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We present information on the corporate activities of the

Coca-Cola system in Japan to help achieve a sustainable


society, as described below.
Coca-Cola (Japan) Co., Ltd. introduces information on corporate social responsibility (CSR)
intended for all of its stakeholders in Japan, including consumers, business partners, employees,
and local communities. Information in both the printed and on-line editions has been compiled
according to the purposes and perspectives of readers, and we have strived to make our CSR
initiatives understandable to the widest range of readers possible.

Structure of the Coca-Cola Sustainability Report 2009


Printed Edition

Online Edition

WEB
Contains the information from the printed edition as well as more
detailed information and various types of data

Mainly comprised of articles that present, in an easy to read and


understand format, the main initiatives of the Coca-Cola system.

http://cocacola.co.jp/positively/report.html

Other Online Edition Communication Tools


Product Brochure

Hello! Coca-Cola

A PDF of the brochure can be downloaded from


the address below

A PDF of the brochure can be downloaded from the


address below

http://cocacola.co.jp/products/

This publication explains the process for


producing Coca-Cola system products,
the history of Coca-Cola, environmental
initiatives, efforts to promote container
recycling and contributions to communities.

This brochure presents the products


sold by the Coca-Cola system,
grouped by beverage category.
It allows customers to easily view
brand information for the extensive
lineup of products, including
Coca-Cola, Georgia, and Aquarius.

Sustainability Website

Coke Town
Visitors to this website can learn
about the product life cycle (from
production and sales to container
recycling) and also take a virtual
plant tour.

Website can be accessed at the address belowr

Website can be accessed at the address below

http://cocacola.co.jp/positively/

In addition to the online edition of the Coca-Cola Sustainability


Report 2009, the information, including updates in real-time on
CSR activities, is compiled with our stakeholders in mind.

http://cocacola.co.jp/study/hello/

http://cocacola.co.jp/study/

index
Editorial Policy for Coca-Cola Sustainability Report 2009

Coca-Cola (Japan) Co., Ltd. prepared this report in order

to present information on the corporate activities it


is undertaking to contribute to the realization of a
sustainable society and to enhance communication
with its stakeholders.
* The Coca-Cola system in Japan consists of Coca-Cola (Japan) Co.,Ltd.
which is responsible for manufacturing and sales of concentrates as well as
marketing of soft drink products, together with the bottling partners that
produce and sell products throughout Japan. For further information on the
Coca-Cola system, see pages 3 to 4.

Our goal in preparing this report is to provide information

in a systematic, easy-to-understand manner, and to this


end we have consulted two documents: the Japanese
Ministry of the Environment s Environmental Reporting
Guidelines (2008 edition) and the Global Reporting
Initiative s Sustainability Reporting Guidelines (3rd
edition).
Coca-Cola (Japan)Co.,Ltd. has published a report once

a year ever since its inaugural Environmental Action


Report 2002. The report s name was changed in 2005 to
the Coca-Cola CSR Report, which in turn was changed
to the Coca-Cola Sustainability Report this year. It presents information specifically related to the marketplace,
environment, community and workplacethe primary
points of contact between the Coca-Cola system and its
stakeholders.
Scope of Data

The data presented in this report relates to production,

distribution and sales data collected from Coca-Cola


(Japan) Co.,Ltd. (comprising one plant) and 12 bottling
partners (comprising 29 plants and 487 sales offices; as
of December 31, 2008). Sales figures are presented for
reference only.

Data is for the period January 1 to December 31, 2008.

Contents
Coca-Cola Sustainability Report 2009
1Structure of the Coca-Cola Sustainability Report 2009
2Contents / Editorial Policy
3Overview of Coca-Cola Japan
4The Coca-Cola System in Japan
5Message from the President
7Live Positively
9Our Road Map to Live Positively
13What is Live Positively?
154Business Areas and 7 Priority Areas for Achieving
Live Positively
17Individual Employees Implement
Live Positively across Japan

Marketplace Initiatives
19Special Feature:
Keeping the Community Correctly Informed
21Creating Additional Benefits to Meet the Needs of
Consumers
23Seeking Safety and Reliability
Through Consistent Quality Management

Environmental Initiatives
29Special Feature:
Innovating as a Way to Curb Global Warming
31Business Activities and Environmental Impact
32Vending Machine Advancements
33Sustainable Packaging Initiatives
35Water-Related Initiatives
36Waste Reduction

As a general rule, activities described in this report took

place between June 2008 and June 2009.


Terminology

In this report, consumer refers not only to those who

purchase Coca-Cola system products but also to people


in general.

The Coca-Cola Company refers to the headquarters


in the United States; Coca-Cola Japan refers to
Coca-Cola (Japan) Co., Ltd; the term bottling partners
refers to the 12 bottling companies Coca-Cola
(Japan) Co., Ltd. has designated; and the Coca-Cola
system includes Coca-Cola (Japan) Co., Ltd. and
bottling partners.

Community Initiatives
37Special Feature: Fulfilling Responsibility With a Global
Outlook and Local Action
39Being Part of the Local Community

Workplace Initiatives
41Special Feature: Developing World-Class Human
Resources
43Fostering a Great Work Environment
45Stakeholder Dialogue 2009
49Stakeholder Opinions

This issue was released in July 2009

The Coca-Cola System in Japan


The Coca-Cola system in Japan comprises Coca-Cola (Japan) Co., Ltd., which supplies, manufactures and markets
concentrates, plans and develops new products, and conducts advertising and marketing activities, as well as its
bottling partners, which manufacture and sell products throughout Japan, and other affiliated companies.
It seeks growth by optimizing the entire Coca-Cola system, including more efficient production, faster response to
consumer and market preferences, enhanced customer services and rigorous quality control.
Coca-Cola Japan enjoys strong partnerships with other members of the system and collaborates closely with them
in its business activities.

Coca-Cola (Japan) Co., Ltd.

Planning

Bottling Partners / Affiliates

Concentrate
manufacturing

R&D

Production

Coca-Cola
Business Services Co., Ltd.

Coca-Cola
Tokyo R&D Co., Ltd.

Established in January 2009 as a joint


investment between The Coca-Cola Company and all of the bottling partners in
Japan. It is responsible for business
consulting for the Coca-Cola system in
Japan, the development of information
systems to support such consulting, as
well as related general maintenance and
administrative. The company also
conducts joint procurement of ingredients
and raw materials.

Sales

Collection

Recycling

Coca-Cola
National Beverages Co., Ltd.

Coca-Cola
Customer Marketing Co., Ltd.

Established in April 2003 as a joint investment between The


Coca-Cola Company and all of the bottling partners in
Japan. The company began operations in October 2003
with the objective of building a nationwide supply chain
management system. Responsibilities include joint procurement of ingredients and raw materials, nationwide manufacturing and supply/demand planning, oversight of procurement and supplying of product to bottling partners. In January 2009, a new structure was adopted with operations of
production and distribution being transferred to bottling
partners.

Established in January 2007 as a


joint investment between CocaCola Japan and all of the bottling
partners. Serves as a central
contact for business negotiations
with major national distribution
chains.

The Coca-Cola System in Japan

Established in January 1993, with


100% capitalization by The Coca-Cola
Company. The company has been
carrying out development and technological support on products that meet
the regional needs of Asia since January 1995, when it separated from the
technological development division,
centered in the U.S. headquarters, to
become an independent company.

Distribution

Established in May 2001 as a joint investment between Coca-Cola Japan and all of
the bottling partners. Conducts sales to wide-area corporations in vending machine
business.

FV Corporation K.K.

Bottling Partners
The bottling partners purchase concentrate from Coca-Cola (Japan) Co., Ltd., using it to manufacture products for sale. There are 12 bottling partners in Japan, each with its own sales territory.
Bottling Partners

Territories

Hokkaido Coca-Cola Bottling Co., Ltd.

Hokkaido

Michinoku Coca-Cola Bottling Co., Ltd.

Iwate, Akita, Aomori

Sendai Coca-Cola Bottling Co., Ltd.

Miyagi, Fukushima, Yamagata

Tone Coca-Cola Bottling Co., Ltd.

Chiba, Ibaraki, Tochigi

Mikuni Coca-Cola Bottling Co., Ltd.

Saitama, Gunma, Niigata

Tokyo Coca-Cola Bottling Co., Ltd.

Tokyo

Coca-Cola Central Japan Co., Ltd.

Kanagawa, Shizuoka, Yamanashi,Aichi, Gifu, Mie

Hokuriku Coca-Cola Bottling Co., Ltd.

Toyama, Ishikawa, Fukui, Nagano

Shikoku Coca-Cola Bottling Co., Ltd.

Kagawa, Ehime, Kochi, Tokushima

Coca-Cola West Co., Ltd.

Fukuoka, Saga, Nagasaki, Hiroshima Okayama,


Yamaguchi, Shimane, Tottori, Osaka, Kyoto,
Hyogo, Nara, Shiga, Wakayama

Minami Kyushu Coca-Cola Bottling Co., Ltd.

Kumamoto, Kagoshima, Miyazaki, Oita

Okinawa Coca-Cola Bottling Co., Ltd.

Okinawa

Total employees

About

23,000

Delivery trucks

About

980,000

Retail outlets

About

1 million

18

Affiliates

The Coca-Cola System in Japan


Sales routes

About

8,600

30

Plants

487

Warehouses

Delivery trucks

About

8,500
4

Daniel H. Sayre
Representative Director and President
Coca-Cola (Japan) Copany, Limited

Top Message

To p M e s s a g e
For The Realization of a
Social and Corporate Sustainable Growth

1886
S120

--

200

Live Positively --
2004

116

Manifesto for

Growth

52

Top Message

Live Positively

s Live Positively!

On the Way to Sustainable Growth of Community and Company


More than 120 years have elapsed since 1886 when a pharmacist,

partners worldwide, leading to the global adoption of a new business

Dr. John S. Pemberton, from Atlanta, Georgia, in the southern United

guiding principle, Live Positively, which promotes sustainable growth

States, devised a unique syrup recipe. In keeping with the Whenever,

not only for the company but in partnership with communities.

wherever, whoever slogan at the heart of the Coca-Cola system, we


deliver refreshment and enrichment through Coca-Cola system

The Live Positively principle further enhances the Manifesto for

products to consumers in over 200 countries at a consumption rate of

Growth vision we have upheld since 2004, by clarifying central

more than 1.6 billion servings a day. In Japan, over the past 52 years,

themes. In our existing business areasmarketplace, environment,

the Coca-Cola systems business has imparted the Coca-Cola spirit

community, workplaceseven central themes for the realization of

through strong partnership between Coca-Cola (Japan) Co., Ltd.,

sustainable corporate and community growth were prescribed:

bottling partners and affiliated companies, developing into a corporate

provision of beverage benefits meeting consumer needs; support for

system rooted in the local community.

active, healthy lifestyle; energy management and climate protection;


sustainable packaging; global water stewardship; contribution to local

The Coca-Cola systems business environment has undergone a major

communities; and attractive workplace environments. This years report

shift in recent years due to such factors as heightened public

explains our enhanced business philosophy and related initiatives.

awareness on environment and health. Consumers expectations on


the Coca-Cola system, too, are constantly changing. To keep growing,

The Coca-Cola system will continue to hold dialogue with all

it is vital that the Coca-Cola system fully meets the needs of

stakeholders, including consumers, business partners, investors and

consumers, not merely through the provision of safe and reliable

employees. Together we will travel the path toward sustainable

products, but also by fulfilling its corporate social responsibility at a

corporate and community growth. Through our core business,

higher level. In response to such developments, the Coca-Cola

beverage manufacturing and sales, we hope to contribute making

system has engaged in discussions with representatives of bottling

positive differences to the world in as many ways. Lets Live Positively!

Live Positively

Positively means the power of joy,


optimism, possibility
vital creative forces for everything.

Live Positively

Positively, the power of joy,


optimism and possibility.
What we are trying to do is To make a positive difference
in the world by rethinking the way we work and live.
and to view every challenge
we come up against as an opportunity,
being optimistic and acting on our beliefs.
Looking at the glass
half full instead of half empty.
It is important that we move in a more positive direction.
By living positively, we will bring about sustainability.

Our Road Map to Live Positively


1880

1890

Coca-Cola Chronicle

1900

1910

The origins of the Coca-Cola system

Activities by the Coca-Cola system worldwide


Activities by the Coca-Cola system in Japan

The physical, social and economic environments we live in


today are up against a whole host of problems.

1886
Pharmacist Dr. John S. Pemberton
invents Coca-Col a in Atlanta,
Georgia.
Coca-Cola was originally a water-diluted syrup created by pharmacist Dr. John S. Pemberton.Then one day, a worker at a soda
fountain in Atlanta mixed the drink with carbonated water instead of
plain water by accident. Apparently, it was delicious. This episode
was recounted to later generations as the lucky mistake.

Those problems did not come about just recently,


but were shaped over time,
becoming intricately intertwined.
Live Positively

For more than 120 years since 1886,


when pharmacist Dr. John S. Pemberton created Coca-Cola,
The Coca-Cola Company has
persistently sought solutions to a great many
chalenges together with society and consumers,
while delivering refreshment
and enrichment through products.
Having inherited this mentality, as represented in the
Whenever, Wherever, Whoever
spirit at the heart of The Coca-Cola Company,
the Coca-Cola system in Japan has
grown over the last 52 years together with the local community.

1892
Pharmacist Asa G. Candler
establishes The Coca-Cola Company

1894
Joseph

A. Biedenharn of Vicksburg,
Mississippi, is the first to sell Coca-Cola
in bottles

The corporate approach we have fostered over the years in this


manner has now been condensed into a new business guiding
principle Live Positively.

1895
Coca-Cola is distributed to every state
in the United States via a network
serviced by horse-drawn carriages

1910
Automobile route sales move into full gear

World/Japan Chronicle
CSR activities throughout the world/in Japan
Worldwide activities
Activities in Japan

1861
John Tyndall discovers greenhouse gases

Gases such as carbon dioxide, ozone and methane were found to


contribute to the greenhouse effect in the mid 19th century, a fact that
generally went unacknowledged.

1896
The first modern-era Olympic Games
is held in Athens

99

1920

1930

1940

1950

1960

1970

The Coca-Cola system proceeding together with society

1961

1935

Vending machines are introduced to the marketplace in Japan


The first step towards securing the top share in the
Japanese marketthe Coca-Cola systems vending
machines now number around 980,000. The first
machines involved inserting money and manually
removing a bottle of Coca-Cola.

The coin-operated vending machine


is deployed

1915
The contour bottle currently
employed worldwide is
designed
(use commences in 1916)
As Coca-Cola became a popular
drink, copycat beverages were a
growing problem.
A uniquely-shaped bottle you
could tell was genuine Coca-Cola
even in the dark just by touching
it was developed.
In 2008, 90 years after this
pioneering event in intellectual
p r o p e r t y m a n a g e m e nt, the
design was recognized as a
three-dimensional trademark in
Japan by the Intellectual Property
High Court, cementing its status
as a valuable Coca-Cola asset.

Live Positively

1945
Coke is registered as a
trademark by the US Patent Office

1963
Sponsorship of the H.I.H. Prince Takamado Trophy
All Japan Inter-Middle School English Oratorical
Contest begins

1957
The first Coca-Cola bottling partner in Japan starts operations
Nihon Inryo Kogyo K.K. (predecessor of
Coca-Cola (Japan) Co., Ltd.) is established

1965
Canned Coca-Cola (250ml)
first appears in Japan

1973
The Keep Japan Beautiful (KJB) initiative is promoted
The Coca-Cola system played a central role in this
beautification campaign aimed at preventing littering
of empty containers after consumption. Besides
local clean-up activities, bottling partners donated
waste receptacles to local governments for placing
by vending machines and undertook collection of
empty containers. To develop these activities
further, The Beverage Industry Environment Beautification Association was jointly established with other
corporations as well as breweries.

1977
Sponsorship of the Japan U-12 Football
Championship begins with the inaugural tournament.

1928
Support for the Olympic Games begins (1,000 cases of
Coca-Cola are provided)

1930
Support for the FIFA World Cup begins from the inaugural tournament in Uruguay

1978
The Coca-Cola Company becomes an
Official Partner of the FIFA World Cup

1971 Japans Ministry of the

1961

1945
The worlds first photochemical smog is observed in Los Angeles

1952
The London Smog (air pollution worsens worldwide)
Global awareness of environmental problems grew
steadily from the 1950s, beginning in Europe and the
United States.

The World Wide Fund for Nature


(WWF) is founded
The WWF started out promoting
the protection of African wildlife.
Now global initiatives besides
wildlife protection are underway,
including forest preservation,
conservation of water resources
and countermeasures against
global warming. The Coca-Cola
Company supports the WWF
through a partnership forged in
June 2007.

1964 The Tokyo Olympics (Games of the XVIII Olympiad) is held


1976Japans Ministry of the Environment is formed

Environment is formed

1972
The United Nations Environment
Programme
(UNEP) is established
A host of international environmental
treaties were signed during the period
through the 1970s and 1980s. Japan,
however, was experiencing rapid
economic growth and pollution was
worsening throughout the country.

1973
Convention on International Trade in
Endangered Species of Wild Fauna
and Flora (CITES) is adopted

10

1990

1980

1981

2000

1991
Marks indicating packaging materials appear on beverage cans

Uniform environmental beautification marks appear on cans

Marks identifying materials used in packaging first appeared in 1991 and played
a key role in the promotion of recycling.

The well-known marks asked that empty cans go into the


trash. A decade later, in 1991, the wording was revised to ask
consumers to recycle empty cans.

The first Advisory Panel meets

Lectures and discussions are held to ensure accurate information is


provided to consumers.

Sales of Coca-Cola in PET bottles (1.5L) begin

The Consumer Information Center (now the Consumer Service Center) opens

1993
Live Positively

1982

Plastic replaces aluminum as the material for making PET bottle caps

Sales of Diet Coca-Cola begin in


response to growing
consumer health awareness

Removal of refrigerant HFCs from vending machines begins


The Coca-Cola system becomes the sole official sponsor of
the All Japan High School Athletic Meet (Inter High)

1994
The Coca-Cola Environmental EducationalFoundation
(predecessor to the Coca-Cola Educational & Environmental
Foundation) is established

1988
Full-scale efforts to reduce packaging weight are commenced
With the spread of PET bottles, full-scale efforts to reduce
the weight of packaging get underway. A 1.5L PET bottle
for Coca-Cola, which used to weigh 75g, is now weighs
only 48g.

1998
The Coca-Cola Ranger Training Program is launched

The Yes! RecyclingNo! Littering

awareness campaign begins


An independent Coca-Cola system recycling awareness
campaign advocating the Yes! RecyclingNo! Littering
message gets underway using a TV commercial for
Aquarius.

1990
Replacing pull tabs on cans in order to reduce litter,
SOTstay-on tabs
are introduced

2002
eKOsystem, the Coca-Cola systems global environmental
management system, is launched

Coca-Cola Japan publishes its first Environmental Action Report

SOT

2003
Support for environmental campaigner and explorer Robert Swan begins
As part of a next-generation leadership program,
Coca-Cola system employees worldwide take part
in Antarctic expeditions led by Robert Swan to gain
environmental awareness and learn about leadership.

World/Japan Chronicle
1985

1990 The Action Program to Arrest Global Warming is

The Vienna Convention for the Protection of the Ozone Layer is adopted
The United Kingdom reveals the ozone hole over the Antarctic

established

1991 The Recycling Law

(or Act on the Promotion of Effective Utilization of Resources) is established

1992 An Earth Summit

1985

(United Nations Conference on Environment and Development) is held

The Equal Employment Opportunity Law is established

1994 The Product Liability Act is established

1987

1995 The Containers and Packaging Recycling Law is

The Montreal Protocol on Substances that Deplete the Ozone Layer is adopted

established

The concept of sustainable development is advocated by the World Commission on Environment and Development

1989

1997

The Kyoto Protocol to the United Nations Framework


Convention on Climate Change is adopted
The Basel Convention on the Control of Transboundary
Movements of Hazardous Wastes and Their Disposal is adopted

11

2005

Continual progress as a global corporation

2005

And in 2009,
Live Positively
is announced

HFC-free vending machines are deployed


The Environmental Action Report becomes the CSR Report

From this time on, the report would introduce Coca-Cola system
initiatives in all the four business areasmarketplace, environment, community and workplaceinstead of being limited to
coverage of environmental issues.

10 Promises for Refreshing Person to Person

Coca-Cola Japan released its own list of social and environmental commitments. The 10 Promises summarize particularly
common needs identied from opinions/requests submitted by
some 10,000 stakeholders.

Live Positively

2006

The Learn from the Forest project is launched

2007

TheCoca-Cola: Begin Your Dream for the Futureproject is launched


This project uses sporting
activities to teach the importance of having dreams for the
future and the importance that
the future of the Earth holds for
us, as members of society,
being the stage on which we
will realize those dreams.

2008
ecoru/E40 energy-saving, HFC-free vending machines are deployed
These are next-generation vending machines with all the desired features
HFC-free, energy-efcient, disaster-relief capability, and so on.

1999 The Organization for Economic Co-operation and Development (OECD)


formulates Principles of Corporate Governance

20072008
Controversies over food safety and reliability emerge
TV programs and newspapers report almost daily on
controversies such as ingredient and expiration date
mislabeling and chemical contamination, leading to
serious concerns for food safety and reliability.

2000

The United Nations Global Compact is formed


Environmental Reporting Guidelines are established; the Global Reporting Initiative (GRI) releases its rst Sustainability Reporting Guidelines

2001 The United Kingdom appoints the worlds rst minister for corporate social responsibility
2002

An Earth Summit (World Summit on Sustainable Development) is held

12

Heightened awareness of environmental and health issues has dramatically altered the
Coca-Cola system s business environment and consumer expectations are constantly
changing. To keep growing, the Coca-Cola system will have to fully meet the needs of
consumers, naturally through the provision of safe and reliable products but also by
adopting a broader approach towards fulfilling corporate social responsibility.
Live Positively

To achieve sustainable growth together with communities, not merely as a corporation,


the Coca-Cola system intends to pursue activities in four business areasmarketplace,
environment, community and workplaceunder the global business guiding principle,
Live Positively.

The Message Imparted in the Live Positively Symbol

Live Positively

Red Disc

more

joy

Its a simple design, seemingly just a few lines thrown together.


This symbol represents the billions of moments of optimism and opportunity that comprise the world of
Coca-Cola.
The Live Positively icon brings together our classic red disc, our optimistic outlookas summed up by the symbols outlook as summed
up by the symbols more +, joy Uand our global reach.
Through our actions, we will give this symbol meaning so that it comes to represent Live Positively and the difference our system, people
and brands make this world.

13

What is
Live Positively is the new business guiding principle adopted by the Coca-Cola system
worldwide.Through beverage manufacturing and sales, we will make a positive contribution,
achieving sustainable growth as a corporation together with the community.
Live Positively is the
Essence of Corporate Social Responsibility

Live Positively Activity Area = CSR Activity Area

The Coca-Cola system s global CSR framework broadly divides our


business environment into four areasmarketplace, environment,
community and workplace. Under the Live Positively business
principle, we have additionally identified seven priority areas to be
pursued in each areaproviding beverage benefits that meet
consumer needs; supporting active, healthy lifestyles; energy
management and climate protection; sustainable packaging; global
water stewardship; contribution to local communities and fostering a
great work environment.
In order to attain goals for each specific theme, the Coca-Cola system
will pursue business activities through dialogue with stakeholders with
the aim of achieving sustainable corporate and community growth
together.

Live Positively -

Each day, people in over 200 countries consume more than


1.6 billion servings of beverages produced by the Coca-Cola
system. These products are manufactured across the world by
citizens of local communities using local resources before being
delivered to the consumer. So while business at the Coca-Cola
system is conducted on a global scale, the system is at the same
time a locally-oriented corporate citizen, seeking active involvement
within the community. In other words, our sound business growth
upholds the health of the local communities in which we operate.
The Coca-Cola system views efforts to fulfill corporate social
responsibility (CSR) as a community license necessary for engaging in
business activities. Assuming responsibility by placing safe and
reliable products on the market, by treating employees fairly, by
protecting the environment around us and by making a contribution
to the local communitywe believe that fulfilling our corporate
responsibility in thismanner will earn us the acceptance of
communities in which we operate. As part of that, we aim to realize
a sustainable society. We uphold the health of the community
through our main business while remaining aware of the way in
which we utilize resources and assets in our possession and
implement our global Live Positively principle.
CSR influences all aspects of business. Every department
and individual employee needs to think constantly of corporate
responsibility when formulating business plans and performing
day-to-day operations, as well as to demonstrate responsibility
through their actions.

With our sights on realizing a sustainable society, we are


working to ensure that our overall activity and conduct tie into
unified company-wide efforts based on common goals.
The most important element in the performance of day-to-day
operations from a CSR perspective is the building of relationships
of trust through dialogue with stakeholders. Earning the trust of
consumers, business partners, local communities, employees
and all other stakeholders enhances the corporate value of the
Coca-Cola system and leads to sustainable growth.

14

4 Business Areas and 7 Priority Areas for


Achieving Live Positively

CSR Framework of the Coca-Cola System

Sustainable Society
Marketplace

Complianc
gal
e
Le

ce
an

ce
pla
k
or

S
u
s
tain
ab
l
e
Pa
ck
a

ng
gi

W
Cl

gy Management &
Ener imate Protection

Local
community

Consumers

Employees
Share
owners/Investors

15

Envir
o
n
me
n
t

CSR of the
Coca-Cola system

ora
Corp te Gov
er
n

Comm

uni

ty
e
c
a
l
Comm

unity
kp
r
o

Active
, He
alth
yL
ife
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le

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er Ste
Wat
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Glo

Live Positively

ts
nefi
Be

e
g
era

ev

Business
partners

Live Positively is a medium- to long-term business guiding principle enabling us, through the performance of
day-to-day business operations, to both increase profits and coexist with the community by contributing
to people and communities.
The Coca-Cola system has always sought to fulfill its corporate social responsibility over a wide range of
fields and will continue to deliver products that consumers will enjoy, foster a great workplace and
contribute to the community and to the environment in line with this business guiding principle as we
grow alongside the community.

Priority Areas

Approach

Market Place

Improved environmental initiatives are


one of the Coca-Cola system s most
important focuses. We proactively adopt
programs and projects that protect
the health and sustainability of the
environment and natural resources in
order to achieve sustainable societies.

Beverage Benefits
To deliver safe products that satisfy the various needs of consumers,
which include refreshment, rehydration, nutrition and enjoyment,
we spare no effort to acquaint ourselves with consumers in order
to gain knowledge of their interests and concerns.

Active, Healthy Lifestyle

To help consumers lead active, healthy lifestyles, we provide


information and encourage physical exercise through sponsorship
of both international and grassroots events.

Live Positively

Emviroment

We strive to offer consumers safe,


high-quality products and make an
effort to meet the changing needs and
tastes of consumers. We also work in
close, active coordination with our
business partners on everything from
product manufacturing to customer
deliveries.

Energy Management & Climate Protection


Global warming and other climate changes are potentially very
harmful to communities around the world. We will work to lessen
the impact of carbon dioxide and other greenhouse gases by curbing
emissions from business activities.

Sustainable Package
We will continue our search for innovative technologies that will
help minimize utilization of natural resources for packaging. We
also promise to establish systems for reuse of recycled packaging
materials back into the manufacturing process.

Global Water Stewardship

We will reduce the amount of water used in production, recycle


water used in manufacturing and return it safely to the environment.
Our goal is to replenish water by as much as the volume we use for
our products.

Community

Workplace

We provide children and younger people


with a wide range of environmental,
sports, cultural and educational
programs. We also coordinate with local
governments and communities to
address local needs, including disaster
relief.
We continue to enhance our workplace
environments as safe and enriching
places where a diverse workforce is
inspired, motivated and can feel a
sense of pride.

Community
As we value ties within all local communities, we have an obligation
to satisfy the particular needs of those communities. Our business
will not grow as long as the community in which it is based remains
unsound.

Workplace
We aim to provide workplaces that allow all the people involved in
our business to work in diverse and open environments. We will
foster environments allowing each individual to aim for progressive
improvements and to perform to the best of their ability.

16

Yuichi Higashi
Muroran Noboribetsu Sales Office
Donan Branch
Hokkaido Coca-Cola Bottling Co., Ltd.

1
Kanako Takahashi
Quality Management, Akita Plant
Michinoku Coca-Cola Bottling Co., Ltd.

As part of this corporate citizen, I actively take part in environmental beautification activities in the local community.
The company as whole joins with local consumers through
sales in an ongoing initiative involving the donation of a
portion of proceeds from Georgia Santos Premium sales to
nature conservation activities here in Hokkaido. We are a
Hokkaido-based corporation and therefore wish to earn the
region s trust, aiming to become a company of choice and
employees who are appreciated.

Soya Gorge is the source for water used by the Akita Plant
and is included in the top 30 scenic locations in Akita
Prefecture. Last autumn, employees carried out clean-up
activities around the gorge, helping to preserve its beauty.
Employees and their families have been actively involved in
other environmental protection activities, too, such as
taking part in tree-planting activities along the Japan Sea
coast,

the
where
effects

of pine wilt disease are worsening.

3
Akira Imamura
General Affairs Section,
General Affairs & Human Resource Department
Sendai Coca-Cola Bottling Co., Ltd.

Live Positively

In the General Affairs Section, we field telephone enquiries.


When fielding calls from customers and consumers who
drink our products, I make an effort to be cheerful in order
to preserve the Coca-Cola system s refreshing image. I also
willingly participate in activities conducted together with the
local community, such as tree-planting through the Learn
from the Forest project and local clean-up campaigns

We Have Started Our Practice, Too.


Live Positively across Japan

It is individual employees who bring about activities aligned with the Live Positively principle.
Here are some reports on personal Live Positively involvement of the Coca-Cola system
employees all our Japan, from Hokkaido to Okinawa.

3
7

11

4
9
8

13

12

14

In the area of human resources, we are working to


enhance communication among employees and engage
in fair performance appraisal. At an individual level, I
regularly donate blood. I realized the importance of blood
donations not so long ago when a family member needed
a blood transfusion during an operation. I want to
continue making a contribution to society this year by
registering with a bone marrow donor program.

15

5
5

Tokihiko Uchimura
Field Marketing, West Region
Coca-Cola (Japan) Co., Ltd.
I make sure to properly greet people I see in the workplace.
with my child at school, I have also started to take part in
local community gatherings and events, broadening my interaction with others. My feeling is that my own participation and
consideration toward the community will positively influence
my child s growth, contributing to the creation of a better
society. I try to spend as much time as I can with my family as
well as do my share of household chores and child-raising.

17

10

4
Jiro Namiki
Labor Affairs Section,
Human Resource Department
Tone Coca-Cola Bottling Co., Ltd.

Kanako Shimonaga
Tea Category, Consumer Marketing
Coca-Cola (Japan) Co., Ltd.
I try to focus on developing brands and products that enrich
consumers both physically and mentally. I would like to
ensure that as many people as possible are healthy in body
and mind in order to brighten up our lives. Outside of work, I
have acquired an international aromatherapist qualification
and I am learning methods for improving health from both
physical and mental perspectives. Possessing a typical
Coca-Cola system mentality, I want to do my bit for the
community.

6
Tsuyoshi Kataoka
FamilyMart Sales Department,
Business Division
Coca-Cola Customer Marketing Co., Ltd.
As a sales representative, I make an effort to act with integrity to
ensure a basic requirement that consumers feel safe drinking
our products and that customers feel safe selling them.
Although market conditions are harsh, I will go about my job
committed to positive thinking, contribute to the growth of
my customers and make this year a successful one for the
Coca-Cola system.

Takayuki Nagatani
Business Accounts Section,
Accounting Department
Mikuni Coca-Cola Bottling Co., Ltd.
The stakeholders we come into contact with most in our line of work
are shareowners. We make an effort to provide accurate and
expeditious reporting on the accomplishments of regular business
activities to promote understanding among shareowners so they
will continue to support our activities. In the workplace, we are
trying to improve opinion exchange and information sharing
through greater interaction and to create a lively work environment
where everyone is eager to take up a challenge.

I use a car every day for sales activities. I take measures to


reduce vehicle exhaust emissions. For example, I park in one
place and move efficiently between customers on foot from
there. In the sales office, all employees make an effort to sort
trash and avoid wasteful power use. We are also trying to
reduce the amount of paper we use through double-sided
copying and the use of projectors for meetings.

At the Tama Plant, we are aiming to adopt an ISO 22000 system


within the year. Food safety is a big concern nowadays and all
employees take measures to ensure that consumers feel safe
drinking Coca-Cola system products. In the workplace, we are
pursuing ongoing initiatives to rid the workplace of potential
dangers, for example through the Daruma Strategy for making
improvement suggestions and danger recognition training.

10
Shuji Shimamura
SCM Planning Department
Coca-Cola Central Japan Co., Ltd.

11

Live Positively

Jyunji Iida
Akabane Sales Office,
Second Vending Machine Sales Section,
Vending Machine Department
Tokyo Coca-Cola Bottling Co., Ltd.

Rie Konishi
Second Manufacturing Section,
Tama Plant,
Manufacturing Generalization Division
Coca-Cola East Japan Products Co., Ltd.

Takeshi Otani
Suwa Logistics Center,
Distribution Department, Hokuriku Logistics Co., Ltd.
Hokuriku Coca-Cola Bottling Co., Ltd.(Group Company)

I look after the manufacturing side of supply chain management.


I feel that Live Positively ideas overlap with my current work in
the sense that I have to seek total optimization while maintaining
a certain level of customer satisfaction. I would like to apply
approaches to total optimization in contributing to the wider
community and the environment.

The Sho River runs right alongside the Tonami Plant. We are
undertaking Forest Enrichment activities, a forestation
program to bring new life to the forest, in the upper reaches of
the river so its waters will remain permanently clean. I also
engage in clean-up activities. Outside work, too, I make a
habit of picking up litter when I m out fishing, which I love, or
walking the dog, for example. I am trying to change my own
habits first.

12

13
13

Hiroyuki Doi
Operation Department, Dynaflo Co., Ltd.
Shikoku Coca-Cola Bottling Co., Ltd.(Area)

Yukihiko Yoshimura
Environmental Promotion Department
Coca-Cola West Co., Ltd.

As distribution professionals, we focus on not only eco-driving,


but also improvement of driving manners. Better driving manners
lead to a lower number of accidents and resource conservation.
As we are the final checkpoint in the provision of safe products
to consumers, we check the condition and expiration dates of
products from a consumer s perspective, ensuring the delivery of
high-quality enrichment to the marketplace.

Water is an invaluable resource. As a user of water, our


company assumes responsibility for implementing activities that
promote the conservation of forests that maintain water sources
together with employees and residents of local communities. I
would also like to contribute to community development
through conduct taken from a consumers standpoint and active
participation in various community activities.

14

15

Ryoichi Nishibayashi
Local Administration Team,
General Affairs Department
Minami Kyushu Coca-Cola Bottling Co., Ltd.

Tamotsu Nakamura
General Affairs & Human Resources Section,
Business Administration Department
Okinawa Coca-Cola Bottling Co., Ltd.

To make a positive difference to the world, the local community


comes first. I want to liven up the community through participating in local festivals and volunteer clean-up activities. Meanwhile, as a member of the General Affairs Department I am
helping to create a workplace where all employees are able to
think positively and perform to the best of their ability. We are
trying to create a work environment that is full of smiles.

Though it may not be special, at morning meetings I am


particular about greeting everybody in a cheerful and refreshing
manner that even new company employees cannot match.
Greetings make visitors and employees feel at ease, facilitating
the work at hand. I always go about my job feeling proud that I
work for a company manufacturing and selling products under
the Coca-Cola brand.

18

Marketplace Initiatives

Special
Feature

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Keeping Society Correctly Informed

Special Feature
Marketplace

Coca-Cola has never contained


preservatives or artificial flavoring since its creation in 1886.

PROFILE

Hidefumi Tsubone
Manager
Coca-Cola TM Group
Consumer Marketing

Coca-Cola has never contained preservatives

To clear up the misunderstanding, we set about

or artificial flavoring since its creation in 1886, the

launching a campaign to inform consumers that no

narrator says in a calm voice. I think everyone has

preservatives or artificial flavors are used, a fact

seen one of the TV commercials at least once. The

unchanged since the products creation in 1886.

series of commercials are part of the Pemberton

The name of the campaign, Pemberton is taken from

Campaign launched in 2008 and are used to convey

the name of the father of Coca-Cola, pharmacist Dr.

the fact, as the narrator says, that Coca-Cola has

John S. Pemberton. The delicious and refreshing

never contained added preservatives or artificial

taste he developed is achieved without preservatives

flavoring since the product s creation more than

or artificial flavoring.

120 years ago.

Besides TV commercials, the campaign has been

With a history spanning more than 120 years,

rolled out through a wide range of methods, including

Coca-Cola is our flagship brand, but surprisingly

via our corporate website, billboard advertising and

many consumers were unaware of what was in the

advertising inside trains and stations. In 2009, we have

product. This provided the original motivation for the

given our commercials a makeover by adding a bit

campaign. We conducted an awareness survey

more excitement and have been using this particular

relating to Coca-Cola and discovered that a large

message in video presentations shown during plant

number of consumers believed the product did

tours. It is our intention to keep on delivering products

contain preservatives and artificial flavoring, which

that consumers will find are safe and reliable to drink.

is not true.

19

Pemberton Campaign Media


The Pemberton Campaign launched in 2008 uses all kinds of media tools, including two TV commercials, a
dedicated website, newspapers and magazines, as well as posters and point-of-purchase advertising for
retail outlets, to deliver the message, Coca-Cola has never contained preservatives or artificial flavoring
since its creation in 1886.
TVCM
First Installment: Pemberton 1
This commercial, created by The Coca-Cola Company in the
United States, shows the changing design of the symbolic
Coca-Cola bottle between the first appearance of Coca-Cola in
1886 and the present.

Internet

Special Feature
Marketplace

Dedicated Website: Coca-Cola & Dr. Pemberton


On the Internet, a dedicated website provides detail on the
father of Coca-Cola, pharmacist Dr. John S. Pemberton, and
allows viewers to delve deeper into the history of Coca-Cola.
Viewers can also download wallpaper and screensavers for
their computers.

Coca-Cola and Dr. Pemberton


http://cocacola.jp/happy/
pemberton/

Product
Second Installment: Pemberton 2
This is an original version for Japan. The various packaging
styles available today are portrayed using the analogy of consumer
individuality in this simple and endearing story.

Nutrition Information
In conjunction with the Pemberton
Campaign, Coca-Cola packaging was
revamped in December 2008 with nutrition
information made bigger and easier to
view. The Coca-Cola system in Japan
displays nutrition information on all its
products.*
*Except returnable bottles

Column
Coca-Cola around the World

Calorie information on the front of packaging

Newspaper and Magazine Advertising


Taking the characteristics of
the Coca-Cola product, viewed
from the same perspective as in the
Pemberton 2 commercial, and
portraying them in a storyboard
style possible only in magazine and
newspaper advertising, we aimed to
get our message across in a way
that was easy to understand and
endearing.

From 2009, information on calories


and number of servings will be
displayed on the front of packaging of all
products currently on sale or scheduled
for launch in the United States.
Research shows that calorie
information is an important tool for
helping p e o p l e m a i n t a i n h e a l t h y
lifestyles. This initiative is the latest
example of The Coca-Cola Company
promoting its Live Positively principle.

20

Marketplace Initiatives

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Creating Additional Benefits


to Meet the Needs of Consumers
The Coca-Cola system in Japan responds to the wishes of consumers by delivering products
that match changing consumer outlooks on the world and their diverse lifestyles and needs. As
well as providing safe and reliable products as a matter of course, we will continue to put
forward new health and environmental benefits that add to basic benefits such as great taste
and enjoyment.

A Campaign Delivering Sports and


Refreshment
Online Olympic Experience

Creating Additional Benefits to Meet the Needs of Consumers


Marketplace

The Coca-Cola system carried out a number of initiatives


based on the theme, Live Olympic on the Coke Side of Life, in
support of the Beijing Olympics held in August 2008. One of those
initiatives was the setting up of the Coca-Cola Olympic Supporters
Park, a comprehensive online portal covering the Beijing Olympics
designed to be viewed while watching the games on television.
The portal offered a one-stop site presenting a host of
Olympics-related information that people might want on hand while
watching the games on television, including profiles of notable
athletes, competition schedules, as well as the latest medal tallies
and weather information for Beijing.

The J. League and Coca-Cola Zero


Coca-Cola (Japan) Co., Ltd. became an official sponsor of
the J. League in 2009. We have since joined with the league in
marketing Coca-Cola Zero in J. League cans with club designs,
merging the product s two distinct benefits of great taste (wild)
and no sugar or preservatives
(healthy) with soccer s passion and
excitement, health and optimism, as
represented by the J. League. The
activity has also involved a campaign
giving away free match tickets and TV
commercials. The dual wild and
healthy values associated with the
game of soccer are offered as possible
only through Coca-Cola Zero.

The Added Benefit of Fun


Fanta
The unique Fanta FuruFuru Shaker, a shake-then-drink
sparkling beverage, has been popular ever since its April
2008 launch due to its bouncy jelly texture and fizzle of the
carbonation. In February 2009, Fanta FuruFuru Charge
Grapefruit and Fanta FuruFuru Charge Green Apple, which
contain multiple vitamins*1, were added to the FuruFuru series,
becoming the first energy-charging drinks under the Fanta brand.
So that consumers would take greater enjoyment from these
drinks, they were re-launched in April 2009 as enhanced products
made with pure water and no artificial colorants*2 and containing
vitamins*3.
Then in June 2009, Fanta MomiMomi Frozen was launched
as a frozen beverage containing fruit juice,
available in three fruity flavorsgrape,
orange and lemon. The beverage, with a
new texture that is tasty when frozen,
can also be enjoyed on hot afternoons as
a dessert that can be squeezed and
shaken.
In addition to a bubbly and fun
outlook on the world, we are offering new
added benefits to people of all ages, not
just Fanta fans in their teens.

*1 Fanta FuruFuru Charge Grapefruit contains nine types of vitamins and Fanta FuruFuru
Charge Green Apple contains seven types. Fanta FuruFuru Charge Grapefruit includes
approximately the recommended daily vitamin C intake. Fanta FuruFuru Charge Green
Apple includes approximately the recommended daily vitamin B12 intake. (Source:
Dietary Reference Intakes for Japanese (2005))
*2 Fanta FuruFuru Shaker Grape and Lemon have never contained artificial colorants
*3 Fanta FuruFuru Shaker Orange and Lemon contain vitamin C; Fanta FuruFuru Shaker
Grape contains vitamin B6

Aquarius Heroes Campaign


In February 2009, we launched a
new advertising campaign for the
Aquarius brand consisting of TV
commercials, magazine advertising,
online content and other media tools
featuring sports stars who have made
their mark on the world stage. Baseball
star, Daisuke Matsuzaka, the first
hero, followed by swimmer,
Kosuke Kitajima, volleyball player,
Miwa Asao, and golfer, Ryo Ishikawa,
stand up to deliver a message of
encouragement to the hero-admiring
younger generation and all consumers
who want to stay healthy.

21

Qoo
Juice drinks, Qoo Tottemo Orange and Qoo Tottemo
Apple, developed under a tasty, fun, healthy concept,
have been revamped as beverages with no preservatives
or artificial colorants. Handpicked fruit and pure water
are used to create a fresh, juicy taste. The special
Qoo bottle, which is embossed with various endearing
representations of Qoo, the promotional character
immensely liked by both children and adults, was
designed for an enjoyable drinking experience.

Health and Environmental Benefits of


Our Products
No Worrying about Calories with
Zero-Calorie Beverages

Products for Health-Conscious Consumers

In response to growing health awareness, Sokenbicha, which


recently celebrated 15 years since its 1993 launch, is now a
healthy blend of 15 ingredients with the addition of new healthy
ingredients. Hajime Chaka, which uses 100% Japanese-grown tea
leaves, is an authentic, calorie-free green tea with health benefits.
It became the first product in Japan* to include chaka extract
obtained from green tea flowers, an ingredient developed through
a joint project with ROHTO Pharmaceutical Co., Ltd. The beverage
can be enjoyed even by weight-conscious individuals and consumers
seeking great taste. Since March 2009, the product has been sold
with twice the chaka extract content of the earlier version.
Another beverage, Karada Sukoyaka-cha, was launched in June
2009 as a Food for Specialized Health Uses (FOSHU) approved by
the Ministry of Health, Labour and Welfare. Targeting consumers
concerned about post-meal blood sugar levels, 350ml contains
around 5g of dietary fiber (indigestible dextrin) which moderates
absorption of glucose, thereby assisting dietary improvements.
In the sports drink category, too, a revamped Aquarius Vitamin
guard has been launched containing, in addition to vitamins C and
E, increased citric acids, nutrients that have drawn much attention and
are found, for example,
in citrus fruit. Through a
diverse product lineup,
we support the health
maintenance and
fitness management of
consumers of all ages.

* An international NGO established in 1987 carrying out activities for the preservation of
tropical rainforests and biodiversity, encompassing coffee and other crops produced in
rainforests

Creating Additional Benefits to Meet the Needs of Consumers


Marketplace

The Coca-Cola system has endeavored to deliver products


that health-conscious consumers can enjoy without worrying
about calories. A new selection of sugar-free drinks was added to
the product lineup in 2007 with the introduction of zero-calorie
beverages supporting active and healthy lifestyles.
Aquarius is a sports drink that has earned a great following
since its launch in 1983. In May 2008, the new calorie-burning,
calorie-free Aquarius Zero was introduced.
In the sparkling beverage category, a new and improved
Fanta Zero Lemon was launched in July 2008 and Fanta Zero
Cider, which is made with pure
water, was added to the lineup in
June 2009. In February 2009, a
revamped Coca-Cola Zero was
launched. In addition to being
sugar-free, the product now
contains no preservatives, doubling its health appeal.

Eco-Friendly Products
In March 2008, we launched Georgia Green Planet, made using
100% coffee beans approved by international NGO, the Rainforest
Alliance*. The product was developed as an Earth-friendly coffee. In
July 2008, as part of environmental preservation efforts implemented
together with consumers, the Coca-Cola system joined up with
Lawson, Inc. in launching Georgia Green Planet Caf au Lait and Real
Spark, the first products in the beverage industry to make use of CO2
emission credits. Around 36 million units were sold over a five-month
period, allowing us to offset approximately 3,636 tons of CO2 in total.
These efforts were recognized with an Environmental Business Award
at the eco japan cup, a contest for unearthing and growing seeds of
green business. After the positive reception, a second, revamped
Georgia Green Planet Caf au Lait went on sale in Lawson stores
nationwide in March 2009 and the launch of another drink coming with
CO2 emission credits, Real Rescue, is scheduled for July 2009. This
initiative contributes to Japan s attainment of CO2 reductions required
under the Kyoto Protocol by transferring, without charge, emission
credits earned from biomass power generation in Brazil and wind
power generation in India to Japan s national balance of assigned
amount units on behalf of consumers with the two companies sharing
the costs. We will continue to pursue sales of products coming with
CO2 emission credits as part of environmental preservation activities
implemented with consumers. We have also set up a special website,
Nonde Eco (Drink and Be Eco), that allows consumers to learn about
global warming prevention through games and other features.

* The first beverage to use


chaka extract using the
proprietary expertise of Harima
Kanpo Pharmaceutical Co.,
Ltd.

22

Marketplace Initiatives

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Seeking Safety and Reliability


Through Consistent Quality Management
The Coca-Cola system maintains strict standards of quality management from procurement of
raw materials through to point of sale so that consumers will reach for our products with
peace of mind in the knowledge they will always be safe.
Coca-Cola (Japan)
Co., Ltd.

Coca-Cola Tokyo R&D


Co., Ltd.

Carry out product planning,


marketing and improvements
based on consumer
feedback

C o c a - C o l a To k y o R & D
Co., Ltd.

Seeking Safety and Reliability Through Consistent Quality Management


Marketplace

Confirmation
of quality of
products on
the market

Implement audits based


on Supplier Guiding
Principles established by
The Coca-Cola Company
and approve

To consumers

Please direct comments and


suggestions to the Coca-Cola
Consumer Service Center

QA analytical service
conducts quality check of
raw materials

0120-308509

Suppliers and Coca-Cola


Japan conduct tests; only
raw materials that pass
are shipped

Transportation
Transport raw materials in a
state allowing confirmation
of sealed package to keep
integrity of quality and
safety

Sales

Toll free

Release on
raw materials

Raw material testing

Check the quality of products purchased


using the same channels as ordinary
consumers (convenience stores, vending
machines, etc.)

Deliver products to
convenience stores,
supermarkets, vending
machines, etc.

Hours: 9:30 a.m. 5 p.m. (except weekends and public holidays)

Production
Manufacture products while
conducting rigorous management
of quality, including the quality
of water used, in line with The
Coca-Cola Management System
(TCCMS) guidelines

Delivery
Deliver raw materials to
bottling plants nationwide

Systems, facilities and people working in perfect harmony


to keep integrity of safety and reliability

PROFILE

Yoshihiro Yonezawa
Manager

Quality Standards & Systems


Quality, Environment, SCM &
New Initiatives Management
Technical Stewardship, Supply
Chain & Commercialization

23

Supplier selection
and approval

Concern about food safety and reliability is growing year by year. But what do the terms safety and
reliability mean? The opposite of safe is dangerous. While it is scientifically possible to prove that a
product is not dangerous, unease, as an antonym
of reliability, or peace of mind, begins to encroach
upon the minds of consumers. Unease will not be
dispelled unless we establish relationships of trust
between usthe manufacturersand consumers at
a psychological level, inexpressible in scientific or
numerical terms. Through engaging in persistent
initiatives in pursuit of safety, we want to build up
the reliability of the brand itself so that consumers
will think, This is a Coca-Cola system product and
therefore reliable.
One feature of our quality management system
The Coca-Cola Management System (TCCMS)is
that it is not just a set of written specifications but is
an all-encompassing system covering the precision of
testing equipment, methods for coping with problems, the skills, education, training and attitude of
employees who use the equipment, and even the
clarification of roles.

As we carry out measurements and testing in order to


establish evidence of safety, the process through
which we reach numerical conclusions is just as important as the numbers themselves. Has the measuring
equipment undergone thorough maintenance checks?
Are the skills of operators up to scratch? Do all the
people involved know why testing is necessary? Proper
checks cannot be implemented without answers to
these questions.
Systems, facilities and peoplewe believe the
safety that comes from these three elements working
in perfect harmony leads to reliability, or the peace
of mind of consumers. We have been charged with a
mission to maintain a high level of quality while constantly aiming for the best, reviewing systems and
installing facilities that will help to improve productivity
and consistency, as well as reducing the burden on
people who work in plants. Safety, in scientific or
numerical terms, is not good enough. It is our belief
that sustainability has to be achieved by both quality
assurance and the frontline of manufacturing to enable
delivery to consumers of products they can drink
safely and with peace of mind.

Systems for Preserving Quality

Company Regulations that Exceed International Standards

TCCMS is enforced throughout the global operations of the


Coca-Cola system. It lays out standards for manufacturing high-quality
products applicable to any country or region where production takes
place, whether it is in Asia, Europe or Africa. Each quarter, The
Coca-Cola Company in the United States communicates this
system to Coca-Cola Japan,
where characteristics of the
Japanese market are factored
in to en s u r e that o p t i m a l
standards are always in place.
Coca-Cola Japan takes
responsibility for products sold
only in Japan, adding rules that
conform to TCCMS.

* Quality standards are largely based on ISO 9001 and ISO 22000, Environment
standards on ISO 14001, and Safety & Loss Prevention standards on Occupational
Health and Safety Assessment Series (OHSAS) 18001

TCCMS pyramid model

Seeking Safety and Reliability Through Consistent Quality Management


Marketplace

The Coca-Cola Management System (TCCMS), a proprietary


system that ensures the quality and safety of Coca-Cola system
products, comprises a set of tough, voluntary standards that
go further than the criteria of the International Organization for
Standardization (ISO) and Hazard Analysis and Critical Control
Points (HACCP), as well as various laws and ordinances*. Based on
the main premise of legal compliance, these standards are built on
three important aspects for a corporation handling beverage
products, Quality, Environment and Safety & Loss Prevention,
thereby helping to maintain operations that meet requirements,
from manufacturing to sales.
For example, there are over 280 criteria for the analysis of
water quality, a process which is conducted regularly. In terms of
ascertaining effectiveness, audits are carried out at least once a
year to check actual performance. A feature of this auditing is
its implementation by an independent certification body. This
additional, third-party evaluation provides assurance that the
Coca-Cola system s quality systems are operating in a fair and
open manner.

Factoring the Japanese Market into Global Standards

Promise

The Coca-Cola system exists to provide benefits and refreshment to all our stakeholders

Promise

Quality policy

Environment
policy

Safety & loss prevention policy

Quality management
system

Environment
management
system

Safety & loss prevention


management system

Quality requirements,
standard operational procedure,
instruction,
records, etc.

Environment requirements,
operational guidelines,
direction, records, etc.

Safety & loss prevention


operational guidelines,
direction, records, etc.

Policies
Policies

Assurance

Management

4 Levels

3 Categories

Each of the three facets of TCCMS consists of four levels

TCCMS consists of three facets: Quality, Environment and Safety & Loss Prevention

24

Marketplace Initiatives

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Finding the Best Raw Materials


and Transporting Them Safely

Seeking Safety and Reliability Through Consistent Quality Management


Marketplace

Supplier Guiding Principles


Supplier Guiding Principles are the basic rules applied by the
Coca-Cola system throughout the world that go beyond merely
maintaining high levels of product quality to encompass and assess all
aspects of the companies with which we do business, including their
adherence to laws and ordinances and their administration as fair and
equitable enterprises. In addition to requiring legal compliance, the
program also prohibits child labor and asks suppliers to be cognizant of
human rights and global environmental issues. As part of this, we provide
briefings and training sessions
when required, encouraging
potential suppliers to understand
and share these values before we
enter into contracts with them.
After dealings commence,
third parties are commissioned to
perform regular audits and verify
application of the guiding principles.

A Partnership that Enhances Quality

25

There is a diverse range Coca-Cola system products, including


sparkling beverages as well as teas, coffee drinks, juices and other
beverages. The Coca-Cola system employs TCCMS requirements
when purchasing raw materials too, ensuring that suppliers meet these
when procuring such materials. We maintain the quality of all raw
materials through rigorous inspection requirements. Raw materials
purchased from domestic or overseas suppliers must come with
analysis certificates or inspection data issued by the supplier, and are
confirmed and further inspected by Coca-Cola (Japan) Co., Ltd. based
on that information. An average of 600 to 700 samples may be
inspected in any given week. Before we enter into transactions with
new suppliers, we visit their worksites and confirm whether they use
any agriculture chemicals that are not approved in Japan. Furthermore,
the Coca-Cola system works in partnership with its suppliers to
support high quality through regular audits to confirm adherence to the
requirements of TCCMS.

Growing by Fostering Partnerships


While we impose rigorous guidelines, we also endeavor to discover
promising producers around the world and help them to reach the levels
that we require. From 1994 onward, we began to have business
relations with The National Federation of Coffee Growers of Colombia
(Federacin Nacional de Cafeteros de Colombia; FNC). We have an
integrated system from stable cultivation to roasting of coffee beans at
some of the world s highest levels of quality and quantity, and a key
component in this is continual onsite support for the members of
FNC that assists them in mastering technology, formulating and
implementing environmental
programs and managing their
labor resources. We also
engage in transactions with
plantations which have
acquired Rainforest Alliance
certification, a system established by a non-governmental
organization (NGO) attesting
to high standards in nature
preservation through to labor
management maintained by
plantations.

Improving Security during Transportation


As with quality preservation, utmost consideration is given to
ensuring security during transportation.
Constant care is shown in packaging. For example, tape bearing the
Coca-Cola logo is used on cartons and containers with methods in
place for determining whether a seal has been broken. If a seal is
broken, the raw materials will not be used. The safety of raw materials is maintained during transportation through efforts such as these

Seeking Safety and Reliability Through Consistent Quality Management


Sapporo Plant, Hokkaido Coca-Cola Products Co., Ltd.
Sapporo Plant, Hokkaido Coca-Cola Products Co., Ltd.
Daisen Plant, Coca-Cola West Co., Ltd.

Quality Management
in Manufacturing

Sapporo Plant, Hokkaido Coca-Cola Products Co., Ltd.

Sapporo Plant, Hokkaido Coca-Cola Products Co., Ltd.

Plant Safety and Sanitation Management


Products are subject to strict sanitation management during the
manufacturing process. For tea and coffee drinks that use natural
ingredients in particular, we create aseptic filling lines to eliminate
bacteria at the filling and capping processes. Plant employees are
also subject to daily health checks, and we pay attention to maintaining both sanitary conditions as well as occupational safety for
our employees. We also work to improve safety through the implementation of risk assessments, which are based upon accident
prediction training. Systems are in place for regular identification
and alleviation of potential risks.

Polishing the Water

Daisen Plant, Coca-Cola West Co., Ltd.

International Certifications
Efforts aimed at acquiring TCCMS certification are underway at the 29 bottling plants across Japan. By 2008, 24 plants
had acquired TCCMS certification in the three facets of Quality, Environment and Safety & Loss Prevention.
TCCMS will bedeveloped into a management system that ties into
ISO 9001, ISO 22000, ISO 14001, OHSAS 18001, and other international standards managed by third-party certification bodies. Parallel
efforts will be advanced from 2009 with the aim of acquiring these
international certificates as we seek to provide greater peace of
mind.
We will particularly pursue acquisition of FSSC* 22000, which
builds upon the ISO 22000 food safety certification.

Seeking Safety and Reliability Through Consistent Quality Management


Marketplace

* Food Safety System Certification

The Coca-Cola system's water quality standards incorporate


the analytical aspects and values of the World Health Organization (WHO). The Coca-Cola system in Japan compares the
globally set standards of The Coca-Cola Company with the
water quality standards and the Waterworks Law of Japan,
applying the stricter one.
Bottling plants throughout Japan carry out routine testing prior
to manufacturing, including sensory testing, physical and
chemical testing, and visual inspections. This is performed by
examiners who have been certified in-house. Annual checks of
conformity to Coca-Cola system water quality standards are
also implemented. Water is passed through four different
processes, which involve a high-performance filter and activated
carbon, to create highly-purified water for use in products. We
call this water polishing.

26

Marketplace Initiatives

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Quality Management after


Products Leave the Plant

Seeking Safety and Reliability Through Consistent Quality Management


Marketplace

27

Delivering the Best Possible Products at all Times


The Coca-Cola system employs a proprietary environmental
management system, eKOsystem, worldwide in all of its operations to
reduce the environmental impact of its business activities, including
the production, transportation, sales, collection and recycling of
beverage products. This system adheres to environmental
requirements outlined in The Coca-Cola Management System
(TCCMS; pp. 23-28) and was designed to agree with the corporate
structure of a soft drink manufacturer, based on the international
management system standard ISO 14001 and other standards.
It facilitates system architecture and operation in countries
throughout the world. It was gradually introduced in Japan from
2002, and has been integrated in operations at all Coca-Cola
system companies since 2005.
Based on the three major pillars of environment, community
and economy, eKOsystem emphasizes improvement in water,
energy and wastethe main areas where soft drink manufacturers
have an impact on the environment.

Responding to Consumer Comments


We carefully sort through opinions and inquiries received from
consumers on a daily basis and provide feedback from analysis of
those comments to raw material procurement and development
departments. Product formulas are even modified on occasion
where necessary.
The Coca-Cola Consumer Service Center receives an average
of 300 calls and e-mails each day. In response to consumer inquiries, desires and comments, the center works with the consumer s
local bottling partner, aiming to provide a speedy, accurate and
sincere response and information as needed.
Consumer comments are also checked each day on our data
systems, and information is shared with relevant departments
where appropriate. In fact, the data system is set up to automatically send notices to contact points in departments if similar comments are received multiple times about the same product from the
same plant over a set interval. This mechanism helps to ensure that
nothing is overlooked. Issues that impinge on safety, in particular,
result in immediate verification and response.

Seeking Safety and Reliability Through Consistent Quality Management

Mechanisms to Support
Safety and Reliability
IMCR Structure

Coca-Cola (Japan) Co., Ltd.

Bottling Partners

The Coca-Cola Company


IMCR Committee
President

IMCR Committee
Report

Collaboration

President

IMCR Members

IMCR Members

Initial Assessment Team

Initial Assessment Team

IMCR Coordinator

Collect Information and Assess the Risk

Collect Information and Assess the Risk

Consumer Service Center

Sales Department

Consumers

Customers

Incident Management & Crisis Resolution Structure


Incident Management & Crisis Resolution (IMCR) is a
common global program developed by The Coca-Cola Company,
and is also employed in Japan. This program seeks to regularly
assess, discover and prevent potential risks, and should risks
materialize, to minimize their impact.
For example, if there is a report that links to quality issues, the
IMCR coordinator immediately organizes an initial assessment team
made up of representatives from relevant departments. This team
collects information, formulates initial responses and investigates the
level and scope of risk. If it appears the problem could become
more widespread, the team is expanded to an IMCR Committee
and is responsible for developing responses as well as examining
communications approaches for consumers, customers, the media
and other stakeholders. The same system is employed within
bottling partners. The IMCR coordinator serves as the central point
for gathering and communicating accurate information so that
there is a uniform response throughout the Coca-Cola system.
As The Coca-Cola Company does business throughout the world, a
problem that occurs in one country can rapidly spread to others.

Column

Accordingly, a report is sent to The Coca-Cola Company s


Operations Center, which operates 24 hours a day to coordinate
actions. Risk management is not mastered overnight. In addition
to manuals, the Coca-Cola system has system-wide training
programs, including basic training courses, intermediate level risk
assessment training and advanced simulation training programs
as well. These courses are offered regularly to all Coca-Cola
system companies, and case studies are shared throughout the
system. Bottling partners also conduct their own training for
plants, account managers and newly appointed managers.
This section has outlined our safety mechanisms, but
obviously, efforts to link these to improving product reliability and
building unshakable relationships of trust with consumers should
always be considered a work in progress. We will continue to
implement activities aimed at ensuring the safety and reliability of
our products.

Seeking Safety and Reliability Through Consistent Quality Management


Marketplace

IMCR Coordinator

For Best Consumption

Please Check the Best-Before Date Before Drinkin


Coca-Cola system products display best-before date expressed
as six-digit numbers, using Gregorian calendar years. The six
digits represent, in pairs from the left, the last two digits of the
year, the month and the day, in that order. For example,
110109 indicates a January 9, 2011 best-before date

2L PET bottle

Read

January 9, 2011

Pouch

Read January 9, 2011

Can

Read January 9, 2011

Best-Before Date: The last day on which the beverage is guaranteed that it will taste good, having been stored with cap sealed according to instructions displayed on labels

28

Environmental Initiatives

Special
Feature

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Reducing environmental
impact as we aim to be a
sustainable company

Sustainable Packaging Initiatives


Environmental

Daisen Plant, Coca-Cola West Daisen Products Co., Ltd

Reducing environmental impact


as we aim to be a sustainable company

PROFILE

Kota Takasugi
Group Manager
Environmental Performance
Management Group
Public Affairs & Communications

29

The new Live Positively business guiding principle


put forward by The Coca-Cola Company worldwide
makes it clear that consideration towards the global
environment must be translated into action. To the
Coca-Cola system, environmental initiatives are a
vital passport to achieving sustainable growth together
with the community. We view balance between the
dual objectives of reducing environmental impact and
expanding business as fundamental to achieving
sustainable corporate growth. As we set out to satisfy
this fundamental requirement, we are working to make
effective use of the limited resources available to us,
lessening our environmental impact during production,
distribution and sales, primarily with regard to water,
energy, waste and packaging.
In advancing initiatives to reduce environmental
impact, we see the importance of pursuing both
independent efforts as a corporation and collaborative
efforts carried out together with various stakeholders.
As an independent effort, we have to conserve energy
and reduce consumption of resources such as water,
packaging and raw materials in our business processes.
Global warming prevention efforts advanced by the
Coca-Cola system in Japan include working hard toward
the achievement, by 2010, of numerical greenhouse gas
reduction targets, relative to 2004 as the base year,
specified for production, distribution, sales and office
sectors.

For example, in 2008 we began deployment of


environmentally-friendly ecoru/E40 vending machines
that employ HFC-free refrigerants, achieving a reduction
of roughly 40% in energy consumption. We are also
working on effective utilization of resources and CO 2
reductions by reducing the weight of containers.
As an example of collaborative efforts carried out
together with stakeholders, the Coca-Cola system in
Japan joined with Lawson, Inc. in 2008 in launching
carbon offset products, which come with CO2 emissions
credits. This initiative allowing consumers to contribute to
global warming prevention activities just by purchasing
the products during routine shopping visits was a first for
the Japanese soft drink industry and will be continued.
Building a sustainable society requires a vision for the
future. Initiatives focusing on the global environment are
likely to grow in importance. So that the Coca-Cola
system will continue to be a corporation preferred by
people everywhere, we will persist with global warming
prevention and other initiatives aimed at reducing
environmental impact through both independent efforts
by the system and collaborative efforts carried out
together with stakeholders.

Global Warming Prevention


Activity Highlights
Progress toward 2010 Targets

Partnership with WWF

Unified CO2 emission reduction targets to be achieved by 2010


have been established for the entire Coca-Cola system in Japan
and various measures are underway in the four sectors, production,
distribution, sales and offices. As a result, CO2 emissions in 2008
were approximately 1.73 million tons, a 2.1% reduction from the
previous year. Relative to the base year, 2004, the reduction was
11.2%, or around 217,000 tons.
The Coca-Cola systems
total numerical targets for
2010

Reduce CO2 emissions by approximately


360,000 tons (roughly 18.5%) by 2010
compared to the 2004 level

Production
Examine the switch to natural gas, the adoption of
cogeneration systems and the introduction of clean
energy sources, etc.

Distribution& Transportation
Improve the accuracy of supply and demand,
integrate distribution centers, reorganize distribution
and transportation routes, adopt low-emission
vehicles and promote eco-driving, etc.

Reduction Targets
(compared to base year 2004)

- 5.6%
(22,651t)

CO2 emission ratio1:

- 10%
+ 6.6%
(20,707t)

CO2 emission ratio2:

- 3.8%

Sales
Advance the development and introduction of
energy-saving vending machines, etc.

- 30.6%
(357,195t)

Offices
Improve temperature management, continue with
Cool Biz and Warm Biz3, etc.

- 2.1%
(1,168t)

1.The amount of CO2 emitted when producing 1L of product


2.The amount of CO2 emitted during transportation of 1L of product from production sites to
sales outlets
3.No jacket, no tie and warm clothing campaigns advocated by Japan s Ministry of the
Environment, the objective being to lessen the need for air-conditioning and heating in offices
and hence save energy

Improvements through Introducing


Low-Emissions Vehicles
In the distribution and transportation sector, we are working to
improve the efficiency of delivery and sales distribution through the
consolidation of distribution centers and reviews of distribution
routes.
As we also aim to lessen the environmental impact of our
vehicles, we promote eco-driving and have been introducing natural
gas, hybrid and other low-emissions vehicles. At the end of 2008,
294 natural gas vehicles and 324 hybrid vehicles had already been
added to the fleet.
We plan to persist with efforts to reduce CO2 emissions in the
two areas of operations and Coca-Cola system vehicles.

Environmental E-Learning Program


An environment-related e-learning program was implemented
in January 2008 for all employees of Coca-Cola Japan and the
Coca-Cola Tokyo R&D Co., Ltd. to improve awareness and knowledge of
environmental matters among employees. The program was divided
into four sectionsBasics, Water, Energy and
Waste/Recyclingwith each section consisting of two modules
covering general facts and details on Coca-Cola system initiatives
respectively. The e-learning program was also adopted by some
bottling partners.

Earth Hour 2009 Participation


Earth Hour 2009 is an international campaign through which
WWF is urging worldwide efforts to combat global warming. On
March 28, 2009, participating residents of over 4,000 cities in 88
countries switched off their lights en masse at 8:30 p.m. for about
an hour, calling the world s attention to the importance of energy
conservation and global warming prevention.
The Coca-Cola Company participated in the campaign for the
first time in 2008. Coca-Cola Japan began participating together
with the bottling partners in 2009. Besides turning off office lights,
lights were switched off on a large number of prominent outdoor
advertisements, including the Kasuya Building billboard in Shibuya
and the neon sign in Aoyama, as well
as neon lights at Canal City in
Fukuoka Prefecture and the Ferris
wheel in Chatan, Okinawa Prefecture.
We also sent emails urging
participation to approximately 6.5
million members registered with the
Coca-Cola Park website operated by
the Coca-Cola system.

Sustainable Packaging Initiatives


Environmental

Efforts to Reduce CO2 Emissions

In October 2008, The Coca-Cola Company, in partnership with


the World Wide Fund for Nature (WWF), announced new targets for
improving the efficiency of water usage and reducing greenhouse gas
emissions within system-wide operations while continuing the
promotion of sustainable agriculture and conservation of freshwater
resources.
At the same time, The Coca-Cola Company joined the Climate
Savers Program, an initiative targeting dramatic reductions in
greenhouse gas emissions in collaboration with WWF. If we
aggregate their targets, the participating corporations will collectively
reduce emissions by approximately 14 million tons by 2010. A 14
million-ton emissions reduction is equivalent to taking more than
three million cars off the road each year.

Column
Coca-Cola around the World

Times Square Electronic Billboard goes green


The electronic billboard for CocaCola in Times Square, New York,
switched from red to green in conjunction with New Year celebrations.
The switch has reduced annual CO2
emissions by 376 tons.
The Coca-Cola Company was the
first company to adopt wind power to
light up their Times Square billboard.

30

Environmental Initiatives

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Business Activities and Environmental Impact


Operations of the Coca-Cola system worldwide have adopted a unique management system,
eKOsystem, through which we will continue efforts to reduce the environmental impact of our various
business activities.

Environmental Impact Reduction


Activities in 2008

eKOsystem

Sustainable Packaging Initiatives


Environmental

As part of the environmental measures that are key to sustainable


business growth, the Coca-Cola system in Japan monitors the
impact that our business activities place on the environment and
strives to effectively use resources and energy. The system has
incorporated this data into environmental management policies,
calculating and analyzing it from each stage of a soft drink
product s lifecycleproduction, distribution, sales, collection and
recycling.
Implementing these kinds of initiatives helps the Coca-Cola
system promote various strategies and initiatives aimed at achieving
its medium-term target and plan1 to reduce CO2 emissions from
all business processes in Japan by 360,308 tons (18.5%), compared
to the 2004 level, by the year 2010. The area of forest needed to
absorb this goal of 360,308 tons worth of CO2 would cover
approximately 50% of the Tokyo area2.
1.In 2008, revisions were made retroactively as far back as the base year
(2004) for the following reasons:
The scope of calculations for manufacturing plants was changed
The basis for calculating some of the data has been changed due to an
improvement in data collection accuracy
2.Conversions assume CO2 absorption per hectare of forest is 3.3 tons

Raw Material

1,060,000t

Concentrates,
coffee beans, tea
leaves, glass
bottles, cans,
PET bottles, etc.

Water

2,7430,000m3
For producing
beverages, rinsing
containers, etc.

Energy

7,960,000GJ
Electric power
used to operate
production lines,
etc.

Production

Water
20,080,000m3
For rinsing
containers, etc.

CO2410,000t
NOx311t
SOx541t

Solid waste
130,000t
Coffee grounds,
used tea leaves,
sludge, etc..

The Coca-Cola system employs a


proprietary environmental management
system, eKOsystem, worldwide in all of its
operations to reduce the environmental
impact of its business activities, including the
production, transportation, sales, collection
and recycling of beverage products.
This system adheres to environmental
requirements outlined in The Coca-Cola Management System
(TCCMS; pp. 23-28) and was designed to agree with the corporate
structure of a soft drink manufacturer, based on the international
management system standard ISO 14001 and other standards. It
facilitates system architecture and operation in countries throughout
the world. It was gradually introduced in Japan from 2002, and has
been integrated in operations at all Coca-Cola system companies
since 2005.
Based on the three major pillars of environment, community
and economy, eKOsystem emphasizes improvement in water,
energy and wastethe main areas where soft drink manufacturers
have an impact on the environment.

Recycling
of
resources

Energy

Energy

4,530,000GJ

22,330,000GJ

Distribution

Sales

For vehicles to
transport
products, etc.

CO2310,000t
NOx2,063t
SOx8.4t

For vending
machines, etc.

CO2
960,000t
Emissions resulting
from generating
electricity

Collection
Recycling

INPUT

Resources and energy used in business activities

OUTPUT

Waste generated from business activities

Regarding data disclosure


The range of data that the Coca-Cola system discloses on its environmental impact
covers production, distribution and sales activities

Environmental impact at the time of sales is a calculation of the amount of CO2 emitted
from electric power consumed by vending machines

A joule (J) is an internationally recognized unit of measure used to express

thermal energy amounts (1J = approx. 0.24 calories; GJ (gigajoule) = J x 109)

CO2: carbon dioxide; NOx: nitrogen oxide; SOx: sulfur oxide

The basis for calculating some of the data has been changed due to an
The amount of energy used during distribution is the sum total used at all processes,
from concentrate manufacturing to transporting products to vending machines and
retail outlets

31

improvement in data collection accuracy

The scope of calculations for manufacturing plants was changed

Vending Machine Advancements


It is our duty, as a company undertaking part of its business through vending machines, to deploy and
promote development of energy-saving machines. We believe that, by installing vending machines that are
eco friendly and tailored to the lifestyles of people in the local community, we can provide enjoyment and
utility along with our products.

Improving the Environmental Performance


of Vending Machines

Main Features of ecoru/E40


Approx. 40% reduction in energy consumption (compared to the systems earlier models)
using a heat pump waste heat recovery system,
vacuum insulation and LED illumination

Disaster-relief vending machines are designed with an internal


battery to enable use even during power cuts caused by earthquakes or other disasters. Machines installed in areas with a significant public purpose may be additionally equipped with a function
allowing provision of products free-of-charge in times of disaster.
As hydration is crucial for survival in times of disaster, the CocaCola system is cooperating with local governments on expanding
deployment of disaster-relief vending machines.
Vending machines hold enormous hidden potential for
contributing to the community not only in environmental terms, but
in various circumstances where the community will benefit from an
abundance of machines and peace of mind from being able to use
them 24 hours a day. We will continue to push ahead with efforts to
introduce environmental considerations and contribute to the
community through our vending machines.
Main Features of Disaster-Relief Vending Machines
* Disaster-relief vending machines refers to vending machines incorporating a
chosen combination of the functions below

Vending Machine Advancements


Environmental

The Coca-Cola system, which has deployed approximately


980,000 vending machines nationwide, is making continual efforts
to improve the environmental performance of its machines.
ecoru/E40 is a next-generation vending machine developed under
conceptual themes of unbeatable environmental performance and
hospitality. Three technologiesheat pump, insulation and LED
illumination technologieshave been combined in this model to
reduce energy consumption by around 40% compared to the
systems earlier machines.
Under the hospitality theme, we aimed to design an easy and
fun-to-use vending machine, positioning the control panel and
product dispenser at a height everyone would be able to reach,
whether they were children or adults. The dispenser, in particular,
was positioned higher than on earlier models to make it possible for
consumers to retrieve products without having to bend down. To
increase the enjoyment of consumers when using the machines,
backgrounds to product photographs can be freely arranged to
match the product and LED illumination produces an array of different
patterns.
The Coca-Cola system aims to make all the vending machines
it has installed HFC-free by 2020. In 2009, we will make further
efforts to develop the ecoru brand, promote the ecoru/E40 model
and install HFC-free vending machines.

Disaster-Relief Vending Machines

Display for disaster/community information

Internal battery
(enables operation during power cuts)

Free beverages in times of disaster


(remote/key operation)

Eco-friendly HFC-free refrigerants

Universal design with centrally-positioned control panel


and product dispenser
Compatibility with various forms of e-money,
including iD and Edy
More than 1,000 machines deployed nationwide
as of December 2008

Improving Vending Machine Operations


We have commenced introduction of a system for optimizing
product replenishment and other operations via vending machine
communication networks. Ascertaining vending machine stocks in
advance via a network leads to reduced CO2 emissions due to
efficient utilization of delivery vehicles from avoiding excessive
loading of products at departure and replenishment too soon after
the previous visit. In addition to stock levels, remote networks can
also be used to ascertain top-selling products and busiest times for
each vending machine. The system also has a function enabling
simulations to determine optimal product lineups for a particular
location. We will continue to pursue operational improvements that
contribute to CO2 reductions.

Address sticker

Column
ecoru/E40 Installed inside
All Kyoto Municipal Subway Stations
In 2008, ecoru/E40 vending machines
were installed inside all of the 31 stations
of Kyoto s municipal subway system. In
addition to enjoyment and utility, the
machines offer environmental performance,
employing heat pumps as well as motion
Tomoharu Sato
sensors to light up products, and they can
Chief Manager
run for around 48 hours on a standby power
Vending Kyoto Central branch
Coca-Cola West Co., Ltd. system, providing beverages free-of-charge
if a disaster strikes and a blackout severs
the power supply. For these reasons, the
machines have been perceived well in terms
of supporting the local community.

32

Environmental Initiatives

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Sustainable Packaging Initiatives


The Coca-Cola system is making a global effort to introduce sustainable packaging. We are working to
develop packages that, in addition to low environmental impact, provide ease-of-use and enjoyment. Our
aim is earth-friendly, people-friendly packaging.

Pursuing Lightweight,
Easy-to-Use Packaging

Sustainable Packaging Initiatives


Environmental

To the Coca-Cola system, sustainable packaging is about


product containers which must be eco friendly and also easy for
people to use. People-friendly and ease-of-use are mandatory
specifications for research and development targeting container
weight reductions.
If a container is not user friendly, its environmental appeal is halved.
Take strength, for example, which is a major obstacle to weight
reductions. The thinner PET bottles are made, the greater the risk
they will become dented, harder to pour or even harder to drink.
Are containers hard to hold? Can they be stacked on top of each
other during transportation and storage? In our pursuit of container
weight reductions, we have sought to ensure ease-of-use in all stages,
from manufacturing right up to after the consumer purchases the
product and the bottle is recycled. In addition to earth-friendly,
people-friendly, we also promote development of packaging that is
fun, a characteristic the Coca-Cola system epitomizes and can pass
on to consumers.
In February 2009, these ideals were brought to fruition in the
form of the new ecoru Bottle Raku-mochi. In addition to being Japan s
lightest* 2L PET bottle, the new feel of the bottle, as the name
Raku-mochi (easily-held) suggests, makes it easy to hold and pour.
Then in May 2009, the 520ml ecoru Bottle Shiboru PET bottle first
appeared as the container for I LOHAS, the new water brand.
Around 40% lighter than previous Coca-Cola system water product
containers, ecoru Bottle Shiboru is Japan s lightest* bottle for
water products. The bottle is lightweight and strong, and is designed
for easy crushing after drinking.
By adopting these lightweight containers, we aim to reduce PET
bottle raw materials by around 5,000 tons in 2009.
* According to research by Coca-Cola (Japan) Co., Ltd. as of March 2009

ecoru Bottle Mark


Illustrated marks are shown on new lightweight bottles so consumers
know straight away they are lightweight, eco-friendly bottles. We are
doing our best to support consumers desires to lead lifestyles that
are friendly to the environment.

Concept of Sustainable Packaging

Containers that are


FUN
Earth and People
Friendly
Reduce
Reuse
Recycle

ecoru Bottle Raku-mochi (Mori-no-Mizu Dayori)

20%

Earlier Coca-Cola system water containers

weight
reduction

38g (2.0L)

48g (2.0L)

Eco
Friendliness

Ease of use

80

Coca-Cola 1.5L PET bottle


Water 2.0 L PET bottle

75g

Tea 2.0 L PET bottle


Water 500ml class PET bottle

70

57g
64g

55g

55g

49g

Finger-width ridges provide for a good grip

48g

48g

50

Features
Slim around the trunk for easy holding even with small hands

Universal Design

Timeline of the Coca-Cola Systems PET Bottle Weight Reductions

60
Approx.

Characteristic of
the Coca-Cola system

48g

47g

40

A deep indented section prevents slipping and assists pouring


Section for holding is three times stronger,

meaning the shape is unlikely to contort while held

38g
30
32g
20.5g

ecoru Bottle Shiboru (I LOHAS)


Approx.

40%

weight
reduction

Earlier Coca-Cola system water containers

12g (520ml)

20.5g (500ml)

20

Features
Can be easily crushed,

helping to reduce volume when being disposed of

10
12g

Ribbed polygon structure reduces weight while increasing strength


Weight around the neck section is 20% lighter than earlier bottles
Cap and label are also at Japans lightest levels

33

Utilizing Recycled PET Materials

Post-Consumer
Container Recycling Centers

After collection from households, stores and other sectors,

As part of our efforts to promote recycling, group companies

end-of-life PET bottles go to recycling plants where they are turned

of six bottling partners operate recycling centers where collected

into new resources to be used in creating a wide range of products.

post-consumer containers undergo sorting, compression and

The Coca-Cola system has been using recycled PET materials in a

other processes. Post-consumer containers gathered from

broad range of applications, for example to make uniforms worn

collection boxes alongside vending machines are collected by

inside plants, post-consumer container collection boxes and labels.

Coca-Cola system sales offices in regions throughout Japan and

Application of recycled PET materials was extended in 2008 to the

channeled into recycling routes.

manufacturing of items such as T-shirts and the Green Carpet.

In November 2006 the Hokuriku Recycling Center Co., Ltd.,


an affiliate company of Hokuriku Coca-Cola Bottling Co., Ltd.,

T-shirts Made from Recycled Materials

became the first bottling partner in Japan to be certified by The

In the summer of 2008, we gave away T-shirts made from 50%

Japan Containers and Packaging Recycling Association to

recycled PET materials as prizes during our Beijing Olympics campaign.

handle recyclable PET bottles. It is

We also supplied eco-T-shirts jointly designed by Coca-Cola Japan

also contributing to building a

and Sports Ambassador, swimmer Kosuke Kitajima, for presentation to

recycling-based society in the area by

all competitors of the 2008 Saitama All Japan High School Athletic

accepting post-consumer containers

Meet as an official commemorative item.

collected by local government.

In consideration of the environment, these T-shirts were made

Hokuriku Recycling Center Co,.Ltd.

using recycled materials from around three post-consumer 500ml

Recycling Stations Raise Awareness


of Recycling Efforts

PET bottles. Marks clearly indicating that PET bottles were recycled
were included on the tags of the T-shirts, helping to raise awareness of
participation in environmental activities among wearers.

Supplying the Green Carpet for


the 21st Tokyo International Film Festival
Coca-Cola Japan, in collaboration with Teijin Ltd., supplied
the Green Carpet used in place of the usual red carpet at the
opening day event for the environmentally-themed 21st Tokyo
International Film Festival in October 2008. This Green Carpet,
which became a symbol of the film festival, was made using 100%
recycled materials from around 18,000 PET bottles and was later
converted into polyester fiber.
Coca-Cola Japan aimed to familiarize a large number of people
with PET bottle recycling through this initiative.

In 2006, Coca-Cola system employees and members belonging


to Kankyo Sanshiro, an environmental club at the University of
Tokyo, carried out a study of curbside post-consumer container
collection boxes to ascertain the extent to which general trash
was being inserted and to come up with solutions. Based on the
finding that some improvement was observed with simple displays
illustrating how recycling works placed on post-consumer collection
boxes, we created kits called Recycling Stations, consisting of
post-consumer container collection boxes and educational
panels on recycling.
Recycling Stations have since been deployed at events such
as the Suzuka 8 Hours motorcycle
endurance race and Bikkuri! Eco
Hyaku-sen environmental exhibits, and
have also been installed on Coca-Cola
Japan premises as we work to provide
education on recycling efforts and raise
Recycling Station
awareness.

Flow Chart of Post-Consumer Container Recycling

Type
of
container

Processing
at
recycling plant

New
applications!

Pet bottles

Aluminum cans

Steel cans

Glass bottles
(Non-Returnable)

PET Ffakes

Aluminum plate

Fused steel

Flakes of glass

Apparel,
green carpet,
stationary, etc.

Recycled
aluminum cans

Building materials

Glass bottles,
building materials,
pave materials, etc.

Glass bottles
(Returnable)

paper
cups/packs

Recycled
at
paper factory

Rinsed and inspected


at Coca-Cola plants
for reuse

Toilet paper,
paper board, etc.

plastic
Containers

Recycled

Processed
plastic goods,
fuel, etc.

34

Environmental Initiatives
Initiatives
Environmental

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Water-Related Initiatives
As a global corporation, The Coca-Cola Company promotes Water Stewardship throughout the Coca-Cola
system worldwide, advancing initiatives in the areas of watershed protection, water usage efficiency and
wastewater management.

Promoting Water Stewardship

Water-Related Initiatives
Environmental

Water is the basic ingredient of our products, and for the


Coca-Cola system, as a soft drink manufacturer, it is the fundamental
and most important resource. The depletion of this essential
resource is a serious issue the world over, and initiating efforts to
ensure sustainable usage of clean water is a pressing issue for
corporations and local communities alike.
The Coca-Cola Company, which heads the Coca-Cola system
that globally produces and provides beverages, has for many years
continued carrying out initiatives for sustainable use of water
resources as part of its corporate social responsibility. With the
rapid changes taking place in the earth s environment in recent
years, the company has set itself the goal of becoming a global
leader of water resources management by the year 2015. Since the
year 2004, it has globally implemented the Water Stewardship
strategy, which strategically promotes the three actions of reducing
water used to produce its beverages, recycling water used for
beverage manufacturing processes, and replenishing water in local
communities and nature.
Based on this strategy the Coca-Cola system in Japan has
improved the environmental performance at its plants and proactively
carried out water environment conservation activities in various
regions in Japan through appropriate water intake, water quality
management, efficient use of water, and wastewater management.
We intend to further expand our water preservation efforts outwards
from the areas where our plants are located with the aim of
harmoniously coexisting with the environment and local communities,
which will become increasingly important in the future.

Source Water Protection Project

The Coca-Cola Company, under a commitment to Water


Stewardship, is pushing ahead with a worldwide Source Water
Protection project as a long-term initiative. Water sources for plants
will be identified and plans for assessing source vulnerability and
preserving sources will be formulated. Central to the project will
be planning and implementation of community programs through
coordination and collaboration with stakeholders in the vicinity of
plants.
In Japan, the Daisen Plant of Coca-Cola West Daisen Products
Co., Ltd. and the Tokai Plant of Coca-Cola Central Japan Products
Co., Ltd., as pilot plants, have begun surveying water sources in
line with the project. Results of those surveys will form the basis
for extending project implementation to all domestic plants by
2012.
Water Stewardship Strategic Framework

Coexisting Harmoniously with Local Communities

Watershed
protection

Wastewater
management

Water intake

Technology
in
business activities

Efficient
use of
water

Improving Water Usage Efficiency


The Coca-Cola system uses around 6.18L of water to make 1L of
product. Water is mainly used to extract teas and coffees and to
clean and sterilize containers and manufacturing lines. In addition to
thorough management of water consumption in manufacturing
processes at plants, we are working hard to promote water reuse. For
example, plants retain some of the water used for rinsing containers
in order to reuse it in washing plant floors and cases for returnable
glass bottles. Reused water eventually undergoes purification,
mainly using systems based on an activated sludge process that
makes use of microorganisms, and is released as wastewater after
clearing voluntary water quality standards that are stricter than
government-enforced standards.

35

Water quality
management

Water Recycling System

Water treatment

To products

Use in the manufacturing process


for cleaning plant floors, etc.
Well water,
tap water,
industrial water

To
rivers / streams
or
sewage systems

Recovery
processing
Reuse
Wastewater treatment

Waste Reduction
Through the strengthening of 3R (reduce, reuse, recycle) activities, we are working to reduce waste volumes
and promote recycling in each stage of the product life cycle. We will maintain zero emissions status
at plants to ensure we are using limited resources with care and without waste.

Effective Utilization of
Coffee Grounds and Used Tea Leaves

The Coca-Cola Company, under a commitment to Water


Stewardship, is pushing ahead with a worldwide Source Water
Protection project as a long-term initiative. Water sources for
plants will be identified and plans for assessing source vulnerability
and preserving sources will be formulated. Central to the project
will be planning and implementation of community programs
through coordination and collaboration with stakeholders in the
vicinity of plants.
In Japan, the Daisen Plant of Coca-Cola West Daisen Products
Co., Ltd. and the Tokai Plant of Coca-Cola Central Japan Products
Co., Ltd., as pilot plants, have begun surveying water sources in
line with the project. Results of those surveys will form the basis for
extending project implementation to all domestic plants by 2012.

Process of Recycling Vending Machines Retired from Service

Georgia Coffee Grounds Reused in


Pocket Warmers

Recycling by Material

In 2008, the Coca-Cola system and Hakugen Co., Ltd., in a


partnership brokered by non-profit organization (NPO), Japan
Carbonization Research Association*, launched a collaborative
project for developing a new method of recycling resources
that would help to lessen environmental impact.
Through this project, a portion of coffee grounds generated
during Georgia coffee drink production at three Coca-Cola
system plants in the Kanto Region were reused by Hakugen as
a raw material for its Hokkairo pocket warmers after being
converted into activated carbon by an activated carbon
manufacturer. The main material used in pocket warmers is
iron powder. Adding activated carbon accelerates the oxidation
reaction.
Hokkairo products employing Georgia coffee grounds
went on sale in January

Waste Reduction
Environmental

During extraction processes performed in the manufacturing


of coffee and tea drinks, coffee grounds and used tea leaves
are generated as waste. The volume of this waste has
increased in line with production in recent years. In 2008, the
volume of waste was around 131,000 tons, compared to the
approximately 1.06 million-ton total volume of raw materials
(which includes concentrate, coffee beans, tea leaves, glass
bottles, cans and PET bottles).
Coffee grounds and used tea leaves, which account for
around 80% of waste, are 100% recycled. The introduction of a
range of eco-friendly technologies and equipment has enabled
us to broaden the scope of our utilization of waste as
resources. In 2008, coffee grounds were reused for the first
time as a raw material for making pocket warmers.

Vending Machine Intermediate


Processing Center

Iron
HFCs

Recovery/destruction

Fluorescent lights

Recycling

Battery

Recycling

Vending machine body

Sorting

Bronze
Aluminum
Stainless steel
Glass
Plastic
Oil

Effective Utilization of
Concentrate Packaging Materials
Coca-Cola Japan s Moriyama Plant manufactures Coca-Cola and
other beverage concentrate, which is then shipped to plants of
bottling partners. By making it easier to recycle or reuse concentrate
packaging and other materials, the Moriyama Plant is contributing
to waste reductions at the plants of bottling partners.

*An NPO established with the objective of building a recycling-oriented society


through the carbonization of waste

Reusable Eco Bands

Process of Producing Activated Carbon from Coffee Grounds


Raw Material Procurement

Production of
activated Carbon

Activated carbon usage

To stabilize loads to prevent cargo collapse during transportation,


Moriyama Plant uses Eco Bands, which can be used any number
of times.

Yupo Labels for Easy Removal and Sorting

The Coca-Cola system

Activated carbon manufacturer

Hakugen Co., Ltd.

Coffee grounds

Activated carbon

pocket warmer

In the distribution sector, labels displaying product names and


ingredients are an important source of information. For affixing to
corrugated cardboard boxes, the plant prefers to use Yupo labels,
which are easy to remove and, once removed, no longer affixable.
Boxes which have had their labels removed are also reused.

36

Community Initiatives

Special
Feature

For further information, see following website: WEB http://cocacola.co.jp/positively/market/

Fulfilling Responsibility
with a Global Outlook
and Local Action

CommunitySpecial Feature

The Coca-Cola system has been fulfilling its business responsibility


through community beautification as well as container collection and recycling
since the 1960s

PROFILE

Yoshio Nakamura
Manager
Community Connections Group
President s Office

Empty containers come about as a result of


product sales. We promote proper collection and
recycling of post-consumer containers by placing
collection boxes alongside Coca-Cola system vending
machines. In fact, from very early on we sought to
fulfill our responsibilities as an enterprise through not
only production, distribution and sales, but all business
processes right up to and including collection and
recycling. Those efforts date back to 1965 when we
commenced sales of canned beverages. At around
that time, an adoption program called Keep Japan
Beautiful was being promoted under the slogan,
Hello Beautiful Japan! Under the program, both
corporations and members of the local community
assumed vital roles as foster parents of particular
activities.

Contributing to Local Communities Through Cleanup Activities


Local Activities
Cleanup activities at bottling partner offices
Support for cleanup activity infrastructure
Placing of post-consumer container
collection boxes by all vending machines, etc.

Global Activities
Promotion of global environmental protection

through international coastal cleanup activities


Implementation of cleanup activities
as an ICC sponsor

Sponsorship of green bird


Cleanup activity adoption program since the 1960s

Basic Philosophy of The Coca-Cola Company

Promote the collection and recycling of post-consumer containers throughout


the life cycles of our products

37

This movement evolved into an incorporated association


set up by leading manufacturers of beer and other beverages.
Corporations advancing CSR activities in today s society
could learn from this, acknowledging the focus placed on
ensuring that corporations contributions to society and
support for local communities persisted as a form of social
infrastructure. Perhaps our support from last year for green
bird, a cleanup campaign carried out by youngsters in
local communities, fills a very similar role to those original
efforts in the sense that priority is placed on the community.
Bottling partners nationwide and Coca-Cola (Japan)
Co., Ltd. have engaged in community-oriented business for
the Coca-Cola system ever since its founding. Meanwhile,
The Coca-Cola Company, as part of its global commitment
to watershed protection, sponsors the International
Coastal Cleanup (ICC) run by an environmental NGO,
Ocean Conservancy, urging conservation of coastal areas
all over the world. A distinctive feature of this campaign is
that all the litter retrieved is categorized and its origins
ascertained. In other words, litter is not only picked up, it is
gathered for detailed analysis to determine where it came
from. This campaign is currently undertaken in over 90
nations and regions, a global effort to tackle environmental
issues concerning a common worldwide natural resource,
the coast. As can be seen here, fulfilling responsibilities as
an enterprise through a global outlook and pursuit of local
action is a major feature of the Coca-Cola system s social
contribution activities.

ICC Activity in Japan


Mother Lake Biwa 2008 Cleanup Campaign

I Began to See Things Differently


Jun Ishii
Manager
Water CategoryConsumer Marketing

As a soft drink company employee involved in the mineral


water business, which holds large implications for the environment,
I participated in the Mother Lake Biwa 2008 cleanup campaign to
gain greater understanding of environmental and social contribution
activities undertaken by the Coca-Cola system.
Overall, the program was extremely worthwhile, being more
than just a cleanup campaign, with prior explanations from NGO
members on environmental activities pursued worldwide and
opportunities for discussion with people from bottling partners. For
me personally, I began to view environmental and social contribution
activities differently. I hope for more environmental and social
contribution activities allowing participation by greater numbers of
Coca-Cola system employees.

CommunitySpecial Feature

The International Coastal Cleanup sponsored by The Coca-Cola


Company is carried out on the third Saturday every September
around coastal and beach areas across the globe.
One month after the ICC campaign, on October 24 and 25,
2008, the Coca-Cola system in Japan held a cleanup campaign on
the shores of Lake Biwa, Shiga Prefecture, which is a water source
for the concentrate-manufacturing Moriyama Plant. This was the
second year of the campaign following on from 2007.
A large number of participants turned out, including a core group of
CSR-related personnel from Coca-Cola Japan and bottling partners. On
the day before the cleanup, a lecture explaining the significance and
specifics of the ICC campaign was given by ICC representatives in
Japan, the Japan Environmental Action Network (JEAN). Participating
companies were also given a chance to report on recent cleanup
efforts and discuss ideas for future activities. More than 80kg of litter
was collected on the day of the actual cleanup, all of which was
tabulated and analyzed. Litter on the lake shore was presumed, for
the most part, to have been created by people camping or enjoying
barbecues, while a lot of the roadside litter was thought to be the
result of illegal dumping.

Comment

Comment
Support for the green bird Community
Cleanup Campaign
Start Eco 2009 Shibuya & Harajuku
100-Person Cleanup Project Supported by Coca-Cola
We have been supporting NPO, green bird, which runs
community cleanup campaigns nationwide, since December 2008. In
January 2009, we sponsored the Start Eco 2009 Shibuya &
Harajuku100-Person Cleanup Project organized by green bird
and Sotokoto magazine in which more than 150 people partook in a
cleanup of Tokyos Shibuya and Harajuku areas over an hour and a
half, during which they filled around sixty 45L garbage bags with
litter. PET bottles and cans retrieved were recycled. Employees from
Coca-Cola (Japan) Co., Ltd. also volunteered.

Coca-Cola Happy Eco Campaign


From March to May 2009, we implemented a
Coca-Cola Happy Eco Campaign under the concept
of making the world a happier place through positive
action and sold Coca-Cola Happy Cans on which
we declared our support for green bird. On May 30,
2009, we carried out the first ever simultaneous
nationwide cleanup campaign together with the 28 (as
of June 2009) green bird teams nationwide and 12
bottling partners. More
than 1,100 people took
part in the campaign
around the country.

Support from the Coca-Cola system helps


to accelerate our activities across Japan

Ken Hasebe
President
green bird

A characteristic of green bird is that our volunteer-based


activities have very few obstacles to participation. Because a
hands-on experience can provide a better explanation than words
alone, we have adopted a concept of community cleanup activities
that anyone can easily get involved in. We also want to persist with
these activities over the long term so they will be embraced by the
community. Thanks to support from the Coca-Cola system, green
bird has been able to implement its activity plan at a much greater
speed. The more local communities we are able to reach, the more
people will participate, and the synergies we can expect as a result
will benefit the entire campaign. Our activities are going to keep
spreading through Japan; therefore we plan to structure the campaign
in a way that facilitates participation in cleanup activities not only by
the general public, but also by employees of Coca-Cola system
bottling partners around the country.

Column
Coca-Cola around the world

Coastal Cleanup Conducted


en masse Worldwide
The Coca-Cola Company has
sponsored the ICC organized by
Ocean Conservancy since 1996.
On September 20, 2008, around
378,000 people, including Coca-Cola system employees, in
76 countries simultaneously carried out a cleanup of coastal
areas, tidal wetlands, rivers and lakes.

38

Community Initiatives

For further information, see following website: WEB http://cocacola.co.jp/positively/community/

Being Part of the Local Community


The Coca-Cola system, as a corporation helping to realize a sustainable society, carries out social
contribution programs throughout Japan centering on contributions to the nurturing of future generations
and environmental efforts. For the nurturing of future generations, the system has in place a host of
programs providing opportunities for learning to Japanese youths, with main focuses on the environment,
sport, culture and education. Contribution activities tailored to local communities are also actively
pursued through our business activities.

Contributions to the Local Community


Participating in Local Beautification
and Cleanup Activities

Community
Being Part of the Local Community

Since the 1970s, the Coca-Cola system in Japan has actively


participated in cleanup activities around Japan conducted by local
governments and volunteer groups. For example, since 1998 CocaCola (Japan) Co., Ltd. has been taking part in the Shibuya Station
Cleaning Campaign, voluntary activities carried out together by the
residents and government of Shibuya-ku, Tokyo. In both October
2008 and April 2009, the number of employees from Coca-Cola
(Japan) Co., Ltd., as well as other Coca-Cola system companies,
participating in these activities was approximately 20.

Contributing to Safe and Secure Communities


At the Coca-Cola system, we are working together with local
governments, law enforcement and other organizations to use local
vending machines and Coca-Cola system delivery trucks as tools
for making our communities safer.
In addition to putting address stickers on each vending
machine, we have begun using the LED displays of machines in
some regions to broadcast crime prevention information provided
by the police.
Furthermore, in some areas we are helping to enrich communities
through the installation of vending machines that allow people to
make donations. We are also using our delivery trucks as a means
of preventing crime. If a delivery truck driver spots something
questionable or sees a
person in need of help,
they will contact the
authorities andin the
case of a person in
distressuse their delivery
truck to provide a safe
refuge.

Plant Tours
As an opportunity for making direct contact and communicating
with people of local communities, the Coca-Cola system runs tours
of 17 plants across Japan.
By explaining the Coca-Cola system s history and demonstrating
production lines, we manage to convey to visitors the efforts of the
Coca-Cola system in implementing thorough quality management
and environmental considerations. Some plants conduct several
programs, such as providing information and forums for learning
about the environment.

39

Support for Sporting Activities

Coca-Cola: Begin Your Dream for the Future project


In 2007, we launched the Coca-Cola: Begin Your Dream for
the Future project that helps the younger generation to accomplish
their dreams. By sending world-class Japanese athletes to
elementary schools nationwide, this project conveys to children the
importance of having a dream for the future through sports as well
as the need to ensure the earth s future, where their dreams will be
realized as members of society. In Frog Town Meeting 2008, part
of this project, swimmer Kosuke Kitajima was sent to selected
elementary schools around Japan as a teacher for the day. At the
three elementary schools he visited in Chiba, Kyoto, and Ehime
prefectures, Kitajima conducted swim classes and talked to the
children about never easily giving up on their dreams and working
hard to make them come true. It was quite impressive to see the
children learning so much from him.
In another part of this project, Hockey Meeting 2008,
members of the Coca-Cola West Red Sparks hockey team visited
an elementary school in Hiroshima Prefecture. Through a hockey
lesson given by the
players as well as
opportunities to
announce their own
aspirations and to ask
the players questions,
the children learned
the importance of
living with a positive
outlook.

Support for Sporting Events


The Coca-Cola system sponsors a wide range of sporting
events. In addition to the Olympic Games, the Special Olympics
and the FIFA World Cup, we commenced sponsorship of J.
League soccer from 2009. We also support the sporting pursuits of
future generations through sponsorship of the All Japan High
School Athletic Meet
(Inter High) and the
Japan U-12 Football
Championship.

Environmental Education and


Nurturing of Future Generations
Learn from the Forest Project

In order to cultivate a generation of internationally-minded young


people, H.I.H. Prince Takamado Trophy All Japan Inter-Middle School
English Oratorical Contest is aimed at contributing towards English
education, the development of Japanese culture and international
goodwill. Coca-Cola Japan shares this ideal and has been promoting
this contest for more than 45 years, since 1963.
At the 60th competition held in November 2008, in the final
contest, 27 junior high school students, selected from among the
1,920 participating students from junior high schools nationwide,
delivered excellent speeches in English.
Coca-Cola Japan awarded the top three winners with
Coca-Cola High School and University Scholarships as well as
presenting the Coca-Cola Special Award for Environmental and
Social Consciousness to the top three students and their junior
high schools for outstanding speeches on environmental issues
and social contribution
activities.

Since 1980, the Coca-Cola system has supported the National


Federation of the Physically Disabled and Their Parents (also
known as Zenshiren) to promote the organization s activities by
installing Coca-Cola system vending machines with Zenshiren s
sticker attached to them in public facilities, such as schools and
community centers. In collaboration with Zenshiren, more than
1,500 vending machines have been set up in schools and other
public facilities across Japan, and a portion of the profits from
these machines every year goes to help support the operational
costs of the national and prefectural chapters.
The Coca-Cola system has also maintained this relationship
through special Coca-Cola system activities, such as allocating
sections of the Athens 2004 Olympic Torch Relay (Tokyo) to
Zenshiren-affiliated children as torchbearers and sending out
invitations for the FIFA World Cup Trophy Tour by Coca-Cola.
In September 2008, as an official sponsor, Coca-Cola Japan invited
768 Zenshiren children and their families to the Kidzania Tokyo,
offering a bottling plant
pavilion display.
Employees of
Coca-Cola Japan and
Tokyo Coca-Cola Bottling
Co., Ltd. participated as
volunteers, providing
assistance in elevators
and acting as guides.

Being Part of the Local Community

H.I.H. Prince Takamado Trophy All Japan


Inter-Middle School English Oratorical Contest

Support for the National Federation of the Physically


Disabled and Their Parents (Zenshiren)

Community

The Coca-Cola system in Japan has been promoting the


Learn from the Forest project since 2006 with support from
the Ministry of the Environment and the Forest Agency. This
environmental education project for the younger generation is
part of the watershed protection activities that the system conducts on a global scale. The project is implemented under the
theme of water, an essential natural resource, and forests, where
water is nurtured, and aims to help children understand the
importance of nature conservation through hands-on experience in
environmental education.
In addition to offering activities, the Learn from the Forest
project also provides information about forests and nature on its
website. Participation in one of the program events or passing a
certification test found on
the website earns visitors
a Forest Doctorate
certificate. As of December
2008, there are over 30,000
people who hold a
Forest Doctorate in
Japan.

Partnership

Coca-Cola Educational &


Environmental Foundation
Each year the Coca-Cola Educational & Environmental
Foundation presents the Coca-Cola Environment Education
Awards to volunteer organizations and individuals who carry out
noteworthy activities in environmental education. Presenting the
award promotes and fosters volunteer activities and encourages
environmental education and conservation. At the 15th awards
presentation in 2008, 10 groups were recognized for their efforts. In
addition, the foundation established the Uenbetsu Shougakko
Coca-Cola Environment House with the cooperation of local
residents and NPOs. This is a former elementary school located in
Kuriyama-cho, Hokkaido that is being renovated into a demonstration
facility with accommodation used for environmental education.
This facility serves as a base for in-the-field learning, for example as
part of environmental
education programs that
involve hands-on learning
in a natural environment
and group interaction.

40

Workplace Initiatives

Special
Feature

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Developing World-class
Human Resources
North
America

Europe

Eurasia
Africa

Asia Pacific

Marketplace

Latin
America

Developing World-class Human Resources

The Coca-Cola Company


Global Workforce

The total number of Coca-Cola system employees worldwide

2,300
13,700

North America
Bottling Partners

12,300
1,300

Eurasia/Africa
Bottling Partners

2,400
18,700

Latin America
Bottling Partners

3,600
7,800

Asia Pacific
Bottling Partners

2,300
28,000

200812

The Employee Exchange Program broadens business potential by


developing globally-minded human resources

PROFILE

Radoslava Anguelova
Senior Vice President
Human Resources
Organization Effectiveness &
Capability Development

41

92 ,400

Europe
Bottling Partners

It is essential to develop leaders who can be


accepted globally while The Coca-Cola Company
expands its business worldwide. Work experience in
multiple countries is a prerequisite for becoming a
senior manager. Being able to learn business outside
of one s own country; to share the best practices
learnt there back in one s country; and to extend
human relationships within the Coca-Cola system
all over the world: these are the skills that are
required. The Employee Exchange Program has
been created in order to develop future senior
management candidates and to have them obtain
these skills. The concept behind this program was
designed by Coca-Cola (Japan) Co., Ltd. and there
were four originally participating countries: China,
Australia, Korea and Japan. Countries all over the
Asia-Pacific Group have given their thumbs up to the
basic concept behind this program, and as a result,
the entire group in the region has adopted it.
The Employee Exchange Program focuses on
two points. The first focuses on short term goals,
thereby enabling us to reduce the burden on function
caused by the participant s absence. In addition to this,
we try to ensure that exchange participants are able to
cover one another s absence so that the exchange does
not have an adverse impact on business.

Secondly, we focus on the earlier stages of the career so


that the senior management candidate can be fostered
from junior management level. The conditions for taking
part in this program are strong potential and ambition
as well as a certain number of years experience in the
Coca-Cola system in any type of job. Employees who
qualify for these conditions are chosen and to participate
in this program by Human Resources Department.
The training program is based on the individuals
ability and future potential for growth. What the
participant can offer and learn from the office to which
they are assigned, and what they can take back with
them to their original office, are discussed with the
assigned office prior to taking part in this ongoing
project.
As this program is highly rated, I am sure it will
spread from the Asia-Pacific region throughout the
Coca-Cola system worldwide.
The Employee Exchange Program provides the
opportunity of employee development and at the same
time the actual feeling of the unique and valuable
opportunities The Coca-Cola Company offers,
together with its excitement. In this way, the program
makes a major contribution as a good example of
Fostering a Great Work Environment, which is one
of the four pillars of Live Positively.

CHINA

J A PA N
Participant

I will apply in China the great


knowledge I gained in Japan

Lei Wang
Public Affairs & Communications,
Coca-Cola (China) Beverages Ltd.

Natural support dynamics took


over and solidified the team

Hiroko Ohno
Public Affairs & Communications
One cause for concern as we prepared to welcome Lei Wang
from Coca-Cola China was language, because although English is
the common language spoken among Coca-Cola system employees,
the work of a department like public relations, which oversees
communication with the market, generally involves conversing
and writing in the language of the country you are in. With the
introduction of a foreign member to the team, however, Japanese
employees naturally took it upon themselves to be there in support
and became a more solid unit as a result. The fact that Japan and
China share common characters for writing and certain aspects of
history allowed us to engage in cross-cultural exchange at a direct
level, which is a plus for both sides. The program s greatest
advantage, I believe, is that the relationship built between participant
and host is not temporary and instead allows for smooth, ongoing
information sharing and communication.

J A PA N

KOREA
Participant

I will make use of the contacts


I made on the program in future work

Akiko Tanaka
Technical Stewardship
Supply Chain & Commercialization
I went to Coca-Cola (Korea) Co., Ltd. hoping to find the reason
for its superiority over Japan in terms of speed to market.
One of the reasons, I discovered, was the internal communication
of Coca-Cola Korea For instance, all employees would gather in
one place on one morning each week for an update directly from
the president covering business circumstances and sales trends. I
realized that shared goals and the aligning of individual jobs with
the direction of the company by employees lead to speedy introduction of new products to the market and consequently business
success. Indeed, I had many things to learn.
One major gain was a cross-border personal network, which
I m sure will be put to great use in my job back here in Japan as we
all work together for the benefit of the Coca-Cola system as members of the same Coca-Cola family.

Host
department

I broadened my view of human


resource and career development

Hoon Kim
KR-Region Technical,
Coca-Cola (Korea) Co., Ltd.

Developing World-class Human Resources


Marketplace

I first applied for a short-term overseas assignment a few


years ago and was recently given the opportunity to participate in
the program after being selected by the Human Resources
Department here in China. During my stay in Japan, I was
involved in many social contribution activities, including the Eco
Style Fair, volunteer clean-up activities along the shores of Lake
Biwa and the Learn from the Forest project.
While in Japan, I learned the importance of proactive thinking
and acting fairly. I also discovered an environment that fosters
open communication, allowing a natural flow of feedback among
employees. Going about business with high goals and creative
ideas; possessing the will to work as a team for lively discussions
among team membersin addition to these, I brought back to
Coca-Cola (China) Beverages Ltd. a great deal of new knowledge.

Host
department

In hosting Akiko Tanaka from Coca-Coca Japan we hoped to


establish and improve upon networks with technical functions in
Japan to let Coca-Cola Korea employees learn from Japan s high
levels of quality assurance and expertise in terms of supply chains.
As part of our efforts to commercialize the Japan-developed Fanta
FuruFuru Shaker in Korea, she liaised with experienced Japanese
personnel on matters such as manufacturing processes and operation of test equipment. Introduction of the product to the market
went smoothly thanks to her. I feel that is demonstrated in its
strong business performance.
Through this program, we could build up a closer and more
collaborative network and I personally benefited from being able to
broaden my view of human resource, career and organizational
development. I hope the program will be implemented on an ongoing
basis.

Column
On Participation in the Beijing Olympics Ambassador Program
Sharing a special time together, 32 ambassadors selected from the Coca-Cola system worldwide gathered at the
Beijing Olympics in the summer of 2008 to partake in lectures and events in Beijing as part of the Coca-Cola
system s marketing activities. I also participated and was particularly interested in observing the work approach of
Coca-Cola system employees from other countries, with whom I have little contact in my day-to-day work. All the
ambassadors, originating from 23 different countries, demonstrated pride and enthusiasm for their work and were
Tomoko Onishi brimming with energy throughout the five-day period. Watching the competitions, I noticed I was really getting in
Retail Channel Leadership, behind the competitors from the various countries and realized first-hand that the Coca-Cola system, through its
Commercial Leadership
worldwide partnership with the Olympic Games, is looking to nurture the spirit of supporting all competitors so they
& Retail Account
perform to the best of their ability.

42

Workplace Initiatives

For further information, see following website: WEB http://cocacola.co.jp/positively/workplace/

Fostering a Great Work Environment

To provide a great place to work where people are inspired to be the best they can bethis is prescribed in the
vision of the Coca-Cola system. We are striving to foster an open, safe and healthy work environment where the
rights of employees are respected and diverse values are acknowledged; and where individual employees are
motivated in their work, having the opportunity to take on a great many challenges with sufficient faculty allowing
them to produce the best results.

Code of Business Conduct


Workplace Rights Policy

Fostering a Great Work Environment


Marketplace

The Coca-Cola brand and its products have earned the trust of
people throughout the world and all our employees have a duty to
make sure that trust is retained. Acting with integrity is not only
undertaken to preserve trust in the company and its reputation, but
also helps to maintain a workplace of which employees are proud.
Serving as a guide for appropriate employee conduct, the Code of
Business Conduct was revamped in 2008, along with our Workplace
Rights Policy, to incorporate specifics.
The Coca-Cola Company makes a promise to treat employees
fairly and with respect and dignity based on a belief that observance
of human rights is fundamental for doing business. The company s
Workplace Rights Policy, which covers the areas listed below, is
based on international standards on human rights, including the
Universal Declaration of Human Rights, the International Labour
Organization s Declaration on Fundamental Principles and Rights at
Work and the United Nations Global Compact. Related training
was implemented in offices worldwide to promote employee
understanding and compliance.
Freedom of association and collective bargaining

Promoting Diversity
In 2008, Diversity was newly listed alongside Leadership,
Collaboration, Integrity, Accountability, Passion and Quality in Our
Values, which serve as a compass for our actions. Diversity refers
to respecting individuals and seeking a broad spectrum of
knowledge and opinion, as well as to strict intolerance of any
kind of discrimination.
Training female leaders is one important initiative in our
promotion of diversity. As of February 2009, women accounted for
17% of managers with employees under their supervision, a
five-point improvement over the last year. Efforts to train or hire
female leaders are made by all departments. In December 2008,
we implemented an initial trial of a networking event for women.
The company also joined the Japan Women s Innovative Network
(J-Win), a specified non-profit organization (NPO) established in
2007 to help promote and establish diversity management in
corporations. In addition
to support for the
organization, female
employees take part in a
range of activities.

Prohibition of forced labor


Prohibition of child labor
Elimination of discrimination
Compliance with laws on work hours and wages
Safe and healthy workplaces
Workplace security
Community and stakeholder engagement

Employee Insights Survey

Support for
Employee Career Development
Employees guide the Coca-Cola system in Japan toward the
realization of its mission and vision. We uphold employees career
visions and work to enhance capability building activities used to

Coca-Cola (Japan) Co., Ltd. implements the Employee Insights


Survey, a global survey of all employees carried out every second year.
Survey findings are made available to all employees and influence action
plans of the entire Coca-Cola system and individual departments.
company-wide issues identified in the 2008 survey including a review
of welfare arrangements to promote a healthy work-life balance, work
approach flexibility, coaching to assist career design, and operational
efficiency. A follow-up questionnaire was conducted in response to
these findings to identify the welfare needs of employees. In 2009,
an improvement plan will be announced and executed. Coaching
Workshops and a project to improve a cross-functional and
operational efficiency will also be implemented for all managers
with employees under their supervision.

develop the human resources required for success in the marketplace.


We believe employees bear joint responsibility with managers for
their own development. Each year, employees draw up medium- to
long-term career visions which they share with their supervisors
and receive support in putting together capability development
plans that incorporate the work experience and training necessary
to realize those visions. Supervisors provide ongoing feedback and
coaching as employees execute their plans. An internal job posting
system also gives employees the opportunity to make their own
career choices.
As emphasis in the area of diversity promotion is being placed
on more effective application of female employees, we plan to
present wide-ranging programs, such as assistance for networking
with female leaders of other corporations, to supplement existing
programs for training female leaders.

43

Coca-Cola University

Coca-Cola Japan places a focus on internal communication in


the belief that every employee s full understanding of the
companys short- and long-term business strategies and targets, as
well as the various initiatives employed to achieve those goals, is
vital for bringing employees together and ensuring success.

People Day
At People Day, a meeting of all employees held several
times each year, business strategies and plans are announced and
small groups partake in discussions.
This promotes understanding
among individual employees and
motivates employees to take action.

Develop cross-functional leadership skills encompassing


Training of True Business
a broader knowledge base, as well as focus on the
Professionals
specialties of individual departments.

Ongoing Promotion of
Organizational Innovation

Assist all employees in acquiring priority-based decisionmaking skills, as well as in improving job execution with
consideration for leadership of people, basic business
skills and business intuition.

Support for Employee


Engagement, Career
Development and
Networking

Provide all employees opportunities for gaining insight and


experience, networking, embracing similar tasks and roles,
and sharing best practices so they will be able to perform
the roles expected of them.

Town Hall Meeting


Town Hall Meetings are held
throughout the year for the purpose
of sharing details of business plans
and status reports. These meetings
allow for direct dialogue between
employees and management.

Fostering a Great Work Environment

Three Features of Coca-Cola University

Marketplace

The in-house Coca-Cola University set


up by The Coca-Cola Company makes
curriculums for different job categories
globally available, providing leadership
training and the Coca-Cola system s very
own capability building program. A learning
program has also been developed with
Japanese human resource and market
environments in mind, allowing the diverse
learning needs of employees to be met. Another initiative is the
twice-yearly Personnel Development Forum at which senior
management discusses the grooming of successors for key
positions and the fostering of next-generation leaders from a
company-wide standpoint.

Employee Communication

Caf Conversation

Occupational Safety and


Health in the Workplace
Workplaces across the entire Coca-Cola system undertake
occupational safety and health, which is one of the elements of
The Coca-Cola Management System (TCCMS) governing the
Coca-Cola system worldwide.
At plants, employee health is confirmed daily before work begins,
warnings are repeated and inspections made to prevent accidents
that could potentially occur in the workplace, and effort is made to
establish awareness raising as routine to ensure that safety in the
workplace is maintained.
Occupational safety and health in offices is promoted through
initiatives undertaken by individual companies within the system.
Coca-Cola Japan in addition to basic requirements like performing
evacuation drills for given disaster scenarios and setting aside sickbay
space and medicine stocks, has
installed three automated external
defibrillators (AED) in offices (as of
June 30, 2009) with 83 employees
having learned how to use them
through emergency aid training by
April 2009.

Caf Conversation is a gathering organized by Public Affairs


& Communications on an irregular basis for the purpose of
dialogue, and employees with an interest in a chosen theme are
invited to participate. The gathering is an opportunity for them to
share information and exchange ideas in a laid-back atmosphere
transcending departmental and operational boundaries. Themes
discussed during 2008 include corporate social responsibility
(CSR), support for working parents and the corporate university.

Utilizing Communication Tools


We actively employ a wide range of
communication tools. The internal magazine,
enjoy!, which offers hints for overcoming
business challenges by sharing success
stories from Coca-Cola system companies,
has evolved into a medium with a role in
improving employee motivation. Various
other methods, including intranet and
wall newspapers, are also used to relay
information through the company.

44

Stakeholder Dialogue 2009


S t a k e h o l d e r

D i a l o g u e

2 0 0 9

Faith in the Coca-Cola System to Implement


Initiatives Able to Alter Peoples Values
Six university students, representing future generations and a consumer group of great importance to
the Coca-Cola system, were welcomed at the Kyoto Plant to partake in a stakeholder dialogue in a continuation of the initiative carried out last year. During last year s dialogue, we discovered that students
took a particular interest in quality management and the reduction of environmental impact. Therefore, to enable the students to gain better understanding of our initiatives and to have them voice their
opinions, we invited them this year to the Kyoto Plant of Coca-Cola West Products Co., Ltd. where they
were able to observe our activities in person through a plant tour.
Stakeholder Dialogue 2009

This would be conveyed to producThe Coca-Cola systems


sustainability as viewed and experienced tion after being broken down into
specifics, which might include,
by students

Moderator

First of all, I would like to ask you all about


the biggest impressions, or any reflections
or questions you have arising from what
you have experienced today.

Furukawa

I wondered about this during the plant tour.


Your CSR Report outlines the company s
vision, but to what extent is that vision
shared by people working on the frontline
of production?

Kuroda

In disseminating the corporate vision to


the production frontline, we recognize the
importance of persistent efforts and
breaking vision down into easily-grasped
components. To begin with, there are four
occasions each year on which the vision
is communicated to leaders and three
occasions for communication to employees
in general. But for a workplace like a plant,
words are not sufficient. For example, let s
say the company had a vision to reduce
CO2 by 1% each year.

Raise machine efficiency by 1%.


I am confident that the degree to
which the vision is shared is
extremely high.

Watanabe

I was deeply impressed when I


heard the Coca-Cola system applies
standards for items like water and
containers that are the same
throughout the world.

Yonezawa

Shibata

Coca-Cola system products are sold all


over the world, which means quality has to be
kept at a level that will create no problems in
any country. Awareness about food safety
and reliability is growing and a problem arising
in one country will, in our case, have global
effects. For that reason, we have to constantly
maintain a sense of urgency.

As you know, Coca-Cola is known for the


color red. But did you notice the paper
cups used for the vending machine you
saw were white? The reason for that is to
reduce the environmental impact caused
during decolorization, which is major problem
in recycling. We replaced the red cups we
once used with predominantly white cups.

Watanabe

Furukawa

I would also like to bring up cup vending


machines, which you have in the plant, too.
Compared to cans and PET bottles, we
don t hear much about recycling or other
environmental considerations for paper
cups. Has anything been done to make
them more environmentally friendly?

Do you outsource recycling of paper cups


to recyclers?

Shibata
All recycling, not just the recycling of paper
cups, is ultimately carried out by recycling
partners.

Kyoto Plant Tour Highlights

1
45

Learned about the history of Coca-Cola from its creation


and the Coca-Cola systems efforts to achieve sustainability
through a video presentation in the theater and corridor
displays

Observed the production line for Georgia


canned coffee with commentary on each
of the processes

Members of Environmental Club, Kankyo Sanshiro

Bikkuri! Eco Hyaku-sen Environmental Exhibit Organizing Committee Members

Stakeholder
Participants

Yoshihiro Takebe

Takao Makijima

First year of master s degree, Third year,


School of Engineering,
Faculty of Law,
The University of Tokyo
The University of Tokyo

Mio Koyama

First year of master s degree,


School of Engineering,
The University of Tokyo

Misa Watanabe

Junya Yano

Coca-Cola West Products Co., Ltd.

Coca-Cola (Japan) Co., Ltd.

Kyohei Furukawa

Fourth year,
First year of the doctoral course, Third year,
F a c u l t y o f E c o n o m i c s , Graduate School of Engineering, Faculty of Agriculture,
Osaka City University
Kyoto University
Kyoto University

Coca-Cola West Co., Ltd.

Coca-Cola
System
Participants

Yoshihiro Yonezawa Mitsuru Shibata


Manager
Quality Standards & Systems
Quality, Environment, SCM &
New Initiatives Management
Technical Stewardship,
Supply Chain & Commercialization

Manager
Environmental Stewardship
Quality, Environment, SCM &
New Initiatives Management
Technical Stewardship,
Supply Chain & Commercialization

Kaszuyoshi Kawai
Director
Sustainability
Development Office

Masao Kuroda
Corporate Officer
Kyoto Plant Manager

is really concerned about the person on the

Since we re talking about recycling, I would


like to clear up something. I have heard that
in Japan we are not able to fully recycle all
the PET bottles or other items and that are
sent to other Asian countries. What is the
Coca-Cola system s stance on this matter
and what actual measures do you have in
place?

receiving end. In addition to making a clear


declaration of concepts and unified visions,
such as Live Positively, for example, you
have explained what it is you are actually
doing in each of those areas and how you tie
that into your relationship with the local community. I found that very informative.

Koyama

I was also interested in the Coca-Cola


system s unique, fun style of conveying
information. I realized again today how much
the Coca-Cola system differs from other
companies in the area of brand building.

Shibata

This is generally a matter of supply and


demand, and so I can imagine that some
items will not be fully recycled in Japan. The
Coca-Cola system, however, is working to
increase demand for recycled products by
using them itself. As well as taking the lead in
developing the necessary social frameworks,
we see a need to actively use recycled
products in our corporate activities.

Manager
Ecola House
Public Relations Department

of seeking to incorporate fun on top of


convenience.

Kawai

Each product brand has its own individual


characteristics. For example, teenagers are
our target consumers for the Fanta brand.
Easy-to-hold and easy-to-drink are still
important, but fun is also part of the brand s
distinctiveness. We have to think about both
what the company is trying to achieve and
what we must do to develop the brand.

Stakeholder Dialogue 2009

Yano

Yoshihiko Kishino

Furukawa

I agree. Even todays plant tour wasnt limited


to production. We also got to view displays
showing the history of products and vending
machines. I realized the Coca-Cola system is
an organization of tradition, having preserved
its founding vision throughout.

Makijima

I felt after reading your CSR Report 2008


before coming today, and especially now that
I have toured the plant, that the Coca-Cola
system s way of communicating focuses more
on vision and story rather than numerical and
other data,which made me think the company

Makijima

The shape of the bottles, toonot only are


they easy to use, they are also interesting. The
Fanta bubble bottle, for example, is unique.
I admire the Coca-Cola systems approach

Coca-Cola West Co., Ltd.


Kyoto Plant Ecola House

Plant Location
128 Shin-Arami, Tai, Kumiyama-cho,
Kuse-gun, Kyoto Prefecture

Advance reservation is required for all plant tours. Tours


are free of charge. Please visit the website of Coca-Cola
West Co., Ltd. for more details.

http://www.ccwest.co.jp/station/factory/details.p

Viewed exhibits on environmental and social


hp#kyoto
contribution activities in the museum space

46

Expectations of the Coca-Cola


systemWhat to communicate?

Yano

I think outside involvement would increase


the size of initiatives, leading to that much

Moderator

Next, what are your expectations of the


Coca-Cola system, or what would you like
to do together? Please share any other
comments or suggestions you may have.

Yano

Have you considered partaking in projects,


in any area, not just the environment,
which would involve gover nment or
companies in other industries?

more recognition in the community and


therefore a greater contribution to society. I
would like to see you continue such efforts.

Kawai

I won t deny the focus has so far been on


independent initiatives. We believe we now
have to strengthen our resolve to work
together with the community, assuming a
new stance by which we share the same
perspective as the rest of the community
rather than calling attention to our own
activities.

Takebe

Wouldn t outside
involvement
increase the
size of initiatives?

Shibata

A fundamental Coca-Cola system initiative


relating to water resources is the returning
of water to nature in a cleaner state than it
was before we used it. In connection to
that, we decided to nurture the water sources
we use for plants and other facilities. We
are currently working together with other
corporations and NGOs in countries
across the world, setting up workshops
through which we develop concepts and
conduct all kinds of research. But although
we pretty much know that protection of
forests helps to nurture water sources,
proving that we are in fact nurturing sources
through measurements is extraordinarily
difficult. In Japan, we are collaborating
with universities on that front through
surveys and research.

You talked about not calling attention to


your activities. I actually get the impression
you are not emphasizing them enough. CSR
activities of large corporations are generally
associated with monetary handouts, through
donations or event sponsorship, for
example. But I think you could do more to
promote your other activities, ones where
people are involved; the persistent efforts of
Coca-Cola system employees, for example.

I believe the best


methods are the
ones I can take
part in, too

Kishino

We do actually carry out a wide range of


environmental and social contribution
activities and invite participation from
various quarters, but it is difficult to know
who to approach first. Please give us some
advice.

Yano

University students like us would love to


hear from you.
Takebe
Yes. I think there is a great demand among
students. Students want to do something,
but we lack specific ideas.

Makijima

I think it is important to offer easy ways for


people to get involved in or contribute to the
resolution of social problems through
products of your main line of business. The
Coca-Cola system has superior campaign
capabilities, so I think product-based
campaigns reaching out to a large number
of people would be effective ways of
contributing to society in terms of being able
to adequately communicate your initiatives.

Koyama

That s right. The Coca-Cola system is good


at projecting a fun image and you should
use that to communicate your initiatives for
tackling environmental and social issues.

Kawai

You commented before on our strength in


building up a brand, but even with serious
issues, I can see how communicating issues
directly in line with the Coca-Cola system s
fun image might foster better understanding.

Makijima

Kawai

What you are saying is, we have some


good initiatives and its a shame that hasn t
been adequately conveyed. In that case,
what, in your mind, is a good way to convey
such information?
Takebe
I believe the best methods, the ones which
will have a lasting impression, are the ones
I can take part in, too. To be honest, I simply
don t understand topics I m not familiar
with. It s best if I can participate and think
to myself, So this is what the Coca-Cola
system is doing.

I really like your new Live Positively


message. I would like to see the Coca-Cola
system continue to make this sort of corporate
vision public and to come up with products, and
push ahead with activities, in order to alter
people s values as only the Coca-Cola
system can.

Consumer perspectives on
reliability and
ultimate sustainability
Moderator

Do Coca-Cola system participants have


any questions they would like to ask the
students?

Yonezawa

Koyama

I judge whether a corporation is reliable


by the way they respond in emergencies.
With product recalls, for example, it all
depends on how fast the company comes
out and says, We re recalling our product.
I feel I can trust a company that manages to
do that.

I judge whether a
corporation is
reliable
by the way they
respond in
emergencies

Watanabe

It gives me peace of mind to think, for


example, that the taste of a product has
always remained the same. I feel reassured
knowing that the taste has always been
the same because it means the product
has never created any problems. I have
also sensed corporate transparency today
in the way everyone at the Coca-Cola
system immediately provides an answer to
our questions.

Furukawa

It would be ideal if no packaging became


waste as a result of beverage sales. I think
the reason why recycling is not perfect is
because a lot of effort is required, therefore
I think it is good to have systems for
recycling containers on the spot as soon as
beverages have been consumed.
Stakeholder Dialogue 2009

I want to ask you all a question as consumers.


There is a lot of fuss about food safety and
reliability these days, but what specifically
gives you a feel for food safety and
reliability? Or in what situations do you
feel assured?

Takebe

This is a bit simplistic, but I think a high


profile is also important. We sometimes
find products with suspicious-looking
names weve never heard of, dont we?

It would be ideal
if no packaging
became waste

I was deeply
impressed hearing
Coca-Cola system
standards for water
and containers are
the same worldwide
Makijima

Shibata

What would you consider the ultimate


packaging, or the ultimate way to deliver a
beverage? Or what environmental activity
would make you think the Coca-Cola
system was amazing?

What about an extremely advanced form of


traceability? For example, numbers
stamped on Coca-Cola cans, when entered
into your website, could call up scenes of
ingredients being made. Traceability would
also tie into the topic of food safety and
reliability we have just been discussing.

Post-Dialogue Comment
It was a very worthwhile dialogue. The students keen interest in corporate environmental
activities and CSR initiatives was obvious, and they managed to directly convey
their expectations, requests and impressions of the Coca-Cola system. It was also a
valuable opportunity for us to re-acknowledge the importance of getting an outside
perspective from stakeholders on which initiatives are good and which are not.
In pursuing our business as the Coca-Cola system, we intend to make even greater
efforts to ensure the company remains honest with stakeholders, not merely in
regard to safety and reliability, but in all the four business areas. We would like
to thank the students for their valuable opinions.

48

Stakeholder Opinions

CSR Report 2008: Readers Comments


As of August 2008, there were 64,000 copies of the Coca-Cola Corporate
Social Responsibility Report 2008 in circulation, and the questionnaire attached at the back of the volume had generated 2,955 responses. This
breaks down to 30 responses from the general public and 2,925 from employees of the Coca-Cola system. We look forward to hearing opinions from
many more stakeholders about how we can improve both the content of the
report and our activities as a company.
Feedback to the Questionnaire Attached to the Coca-Cola CSR Report 2008* Excluding responses from Coca-Cola system employees

How do you find this report as a whole?

Stakeholder Opinion

Average
Comprehension

Excellent

Good

Excellent

Good

Which topics were you interested in most?

Poor
No answer

Average
Design

Poor

Feature: Team Play for Safety and Confidence (43.3%)

Activities of the Coca-Cola System Worldwide (43.3%)

Promise 3: We will conduct thorough quality control (36.7%)

Promise 4: We will create packages that are easy to handle


and easy to drink from (36.7%)

Promise 10: We will always be just, fair and transparent


as a corporation (33.3%)

No answer

Poor
Quality of
Information

Good

Too much
Volume of
Information

No answer

Average

Not enough
No answer:

Sufficient

With regard to Quality of information, improvements were made in the Coca-Cola


Sustainability Report 2009 with more detailed explanations on each theme.

How do you rate the Coca-Cola systems initiatives?

We found that readers took an interest in many sections, including areas relating to
quality initiatives.

What best describes your perspective as a reader of


the report?

Below average
Average

No answer

Other

Excellent

Good

Consumer
NGO/NPO
Corporate CSR/
environment officer

Poor
We found that over 90% of respondents gave the initiatives a positive rating.

49

CSR Website: Visitors Messages


Coca-Cola (Japan) Co., Ltd. also reports its CSR activities on its website. Many visitors to
the website have taken the time to relate their impressions and opinions. We would like
to introduce some of the valuable advice that we have received from stakeholders.

WEB

* For reasons of space, we have edited and summarized some opinions, but have been faithful to the intent

About the CSR Report 2008

About Community Contributions


Boy in his teens

I did not know much about your 10 Promises, but even so, I found the
sections on Coca-Cola system initiatives very straightforward and easy to read.
Unfortunately, however, I had to visit your website to find out more about your
environmental activities.
To make it easier for readers to learn about environmental initiatives and
information even in booklet form, from 2008 we have split the report into
main and supplementary booklets, including more detailed environmental
data in the supplementary booklet than can otherwise be covered in the
main booklet. We will continue to search for ways to make our reports easier
for stakeholders to take in and understand.

I saw Beijing Olympic gold-medal swimmer, Kosuke Kitajima, on TV visiting an


elementary school and giving swimming lessons. I would like to take part in an
event like this. What other events does the Coca-Cola system run?

About Containers
Woman in her 50s
I find it difficult to pour contents of a 2L PET bottle into a glass because the
bottle is so soft. I know bottles have to be soft so they can be crushed when
put out for recycling, but women and children find it hard to pour from them
without spilling.
The Coca-Cola system is putting effort into developing sustainable
packaging that incorporates considerations for the environment,
ease-of-use for consumers and unique Coca-Cola system traits. The
ecoru Bottle Raku-mochi launched in February 2009 is an eco-friendly
PET bottle that is also lightweight. A slimmer trunk with ridges means
consumers with small hands will find the bottle easy to hold and less
likely to slip, thus easier to pour. In addition, the section of the bottle that
is held is now three times stronger, making it less likely to spill as you
pour. We have also managed to reduce the weight of the ecoru Bottles
for unsweetened tea drinks and Mori-no-Mizu Dayori to 47g and 38g,
respectively, Japan s lightest, which cut the amount of PET resins used.
We will keep working to improve product packaging based on this kind
of feedback from consumers.
About Vending Machines

The Coca-Cola system has been running the Coca-Cola: Begin


Your Dream for the Future project since 2007. Kosuke Kitajima s
swimming lessons are just one example of this. We send world-class
athletes to elementary schools around Japan to offer their perspectives
and experiences as leading athletes in order to get children to think
about the importance of having visions for the future and to
consider the future of the Earth as the stage on which those visions
will be realized. With the backing of Japan s Ministry of the Environment
and Forestry Agency, we have also been implementing, since 2006,
the Learn from the Forest project, which focuses on environmental
education and environmental preservation programs for children,
who represent the future. The Coca-Cola system has also engaged
in cleanup activities in local communities since the 1970s. From the
end of 2008, we have been supporting activities of green bird, a
NPO that carries out community cleanup activities nationwide. You
might like to consider participating in their activities as well.

Stakeholder Opinion

Man in his 30s

About Best-Before Date


Woman in her 40s
Your products come in various types of packaging, including PET bottles and
cans, but I have trouble working out the best-before dates as they are
displayed in different places on each type.
The location of best-before dates is stated in quality information
boxes on all packaging except for returnable glass bottles (Food
Sanitation Act/JAS Law). The Coca-Cola system manufactures and
sells products in various kinds of packaging, including PET bottles,
cans and pouches, to match their purpose. An easy-to-understand
explanation on how to read best-before dates can be found on the
Coca-Cola Japans website. Please also see page 28 of this booklet
for an explanation of how to read best-before dates.

Man in his 60s


I get around in a wheelchair and buying drinks from vending machines is
quite a challenge. Can t you come up with a vending machine that I d find
easier to use?
The Coca-Cola system is promoting installation of vending machines
that have been designed with the physically disabled in mind. In 2008, we
developed and introduced the ecoru/E40 vending machine which, in addition
to being eco friendly, consuming 40% less power than earlier Coca-Cola
system models, has been designed with a dispenser in a higher position to
make retrieving products easier for people in wheelchairs, women and
elderly, for example. We have also been actively cooperating since 1980 with
the National Federation of the Physically Disabled and their Parents
(Zenshiren) on installation of vending machines affixed with Zenshiren
stickers (administered by Zenshiren) at schools, community centers and
other public institutions around Japan. Some of the proceeds are
allocated each year to help cover operational costs of national and
prefectural chapters of the federation.

About Zero-Calorie Products


Man in his 20s
I used to love Fanta, but I ve been cutting back recently as I m worried about
the calories. I was happy when Fanta Zero Lemon came out, but will other
flavors be introduced, for example traditional orange and grape flavors?
Due to the popularity of that drink, Fanta Zero Cider was launched in
June 2009. We value communication with consumers and put effort
into developing products that reflect the their comments, so please
keep telling us your ideas and opinions.

We would like to hear from you!Please send us your ideas and opinions on Coca-Cola Sustainability Report 2009.
Website

http: //cocacola.co.jp

Consumer Service Center

0120-308509
50

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