Disclosure of the use of Emerging Technology

VIManagement

Sep 30, 2011 (5 years and 6 months ago)

517 views

Draft Research Report Disclosure of the use of Emerging Technology, from a cross section of companies, in publically available corporate documentation. Prepared for Matter June 2010 B.J. Miller

1





Draft
Research Report


Disclosure of the use of Emerging
Technology
,

from

a cross section of
companies
, in publically available
corporate documentation.


Prepared for Matter


June 2010


B.J. Miller





2



Introduction

This report is a brief introduction
into what some of the world’s leading companies have
reported
with regards to
their use and development of emer
ging technologies. The companies
used are as follows: BP, Shell, Tesco, Marks & Spencer, Unilever, Proctor and Gamble, L’Oreal,
Boots, Nestle, Pr
emier Foods, Astra Zeneca and GlaxoSmithKline.

The companies chosen have been divided into pairs

for comparison purposes
.



Oil and Gas

-

BP and Shell



Food Retail



Tesco and Marks & Spencer



Chemical

-

Du Pont and BASF



Pharmaceutical


AstraZeneca and
GlaxoSmithKline



Cosmetics



Boots and L’Oreal



Food


Nestle and Premier Foods



Mixed



Proctor & Gamble and Unilever

By reading both the annual reports and
in some cases
sustainability

reports

it was

intended to
reveal

a surface level
understanding
of what

these companies are reporting on emerging
technology and
gain an insight into what they were not reporting
.

By not researching deeper
than these reports the intention was to ascertain what was available to the non
-
specialist in
emerging technology.


The i
nformation on the organisations was gathered by
posing

a short, standard set of questions
for each report
.

The questions

and rationale are given here
:

Do they mention their own use of
emerging technology?

This question

relates to

the company’s

o睮⁵獥f
敭敲杩ng⁴散桮o汯gy
慮T⁴U攠pub汩挠
慣歮a睬敤wem敮e
瑨慴W瑨Wy⁡牥⁵獩 g爠r敶敬ep楮g
楴⸠䥮⁴U攠c慳攠o映fome⁣omp慮楥猬⁴Uey m慹⁢攠u獩Vg
楴⁢i琠no琠牥ro牴楮g on⁩
⸠M数敮e楮g⁵ on⁴U攠
楮Tu獴特⁡湤⁡灰汩捡瑩on⁴Ui猠Vay⁢ ⁣on獩V敲敤⁡e
汥獳l瑨W
n⁩摥慬a


Is their report particularly reader
friendly?

This question
recognises that

it is important for a
report to be
accessible

if a company is to
communicate and educate

the reader on their uses
of emerging technology. If a company uses
information
that is perhaps overly scientific or the
information they disclose is difficult to find within
the report, then it is
unreasonable

to expect the
reader to gain anything

useful

from reading the
report.

3



Do they mention conte
ntious issues
concerning safety

or

the
environment
relevant to the
reported

emerging technology?

This question
directly addresses
the environmental
and social issues
relevant to the use of

emerging
technologies
. This research accepts that

the impact
of emerging technology

may be vast
.
Yet
, it appears,

in many cases, unlike for example
climate change
, it
is not being mentioned publicly. The

question tests
how the reporter addresses the issue



楴⁩i
important for companies to accept that some of it’s
op敲慴eon猠楮volv楮g⁥m敲e楮g⁴散桮o
logy 捯u汤
U慶攠數瑲敭攠imp慣瑳a⁡湤⁴U慴a瑨攠pub汩挠n敥T⁴o
b攠敤e捡c敤n 瑨WV


Do they discuss how they have
made an effort to engage with their
customers,
NGO
’s and
other
stakeholders?

B
y addressing this it may
indicate

how much time
has been invested

in

educating the public and other
stakeholders regarding their development and
employment

of emerging technology.

If none of the

companies are
trying to do this it becomes difficult
to understand how

the public
are
supposed to
understand or even know abo
ut the levels of
emerging technology being used in industry today?

Is the level of information provided
on emerging technology sufficient?

This question was
posed

in order to

summarise at
an integrated level

the other questions
.

That is to
say


To敳e瑨W
楮景rm慴aon p牯v楤e⁡ coU敲敮琠o爠愠
p慴捨礠m敳獡V攮e

䥴⁩猠impo牴慮琠Wo⁲ 捯gn楳攠睨w琠
m楧U琠con獴楴V瑥⁡
獵V晩捩敮琠慭oun琠o映楮form慴aon
on⁥m敲杩ng⁴散桮olog楥i⁦o爠愠捯mp慮y⁴o⁰牥 敮e

敦晥e瑩v敬y



周攠獯u牣敳eu獥搠瑯 慮V睥爠瑨敳W qu敳eion猠慲攠瑨攠
v慲aou猠
company’s

2009 annual reports and
,
if they exist,

their 2009 sustainability reports

(see Sources)
. In some cases, is not a 2009
sustainab
ility report available or, as in

the case with Marks and Spencer,
they have already
released a

2010 report. Wit
hin these reports a combination of

close reading and the use of key
words to help find the information required

was employed
. The use of key words will only be
use
d if the information required was particularly difficult to find
.



4




The key words are
as fo
llows;



emerging technology,



bi
o technology,



synthetic chemistry,



synthetic biology,



GM (Genetically Modified)



N
anotechnology.

Once the information is collected each company is scored in a range of 1 to 5 against the
research questions.
This is to
differentiate between

the companies
and determine if

it is
possible to see which companies
are providing a useful

amount of information an
d so

indicating

good practice.

The score will be assessed as follows.



1/5 little or no mention of emerging technolo
gy



2/5 some mention of emerging technology
but it is not necessarily shown clearly.



3/5 mention of emerging technology but perhaps in an extremely simplistic manner.



4/5 a good level of emerging technology talked about



5/5 all criteria met and expansive l
evel of information provided. Not overly simplistic but
written with enough conviction that the reader can understand entirely what emerging
technology is being used.

T
his information
gathered is then used to compare

between companies of
a similar industry

and

the overall set of companies in the research
.

This is summarised in the charts and tables that follow. The different groupings are colour coded
to facilitate the comparison.

5







0
1
2
3
4
5
6
Do They Mention Their Own Use


Of EmergingTechnology?

0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
Is Their Report

Particularly Reader Friendly?

6







0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
Do They Mention Contentious
Issues

Concerning Safety and
the Environment

7






8






Company

Do they Directly Do
they

mention their
own use of emerging
technology?

Is what they are
reporting particularly
reader
friendly?

Do they mention any
contentious issues
concerning safety, the
environment in terms of
their emerging
technology?

Do they discuss how they
have made an effort to
engage with their customers,
ngo’s and other
stakeholders?

Is the level of informatio
n
provided on emerging
technology sufficient?

BP

+

There is a section on ‘r&t’
followed by a detailed section
on their ’10 flagship
technology programmes.’

+

I found that compared to
other reports, that BP’s
reporting of emerging
technology was extremel
y
reader friendly. As a lay
person I was quickly able to
gather what BP were
investing in and how the
technology was beneficial.

×

Despite mentioning the benefits
of this technology, there was little
on the really contentious issues
concerning some
emerging
technologies. I did feel that the
level in which they appear to be
researching into these
technologies however does
suggest that they are at least
making an attempt to understand
the potential contentious issues.

+

+

If compared to Shell, and in
fact
other companies, then what they
are reporting is sufficient. However
if we are to expect more
information from companies than
perhaps what BP has produce
should be seen as the bare
minimum.

Shell

+

They do mention their own
use of emerging technologi
es,
however not in the same
detail as BP. It was more their
production of 3
rd

and 4
th

generation biofuel than any
of their other projects which
on further investigation are
definitely being developed

×

I found Shell’s report in
general extremely difficult
to decipher as a lay person.
Unlike BP there did not
seem to be the same
attempt to make people
really aware of what they
were investing in and how
technology was going to be
put to use. I had to really
search through the report
to find anything on
emergi
ng technologies at
all.

×

Although Shell discussed safety
and the environment, it was more
as a company as a whole. Their
sustainability report focused more
closely on how they were seeking
to
better their own environmental
output

×


×

I felt that Shell
were quite poor at
clearly bringing forward any
information on their use of
emerging technology. Reading this
directly after BP’s report I thought
it was amazing the level at which
the two companies differ in what
they report. All in all I felt much
more i
nformation could have been
provided.

9




Company

Do they mention their
own use of emerging
technology?

Is their report
particularly reader
friendly?

Do they mention
contentious issues
concerning safety, the
environment in terms of
their emerging
technology?

Do they discuss how they have
made an effort to engage with
their customers, ngo’s and
stakeholders?

Is the level of information
provided on emerging
technology sufficient?

BASF

Discuss in depth their use of
emerging
technologies
. In
particular their
‘growth
clusters,’ that are designed to
address ‘key areas such as
markets for the future and
mega trends.’
1

The five growth clusters are:
bio technology, white
biotechnology, changing raw
materials, energy management
and nano technology.



4/5

The report
was relatively
reader friendly. The
information is brought
forward effectively and in
the kind of detail that is both
easy to read and interesting







3/5

They discuss in both their annual
reports and their sustainability
reports the importance of using
e
merging technologies
responsibly

‘Our Code of Conduct
Nanotechnology.’ This is their
own way of monitoring the use
of nanotechnology within their
company.

NanoCare project funded by the
German Federal Ministry of
Research and Education is using
research
institutes and
universities to discover uses and
potential difficulties with the
development of nanotechnology

4/5

Dialogue Forum Nano is their own way
to hear and discuss the
concerns
of
consumer

organizations. An example of
BASF trying to engage with the
ir
stakeholders and Ngo’s.








4/5

The level of information provided is
impressive but is still lacking in
some areas.

Compared to DuPont there is more
discussion into what Is being
achieved at the moment rather
than the future.






3/5







10



DuPont

DuPont’s report brings forward
in some detail the technologies
they intend to develop over the
next five years and how they
intend to maintain their
environmental and social safety

They mention the controversial
area of manipulating plant
genetics in a hop
e to create
‘food for the world.’
2

Example of this is Pionneer ®
brand low lindenic soybeans.

Research into the use of soy
proteins in food and beverages.

They also discuss their use of
nanotechnology. This is being
used in the development of
communication
s.

Partnership with BP in the
development of next
generation Biofuels.

They claim to be developing
environmentally acceptable
herbicides that work by
inhibiting a key enzyme weeds
need to grow.

Leave little
residue and degrade quickly in
plants
.

4/5

DuP
ont

take a different
approach to other
companies as their
sustainability report is more
a list of goals for the next
five years.

They do not have a
sustainability report for the
current moment in time but
there list of goals (‘2015
Sustainability Goals’)

It i
s only eight pages long but
despite its conciseness, it
addresses where they feel
they are effecting the
environment and how they
intend to address this. It
effectively does in eight
pages what some reports
take many pages to discuss.

2/5

Partnership with
Environmental
Defence

to develop a framework
for responsible development,
production, use and disposal of
nano
-
scale materials critical to
next generation communication
devices.

DuPont Safety Resources is a
world renowned consultancy
company.











2/5

1/5

Despite showing in some detail
what DuPont are hoping to have
developed by 2015 there is only
real discussion on how they hope
to develop new technology, not the
effects it may have on the
environment.

This is particularly important with
their discuss
ion on the
development of certain herbicides
and the manipulation of plant
genetics.

However what they do report is
substantial in that they discuss in
detail the development of
innovative emerging technologies.

3/5







11



Company

Do They Mention Their
Own
Use of Emerging
Technology

Is Their Report
Particularly Reader
Friendly?

Do They Mention
Contentious issues
concerning safety, the
environment in terms of
their emerging
technology?

Do They Discuss how they have
attempted to engage with their
customers, ng
o’s and other
stake holders?

Is the level of information
given on emerging
technologies sufficient?

Marks &
Spencer

Marks & Spencer’s 2010 ‘How
We Do Business’ report is a
concise, well structured report
highlighting their commitments
to the environment.
However,
there is very little mentioned
on the use of emerging
technology or the potential
harm that using this
technology could have on the
environment if used in
agriculture.

All that is mentioned is their
aim to make all their food
pesticide free by 201
2 and
there commitment not to use
GM products.

2/5

Their ‘How We Do Business’
report is very reader friend
ly.
They state clearly what it is
they aim to address in their
opening section.

2/5

The report focuses strongly on
the environment and how they
aim to

reduce their own carbon
footprint and benefit the
environment in other ways.

There is, however, no mention of
how they intend to lower the
potential environmental cost of
using emerging technologies,
particularly nanofood.

This
goes hand in hand with
safe
ty for customers as
regulations surrounding the use
of nanofood are limited,the
potentials consumer dangers are
not addressed.

1/5

1/5

Compared Tesco’s, Marks &
Spencer’s annual report and
sustainability report are lacking in
some key details.

Their use o
f nanofood is not
addressed in the report, although it
is one of the more controversial
areas of the food industry at the
moment.

The report is missing some key
details however, compared to
Tesco’s it reads in a very similar
way and addresses mostly the
sa
me things showing that despite
missing out information on their
use of emerging technologies,
there is a trend as other food
companies are also missing out this
information in their reports

2/5



12



Company

Do They Mention Their Own
Use of Emerging
Technology

Is Their Report Particularly
Reader Friendly?

Do They Mention Contentious
issues concerning safety, the
environment in terms of their
emerging technology?

Do They Discuss how they have
attempted to engage with their
customers, ngo’s and other st
ake
holders?

Is the level of information given on
emerging technologies sufficient?

Tesco

Tesco’s sustainability report is
extremely similar to Marks &
Spencer’s as it is a similar
length and it highlights the
same issues. In particular
environmental
issues and how
Tesco as a company hope to
address these issues.

The only key area of difference
in the reports is Tesco’s use of
Biofuel in their petrol stations.
An area Marks & Spencer do
not have market.

Like Marks & Spencer they do
mention their stric
t policy on
the use of GM crops in their
own products in the UK.
However they do state that in
some of their non
-
own brand
products GM foods may be
used.

They also state that due to the
mass usage of GM crops in the
US, they have no choice but to
use GM p
roducts in their own
brand foods.

2/5

Like Marks & Spencer they
address the key areas in their

opening section. They focus
strongly on the environment
and how they are trying to
cut down their Carbon
footprint.

The reader has to search
really hard to find
any
information at all relating to
emerging technologies which
is the negative aspect of this
report.

2/5

This is again extremely similar to
what is being reported by Marks
& Spencer in terms of how they
are trying to cut down on their
own environmental im
pact.

However, while they discuss their
strict no GM food policy, they
openly state that they use it in
some products in the US. They
fail to expand on how much and
what effect this has on local
environments.

There is also the potential issue
of the non
own brand products
they sell using GM products.
There is
no discussion on how
many products or the effects
these products may have had.

No discussion on Nanofoods
which, like M&S is certainly
required

2/5

Like other companies, the only
reporting of any
engagement with
customers, stakeholders and Ngo’s is
when they are discussing their carbon
footprint and how they intend to lower
it for the good of the environment.
There is no mention of emerging
technology within this however.

In terms of emerging techn
ology,
the amount of information supplied
is not really sufficient.

Tesco are good at addressing their
own environmental impacts and
how they aim to lower them but at
the same time do not discuss how
the use of emerging technologies
such as GM crops and na
nofoods
are being used and the effects this
potentially could have on the
environment.

2/5




13




Company

Do they mention their
o
wn use of emerging
technologies?

Is their report
particularly reader
friendly?

Do they mention
contentious issues
concerning safety and the
environment in terms of
their
use of
emerging
technology?

Do they discuss how they have
attempted to engage with
customers, ngo’s and other
stakeholders

in terms of
emerging technologies
?

Is the
level of information
given on emerging
technologies sufficient?

Proctor
and
Gamble

In terms of their products,
there is some mention of their
use of emerging technologies
as a way to aid the
environment.

This can be seen through their
operations and
through their
products.

In particular
in the product
Ariel non
-
bio. Catalytic
detergency designed from
scratch by P&G.

They also discuss briefly eco
-
designed buildings aimed at
lower emissions.

1/5

I found the report to be
relatively reader friendly
consid
ering it is only 18
pages long, for what it was
attempting to report.

If the reader is looking for
anything on emerging
technologies however, then
the report is missing some
detail so it is extremely
difficult to really find any
evidence of them using it.

1/5

A

lot of what they claim to be
developing is designed towards
environmental aspects. The
example being their
development of Ariel non
-
bio
which
allows washing at lower
temperatures.

This is the only real mention of
emerging technologies in
reference to

environment

1/5

They discuss the importance of the
stakeholders and customers opinions
when it comes to their products.

What is clear however is that what the
stakeholders and customers are most
concerned about is that which is the
most publicised. The en
vironment.
Therefore any development they make
from customer views is based around
what the customer is aware of
.

1/5

I do not believe that the level of
information here is particularly
sufficient.

Any information on emerging
technologies which is brought
forward is extremely lacking in any
detail, and is almost put in the
report consequently rather than
deliberately.

There is a lack of information
relating to what they are
researching, investing and using in
terms of emerging technologies.

1/5



14



Company

D
o they mention their
own use of emerging
technologies?

Is their report
particularly reader
friendly?

Do they mention
contentious issues
concerning safety and the
environment in terms of
their use of emerging
technology?

Do they discuss how they have
attemp
ted to engage with
customers, ngo’s and other
stakeholders in terms of
emerging technologies?

Is the level of information
given on emerging
technologies sufficient?

Unilever

To aid malnutrition Unilever
have used food fortification
methods to add needed
nutrients to products they sell
in areas where mal nutrition is
high.

New packaging has been
developed of 100%
environmentally friendly
materials.

Pyrolysis is being used in
developing countries. This is
using sachet waste in fuel. By
doing this it recove
rs 60% of
the embedded energy.

2/5

The report was quite reader
friendly. Everything it sets
out to address it does in a
relatively good level of
detail.

What was a problem, like
Proctor and Gamble, was the

lack of actual evidence
displaying their use of
em
erging technology.

1/5

The only contentious issue they
discuss is how they intend to
research their effect on
biodiversity.

1/5

They only really discuss their
engagement with ngo’s and customers

in terms of the environmental issues
like deforestation.

Tesco and Unilever are part of an
intiative to create an industry wide set
of sustainable packaging principles as
part of the consumer goods forum.

Like Proctor and Gamble it is clear that
what they are discussing is as a result of
what is being most publi
cised.

3/5

The level of information produced
by Unilever is not particularly
sufficient.

Like Proctor and Gamble there is
not really a section dedicated to
emerging technologies, rather if
any is mentioned it is mixed in with
other information on
environmental issues.

2/5




15




Company

Do they mention their
own use of emerging
technology?

Is the report
particularly reader
friendly?

Do they mention any
contentious issues
concerning the
environment and safety in
terms of their use of
emerging technolo
gy?

Do they discuss how they have
attempted to engage with
customers, ngo’s and other
stakeholders in terms of their
use of emerging technology
?

Is the
level of
information
given on emerging
technologies sufficient?

L’Oreal

L’Oreal provide
substantial
information

concerning their own
use of emerging
technology however
there was no up to date
sustainability report so
all information has been
taken from their 2008
report.

Pg17 of their report
brings forward their on
going research into
reconstructed skin
, with
their high technology
department in Japan and
their two laboratories in
France focused on
ecotoxicity.

They use bio plastics
(plastics derived from
renewable sources) in
their packaging and are
funding the bio plastics
chair in the Ecole des
L’Oreal’s report is
extremely reader
friendly. It brings
forward precisely the
right amount of
information
concerning their use of
emerging technologies

without confusing the
reader with to much
scientific information
.

Their sect
ion on
Research and
Development
highlights clearly how
they are developing
and using
nanotechnology.

With this also it
becomes clear what
safety measures have
been put in place and
how they have
pre
-
empted

any potential
safety concerns to the
With their use of
nanotechnology they
stress how they intend to
maintain safety when
using them.

They are a founding
member of the ‘Internal
Council on
Nanotechnology’ (ICON),
as well as the ‘European
NanoInteract Programme’

(OCED recognised)

Being part of these
organisations and the
research they have
collected on
nanotechnology has
meant they have safely
been able to test
nanomaterials in
conditions similar to the
natural environment.

Other contentious issues
surround the

ingredients
They state in their report that
they have an open dialogue
with their stakeholders and
their customers
.

They claim to be training
suppliers in terms of
reconstructed tissues with their

six stage safety plan.

Working group for the last
three years that openly discuss
potential toxicological risks.

In terms of nanotechnology
l’oreal directed more than 70
missions to inform public
authorities world wide of their
us of nanotechnologies in t
heir
cosmetics.

They are also a
committed

partner alongside ISO and
AFNOR, dedicated to drafting
international norms and
standards for what actually is
nano
-
products in different
The level of information
supplied by L’Oreal on their

use of emerging technology
is more than sufficient.

If we are to compare what
they report to other
companies it becomes clear
that L’Oreal have invested
more time and effort into
addressing their own use of
emerging technology and
the potential concerns t
hat
people may have on the use
of it.

It is important to recognise

however,

that as an
industry, cosmetics are
more likely to use bio
-
chemistry and
nanotechnology in their
products so in some ways it
is not surprising that the
information L’Oreal provide
far surpasses anything
presented by the other
16



Mines i
n Paris for the
next 5 years.

Pg 41: Research and
Development. Bringing
together of cellular and
molecular biology
including gene map
science through non
-
invasive technology.

Research using stem
cells: removing stem cell
of the epidermis to test
the
effect

of sun and
time on skin.

Nanotechnology:
Mention their use of
nanotechnology.

Titanium Dioxide
Nanopigments used in
their
sun creams
.

Green Chemistry
-
use of
more natural resources
in the making of
cosmetics

Strict policy on the use
of GM ingredients. Non
used in their products

5/5

environment
through
strict safety codes

3/5

that go into some of their
products. In particular the
more volatile
gases in
aerosols.

On top of this there is also
there commitment to the
protection of aquatic
ecosystems through their
safety measures. They
accept that the chemicals
they
use could potentially
affect the biodiversity of
these ecosystems.

4/5

industrial sectors.

3/5

companies.

If we are to set a benchmark
by which all companies
should be reporting their
uses of emerging technology
and the potential
consequences of using this
technology, then L’Oreal
would certainly be it.

5/5



17



Company

Do they mention their
own use of emerging
technology?

Is the report
particularly reader
friendly?

Do they mention any
contentious issues
concerning the
environment and safety in
terms of their use of
emerging technology?

Do they discuss how
they have
attempted to engage with
customers, ngo’s and other
stakeholders in terms of their
use of emerging technology?

Is the level of information
given on emerging
technologies sufficient?

Boots

June 2008
-
got grant
from ‘The Technology
Strategy Board’
to
develop processes that
could enable algae to be
grown utilising co2
emissions from the
energy centre in
Nottingham
-
algae used
as an alternative starting
point for petro
-
chemicals sources of
ingredients

that

are
currently used in their
products

Eco
-
vans
for distribution
using stop/start
technology
.

Little else is mentioned
in terms of Emerging
Technology in their
report.

1/5

1/5

Boots d
iscuss their own
impact on the
environment
and how
they intend they have
been implementing
measures to lower things
such
as their carbon
footprint

However they do not
mention how their use of
emerging technology and
their use of chemicals in
their cosmetics could
affect the environment.

1/5


There was very little
information on their
engagement with any ngo’sor
customers rel
ating to emerging
technology.

Like most reports though, there
was some discussion relating to
their relationship with some
ngo’s and customers relating to
their products and their carbon
footprint.

1/5

There is a massive
difference between Boots
report and

L’Oreal’s.
Simply, there is just not the
same level of detail from
Boots than there is from
L’Oreal.

Boots may not be in the
exact same industry as
L’Oreal but nevertheless
they sell their own
cosmetics as well as
medicines and food.

With this in mind
it

is
perhaps fair to suggest that
s their use of emerging
technology covers more
areas than just cosmetics’,
they should be reporting
their use of emerging
technology for at least one
of the area’s.

2/5


18



Company

Do they mention their
own use of Emerging
Technology?

Is their report
particularly reader
friendly?

Do they mention any
contentious issues
concerning the
environment and safety in
terms of their use of
emerging technology
?

Do they discuss how they have
attempted to engage with
customers, ngo’s and

other
stakeholders in terms of their
use of emerging technology?

Is the level of information
given on emerging
technologies sufficient?

Nestle

micronutrients…to help
mal
-
nutrition….products
enriched with things
such as iodine are being
distributed in
areas that
need it.

Packaging
-
bioplastics.
Strategic partner of the
Ecole de Mines in Paris

There is a large section
focused closely on their
investment into
renewable energy. This
includes initiatives such
as their landfill gas
project in Solon, Ohio,
USA
. Methane gas is
collected and used as an
energy source

This is an example of the
type of project Nestle
are investing into.

2/5

The report they have is
a ‘Creating Shared
Value Report.’

The report is relatively
reader friendly and has
clearly been designe
d
to be easily read by
anyone.

However, this simple
format often means
that Nestle do not go
into enough
description on the
initiatives they are
investing into.

This can be construed
as sparing the reader
the real knitty gritty
aspects of the
ir

operations
. However,
this often means

they
state that they have
done something but
not described how.

2/5

Nestle are extremely
focused on addressing
how they intend to lower
their current
environmental impact.

There is very little mention
on how their use of
emergi
ng technology
could potentially affect
the environment or cause
safety hazards.

This is perhaps due to the
fact most of their
emerging technology is
focused on being
renewable and
sustainable.

2/5

Any information focused on
engaging with customers is
focus
ed strongly on discovering
what products people want
from Nestle, rather than what
their potential concerns with
the developing of these
products.

This is perhaps due to the
format of the report as it is far
more socially based than any of
the other
companies’

reports.

2/5

Their ‘Creating Shared Value
Report,’ is perhaps different
to a regular sustainability
report in that it does not
address the same aspects
that other companies do in
their sustainability reports.

It is more focused on their
core
values as a company
which they state as ‘water,
nutrition and rural
development.’

Their Research and
development department is
focused more closely on
how to create more
sustainable crops in areas
such as Africa through
stricter policy rather than
any real

use of

emerging
tech.

The example they give being
their new R&D facility in
Abidjan in the Cote D’Ivoire
which is focused on the
quality of locally sourced
19



products such as cocoa and
coffee and then adapting
these products to West
African Tastes.

There i
s no doubt that
Nestle, like other food
companies, are using
emerging technology such
as nanofoods, but they are
not reporting it. The title of
this report perhaps does not
necessitate this, but this
suggests a further question,
if not in this report, then

where are they going to
report their uses of
emerging technology
?

3/5



20



Company

Do they mention their
own use of Emerging
Technology?

Is their report
particularly reader
friendly?

Do they mention any
contentious issues
concerning the
environment and safe
ty in
terms of their use of
emerging technology?

Do they discuss how they have
attempted to engage with
customers, ngo’s and other
stakeholders in terms of their
use of emerging technology?

Is the level of information
given on emerging
technologies suffici
ent?

Premier
Foods

Due to the shortness of
this report, there was no
real discussion about
their use of emerging
technology.


What was discussed
briefly was their effect
on the environment and
how they hoped to cut
down their carbon
footprint.

1/5


Premier foods did not
have a sustainability
report, so all the
information had to be
supplied by their 2009
Annual Report.

The section focused on
corporate social
responsibility was only
four pages long and
was slightly limited.

It was reader friendly
but
lacking in detail.

1/5

From their report, it
appeared that there was
no mention of the
environmental impact of
any of their emerging
technology.


1/5

There is some discussion of
their engagement with ngo’s
and customers but only in
terms of what they are d
oing
involving the environment.

1/5

Due to Premier Foods not
having a social responsibility
report, what was available
was limited. Their annual
report touches on the
environment but does not
go into a lot of detail.

1/5



21



Company

Do they mention their
own use of Emerging
Technology?

Is their report
particularly reader
friendly?

Do they mention any
contentious issues
concerning the
environment and safety in
terms of their use of
emerging technology?

Do they discuss how they have
attempted to engage with
customers, ngo’s and other
stakeholders in terms of their
use of emerging technology?

Is the level of information
given on emerging
technologies sufficient?

GSK

They mention
their use
of Stem Cell research: In
2008 they signed a five
year collaboration wi
th
Harvard University
including $25 million
investment into research
at Harvard and other
surrounding hospitals.

The research is focused
on neuroscience, cancer,
heart disease and liver
disease.

They also mention their
use of cloning
technologies.

This
technology to
replicate cells and
molecules for research.

There are also investing
heavily in genetic
research.

They are also

using
transgenic animals.

GSK’s report is
extremely detailed and
they have a section
entitled emerging
technology.

As the emerging
technology they are
investing in is quite
controversial they have
reported there uses in
detail but have also
maintained an
appropriate level
of
simplicity

when
describing
emerging
technology
when other

companies have not.

4/5

They are a fo
unding
member of ‘Stem Cells for
Safer Medicine.’
Investment for this is
coming from the
Department of Health,
Department for
Innovation, The Scottish
government, the Medical
Research Council

They also discuss their
position on their use of
cloning. They s
tate that it
is not being used for
cloning animals or an
entire human.

With their genetic
research they state clearly
that they understand the
concerns of using such
technology. They aim to
clam these worries by
being completely
transparent in all they do
and all of their scientific
research involving
Their R&D department
prioritises research into new
medicines based on their socio
-
economic and public health
benefits rather than on
commercial returns.

Their R&D department invests
heavily in creating medicines
for the developing world.

With this in mi
nd, they
communicate with ngo’s and
other stakeholders by:
a)Establishing an open lab
focused on neglected tropical
diseases. b)Launch of new
collaborations to further share
intellectual properties to
accelerate the development of
new medicines for neglect
ed
tropical diseases.

They also state that their

engagement with investors also
covers ethical issues
surrounding their clinical trials
and their use of controversial
emerging technology such as
Their use of emerging
technology

is well
docu
mented in their
Corporate Social
Responsibility report
.

Not only do they report a lot
of information on what
emerging technology they
are using, they also report
where the technology is
being directed towards and
the social and
environmental implications
o
f using such technology.

The social and
environmental implications
of emerging technologies is
something that most
companies do not report on
so they are unique.

Compared to AstraZeneca
there is a clear difference in
the level of detail into what
they are
investing into in
terms of Emerging
22



4/5

genetics.

They discuss their use of
animals in their research
and claim they are trying
to cut down their use of
them by replacing existing
research programmes
involving animals with non
animal alternatives.

3
/5

stem cells.

4/5

Technology.

What they report, compared
to other companies is
sufficient. It is relatively
extensive and they supply a
large level of information
which is condensed
effectively.

4/5

AZ

Stem cell research
-
potential of
stem cells to
differentiate into human
cells such as hepatocytes
(liver cells) and cardiac
myocytes (heart muscle
cells)

Possibility of treating
diseases by modulation
of stem cells within
target organs


regenerative medicine.


Crestor
Jupiter and
Brilint
a Plato trials
-
landmark clinical trials

With their investment in
emerging markets such
as
Asia

and brazil they
focus more on what is
needed rather than
creating anything new.
It becomes clear when
reading AstraZeneca’s

report that their
research
is based on
demand rather than
potential innovation.

They are not simply
researching something,
unless there is a world
wide demand for it.
The example is stem
cells…with the
unlimited
possibilities

of stem cell research,
they are looking into
regenerativ
e medicine
based around the
heart, liver and other
areas such as diabetes.

2/5

P
resence of trace amounts
of pharmaceuticals in the
environment

Trials on animals
-
they are
used but only when non
-
animal trials are
unavailable
.

3/5

Unlike
GSK, Astra
Zeneca did

not
bring forward the same level of
information regarding their
engagement outside the
company.

The only case where they
seemed to want to do this was
when they were discussing how
they had engaged with the
medical needs of the customer.

2/5

AstraZeneca’s

report

is very
detailed and has a lot of
information. What is
perhaps the main problem
however is that they are too
complex with some of their
descriptions of their
products.

They do have a lot of
information and compared
to many of the other
companies an
d considering
the environment in which
they function, there is not a
massive amount to report
on as what they are
developing is focused so
directly on set areas.

3/5


23



‘Meeting Patient needs
lies at the heart of what
we do.’ Example
-
H1N1
influenze…swine flu
vaccine.’

3/5




24



Conclusion

1)

What companies are disclosing:

For the most part each company registers at least one mention of an
emerging technology
relevant to the organisation
. However, in many cases the emerging technology
discussed

is not necessarily
identified

as an emerging technology, rather

it

is being disc
ussed in
passing,

or

as a comment about something different. There are some cases however where a company
has divulged large amounts of information i
nto what they are investing in.

This may describe

what
they hope
,

through research and development
,

to achieve with emerging technologies. The best
examples of this can be seen with BP and BASF as they both discuss in detail their ventures
,

the
emerging technology market, and also how the use of this technology is being monitored
in order to
address

pro
blems
both
socially and environmentally. These are the best example of what should
,
arguably,

be being presented by companies
.

2)

What companies are failing to disclose:

With many companies it was clear that they did not think or
see the need to
disclose

thei
r use of emerging technology. Most notable
were

the food companies.
Marks & Spencer, Tesco, and Nestle all failed to address their regular use of nano
technology in
their
regular products. Although mentioning their strict policy against the use of GM foods,

they do not go
into any other detail other than merely mentioning it. They are not alone however as despite some
companies mentioning emerging technology,
this is as far as they go
.
An example of this is DuPont,

they mention in
some

detail what they are
developing;

yet fail to really discuss what effects this
technology could have on the environment.

3)

What should be seen as good practice?

The reports
reviewed

varied considerably in detail. The one
which really st
ands

out was L’Oreal’s 2008 Social Corpora
te Sustainability report. Other reports did not
really bring forward the same level of information and report in a way which was both reader friendly
and also at an acceptable level of complexity. On the

other end of the scale there are

the reports
publish
ed by Boots and Proctor
&

Gamble. These sustainability repo
rts mentioned little or nothing
with regards to emerging technology. There may be

the case that due to their industry, there is not the
same need to
present, for general readership,

the sam
e amount

of information as the

use does not
have the same potential environmental and social

implications. This
raises the further

question, what
should really be considered good practi
ce between differing industries? For example, i
f Tesco’s report
is lacking i
nformation,
can it

really be compa
red to the likes of L’Oreal where

Nano technology
appears
to be a larger

part of their
product composition
?



25



SOURCES

M&S: How we do business CSR 2010....

http://corporate.marksandspencer.com/documents/publications/2010/How_We_Do_Business_Report_2010

Tesco: Tesco CSR Report 2009...

http://www.investis.com/plc/storage/tesco_cr_09.pdf

Basf: Basf annual integrated report 2009...

http:/
/bericht.basf.com/2009/en/servicepages/downloads/files/BASF_Report_2009.pdf?cat=b

Proctor&Gamble: 2008 sustainability report...

http://www.pg.com/e
n_US/downloads/sustainability/reports/PG_2009_Sustainability_Overview.pdf

Nestle:2009 csv report...

http://www2.nestle.com/Common/NestleDocuments/Documents/Reports/CSV%20reports/Global%20report%
202009/Global_report_2009_GB.pdf

L’oreal: 2009 sustainable development report...

http://www.sustaina
bledevelopment.loreal.com/

Dupont: 2015 sustainability goals...

http://www2.dupont.com/Sustainability/en_US/assets/downloads/FINAL_BROCHURE_9.28.06.pdf

Boots: 2009 csr report...

http://www.allianceboots.com/CorporateSocialResponsibilityReport2008
-
09/index.html

Premier Foods: 2009 annual report...

http://annualreport2009.premierfoods.co.uk/Doc/pdf/Annual_Report_2009.pdf

BP: 2009 Sustainability review

...
http://www.bp.com/liveassets/bp_internet/globalbp/STAGING/global_assets/e_s_assets/e_s_assets_2009/do
wnloads_pdfs/bp_sustainability_review_2009.pdf

Shell: Susta
inability report 2009...

http://sustainabilityreport.shell.com/2009/servicepages/downloads/files/all_shell_sr09.pdf

GSK: CR REPORT 2009...

http://www.gsk.com/investors/reps09/GSK
-
Report
-
2009
-
full.pdf



AZ: annual report 2009...

http://www.
astrazeneca
-
annualreports.com/2008/downloads/AZ_AR08_Full.pdf

Unilever: Unilever annual report 2009...
http://annualreport09.unilever.com/