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Participation in sustainability indices

Sustainability indexes provide information to the investment community about a company’s approach to governance, the environment and social issues. The Dow Jones Sustainability Index (DJSI) is one of the most widely recognised. Amcor is a member of the Dow Jones Asia Pacific Index, in the Containers and Packaging sector.

In 2011 our total DJSI score increased by 2%, despite the sector average decreasing by 9%, a change likely to be due to more difficult scoring criteria. Amcor was ahead of the average in each of the three dimensions (economic, environmental and social) and we achieved the sector best score in Environmental Reporting and Social Reporting, a great recognition of the quality of our external reporting.

Global Synergy Workshop

In September 2010, nearly 100 members of the Amcor Leadership Team came together for the first time at a Global Synergy Workshop to focus on ‘Delivering on our Potential’.

The theme referred to the opportunities created from the substantial acquisitions Amcor has made, and the successful roll-out of the Being Amcor operating model.

The leadership team was brought together to identify cross-business and functional opportunities, share best practices and agree priorities for the journey ahead. Discussions were driven by presentations given by the Global Management Team and external experts on a variety of topics which included the group’s financial performance, an investor’s view of the company and co-worker engagement. CEO and Managing Director, Ken MacKenzie said; ‘The key driver for all of these sessions was to focus the organisation on creating a culture of outperformance. We did this with the ultimate aim of continuously building on our success – taking Amcor from “Good’ to ‘Great”.’

Corporate compliance

Compliance with the competition laws around the world is an important component of Amcor’s business practices, and a key component of Amcor’s Risk Assessment and Management initiative. Amcor has a clear set of Competition Compliance policies and has implemented a Competition Compliance Program which is designed to give Amcor co-workers the tools to compete effectively within the boundaries set by the law in the global marketplace.

The Competition Compliance Program includes on-line training and testing tools for eligible co-workers across all Amcor business groups around the globe. Co-workers are required to complete the training annually, and the status of the training program is reported regularly to the Amcor Board.

Ethical data exchange

Amcor is a member of the Supplier Ethical Data Exchange (SEDEX). SEDEX is an online platform, operated by a not-for-profit independent organisation. It allows companies to access social, ethical and environment performance information about their suppliers. The questionnaire covers a range of topics including labour standards, health and safety, business integrity and environmental performance.

One hundred and fifty five of Amcor’s sites have submitted self assessment questionnaires to the SEDEX database and we are aimaing to have all of Amcor’s manufacturing sites complete the questionnaires by January 2012.

To improve the rigour of our assessment process, Amcor’s Internal Audit team audit our sites against their SEDEX questionnaires as part of their planned audit schedule. The Internal Audit Team visited 40 Amcor sites during FY2010/11. Separate independent audits are conducted by third party auditors on behalf of Amcor’s customers to confirm the accuracy of questionnaire data. During FY2010/11 six of our sites were independently audited by third parties.

Reducing injuries, costs and environmental impacts

A simple but innovative process has resulted in significant safety and environmental benefits, as well as cost savings. A project team at the Amcor site in Berlin, Germany identified the issue of high ink/solvent temperatures in their gravure press cylinder zone. The project team thought these high temperatures may have been responsible for recent ignitions at the site, rather than static as previously assumed.

The team implemented an ink chilling process, reducing the temperature and consumption of the inks and solvents. This has improved plant safety substantially, with reduced ignition risks at the plant in the last 12 months. From an environmental perspective, the change has also reduced print waste through significantly improving ink printability. Solvent costs have also been reduced.

Following the project’s success at the Berlin site, the ink chilling system is being implemented at 8 additional sites, with more planned.

Introducing the Amcor CEO Awards

Introducing the Amcor CEO Awards Amcor’s CEO awards recognise excellence and success in Amcor at the highest level. They raise awareness of, reinforce and celebrate Being Amcor with three award categories:

Safety – Excellence in the pursuit of no injuries

Customer and Market Focus – Excellence in delivering customer delight

Being Amcor – Excellence in living our Core Values

Each Business Group President will put forward their best candidate(s) for each of the CEO Award categories. These nominations will be drawn from winners of Award programs conducted locally within each Business Group. The winners from each category will be announced in late 2011.

To celebrate success, both the winners and the nominees will each be recognised with an award plaque and winners will also receive A$5,000 to donate to a charity of their choice. Award dinners hosted by the Managing Director and CEO – Ken MacKenzie, will be held to further acknowledge the outstanding efforts of the participants.

Winners and nominees will also be recognised across the Group and will be announced in Corporate and Business Group intranets, newsletters and a corporate video.