University Report: Social Analysis of Kraft Heinz - Business Ethics

This report provides a comprehensive social analysis of Kraft Heinz, examining its ethical and compliance frameworks, social responsibility initiatives, and supply chain management practices. The analysis delves into Kraft Heinz's global employee code of conduct, reporting mechanisms, and supplier guidelines, highlighting its commitment to legal and ethical business operations. Furthermore, the report explores Kraft Heinz's corporate social responsibility (CSR) efforts, including environmental sustainability goals, such as reducing greenhouse gas emissions, energy consumption, and water usage, as well as waste reduction and recycling efforts. The report also investigates Kraft Heinz's focus on traceable and transparent supply chains, particularly concerning palm oil sourcing, and its commitment to animal welfare and human rights. The concentration topics of the report encompass ethics and compliance, social responsibilities, sustainability, and palm oil maintenance procedures, providing a holistic view of Kraft Heinz's social impact and business practices.

Running head: SOCIAL ANALYSIS OF KRAFT HIENZ
SOCIAL ANALYSIS OF KRAFT HIENZ
Name of the Student
Name of the University
Author note

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SOCIAL ANALYSIS OF KRAFT HIENZ
Table of Contents
Ethics...............................................................................................................................................2
Social Responsibility.......................................................................................................................2
Concentration Topics.......................................................................................................................5
References........................................................................................................................................6

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Ethics
Ethics and Compliance of Kraft Heinz has been diversified in 3 sections, namely global
employee code of conduct of Kraft Heinz, Reporting a concern and Supplier Guiding Principles.
It is stated that Kraft Heinz has been focusing on performing business in legal manner
and all the activities that are being performed must abide by the stated code of conduct of Kraft
Heinz. Proper training is provided to the employees of Kraft Heinz so that proper communication
is maintained and the employees abide by the code of conduct (The Kraft Heinz Company 2019).
It is considered that roper reporting is to be made in case it is seen that any of the
employees have been toying with the code of conduct it is to be reported. Steps are taken against
the employee in case they are found guilty. Several concern reporting sections are present in the
system which includes mangers, Legal department, HR Manager and Ethics & Compliance
(E&C) team (The Kraft Heinz Company 2019).
A separate supplier guideline principle is followed which is to be maintained and this will
ensure that there has to be proper guideline maintained for the suppliers.
Social Responsibility
Kraft Heinz believes in growing a better world. For abiding by their belief they need to
constantly work for bringing in innovation in the work process. The entire work process that is
used is highly reliable on the location of the store. Tailored services are provided as per the
sustainability of the projects that they are working on (Feslioglou 2019). This leads to the fact
that better assessment of the stakeholder who are involved in their projects act important. In this
case the main aspect that is considered is that stakeholder engagement is highly desired (Adams,
Perry & Mahoney 2018). Materiality analysis is also made as per location in order to understand

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the strategy that is to be implemented for increasing the sustainability of the project that is
undertaken by Kraft Heinz. Kraft Heinz has been promoting practices that deals with the socially
responsible practices in the field of supply chain management system, environmental goals,
bettering the quality of the product, increase transparency in the process and enhance two way
dialogue.
As per the social responsibility policy of Kraft Heinz, environmental aspect have been
one of the major concern. Usage of sustainability goal in the processing of greenhouse gas
emission limitation and hence wise energy consumption processing along with proper
maintenance of water usage. Pledges are taken for increasing the environmental sustainability of
the projects. Since the year of 2015, Kraft Heinz have decided to reduce the emission of green
house gases by 15%. Reducing the emission has been acting as a challenge for Kraft Heinz, but
certain steps are taken for bettering the process of reducing of the greenhouse gas emission.
Another focused area is to reduce the consumption of energy by 15%. Reduction in usage of
water by 15% have been another aspect on which Kraft Heinz has been focusing on. Reducing
the solid waste has been another aspect that is dealt by Kraft Heinz (The Kraft Heinz Company
2019). In this case the main aspect that is considered is that solid waste is sent to the landfill and
hence wise reducing the waste that is generated via landfills. These are the major aspects that has
been adding to the environmental sustainability of the project. High end technologies are being
used by Kraft Heinz for reducing the waste that are being generated during the manufacturing
process.
Kraft Heinz have been working with the experts who have been helping in the increasing
the efficiency in the process of consumption of energy and output that is received. Identifying the
stages that will be enhancing opportunities for least consumption of energy and provide the

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highest efficiency. As per Kraft Heinz, it is not only environmentally sustainable to reduce the
usage of energy but also financially benefitting (Kraak, Rincón Gallardo Patiño & Sacks 2019‐ ).
This has been another reason that each and every steps that are taken are well monitored by Kraft
Heinz and hence wise proper steps are taken for reducing the amount of waste in the process.
Recycling of the solid waste has also been a target of the Kraft Heinz. Water is also considered
as an important aspect that is to be saved during the execution of projects undertaken by them.
This ensures that proper management of the crop growing will be made and this will ensure that
proper monitoring process will be required. Hence wise the main benefit that is received includes
minimization of the irrigation wastage.
Kraft Heinz is also focused on achieving traceable and transparent supply chain process.
Traceability of palm oil that is being sourced by Kraft Heinz has been acting as a major
challenge in the execution process. Few steps are considered for mitigation of this process and
hence wise deforestation needs to be completely stopped. Kraft Heinz has been taking positive
steps to reduce deforestation. Kraft Heinz has also been concentrating on reducing the
destruction of primary high carbon stock with the help of the conservation of forest (Kumar
2019). Kraft Heinz has been focusing on the fact that there is no usage of fire in the plantation
period. There is not much development that is made on the peat lands and the depth is not
considered. Proper management practices are made on the peat lands for maintaining the
efficiency of the peat lands. Proper compliance in between the local and international laws and
international laws are made. This section ensures that better assessment of labor and human
rights are done. Kraft Heinz is strictly against forced labor, human trafficking or child labor (The
Kraft Heinz Company 2019). Respecting the land tenure rights have been a characteristics of
Kraft Heinz. Maintaining the code of conduct in the supply management process by Kraft Heinz

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has also been providing a positive effect on the system. Kraft Heinz has a separate set of active
members who are focused with the sustainability of the palm oil and they are termed as the
Roundtable on Sustainable Palm Oil.
Animal welfare has also been acting as a major concern. As per the policy of Kraft Heinz
there are 5 freedoms of the animal welfare and it is expected from the suppliers end to follow the
same. The rules includes freedom of the animal from hunger and thirst. Freedom of discomfort
as per the environmental aspect is also considered (Tiganas, Boghean & Vázquez 2019). There
has been freedom provided from pain, injury and any kind of diseases. Freedom to express
normal behavior is also considered in this process. Freedom from fear and distress is also
provided in this case.
With the help of global value chain operational process, human rights protection has been
acting as a fundamental aspect that benefits the business process and help in overall increase the
sustainability of the business organization (Doheny & Griffith 2017).
Concentration Topics
The topics that are being focused in this report includes ethics and compliance section
that is maintained by Kraft Heinz. This section is concerned with the legal aspects and the code
of conducts that is personalized for the employees of Kraft Heinz. Discussion regarding suppliers
following specific guidelines is also performed. Again the social responsibilities that has to be
followed during execution of the projects that are undertaken. Discussion regarding sustainability
of the system is also a concentrated topics. Palm oil maintenance procedure has also been a
major concern in the process.

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References
Adams, B. J., Perry, T., & Mahoney, C. (2018). The Challenges of Detection and Enforcement of
Insider Trading. Journal of Business Ethics, 153(2), 375-388.
Doheny, M., & Griffith, J. A. (2017). CSR at Work: Considering Corporate Social Responsibility
from a Motivation to Act Perspective. Journal of Organizational Psychology, 17(6).
Feslioglou, I. (2019). Mergers and Acquisitions: The current state of the debate.
Kraak, V. I., Rincón Gallardo Patiño, S., & Sacks, G. (2019). An accountability evaluation for‐
the International Food & Beverage Alliance's Global Policy on Marketing
Communications to Children to reduce obesity: A narrative review to inform
policy. Obesity Reviews.
Kumar, B. R. (2019). Merger of Kraft and Heinz Company. In Wealth Creation in the World’s
Largest Mergers and Acquisitions (pp. 79-84). Springer, Cham.
The Kraft Heinz Company. (2019). Retrieved 13 August 2019, from
https://www.kraftheinzcompany.com/ethics-compliance.html
The Kraft Heinz Company. (2019). Retrieved 13 August 2019, from
https://www.kraftheinzcompany.com/corporate-social-responsibility.html
Tiganas, A., Boghean, A., & Vázquez, J. L. (2019). Behavior Change and Nutrition Education
for Teenagers: Nestlé Social Marketing “Healthy Kids Programme” in India. In Social
Marketing in Action (pp. 271-282). Springer, Cham.