AAK sustainability report 2018

74 Scope and materiality This is the tenth AAK Sustainability Report. The first was published in October 2010 and our aim is still to continue reporting on an annual basis. Due to Swedish legislation, future reports will be published together with the AAK Annual Report in the second quarter. Since commencing structured reporting in 2008, we have been inspired by Global Reporting Initiative’s (GRI) Sustainability Reporting Guidelines, now following the current GRI Standards version. We have used GRI standard disclosures and sector disclosures for food processing with special focus on core indicators. Indicator numbers and titles in the GRI index are in accordance with the GRI Standards version. Because GRI is an all-encompassing format, it is not relevant for us to report on all criteria. In 2010, we initiated an internal process to identify the issues relevant to our business and our stakeholders. This involved discussions with staff at all sites and feedback from other stakeholder groups. In 2013, we began using the materiality analysis tool to map our own priorities against our stakeholder priorities. Since 2016, we have been conducting materiality analysis workshops with the local CSR teams at all AAK sites. The exercise is coached by the global CSR Manager and the objective is to identify economic, social and environmental issues important to the business success of the local sites. To facilitate the process, 30 cards with one specific CSR issue on each are created. All CSR teams have to discuss whether the different CSR issues are impor- tant to the site or not. Those without importance are removed from the stack of cards. The CSR teams then have to pick ten cards with CSR issues most important to their business. Finally, they have to rank these ten cards according to importance. By means of a simple scoring system, data from all the sites are then compiled into the x-axis of the materiality matrix. The second dimension of the matrix, the y-axis, is established based on stakeholder requirements and priorities. The materiality matrix then helps AAK to prioritize its resources and identify gaps between AAK and stakeholder priorities. We find it a very useful tool in identifying important focus areas. Our ambition is always to focus on reporting the information requested by stakeholders, or that of internal value. This Sustainability Report is a supplement to the AAK Annual Report 2018 and, therefore, only contains a summary of financial performance figures and references to the AAK Annual Report. Both reports are available at AAK’s website. Reporting criteria In general, the data in this report covers our activities from January 1 to December 31, 2018. Updated information for some 2019 events is included, since they are considered to be of material importance to our stakeholders. Environmental data (GRI abbreviation: EN) relate to the fifteen AAK production sites that were fully oper- ational in 2018 including the AAK products produced by our toll production partner Cousa in Montevideo, Uruguay. Other core data also include purchasing sites and sales offices. In 2018, we have introduced two new energy sources, steam at our production site in China and coal at our production site in India. Furthermore, site Karlshamn in Sweden is now selling solar electricity to the grid. Data and calculations We release a GRI Report internally in the first quarter of every year. The report is based on information received from all sites, and contains both local and compiled global data. A section showing trends from the previous years is also included. Data and information from the GRI Report form the basis of our Sustainability Report, which is published externally.