Vion Food Group

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Vion Food Group
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Quick Facts
TypePublic (N.V.)
sectorAgriculture/Food Industries
HeadquartersBoxtel, The Netherlands
Year of Origin2003
Emissions (All Scopes)0.0643 Megatons of CO2 (2020)
Net IncomeEUR 4.9 billion (2020)
Key PeopleRonald Lotgerink (CEO), Theo Koekkoek (Chairman)
Subsidiaries
Vion Food Group has 44 Subsidairies[1]

Vion Holding N.V., stylized as Vion Food Group, was founded in 2003 when Dumeco, Hendrix Meat Group, Moksel, and Norddeutsche Fleischzentrale merged. Vion Food Group is an international producer of meat, meat products, and plant-based alternatives.[2] The Company has production locations in the Netherlands, Germany, and Belgium and sales support offices in thirteen countries worldwide. The Vion Food Group Headquarters are located in Boxtel, The Netherlands.[3] In February 2021 Vion Food Group announced their acquisition of Adriaens, a Belgian meatpacker. Through this acquisition, the company expanded its home-market operations to Belgium. Vion Food Group has one shareholder, Stichting Administratiekantoor SBT.[4]

Vion Food Group has 12,124 employees. Vion Food Group is part of the top 100 largest global food companies. In 2020 the company had a revenue of 4.9 billion euros.[5]

Company Structure

Vion has a two-tier board. The management board is responsible for managing the company. It is supervised and advised by the supervisory board. Both boards are accountable to Vion’s general meeting of shareholders. The management board is supported by the executive committee.[6]

Management Board

Management Board and Executive Committee [7]
Name Function
Ronald Lotgerink Chief Executive Officer
Tjarda Klimp Chief Finanacial Officer
Binne Visser Chief Human Resource Officer
David de Camp Chief Operating Officer (Beef)
Simon Morris Chief Operating Officer (Food Services)
John de Jonge Chief Operating Officer (Pork)
Philippe Thomas Chief Operating Officer (Retail)

There is no information available on the individual remuneration of the management board. The remuneration is decided based on the remuneration policy that was adopted by the company in 2017.[8] This policy makes sure the remuneration is based on performance by comprising the remuneration of: 1. a base salary, 2. a short-term cash incentive depending on the achievement of the performance targets, 3. pension contributions.[9]

In 2020 the base salary of the management board is €1,200,000. The short-term cash incentive can range from 0% to 67% of the base salary.[10]

Supervisory Board

Supervisory Board [11]
Name Function Remuneration x1000 EUR[12]
Theo Koekkoek Chairman 75
Rogier Jacobs Vice-Chairman 45
Marieke Bax Member 40
Martine Snels Member 40
Peter Broeckx Member 40
Cis van Doninck Member 40

Accountant

The auditor of Vion Food Group is Ernst and Young Accountants LLP. [13] Ernst and young have been the auditor for Vion Food Group since 2014. [14]

Operations

Vion is active in the production of meat products and plant alternatives. The company has four business units: Pork, Beef, Food Services, and Retail. Vion Food Group services over 100 million consumers per day.[15]

Vion Food Group does not have royal status.[16] Vion Food group has not received NOW support from the Dutch government.[17]

Paris Agreement to Today

In 2019 Vion developed a new corporate strategy in order to create a demand-driving supply chain instead of a supply-driven commodity focus.[18] They created a roadmap for the years 2020-2024 called Building Balanced Chains (BBC).[19] Vion acknowledges their key role in the food chain as they are the connection between the farmers and the customers.[20] Vion has set three goals in order to create balanced food supply chains.[21]

1. Farm Management optimization. Through this goal, Vion wants to make all relevant data available to the farmers which they can use to optimize their management.

2. Protein valorization. In this goal, Vion wants to create a range of options for valorization from head to tail.

3. Product Specialization. Produce unique concepts and product innovations that tap into prevailing consumer trends.

Current Policies and Emissions

Policies

Vion has set different targets for 9 different CRS topics. 5 social topics, 3 environmental topics, and 1 economic topic.[22] Each topic has its own KPI through which Vion measures their progress.[23] For example, of the topics is 'water usage of processing'. The KPI of this topic is 'usage of municipal water per tonne sold', and the target for 2021 is <1.55m3.[24] Furthermore, Vion has selected 6 different Sustainable Development Goals that they consider to match their targets.[25] The goals included are: Zero Hunger (2), Clean Water and Sanitation (6), Decent Work and Economic Growth (8), Responsible Consumption and Production (12), Climate Action (13), and Life on Land (15).

Vion has selected six CRS topics that they believe are most crucial for the day-today-success of the business.[26]

These six are:

  • Employment and working conditions
  • Food Safety
  • Traceability and product integrity
  • Animal welfare
  • Sustainable farming
  • Fair pricing

Emissions

Total scope 1 GHG Emissions (ton of CO2-eq) [27]
Type 2018 2019 2020
Own generation of electricity, heating, cooling and steam 42,900 44,300 49,500
Transportation 16,200 13,400 14,000
Fugitive Emissions 5,700 9,200 5,900
Total 64,800 66,800 64,300

For the calculation of the scope 1 GHG emissions Vion took into account,[28]:

  • Gas and fuel consumption
  • Transportation of workers, animals, and products owned by Vion
  • Methane emissions of the animals while at Vion
  • Use of CO2 to anesthetize pigs
GHG Emissions Intensity Scope 1+2 (kg CO2-eq/tonne sold) [29]
Type 2018 2019 2020
Vion Total 79 85 88
Netherlands 57 5 61
Germany 106 101 120

Vion's scope 2 emissions are based on their purchased electricity consumption and location-based method.[30] The consolidation approach is based on financial control. The sources of the CO2 emission factors used to calculate the CO2 equivalents are[31]:

Lastly, the Global Warming Potential (GWP) rates used are obtained from the IPCC and include feedback loops.[32]

In their climate report Vion fails to report their scope 3 emissions.

Climate Plans

Sustainable Farming

Vion states that they are committed to putting food items with a lower carbon footprint than today on the market.[33] Vion wants to make sure customers can make an informed choice based on scientifically justifiable data. To achieve this, Vion will develop a CO2 label for their products based on the data from the supply chain.[34] This label will allow the consumers to see the CO2 equivalent of the product they want to buy. Vion aims to have the first products with CO2 labels on the shelves in 2022.[35]

In order to create this CO2 label different supply chain partners will have to share their data concerning their footprint with each other.[36] Vion states that a clear overview of this data will also help them get a better idea of where improvements can be made which can result in a reduction of the footprint.[37] In 2020, Vion measured the emissions of 15 farms, their goal for 2021 is to measure the emissions of approximately 160 farms. [38]

Carbon Footprint of Processing

In order to reduce their CO2 emissions, Vion aims to reduce the non-renewable energy consumption per tonne sold from 810MJ to a maximum of 810MJ in 2021 and ultimately to 0MJ in 2050.[39]

Vion aims to reach this goal through several different plans. Firstly, measurements from partner factories will result in lower CO2 emissions. For example, Vion Groenlo B.V. invested in a water-cooled cooling tower which replaced the old air-cooled condensers. This will reduce electric consumption by approximately 2.000 kWh a day.[40] Secondly, Vion will roll out energy monitoring software to all production locations in Germany and the Netherlands. Thirdly. Vion wants to use their energy more efficiently for example through the use of heat challenging systems. These systems have already been installed in Emstek and Boxtel, these systems allowed Vion to reutilize 40% of the heat energy used when heating water to 60 degrees Celsius for the slaughter process. [41] Fourthly, Vion aims to increase the number of electric charging points at their carparks.

Conclusion

Beschrijving of de plannen in lijn zijn met 'Parijs'

References

  1. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/129
  2. ↑ https://www.vionfoodgroup.com/about-vion
  3. ↑ https://www.vionfoodgroup.com/about-vion
  4. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/5
  5. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/5
  6. ↑ vionfoodgroup.com/about-vion
  7. ↑ https://www.vionfoodgroup.com/about-vion
  8. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/49
  9. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/49
  10. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/49
  11. ↑ https://www.vionfoodgroup.com/about-vion
  12. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/50
  13. ↑ https://view.publitas.com/cfreport/vion-annual-report-2020/page/141
  14. ↑ https://www.vionfoodgroup.com/news/vion-food-reports-higher-gross-operating-result-2014-ongoing-activities
  15. ↑ vionfoodgroup.com/about-vion
  16. ↑ https://www.koninklijkhuis.nl/onderwerpen/onderscheidingen/predicaat-koninklijk/overzicht-predicaat-koninklijk
  17. ↑ https://www.uwv.nl/overuwv/Images/uwv-register-now-vijfde-aanvraagperiode.pdf
  18. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/34
  19. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/35
  20. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/35
  21. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/35
  22. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/38
  23. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/38
  24. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/38
  25. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/43
  26. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/34
  27. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/90
  28. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/90
  29. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/90
  30. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/90,
  31. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/90
  32. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/90
  33. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/80
  34. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/80
  35. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/80
  36. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/80
  37. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/80
  38. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/80
  39. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/87
  40. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/88
  41. ↑ https://view.publitas.com/cfreport/vion-corporate-social-responsibility-report-2020/page/90
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