AAK Annual Report 2020

AAK Annual Report 2020 32 Focus area Commitments Highlights of progress 2020 Better Sourcing Protecting biodiversity and ecosystems and reducing environmental impact • Investing in new partnerships and digital platforms for satellite monitoring to achieve full transparency in the palm oil supply chain. • Significantly increase our verified deforestation-free volumes from 26 percent in 2019 to almost 50 percent, based on first half 2020 data. Empowering smallholder livelihoods and women • 4,300 smallholders engaged in palm programs. • 321,443 women included in the Kolo Nafaso program. Respecting human and labor rights • Setting ambition and planning of risk assessments related to human rights across our value chain. Better Operations Supporting the well-being of our people • During 2020, all sites have had a safety audit from our external partner through teamwork, virtual walks and video calls. • We have initiated a dedicated global project team that is working on identifying and mitigating risk, increasing awareness and implementing ways of tracking our progress with regards to diversity and inclusion. Minimizing our environmental impact • Performing climate change risk assessments on all sites and establishing a site scoring system aligned with physical and transition risk. • Regular best practice sharing to ensure resource efficiency and process optimization. Being a better neighbor • Delivering food donation programs to support in exposed areas due to Covid-19. Better Solutions Increasing the demand for better solutions • We enhanced our virtual platforms to demonstrate our solutions to customers online. • Strengthened our capability to support the demand for plant-based foods by using our AAK Academy and Health & Nutrition platform. Co-developing with customers to do good for people and planet • We have increased the number of co-development projects focused on sustainable solutions. • We conducted in-depth customer interviews to identify how we can improve and align with their ustainability ambitions. Enhancing sustainable develop- ment with our solutions • We have continued to progress on solutions that enable the reduction of food waste by improving the shelf life of chocolate products. • We started measuring the percentage of our revenue connected to the UN Sustainable Development Goals. Progress during 2020 Read more about our sustainability progress and performance in our Sustainability Report and our progress reports on sustainable palm oil, all available on www.aak.com.