Heineken’s journey towards environmental stewardship and sustainable sourcing is gaining momentum through its comprehensive digital overhaul.
Digitalization Fuels Heineken’s Green Procurement Drive
Heineken is not only brewing beer but also brewing a sustainable future with its ambitious procurement strategy, integral to its carbon reduction blueprint. The beverage giant is on a mission to source all its barley and hops sustainably by 2030, a critical step towards its broader objective of carbon neutrality by 2040 across its value chain, as outlined in its ‘Brew a Better World’ initiative.
Dolf van den Brink, Heineken’s CEO, emphasizes the company’s commitment to growth aligned with sustainability. “Our growth is rooted in our values and culture. We’re dedicated to sustainable expansion, constantly seeking innovative and cost-effective solutions while nurturing our curiosity and learning,” he states.
Expanding Low-Carbon Farming Initiatives
Heineken is also scaling up its collaborations with suppliers to foster low-carbon production methods. The company’s low-carbon farming initiative, now in 15 countries, aims to establish 200 pilot farms by 2025. These farms will focus on reducing fertilizer use and implementing regenerative agriculture to enhance soil health and carbon capture.
Post-2027, the most effective practices will be expanded, with the goal of influencing approximately 10,000 farmers. By 2030, Heineken plans to disseminate its knowledge and train over 10,000 farmers and sourcing partners in these best practices.
Geraldine Bernard, Heineken’s Global Sustainability Manager, shares her enthusiasm: “Our Low Carbon Farming program is empowering our partner farmers to adopt CO2 reduction and sequestration techniques. The program’s rapid growth is a testament to our strong partnerships.”
Innovating for Sustainable Packaging
Heineken is also making strides in sustainable packaging, adopting a ‘reduce and replace’ strategy for materials like glass, aluminum, plastic, and paper, and harnessing design innovation to lower emissions.
The company’s digital transformation in Europe, where it operates 25 companies, has revamped its supply chain through:
- Streamlining product and packaging complexity
- Optimizing its network of operating companies
- Standardizing and enhancing operational procedures
- Creating low-carbon footprint operations
The first year of this transformation yielded impressive results, including a 52% decrease in unique bottle varieties and a 50% cut in secondary packaging volume.
Heineken’s sustainable sourcing and digital transformation are proving to be a potent combination in the fight against climate change, demonstrating that environmental responsibility can go hand-in-hand with business innovation and efficiency.
