Targets and outcome
= Not according to schedule
= Not according to schedule, actions identified
= According to schedule
Employee Health & Safety
TARGET
Our aim is zero workplace accidents, and we will decrease our accident frequency rate by 50% in the 2014–2020 period.
OHSAS 18001 will be implemented at all main sites by 2016.
OUTCOME 20161)
The accident frequency rate was 4.6 per million hours worked, a decrease of 31%. Compared with 2015, the decline was 27%. A tragic fatality occurred at the Mannheim site in Germany.
By the end of 2016, 87% of SCA’s 63 main sites were certified according to OHSAS 18001.
Reduction in accident frequency rate
–31%
Accident frequency rate
OHSAS 18001
People and Nature Innovations
TARGET
We will deliver better, safe and environmentally sound solutions to our customers. We strive to continuously improve resource efficiency and environmental performance considering the whole life cycle for new innovations.
OUTCOME 20161)
40% of SCA’s innovations improved in terms of social and/or environmental criteria.
Examples of SCA’s people and nature innovations include TENA Lady Pants, Tork SmartOne and Okay Compressé.
Share of people and nature innovations
40%
Hygiene Solutions
TARGET
We will make our knowledge about hygiene available to customers and consumers and ensure access to affordable, sustainable hygiene solutions to help them lead a healthy and dignified life. In markets in which we operate we will:
- Provide information on hygiene matters around our products and services.
- Strive to implement education programs for girls, women and care-givers.
- Strive to offer the best value for consumers, making hygiene solutions affordable to everyone.
OUTCOME 20161)
SCA held the number one or two position in at least one hygiene product segment in about 90 countries.
Around 500 million people used SCA’s products every day.
The hygiene educational programs SCA conducts worldwide reached 2,000,000 people.
We offered a broad portfolio of products, ranging from the premium segment to the economy segment.
Millions of people who used SCA products every day
500
Code of Conduct
TARGET
We will maintain compliance with our SCA Code of Conduct. All employees will receive regular training in the Code.
We evaluate all of our supply streams from a total risk perspective. By 2020, we aim to source 100% of our procurement spend from suppliers committed to the criteria specified in our Global Supplier Standard.
OUTCOME 20161)
91% of employees have received Code of Conduct training.
At year-end, 46% of the hygiene operations’ procurement spend was sourced from suppliers committed to the criteria specified in SCA’s global supplier standard. Of Forest Products’ 23 largest suppliers, 87% had signed the Global Supplier Standard.
Employees trained in the Code of Conduct
91%
Climate & Energy
TARGET
We will reduce CO2 emissions from fossil fuels and from purchased electricity and heating by 20% by 2020, with 2005 as reference year.
We will triple our production of biofuels from our forests by 2020, with 2010 as the reference year.
The production of wind power on SCA forest land will increase to 5 TWh by 2020.
OUTCOME 20161)
At year-end 2016, CO2 emissions in relation to the production level had declined by 18.4%.
SCA’s production of biofuel from its own forests amounted to 740 GWh.
Wind energy from SCA forest land totaled 2.3 TWh.
Reduction in CO2 emissions
–18.4%
CO2
Biofuel
Wind power
Fiber Sourcing & Biodiversity
TARGET
All fresh wood fiber-based raw material in our products will be FSC® or PEFC™ certified, or fulfill the FSC’s standard for controlled wood.
We will preserve the biodiversity of our forests. A minimum of 5% of our productive forest land will be set aside from forestry in our ecological landscape plans and a further 5% will be set aside as part of our consideration for nature in our managed forests.
OUTCOME 20161)
In 2016, 6.5 million tons of fresh fiber were delivered as timber, pulp, packaging, mother reels and products from a third party. 57% of fiber was FSC/PEFC certifi ed, 42% fulfilled FSC criteria for controlled timber and 1% came from controlled suppliers.
7% of SCA’s productive forest land has been set aside from forestry in the long term in our ecological landscape plans. In 2016, 13% of the area in planned harvesting sites was set aside for preservation.
Share of fiber that is FSC/PEFC certified or fulfils the FSC’s standard for controlled wood
99%
Water
TARGET
Our plants will reduce suspended solids by 10%.
Our tissue operations will reduce the water usage by 10% and organic content (BOD) by 10%.
Our forest products operations will reduce phosphorous emissions by 10%.
All targets will be achieved by 2020 (reference year 2014).
OUTCOME 20161)2)
Our plants reduced suspended solids by 12.5%.
Our tissue operations reduced the water usage by 1.5% and organic content (BOD) by 3.3%.
Our forest products operations increased phosphorous emissions by 35.6%.
Reduction in suspended solids
–12.5%
Financial Targets
TARGET
The target for return on capital employed is 13% over a business cycle. The target is 30% for Personal Care, 15% for Tissue and to be in the top quartile of the industry for Forest Products.
Personal Care is to deliver annual organic growth of 5–7%, while the figure for Tissue is 3–4%. Forest Products is to grow in line with the market.
SCA is to maintain a solid investment grade rating.
OUTCOME 2016
The adjusted return on capital employed, excluding items affecting comparability, was 12.5%. The adjusted return on capital employed was 31.8% for Personal Care, 13.5% for Tissue and 5.7% for Forest Products. Organic sales increased by 3% for Personal Care and 3% for Tissue, while Forest Products decreased by 3%. SCA had a solid investment grade rating.
Adjusted return on capital employed
12.5%
1) Excluding Vinda.
2) Excluding the sites in Munksund and Östrand, Sweden.