Editor's note- ESG, which contains sustainable ideas through environmental and social responsibility and management, is being made mandatory, not an option. Yet, quite a number of businesses are still ignoring this matter. Practicing ESG management is directly linked to consumption value, which can be a measure of value consumption. Thus, we are reporting on the steps of leading ESG management businesses this year, hoping to bring messages to both consumers and businesses that are not aware of their importance.

Ottogi has been advancing in ESG management this year. / photo: ConsumerwideDB edit and Ottogi data
Ottogi has been advancing in ESG management this year. / photo: ConsumerwideDB edit and Ottogi data

[Consumerwide- Youngchul Woo Reporter/ Yohan Bok Reporter] Domestic and overseas businesses are paying attention to ESG management, which concerns the social responsibility of businesses. Ottogi has been pursuing sustainable management, which contributes to customer satisfaction, social contribution, and human development, based on their stable management and growth since their 2010 environmental management claim.

In March, Ottogi established the sustainable ESG strategy "Re-Work, Ottogi" for the next 50 years based on business targets, management philosophy, and strategy. In connection with management ideology, they have already been practicing 51 assignments (better quality, higher nutrition, advanced food, and healthy governing structure) according to the mid-long-term target while leading the ESG management of associated businesses. This year, Ottogi has been striving in the areas of climate change, resource circulation activities and development, enhancing the lives of consumers through products and services, and communication with consumers. By strengthening their internal control and evaluation systems, they have practiced fair management while putting effort into shared growth with partner businesses. Also strengthened the roles and responsibilities of the board and appointed in-house and outside directors.


E: Environmental sustainable effort


Ottogi has been applying flexography since last year. Earlier, the bakery industry began using the technology, and Ottogi is the first case in the ramyeon industry. Two ramyeon (2022) and ten sauce products (inner packaging) use flexography for packaging. They expect to reduce the use of resources and energy. Flexography uses environmentally friendly water-based ink. Its embossed printing can reduce the use of ink (at a maximum of 1600 tonnes, or 30%▽) and organic solvent, and the drying method can reduce greenhouse gas emissions by an average of 50%.

In July, the affiliated company of Ottogi Pungrim P&P began applying Circular Recycle PET to three types of meat sauce in cooperation with SK Chemical. CR PET is 100% based on SKYPET CR; thus, it can be completely recycled, which results in reducing the use of annual plastic by 16 tonnes and carbon emissions by 40% in the manufacturing stage. In February, Ottogi began applying Bio-PET to ten types of sauces and three types of low-calorie dressing packaging. Thirty percent of Bio-MEG, which is made from corn and sugarcane, is found in Bio-PET. Thus, it can reduce carbon emissions by 28% more than petroleum PET, and 100% of the material is recycled. Additionally, they began using removable sticker labels and easy tab marks.

Ottogi has been utilising their Smart Greencup for all the container noodle products. Ottogi invented the Smart Greencup in 2014. Smart Greencup uses less paper for printing. The container is coated with foam material. After that, it goes through heat treatment.

Besides, Ottogi is focusing on minimising environmental influence from raw material manufacturing to product consumption and waste through the Eco Emblem. (Eco-Cook·Factory·Partner·Office·Drive·Package) The Eco Cook leads in environmental protection during the consumption stage. The logo is applied to products made of organic materials or those that follow the 3-minute low-carbon cooking standards. The Eco Factory is responding to climate change by reducing energy consumption and polluting waste emissions in the manufacturing stage.

The Eco Drive has minimised carbon emissions in the transport and storage processes by switching cars of staff since 2019. The Eco Partner forms partnerships by responding to environmental issues with associated partners. The Eco Office is reducing environmental influence in tasking and facilitating processes. The eco-package emblem is marked on any environmentally friendly product.


S: Social contribution activity... supporting the medical expenses of children with heart disease.


Ottogi cleaned the Ottogi Centre headquarters located in Daechidong Gangnamgu and Tancheon on a monthly basis this year, and they are expanding the cleaning area to partner company areas. (Gyeonggido Anyang, Chungbuk Eumseong factory) In November 2022, the Korean Farming Shared Growth Development TFT and Ottogi Volunteer Group helped farmers in Uiseong Gyeongbuk during the seeding season. Besides, they passed on Ottogi convenience food and easy food products during snack time. In June 2023, they harvested what they planted last year. The Ottogi Volunteer Group began in August 2012.

Ottogi has also sponsored a total of 6,013 children with congenital heart defects on an accumulative basis since July 1992 in cooperation with the Korea Heart Fund. (Sept 2023) Formerly, they supported five children monthly, but today there are 22 children.

Ottogi has been cooperating with Goodwillstore and schools for children with impairments since June 2012. The Goodwill Store supports persons with disabilities in becoming financially independent. In the Goodwill Store, people with and without impairments work together.


G: Sustainability... a culture of mutual respect


Ottogi has been practicing human respect management in the overall supply chain for the enhancement of common value while protecting various partners since January.

Ottogi is organising regular·frequent·campus employment (global leader employment) while taking new ways of employment promotion (ontact and metabus employment guideline meetings), and for public employment, they specified tasks and made detailed descriptions of tasks and employment conditions.

Ottogi has given evaluation authority to sales group managers by accepting the "sales task female staff evaluation system" in December 2021, and in the following year, the rate of female managers has increased by 23%. Ottogi has also been developing programmes concerning the balance between work and life while putting effort into building a healthy work culture based on effective staff communication.

An associated person from Ottogi said during an interview with Consumerwide, "Ottogi has been leading ESG management through package development projects that minimise environmental influence in the overall manufacturing process. We will continually strive to practice sustainable future value, which includes resource circulation and environmental protection activities."

 

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