Coca-Cola System Material Issues

Coca-Cola System Material Issues

In 2019, Coca-Cola (Japan) Co., Ltd. and Coca-Cola Bottlers Japan Inc. jointly conducted a large-scale study to identify sustainability issues and set priorities based on materiality for the Coca-Cola system in Japan. The intent was to formulate a strategy reflecting issues unique to Japan in addition to global sustainability targets being pursued worldwide in order to develop a common action plan for the combined Coca-Cola system in Japan. This process gave us insight into a set of issues we need to address based on sustainability targets specific to Japan, while also moving toward the achievement of global targets.

Coca-Cola System Sustainability Activities—Purpose and Strategy

Purpose
  • We are committed to creating a shared future and a sustainable business that can make a difference when addressing important challenges facing Japan, including the environment, people's lives, and our communities
Strategy

Leverage Our Leadership Position to Drive Attention and Action

  • Lead with a powerful example of Inclusion in our own business
  • Leverage the power and reach of our system to partner with our Communities
  • Take a lead role—working with industry peers—on Resource usage

Three Platforms and Nine Priority Issues

The nine priority issues are further subdivided into five priority topics specified as urgent, and four focus topics that are important but considered less of a priority at this time. In each domain, we will examine the Impact of our activities against the sustainable development goals (SDGs) and help to address social issues by also working toward the achievement of the relevant SDGs.

Three Platforms and Nine Priority Issues

Going forward, the Coca-Cola system will develop and implement a concrete action plan based on the identified priority issues. We will continue to report regularly on the progress and results of activities by Coca-Cola Bottlers Japan, Inc., in partnership with the Coca-Cola system in Japan and seek to engage in activities aligned with the times, referring to the opinions of NPOs, outside specialized organizations, experts and other third parties.

Materiality Identification Process

Issue identification (1)Identified social issues in Japan based on third-party studies

We selected 189 issues by identifying and categorizing social issues from SDG-related reports and guidelines, outside consultant reports (including outside stakeholder interviews), ISO 26000, government agency reports, and benchmark surveys by outside consultants.

Issue identification (2)Narrowed down the list from 189 to 33 issues

We then narrowed down the list of issues from 189 to 33 based on common shared categories, such as renewable energy and an aging society.

Issue identification (3)Plotted a materiality matrix of 33 issues and specified 15 priority issues

The importance of each of the 33 issues selected in step 2 was assessed on a scale of 5 and plotted on a matrix with vertical and horizontal axes representing the importance to Japanese society and the Coca-Cola system, respectively. We then specified 15 issues of high social importance that were also highly relevant to the Coca-Cola system in Japan..

Priority matrix - We isolated 'high-priority' topics within this matrix

Conducted interviews within the Coca-Cola system and adjusted priority issues

We then added 4 priority issues identified within the Coca-Cola system through interviews and workshops with management and junior employees of Coca-Cola Japan and Coca-Cola Bottlers Japan, which increased the number of priority issues to 19.

Specified 3 platforms and 9 priority issues

Through workshop-style discussions on the 19 priority issues with the management of Coca-Cola Japan and Coca-Cola Bottlers Japan, agreement was reached on specification of 3 platforms not expected to change over the next 10 years—Inclusion , Communities and Resources —and 9 priority issues (material issues) requiring immediate attention.