sustainable Development Goals (SDGs) as a reference for achieving a better and more sustainable future for everyone.
Leveraging the power of business, B Corps uses profits and growth as a means to achieve a greater goal: making a positive impact on their employees, communities, and the environment. “B Corp certification will be motivation and encouragement for Danone Indonesia and its employees to continue to innovate, collaborate, and be an inspiration to build a better, more sustainable business that also has an impact on the wider community,” concluded Laurent.