SUSTAINABILITY REPORT - Winpak
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MESSAGE FROM OUR CEO 2 INNOVATION & SUSTAINABILITY 4 COMPANY OVERVIEW 6 • Our Markets 10 • Strengthening our Brand in Healthcare 11 OUR FOCUS ON A CIRCULAR ECONOMY 12 2025 SUSTAINABILITY GOALS 14 GROWING AS A VALUED PARTNER 16 KEEPING OUR EXTENDED FAMILY 20 SAFE AND ENGAGED PROUD OF OUR ROOTS 24 PLANET FOR FUTURE GENERATIONS 27 LOOKING AHEAD 32
MESSAGE An additional example of the many In the past year, WINPAK and the world learned FROM OUR CEO innovations we are bringing to the just how necessary and important healthcare market is our foray in a new generation of packaging can be. Another step we took this spouted pouches now gaining traction as year to further strengthen our presence in manufacturing equipment is being installed the healthcare market was to join forces with I was happy to see 2020 end and 2021 begin as a year of applying and commercial deliveries have begun. Not our European and Asian colleagues at WIPAK. lessons learned from the pandemic and how to best approach a only is the new technology dramatically With the launch of Wiicare®, we enhance our reducing costs and logistics complexity; responsiveness to global healthcare clients new and different normal going forward. Many paid a tremendous this system solution also opens the road who need global, sustainable, technically toll - pain from family member losses and from economic hardship. for the robust industrialization of recycle and qualitatively identical products, and WINPAK employees were stellar in their commitment to a safe working ready spouted pouches with exceptional technical service wherever they manufacture environment and to the highest standards of product quality and filling speeds. their medical or pharmaceutical products. Our customer service. combination of capabilities is another way to Our roadmap to sustainable offerings is Vigilance going forward around the multiplication of variants of the COVID-19 help reduce time to market for vital healthcare constantly expanding, both for rigid and virus and effective completion of worldwide vaccination campaigns remain products at the lowest possible cost. flexible packaging. Two of the largest essential to tame and eventually eradicate this health crisis. Whether we will sheet and in-line thermoforming lines As I started this message, I want to again learn the lessons to better prepare ourselves for the next such event appears are being retooled to offer recyclable praise all WINPAK employees (and other uncertain in the general haste to go back to the “new normal”. In addition to the trays only. Additionally, we are in the stakeholders) navigating with positive energy pandemic, 2020 also saw dramatic social events change the public narrative and final development stages of a semi-rigid through the difficult pandemic times, and landscape, driving us towards more inclusion, more equity, more tolerance, and offering based entirely on locally sourced, successfully executing many client and it is by no means nearing conclusion. As for WINPAK, we will look back and do what renewable materials and manufactured internal infrastructure projects with little to no we’ve introduced thanks to our WiSE eco-system, namely the story telling, the with hydro-energy. In other words, another delays. Further, even with the pandemic and review of what went well and what could have been better and how to prepare major step in reducing the carbon footprint other supply chain challenges, we have been ourselves going forward and staying on high alert. of packaging. Following similar premises, able to further focus our efforts to create a It isn’t antagonistic with our everyday business to stay on high alert, as we are our advances in barrier cellulose are more equitable and inclusive environment for accustomed to doing so about competitive threats, new technologies, new progressing quickly. We just launched our all of us. We have thoroughly reviewed and materials, newcomers, new consumption, and new trends, ensuring we do not first-generation EcoWrap recyclable paper adapted our vision and mission statements ignore voices driving necessary changes. overwrap, and there are additional barrier to reinforce our belief to do the right thing cellulose-based solutions in our pipeline. always; support, develop and learn from each Staying ahead of the curve is in the same vein as staying on high alert. Once other; and pursue our purpose of providing more, we have been able to commercialize landmark new technology that opens No less effective, source reduction is the most sustainable packaging solutions that many possibilities for recycle ready, high barrier forming and non-forming another aspect of adding value for our reduce food waste, extend freshness, and solutions, all at a significant lower carbon footprint than traditional offerings. clients by reducing overall costs while promote health. Seeking sustainable packaging innovations and knowing we are providing achieving more with less and therefore, solutions that both support our customers’ needs and reduce climate impact is reducing our and their environmental exciting and highly motivating! footprints. Whether through improved materials and processes alone or in Olivier Muggli combination with new packaging designs President & CEO from our machinery business, WINPAK WINPAK LTD is helping customers reduce material consumption by up to 15%. 2 3
INNOVATION principles of the Circular Economy and At WINPAK, we are always excited and ready to & SUSTAINABILITY embraces materials management via advance our sustainability pillars and provide waste prevention and resource efficiency meaningfully unique packaging solutions throughout our operations. Our focus with increased environmental and economic areas continue to include low carbon benefits. As we continue our sustainability At WINPAK, we continue to focus on our sustainability pillars: footprint solutions, reduced material journey in 2021 and prepare for upcoming Valued Partner, Extended Family, Roots and Planet. These pillars consumption or down-gauging, recycle years, we aim to expand our product are building blocks for WINPAK, and we continue to embrace our ready or recyclable solutions, use of portfolio by designing packaging with full life call to action - “IT’S OUR NATURE TO PROTECT™”. renewable materials, post-consumer cycle in mind including effective materials Innovation and industry collaboration play a key role in advancing each recycled content in our products and management, design for recyclability, of WINPAK’s sustainability pillars. The packaging industry is challenged implementation of emerging material solutions with PCR content, renewable to become more effective in protecting natural resources while providing and equipment technologies. At WINPAK, material options and low carbon footprint. the needed performance to protect food and healthcare products. At we also believe in a life-cycle approach Our expertise centers are well positioned to WINPAK, we have embraced this challenge to protect our environment to design, develop, and apply advanced support and delight our customers, while while enabling superb product protection via innovative packaging packaging technologies. expanding our sustainable product portfolio solutions. Our innovation management platform, “25hundred Innovators”, by working closely with our industry partners. Our sustainable packaging expertise is providing increased speed and precision as we continue to execute centers in all business units continue to our sustainability objectives. Our sustainability journey aligns with the expand their technical know-how within our focus areas. We continue to broaden our product portfolio under our ReFresh™ platform with sustainability benefits such as low carbon footprint, recycle ready or recyclable, and reduced weight. We have added new solutions to our recyclable cellulose-based packaging platform enabling broader selection options for our Mustafa Bilgen clients. Further, we continue to develop and Vice President, Technology & Innovations promote down-gauged packaging solutions WINPAK LTD. and launch innovations with PCR content. 4 5
Rigid Packaging COMPANY OVERVIEW WINPAK is part of WIHURI International Oy, a Finnish corporation with global packaging entities, notably WIPAK, which has operations in Europe and Asia. WINPAK operates 12 production facilities in Canada, the United States and Mexico, offering customers global coverage and expertise. The North American Flexible Packaging business units serve customers throughout the United States, Canada and Latin America primarily to provide packaging to protect perishable foods, beverages, healthcare, consumer, and industrial products. WINPAK specializes in rigid and flexible barrier packaging as well as form-fill-and-seal machinery. Packaging Equipment 6 7
FLEXIBLE RIGID PACKAGING & PACKAGING MARKETS PACKAGING FLEXIBLE LIDDING MACHINES 1 2 4 Business American Biaxis Inc. WINPAK Heat Seal WINPAK Lane Inc. 9 11 Units •W innipeg, Manitoba, CA • Vaudreuil-Dorion, Quebec, CA • Rialto, CA, USA 12 • Locations WINPAK Control Group, Inc. • Pekin, IL, USA 7 • Norwood, NJ, USA WINPAK Portion Packaging 5 8 WINPAK Division • Sauk Village, IL, USA •W innipeg, Manitoba, CA • South Chicago Heights,IL, USA WINPAK Films Inc. • Toronto, Ontario, CA 3 • Senoia, GA, USA 10 WINPAK Heat Seal • Vaudreuil-Dorion, Quebec, CA • Pekin, IL, USA Embalajes WINPAK de Mexico • Querétaro, Mexico Product • Barrier shrink bags • All plastic lids • Packaging 6 Types • Child resistant packaging • Cups equipment (cups, pouches, • F ilm-Foil-laminations • Custom containers vertical and • Flexible packaging and wrap • Foil lids horizontal • P aper-Foil-laminations • Retort containers, lids form, fill/ • P ush-Thru-Foils • Rigid plastic sheets seal, complete • S ingle-serve lidded packaging • S achets containers systems) • Specialty film and rollstock • Trays • S ervice, repair • Vacuum pouches and parts • Zipper stand-up pouches WINPAK LOCATIONS AND BUSINESS UNITS 1 WINPAK 2 American 3 WINPAK 4 WINPAK Heat Division Biaxis Inc. Films Inc. Seal Pkg, Inc. Winnipeg, MB, Winnipeg, MB, Senoia, GA, Vaudreuil-Dorion, QC, Share of 53% 43% 4% Canada Canada USA Canada Revenue WINPAK Heat Embalajes WINPAK WINPAK 5 6 7 8 Seal Corp. WINPAK de Mexico Portion Pkg. Portion Pkg. Pekin, IL, Querétaro, South Chicago Sauk Village, IL, At the end of the 2020 reporting period, WINPAK has majority ownership in USA Mexico Heights, IL, USA USA WINPAK had annual sales of $852.5 million American Biaxis Inc. (ABI), a joint and over 2,500 employees at 12 sites in venture with Sojitz Corporation, of 9 WINPAK 10 WINPAK 11 WINPAK Control 12 WINPAK Control three countries (Canada, United States and Japan. ABI manufactures multi-layer Portion Pkg. Lane Inc. Group Inc. (1) Group Inc. (2) Toronto, ON, Rialto, CA, Norwood, NJ, Norwood, NJ, Mexico). WINPAK’s corporate headquarters biaxially oriented polyamide (BOPA) Canada USA USA USA is in Winnipeg, Manitoba, Canada. films for sale in North America. 8 9
FOOD & BEVERAGE Consumers have ever-expanding tastes and an ongoing need for packaging that provides safety, quality, convenience, extended shelf life and now, such packaging also needs to be eco-friendly. Our comprehensive packaging options include rigid containers, flexible lidding, OUR MARKETS rollstock, and pouches. Many options offered are recyclable or are recycle ready anticipating enhancements to the recycling infrastructure. STRENGTHENING OUR BRAND IN HEALTHCARE DAIRY WINPAK is a leading supplier in the The pandemic demonstrated the critical world as this alliance brings customer- North American dairy market providing role of healthcare in our lives and the focused products and services, provides HEALTHCARE thermoformed containers, lidding, plastic importance of the packaging used to a global presence with local service, and WINPAK takes very seriously its commitment deliver those valuable supplies and offers the experience and expertise that sheeting, and high-grade flexible films to and obligation in the healthcare packaging medications. WINPAK is closely aligned meet the long-term supply requirements for meet the stringent market requirements. space. Our dedicated team focused on with its European sister company: WIPAK, healthcare customers. WINPAK develops innovative, efficient, medical and pharmaceutical products one of Europe’s leading manufacturers of and ecologically sustainable packaging The strategic global alliance of Wiicare® for understands the rigorous requirements packaging materials. WINPAK’s strategic solutions that protect product quality, healthcare packaging will encompass sales and high-quality manufacturing standards alliance with WIPAK provides the Company extend shelf life, and preserve freshness and marketing, research and development, needed to ensure performance and access to the expertise of packaging and aroma. product management and regulatory reliability of our products. Please see professionals worldwide and offers a broad opposite page regarding our strengthened range of products and packaging solutions. affairs. Business operations will continue alliance with WIPAK and the launch of the new to work under the existing companies of Wiicare® brand. Moving forward, this co-operation will be WINPAK and WIPAK. further deepened through our alliance and PROTEIN formation of a new global brand: Wiicare® Regardless of needs, WINPAK offers for healthcare packaging. Together, innovations that maximize shelf life and both businesses will ensure that medical enhance food safety for applications customers worldwide receive enhanced PACKAGING MACHINERY like fresh meat, poultry, seafood and product performance through a jointly WINPAK offers a full line of horizontal fill/ designed and uniform product portfolio of processed meats. These attributes are seal machines for preformed containers sterile barrier packaging systems. The goal critical for protein markets not only and vertical form/fill/seal pouch machines of the new Wiicare® brand is to help WINPAK due to economic reasons but to ensure for pumpable liquid, semi-liquid, and dry and WIPAK become the most sought-after the embedded resources used to grow, products. Like products for other markets supplier of healthcare packaging in the process, and deliver these products to we participate in, WINPAK machines provide consumers are not wasted. economic and environmental benefits through efficiency, high throughput and 10 extended uptime. 11
WINPAK is a founding member of the Another key element to the transition to a OUR FOCUS Polypropylene Recycling Coalition. This Circular Economy is WINPAK’s innovation industry collaboration is investing in efforts. WINPAK challenges its innovators to polypropylene (PP) recycling improvements develop packaging solutions that reduce ON A CIRCULAR for greater recovery and recycling of this critical packaging material. Since material use, incorporate post-consumer recycled (PCR) content, and/or do not end ECONOMY its launch in mid-2020, the Coalition up in landfills. An example is WINPAK’s line of has provided grants for seven material innovations comprised of forming and non- recovery facility (MRF) projects which will forming films containing PCR PET content. Not add over 4,200MT of PP recovery capacity only do these products help WINPAK de-couple to the industry. WINPAK participates in material use from virgin fossil fuel resins, Several external factors continue to impact the packaging the Chemistry Industry Association of but they also reduce greenhouse gas (GHG) industry such as consumer needs and perceptions, regulatory Canada (CIAC) as a member of its Plastics emissions while maintaining mechanical and and legislative policy, technology advancements, and climate Division and in PAC (Packaging Association optical properties similar to virgin materials. change. WINPAK considers these factors as it innovates new of Canada). Finally, as a member of the solutions to meet our customer and consumer needs. For several WINPAK has active projects in additional rigid Sustainable Packaging Coalition (SPC), and flexible packaging formats to utilize PCR years, WINPAK has focused on the transition from a linear to WINPAK contributes on the Multi-Material content. Advancements have occurred, and Circular Economy. WINPAK recognizes this journey is not one to Flexible Packaging Recovery Collaborative WINPAK anticipates commercialization of take alone. Collaboration throughout the value chain is critical supporting work to advance recycling of new packaging in the near future to further and important to understand both barriers and opportunities multi-material flexible packaging. demonstrate our commitment. in a successful transition. To this point, WINPAK is an active member of several industry organizations collaborating to ensure a Circular Economy for packaging. ASSOCIATION MEMBERSHIPS 12 13
2025 OUR PROGRESS THROUGH 2020 SUSTAINABILITY GROWING AS A VALUED PARTNER Customer Satisfaction Materials Management Sustainable Products GOALS 2025 Goal: > 90% 2025 Goal: > 90% 2025 Goal: 100% Status: 89% Status: 4% improvement* Status: 35% improvement* We have four sustainability pillars which form the foundation for our Sustainability goals. Those pillars are shown below: KEEPING OUR EXTENDED FAMILY SAFE AND ENGAGED Health & Safety Employee Retention Employee Engagement 2025 Goal: 0.0 TRIR 2025 Goal: > 90% 2025 Goal: >90% Status: 5% improvement* Status: 92% Status: TBD Valued Extended Roots Planet Partner Family PROUD OF OUR ROOTS Code of Conduct Responsible Supply Chain Corporate Transparency Last year WINPAK publicly released its 2025 Sustainability 2025 Goal: 100% Compliance 2025 Goal: 100% Compliance 2025 Goal: CDP** “A” List Goals. Our more than 2,500 employees are focused on Status: 100% Status: Initiated Status: Achieved: B- (2020) achieving these goals and delivering on our promise to create products, processes and services that deliver net positive economic, social, and environmental benefits. PLANET FOR FUTURE GENERATIONS Energy Intensity GHG Emissions Intensity: Landfill Waste 2025 Goal: > 10% Reduction 2025 Goal: > 10% Reduction 2025 Goal: 0.0 MT Status: 2% Reduction* Status: 2% Reduction* Status: 12% Reduction* * versus baseline year of 2017 ** CDP = Carbon Disclosure Project 14 15
PCR PET INNOVATIONS – FORMING AND NON-FORMING RECYCLED CONTENT TO SUPPORT CONSUMER EXPECTATIONS Good barrier properties to extend shelf life Excellent mechanical GROWING and optical properties AS A VALUED Reduced virgin fossil based raw material PARTNER 30% reduction in GHG emissions VS standard APET/PE/Barrier Films Contains 15% to 75% WINPAK believes not only in building relationships that last recycled content but also in building relationships that bring value to our customers and suppliers. This commitment means WINPAK will bring innovations that reflect the needs of our customers and the markets they serve. Just as REFORM – PART OF WINPAK’S REFRESH™ Sustainability is a broad topic and may have different approaches RECYCLE READY PRODUCT LINE based on industry expectations, WINPAK develops different sustainable innovations to meet varied market trends. Whether it High barrier films to extend is a MAPfresh® polypropylene tray used in the protein markets, shelf life a ReFresh™ recycle ready packaging film with How2Recycle® pre-approval, or a packaging innovation from renewably sourced Excellent optics to ensure materials, WINPAK is committed to bringing valued innovations consumer appeal to the market. Recently, WINPAK commercialized several new innovations highlighting not only our support for a Circular Economy but also this commitment to broad capabilities Recycle ready material in product development. composition >30% GHS emissions reduction VS traditional structures 16 17
ECOWRAP – RENEWABLE CONTENT “During the past 18 months, the WINPAK Sales PACKAGE OFFERS RECYCLABILITY team has needed to dig deep and take a measured step closer to our customer base. Water-based sealant coat offers Our ongoing discussions regarding security recyclability of supply, scheduling flexibility, sustainable packaging and sales support have allowed Made from FSC certified WINPAK to meet the demands of a fluid consumer fiber content market during this time. We have successfully met the challenge of the “rush to retail” market Recyclable in paper stream trend and the strong demand for sustainable Matt Smith and innovative packaging created by the Market Director, Protein WINPAK COVID-19 pandemic. NUVO • LID – PREMIUM DIE-CUT LID OFFERS Our hard-working customer service, sales and SUSTAINABILITY BENEFITS field technical teams adopted virtual and hybrid selling and servicing methods to meet customer Enhanced graphics VS deadlines to keep the lines moving. Additionally, standard embossed foil lids the combination of the Sales team being closer to our customer base and WINPAK’s broad Excellent light, moisture, oxygen, technology platform has provided the needed barrier to extend shelf life operational flexibility during the recent supply chain concerns. Through thick and thin you can Reduced thickness VS count on WINPAK as a valued partner!” standard foil lids GHG emissions reduced 18% compared to standard (DF13MP) lid 18 19
KEEPING OUR ENSURING A The safety strategy has three big goals: EXTENDED FAMILY SAFETY CULTURE 1. LEADERSHIP COMMITMENT (WALK THE TALK) SAFE AND ENGAGED The goals established for our extended Health and safety are a shared family reflect the importance of safety responsibility among management, and engagement at WINPAK. The company employees, suppliers, and customers. will always strive for a zero-injury rate With this responsibility comes ownership throughout its operations and the continual and accountability beginning with and Last year WINPAK employees once again training and updates to safety procedures driven by top management. Safety is demonstrated their value. In WINPAK’s 2020 report, reflects this relentless pursuit. “It’s our nature subsequently built into the performance actions taken by the company and its employees to protect™”, is a statement of mission that goals and expectations of all levels during the pandemic were well documented. The not only applies to product innovations but of management. measures were taken to maintain the health and also applies to our employees and how they safety of employees, their families, customers, and view one another. In February 2020, WINPAK 2. TEAM OF 2,500 SAFETY CHAMPIONS suppliers. Numerous measures remain enacted today began a process to strengthen and enhance To create a safety culture where every to ensure health and safety remain a top priority. our safety performance beyond regulatory employee takes responsibility for her/his compliance. The Executive Committee With over 2,500 members, we value the unique and diverse safety and the safety of others. Peer to peer developed the framework to enhance our skills each employee brings to work every day. We encourage coaching for improved safety behavior is safety culture. The outcome was a multi- a collaborative work environment where employees can the cornerstone of this goal. year plan that recognizes safety as a shared be their authentic selves and bring out the best in each responsibility among all employees and that other. Promoting employee well-being goes hand in hand employee behavior and non- adherence to 3. OPTIMIZE BEST PRACTICES with ensuring safe working conditions. WINPAK takes this safe practices are the underlying causes of To adopt best practices by standardizing responsibility seriously. safety incidents and accidents. safety tools, processes, capabilities, and training across WINPAK operations. SOME KEY SAFETY ACCOMPLISHMENTS FOR WINPAK IN 2020 INCLUDE: • WINPAK Portion Packaging (Toronto, ON) • WINPAK Films (Senoia, GA) reached one recorded zero lost-time injuries in 2020 million hours worked without a lost time incident in June 2020 • WINPAK Portion Packaging (Sauk Village, IL) achieved one million working hours without a • WINPAK reduced its Total Recordable 20 lost-time injury Incident Rate (TRIR) by 19% vs 2019 21
“WINPAK has an unyielding commitment empowers employees to be responsible, to the safety of our extended family – our accountable, and fully engaged in our employees. Safety is a core value that has programs. At WINPAK, everyone has an been integrated throughout our operations. opportunity to improve safety. It is the guiding principle behind everything we do. Our journey toward safety excellence is relentless and requires exploration of In support of our extended family, we superior routes. Open communication and continuously strive to enhance workplace input from employees related to safety AN ENGAGED culture, foster engagement, furnish pertinent training/guidance, and complete process initiatives/processes is intrinsic to a successful journey. We look forward to WORKFORCE reviews which are critical to the manufacture the support of our extended family as we of high-quality products in a safe and continue to travel toward our destination Collaboration and insights from WINPAK’s efficient manner. of achieving Safety excellence.” diverse work culture drive safety, operations, innovation, and sustainability. This engagement serves as the basis for our culture As an organization, we have surpassed basic and is aptly demonstrated by our internal compliance as the standard. We recognize initiative called “25hundred Innovators”. that the health, safety, and well-being of our All employees are encouraged to join this employees is paramount. We have dedicated network with the goal of running campaigns Safety professionals throughout the company throughout the year in which a sponsor that are committed to partnering with our seeks ideas for implementation. The needs range from customer packaging to improved workforce to create a zero-injury culture by communication to ideas to reduce energy proactive deployment of best practices and usage. Over the past year, 15 campaigns were continuous improvement. Kim Anderson issued with nearly 300 ideas generated from Director, Human Resources employees throughout the company. Safety is everyone’s responsibility. Together, WINPAK Portion Packaging Inc. we have a duty to look out for and protect one another. WINPAK’s work environment 22 23
PROUD OF OUR ROOTS WINPAK has much to be proud of as a company. Today, it is no longer acceptable to only and understanding our supply chain enables WINPAK was founded over 40 years ago and has been look inward and ensure your own company WINPAK to manage risks as well as make built on integrity, excellence, and respect for people is doing the right thing. Our stakeholders positive social and environmental impacts. and human rights. expect WINPAK to understand its supply WINPAK has chosen to partner with Sedex chain and how our suppliers perform in to provide us with solutions and insights to WINPAK’s goals reflect the importance of ethics, transparent areas like safety, labor relations, work manage supply chain risks and ensure an governance, and a responsible supply chain related to conditions, environmental impacts, and ethical supply chain. our sustainability commitment. Holding ourselves to the more. Supply chains today are complex highest standards has been, and will continue to be, the backbone of our success. WINPAK has a strong business Code of Conduct that we regularly review and use to guide our actions and decision-making. As part of a new employee’s onboarding process, the Code of Conduct will be reviewed and expectations regarding the importance of following its tenets will be discussed. WINPAK’s Code of Conduct can be accessed at https://www.winpak.com/code-of-business-conduct 24 25
PLANET FOR “There are at least 3 key targets for our sustainability goals where suppliers can play an integral role. First, WINPAK wants to And finally, WINPAK is committed to a Responsible Supply Chain. We utilize Sedex as a partner to support this goal. Sedex is a FUTURE GENERATIONS be as efficient as possible in its operations global non-profit membership organization and achieve a materials management goal that prides itself on making it simpler to do of >90%. Process engineers and employees business that is good for everyone. Tens of working in our operations are intently focused thousands of companies use Sedex to manage “It’s our nature to protect™” embodies WINPAK’s commitment to on this outcome. Suppliers, both equipment their performance around labor rights, health being a good steward of the resources afforded to us. Whether and raw material, are key contributors too. & safety, the environment, and business ethics. it is the raw materials used to create our packaging innovations Improvements to materials and how we process Sedex’s survey and services enable companies, with extended shelf-life; the energy used to power our processing them are important, and WINPAK relies on like WINPAK, to analyze various types of data, equipment; or the fuel used to deliver products to our customers, it is imperative to treat each as a finite resource. As a company, WINPAK these suppliers to keep us top-of-mind when standards, and certifications to make informed applies Sustainable Materials Management principles, along with learnings occur. business decisions, and to drive continuous LEAN principles, to be efficient and reduce waste in all forms within improvement across the value chain.” our processes. Second, WINPAK continues to innovate new packaging solutions as we move towards As part of WINPAK’s collaborative spirit, teams have been established to focus on energy usage and landfill waste. Each WINPAK site is invited to our goal of 100% Sustainable Products by have a representative participate on these teams. In addition to supporting 2025. WINPAK is innovating in recycle ready achievement of the company’s energy and landfill waste goals, the primary structures, post-consumer recycled (PCR) responsibilities for these teams are: content, and bio-based materials as we strive to meet our customers’ needs. WINPAK’s ∙ Discuss individual site challenges to achievement of established goals procurement team maintains ongoing contact ∙ Share ideas and best practices with existing and new suppliers to explain our ∙ Discuss best company or external resources to address performance gaps needs and understand what new innovations Rolando D. Caballero ∙ Collect and input monthly data for energy intensity and landfill waste goals and raw materials suppliers can provide us to Senior Supply Chain Manager fulfill our goal. WINPAK Films Inc. 27 27
Along with these teams, our 2,500 employees are committed to the goals WINPAK has established in the areas of energy intensity, greenhouse gas (GHG) emissions intensity, and landfill waste. Our ADDRESSING GREENHOUSE GAS (GHG) EMISSIONS senior leaders have set our strategic direction and have empowered employees to take action As part of our commitment to corporate Our emissions are grouped according to the and to make a positive impact. transparency, along with reducing greenhouse GHG Protocol. This protocol frames a business’ gas (GHG) emissions, WINPAK completes GHG emissions according to three scopes REDUCING the Carbon Disclosure Project (CDP) survey each year. Stakeholders today have higher of activities, as shown in the figure below. At WINPAK, our GHG emissions intensity goal ENERGY USE GOAL expectations for transparency. They want to see is established for Scopes 1, 2 and 3 emissions. that WINPAK understands the major contributors Please go to www.cdp.net to learn more As an example, at our flagship site in to our carbon footprint, what actions we are about CDP and view WINPAK’s latest GHG Winnipeg, WINPAK Division (WD) created taking to reduce our impact, and the results the emissions data. 2017 2018 2019 2020 2021 2022 2023 2024 2025 an energy oversight role in conjunction company is achieving. WINPAK achieved a score of with the Energy Management Program Energy Intensity (kWh/MT Sold) at WINPAK Division Site B- in our 2020 CDP submission. (EMP). The program leader is responsible for implementing energy conservation Further, WINPAK has implemented Life Cycle measures, monitoring energy consumption, Cost Analysis for new equipment purchases. assessing business decisions for WINPAK understands that equipment and sustainability, and seeking opportunities to its usage, given that we are largely a 24/7 CO2 CH4 N2O HFCS PFCS SF6 increase energy efficiency. operation, consumes lots of energy. Plus, the equipment is meant to operate for many years, Our Winnipeg site presents some unique so we need to ensure our decisions are well- challenges. Equipment is often process- informed. This approach for new equipment SCOPE 2 SCOPE 1 specific; manufacturing processes may INDIRECT DIRECT investments ensures WINPAK considers not be altered in some cases; and of sustainability factors and works with Design course, production levels cannot be and Procurement teams and equipment purchased electricity, SCOPE 3 negatively impacted. However, the team stream, heating & suppliers to ensure WINPAK procures energy- cooling for own use INDIRECT in Winnipeg set out to find energy wasters efficient and sustainable equipment. and potential projects to reduce energy intensity. Following EMP implementation, WD purchased goods has made improvements by changing the & services investments SCOPE 3 way equipment is designed and operated INDIRECT transportation & distribution and has achieved a 9.3 percent reduction capital goods company in energy intensity compared to the 2017 facilities purchased goods baseline year. fuel & energy leased & services franchises related activities assets leased transportation assets & distribution use of sold products end-of-life company treatment of employee vehicles sold products commuting waste generated in operations business travel 28 UPSTREAM ACTIVITIES REPORTING COMPANY DOWNSTREAM ACTIVITIES 29
“I am very proud of our WINPAK division team and what we have accomplished to date. As a team. we have committed plant-wide to reduce our impact on our planet for future STRIVING FOR ZERO generations. Our goal is to have zero landfill waste and reduce our energy consumption, LANDFILL WASTE and we are on our way to hit our targets. KEY ACTIONS WINPAK As noted earlier, WINPAK employs Sustainable SITES PERFORM TO REDUCE Here are some examples of WINPAK’s Materials Management (SMM) principles in its LANDFILL WASTE: recent accomplishments: manufacturing operations. WINPAK continuously evaluates its processes and production technologies seeking ways to source, reduce • Rigid plastic process waste in WINPAK’s LANDFILL DIVERSION ENERGY REDUCTION Portion Packaging site in Sauk Village, and incorporate recycled scrap back into the IL is placed back into production • Reduction of paperwork by using tablets • Heat recovery ventilation projects to recover operation and keep it out of the landfill. in safety checks and audits, more online clean, processed hot air currently exhausted • Trim scrap from ReFresh ™ recycle ready collaboration to reduce paper in our day- to the outside. This reduces natural gas use structures in WINPAK’s site in Winnipeg, to-day activities and greenhouse gas emissions. A success story from 2020 is WINPAK MB is placed back into production Division’s (WD) investment in a core stripper. WD produces flexible packaging materials • We baled and diverted 9MT of label backs • Purchase and installation of high efficiency that are typically wound onto fiber-based • Trim scrap from mono-material from landfill electrical equipment. cores. Some rolls of film need to be disposed. structures in WINPAK Film’s site • Plastic/Steel Cores are recycled for our • Installation of insulation blankets for most of Recyclers do not like taking film rolls with cores in Senoia, GA is placed back into internal processes our extrusion equipment because of the difficulty in handling. In the production past, WD either sent the film rolls to landfill • Recycled Solvent - 24 tons per month • Compressed air leak management program or cut off the film by hand. The investment in • Aluminum foil process waste is to identify and fix the system deficiencies. the core stripper automates the “stripping” collected and recycled into aluminum • Cardboard - We diverted 100MT of process, separates cores from plastic film, cardboard from the landfill • Identification and operational optimization and allows for improved recycling of the cores of all high energy demand plant equipment. • WINPAK sites recycle non-production • Foil Liners - We baled and diverted 11MT and film. The core stripper enabled WD to waste such as office paper, printer These achievements reflect the dedication of successfully recycle approximately 100MT cartridges, batteries, beverage • Working with our suppliers to use our trim an amazing WINPAK team who truly care about of cores and film over the past year. More containers, etc. waste to go back into our product. importantly, WD has improved safety since our planet. The results were possible due to the employees no longer need to cut film from the • Working with partner companies to use our combined efforts of the entire WINPAK family. I • WINPAK sites re-use materials like am so honored to be a part of this team.” cores by hand. trim waste in the production of materials for gaylords, cores, and pallets internally and then recycle at end-of-life roadways and/or in plastic furniture WINPAK is pleased to report that landfill • Overall, nearly 7,200MT of plastic were waste has reduced by 12% over the past several years. WINPAK’s Toronto site once diverted from landfill by our Operations again achieved zero waste to landfill status in 2020. Our sites in Sauk Village, IL, South WINPAK LANDFILL WASTE, MT Chicago Heights, IL, Rialto, CA, Winnipeg, recyclers and other companies evaluating 10,000 MB (American Biaxis site), and Pekin, IL are opportunities to utilize our plastic scrap. all below 100MT of landfill waste as well. We are hopeful that improved technologies We acknowledge much work is needed in both mechanical and advanced recycling 5,000 to reach our goal of zero landfill waste. will progress WINPAK further towards Christine Fehler Beyond incorporating trim scrap back achievement of this goal. Director, Operations into production, WINPAK is engaged with 2017 2018 2019 2020 WINPAK Division 30 Landfill Waste for WINPAK (all sites) 31
LOOKING AHEAD Sustainability is at the heart of our pledge – “It’s our nature to protect™”. In 2020, WINPAK and our entire world faced unprecedented challenges due to COVID-19. Impacts are still present today. However, these challenges also solidified our purpose because WINPAK provides essential packaging innovations that ensure critical food and healthcare supplies are delivered to consumers and those in need. The challenges and needs of 2020, however, did not deter WINPAK from advancing its safety culture. Protecting the safety and well-being of all employees is our top priority. WINPAK will continue its relentless pursuit of zero injuries through education, training, and responsibility. Also, WINPAK maintained laser focus on advancing packaging sustainability as well. Our investments and innovations push WINPAK in a direction of efficiency and creating packaging innovations more suited for a Circular Economy. Moving forward, we will accelerate our advancements towards a Circular Economy both in terms of new packaging system innovations and external collaborations to support infrastructure, collection, and recovery of plastic waste. 32 32 I T ’ S O U R N AT U R E TO P R OT E C T ™ W I N PA K . C O M
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