We commissioned independently conducted stakeholder research in FY12 as part of a more structured approach to stakeholder engagement. We intended to repeat this research in FY16, although delays due to changes in management responsibilities internally meant it took place at the beginning of FY17. The results of the FY12 research, which are summarized below, were used to inform our approach in FY16 which focused on continued progress in our core pillars, the broad themes that remain applicable to our Corporate Responsibility program.
The research involved structured, one-on-one interviews with a global range of individuals from each of our main stakeholder groups: Customers, Employees, Industry Associations, Non-governmental Organizations (NGOs), Regulators and Suppliers. The interviews focused on a number of areas, including what stakeholders think are the most important responsibilities for the sector and the Company specifically.
Responsibility in the Spirits Sector
The results showed larger companies in the spirits sector were generally considered to be responsible. There was a sense, however, that the industry will face greater expectations and scrutiny of its behavior with ongoing political, NGO, and public debate and with the growing awareness and expectation in developing markets.
Bacardi and Responsibility
Stakeholders generally considered Bacardi in a positive light. With regard to our approach to Corporate Responsibility, the results were mixed. While many stakeholders felt Bacardi strived to be a responsible business, others were unsure, due to their limited awareness of our Corporate Responsibility activity.
Key Areas of Interest for Stakeholders
Although the main priorities and concerns of stakeholders differed, based on their interests or expertise, there was broad consensus on key Corporate Responsibility issues for the spirits sector, as shown below.
Issue Prioritization – Global, All Stakeholders (Weighted Scores)
MANAGING DIRECT ENVIRONMENTAL IMPACTS
SUSTAINABLE AGRICULTURE AND SOURCING
RESPONSIBLE SUPPLY CHAIN
BEING A RESPONSIBLE EMPLOYER
SUPPORTING LOCAL COMMUNITIES
The score for each issue is derived from the top five issues identified by each stakeholder weighted by their level of priority.
The five pillars of our Corporate Responsibility program – Marketplace; Environment; Responsible Sourcing; People; Philanthropy & Community Investment – reflect our main areas of activity.
Our business and the world in which we operate are constantly changing, and the specific priorities, risks and opportunities within each of our Corporate Responsibility pillars need to reflect this. As a result, the Corporate Responsibility Leadership Team (CRLT) undertake a biennial review of our materiality assessment to determine whether it needs to be updated. We use stakeholder research to inform our materiality assessment, which prioritizes the relative importance of the issues within each pillar by combining the level of priority given by stakeholders with the current or potential impact of the issues on our business.
We use the results of these assessments to inform our Corporate Responsibility strategy and the specific approach taken within each pillar of our program.
Stakeholder Research and Materiality Assessment FY17
Stakeholder Research undertaken at the beginning of FY17 was used to update the materiality assessment. Although there are some changes in the relative priority of issues, there was a consensus among stakeholders that all remained important and should continue to be actively managed and reported upon. Full findings from the research were incorporated in the updated materiality assessment which is being used to manage the Corporate Responsibility program in FY17 and will be included in the FY17 report.