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This chapter will present the core findings of this research; that is, the primary data from the semi-structured interviews and observation, in addition to secondary data such as documents and company reports. The interviews were conducted with team members of Coca Cola Beverage in Turkey which are included both corporate executives and department heads related with implementing sustainable development programmes. The fundamental aims of these interviews are firstly to demonstrate the relationship between sustainable development importance and corporate level of company. Secondly, to analyse the sustainable development concept implementations in both organizational perspectives from the experts of this subject. These questions will continue with broader review of sustainability, sustainable development policy in selected company and will be completed with reflections and future plans of sustainability implementations in the company.
5.1. FINDINGS OF SUSTAINABILITY WITH INTERVIEES' PERSPECTIVE
According to the interview with Mr. Huseyin Akin, who is President of CCI Turkey Region and Mr. Atilla Yerlikaya CCI Turkey Corporate Affairs Director, sustainability perspective of CCI will be evaluated in detail.
5.1.1. Sustainability Perspective
Q.1. One of the most important agenda issue for the Coca Cola System in Turkey is "Sustainability". Before going into details, what is sustainability from your perspective?
According to Huseyin Akin, "The long term sustainability of CCI's business is possible only when the communities in which we operate are sustainable. In that respect, we may ensure the sustainability of the communities we operate in and consequently our business by setting responsible strategies in cooperation with our stakeholders in economic, social and environmental matters. We must define our areas of influence and our performance in these domains and be ready to be accountable to our stakeholders. For us, sustainability is what we do as well as our long-term commitments towards adding value to our stakeholders, our business and the community we operate in.
Atilla Yerlikaya stated that, " Our world is facing with a massive change and innovations.
If the humanity continues to consume the world's natural sources with this pace, we will need resources equivalent to four planets. History indicates that many civilizations and species which could not keep up with the changes in the world have extinguished. Experiences of humankind and nature provide the society with important lessons. The sustainability of our business is only possible by keeping nature which companies benefit from by using its resources and the community to which sell our products sustainable."
5.1.2. The Concept of Sustainability
Q.2. The concept of sustainability has a strong relationship between communities and in this respect various sustainability strategies are applicable in different communities. In your perspective are there different aspects or priorities for Turkey in terms of sustainability? What kind of sustainability approach is required in Turkey?
Huseyin Akin claimed the strong relationship with the structure of society, problems and expectations of community one operates in and with the relation one builds with such community. Sustainability strategy should be in line with your local community relations. We have determined our primary fields in our social investments as environmental projects, health, culture and development of youth. We are leading many projects in Turkey about sustainability. Within the framework of our sustainability approach, we aim to continue leading other companies.
Considering to Atilla Yerlikaya, "Sustainability is rather a new term to our community. The issues of environment and protection of watershed in Turkey gain importance from the Coca Cola's perspective. %75 of water resources in Turkey is used for agriculture, %15 for industry and %10 in households. CCI, as a member of the Turkish industry should increase the efficient use of water in production. This is the main reason that we have to pay attention about this issue."
5.1.3. Sustainability and Strategic Options
Q.3. Do you think that sustainability has become a strategic part of Turkey operations? Can you explain what have you been doing in the area of sustainability?
According to Huseyin Akin, "At CCI, we believe that our most important duty as corporate citizens is to operate in accordance with sustainability principle.
Our goal is to become more than a charitable company; we aim to undertake an active role in finding solutions to social dilemmas after getting the opinions and suggestions of all our stakeholders.
We aim to create the best and equal work environment for our employees and improve standards with our environment friendly policies. According to all these, we develop our sustainable development projects with 4 main areas; our workplace, marketplace, environment and community. For example our 1,5lt returnable PET bottle introduced in February 2008, helps conserve labels and paper. By presenting our customers with a suitable and fair price we are able to reduce our environmental impact."
Atilla Yerlikaya indicated that "We aim to improve CCI's environmental activities in terms of our impact on environment. While minimizing the use of resources at our plants, we also try to contribute social projects for solving environmental issues. We support many environmental and social projects under Life Plus Foundation. With this found, we plan to spend approximately 5 million Turkish Liras for environmental and social projects during 2010. We support ideas of model solutions for environmental problems of our country. Water Preservation in Turkey is our primary focus."
5.1.4. Turkey and Sustainability
Q.4. The Coca Cola 2020 Vision envisions the substantial changes in the next 10 years. Within this framework how do you evaluate Turkey and sustainability?
Huseyin Akin explained the 2020 Vision sets out that Coca Cola Company and bottling partners must act hand-in-hand with common strategies. It is significant that, efficiency is emphasized with this Vision. It is time to focus on sustainability and with this I strongly believe that 2020 Vision prepares us for the future.
With regard to Atilla Yerlikaya, "Coca Cola Turkey System defined sustainability perspective and entire to our system. 2010 will be the year which CCI will integrate sustainability into our business. While making decisions on marketing, sales, purchasing or any business field, we have to consider sustainability as a way of doing our business.
5.1.5. Sustainability Achievements
Q.5. Can you please explain key sustainability achievements of CCI?
According to Atilla Yerlikaya, CCI has defined their key issues as preservation, recycling and reuse of water resources.
CCI joined to UN Global Compact Initiative.
Water consumption in CCI Turkey is reduced by 9% in 2008 and the amount of water used per liter of beverage is reduced to 1.48 litres.
Ankara Plant uses 1.25 liters of water to produce 1lt of beverage. This usage ratio is not only a record in Turkey also a best record in the worldwide The Coca-Cola System.
Izmir Plant has been recognized as "Best Performer" in terms of environmental performance among the Eurasia and Africa Group.
Turkey operation has been reported as "Best Business Unit" in terms of water and energy use in The Coca Cola System.
Jordan Plant has successfully achieved the best improvement in its energy usage ratio and improved it by 17% for the previous year's figure.
In 2009, the changing of glass contour bottle provides %20 lighter and %10 cheaper form. Correspondingly, CCI saved 52 thousand metrics tons of glass and 26 thousand ton reduction in the amount of carbon dioxide.
5.1.6. Sustainability and Energy Efficiency
Q.6. Energy efficiency is one of the most important issues for the Coca Cola System. Can you explain this process?
Huseyin Akin stated that climate protection and managing energy are important issues for Coca-Cola System. Increasing energy efficiency and balancing emission will assist Coca Cola to reduces expenses and minimize impacts to the environment.
Table:â€¦â€¦THE COCA-COLA SYSTEM ENERGY USE FROM 2004 TO 2009
Source: The Coca Cola Company 2008-2009 Sustainability Report
Graph indicates that in 2008 The Coca Cola System exhausted 58,6 billion megajoules energy to make 128,5 billion liters of product.
Table:â€¦.COCA-COLA SYSTEM ENERGY RATIO (EFFICIENCY) USE FROM 2004 TO 2009
Source: The Coca Cola Company 2008-2009 Sustainability Report
The graph shows from 2004 to 2009 system makes 10 percent efficiency improvement. Due to producing more product energy consumption may rise up but energy efficiency per liter of product may improved.
5.1.7. Sustainability and Water
Q.7. Water is essential for every industry and 2025 projections claim that the world has to consider this issue carefully. Regarding this view, what is CCI's sustainable water policy?
The most important thing for human being admittedly is water. Throughout the 20th century, global water consumption has increased in the industrial sectors.
TABLEâ€¦..:THE WORLD'S FRESHWATER SUPPLY PROJECTIONS FOR 2025
Source: VITAL WATER GRAPHICS (UNEP) http://www.unep.org/dewa/assessments/ecosystems/water/vitalwater/a2.htm
The graphâ€¦indicates that the availability of fresh water in worldwide has dramatically decreased. However The Coca Cola Company claims that they are aware of necessity of water for environment and for their company because the most significant ingredient for beverage is water. It is also essential for manufacturing process. Company has specific responsibility with related to replenishing water especially in areas which have water shortage. The goal of The Coca Cola Company is to return to environment an amount of equivalent water what they consume in all manufacturing process. The line graph also indicates %9 improvement of water use ratio from 2004 in the company.
Table:........COCA COLA SYSTEM WATER USE RATIO (EFFICIENCY) FROM 2004 TO 2009
Source: The Coca Cola Company 2008-2009 Sustainability Report
Atilla Yerlikaya continued to the explanations in this way, "The Coca Cola company discovered source for water protection which is an effective business continuity strategy that provides reducing costs, improve ecosystem health, and benefit the communities where it operates. http://www.wbcsd.org/ Nevertheless the water stewardship of The Coca Cola Company may classify into three areas. Firstly, reducing water usage ratio (efficiency) while raising up unit case volume. Second area is recycling the water usage in the operations of company (wastewater treatment). Finally, replenishing the water that the company use through community water access and watershed restoration and protection. In 2007, The Coca Cola Company became one of the first six companies in a program which designed to help organizations better manage water consumption in their operations. All these developments can be evaluated as a result of how sustainability implementations are enforced with great seriousness in the company.
The Coca Cola plants operate a complete multiple-barrier water treatment system to supply high quality water in during the production process. Figureâ€¦.in below explains the system.
Figureâ€¦..: Coca-Cola's Multiple-Barrier Water Treatment Approach
Source: World Business Council for Sustainable Development (2007)
According to the statistics, The Coca Cola bottling plant which is located in Brazil has invested more than US$ 2 million in partnership with other businesses to protect the Jundiaí River watershed, the primary source of water for that community since 2005.
5.1.8. Sustainable Packaging
Q.8. Packaging is an important part of the production process. Can you explain what kind of sustainability policies are you implementing?
According to Atilla Yerlikaya, packaging has a primary role while meeting consumer need's, expectations and for protecting the goods. Most of packages are made of long-lasting materials and this causes many damages for the environment. The manager provided the researcher with the following company detail based on previous research.
Tableâ€¦. Shows in below, PET, glass, aluminium and fountain are the mostly used materials for packaging in the company.
Source: : The Coca Cola Company 2008-2009 Sustainability Report
Mr. Yerlikaya continued that, company is working for creating global packaging strategy which is aimed to prevent wasting through industrial packaging. The main focus for The Coca Cola Company is on eliminating all raw material, energy and water losses across the entire packaging process. In the beverage industry, company struggles to be the most environmentalist packaging user. All of our major packages have seen significant material reductions since sustainability policies implementing in the company. The Coca Cola system made massive progress in packaging tracking and incremental breakthrough advances in packaging efficiency. The aim is for the sustainable packaging to find new ways to reduce the amount of material used in packaging process. For example in China, the rollout of our new short-height bottle cap for most of our sparkling and still beverages is expected to eliminate the equivalent plastic use of 439 million caps and 208 million 500â€‘mL bottles. Likewise, in Europe and Latin America, company reduced the weight of 2 litter contour bottle by 7.5%, which will save 16,000 metric tons of plastic annually.
5.1.9. Climate Change and Copenhagen Communique
Q.9. To summarize sustainable policies in the Coca Cola Company, it is necessary to add some information about climate change policies Can you please give a short brief about sustainable climate change policy in the Coca Cola?
This declaration is published by more than 500 global company business leaders. The Copenhagen Communiqué on Climate ChangeÂ isÂ the descriptive and innovative manifesto which was issued ahead of the United Nations (UN) conference in Denmark, Copenhagen in 2009. Today, our world faces with massive and exigent crisis therefore the communique has called an equitable and global response from all sides. Â Copenhagen Communiqué on Climate Change" justified that world leaders should prove same rank to accomplish the global economic crisis and climate change. In order to provide sustainable development it is necessary to stabilize the climate change as soon as possible.
CCI has become one of the first signatories of the latest and most significant step towards climate change, "The Copenhagen Communiqué on Climate Change".
CEO Michael A. O'Neill declared that, as a part of responsible world citizenship approach, Copenhagen Communiqué, the latest global initiative on climate, is one of the most important susceptible action for climate change O'Neill emphasized that CCI has a long history of environmental management and has already developed several policies to reduce the impact on the environment. CCI has also recognized as the best in effective use of natural resources across the worldwide The Coca Cola System.
5.1.10. GRI Certification
Q.10. In the last words, GRI is one of the most widespread reporting method in worldwide and The Coca Cola Company is performing this process by GRI How does the Coca Cola Company prepare sustainability reports?
Atilla Yerlikaya responded that, The Corporate Social Responsibility Reporting (CSR) prepared by CCI in 2007 and it has been certified by Global Reporting Initiative (GRI). CCI became the first organization in Turkey to have received the certification of GRI that defines sustainable development as a primary activity of its operations. Nevertheless GRI Chairman of the Board Mervyn King attended the International Corporate Governance Conference which is held in Istanbul, Turkey on January 2009 and denoted that GRI is pleasured to pursue sustainable developments in Turkey. King also claimed in his speech, "In today's business world, companies are expected to identify how they made the money to their stakeholders." Mr. Yerlikaya continued that, it is necessary to shared reports to community which the company operates. Social, environmental and economic impacts must be share with guidelines such as GRI.
In light of all this information, it is clear that, the Coca Cola Company's adaptation to sustainability despite some deficiencies that are seen. The importance of sustainability process analysed by top management very seriously. As a result, the future goal of the company has become sustainable development in all areas.