Mars Commits to ESG Goals Growing its Reputation

Some companies have faced resistance in pursuing sustainability and ESG (Environmental, Social, and Governance) goals, but Mars Inc. is intensifying its commitment. Recently, Mars announced a $1 billion investment over three years aimed at cutting emissions by 50% by 2030, eventually reaching net zero by 2050.

Their strategies include enhancing supply-chain traceability, expanding climate-smart agriculture, adjusting recipes, improving logistics, and a strong focus on Scope 3 emissions, which stem from activities in the company’s value chain. Mars aims to monitor progress through five-year milestones.

The company, known for brands like M&M’s and Snickers, is a global family-owned business that’s expanding into veterinary health services such as AniCura and pet care products like Whiskas and Pedigree.  With a century-long operation history, Mars operates in over 70 markets globally and boasts over 140,000 employees. Their annual sales surpassed $47 billion in 2022.

Mars CFO Claus Aagaard has emphasized their focus on climate-smart agriculture, renewable energy, deforestation prevention, and logistics enhancement. Aagaard highlighted efforts to transition to renewable electricity for factories, aiming for 100% globally. Mars is actively engaging its major suppliers in shifting to renewable energy sources, aiming to minimize greenhouse gas emissions significantly by 2030.

Approximately 30% of their emissions arise from raw material production in their value chain. The company estimates a reduction of around 5 million metric tons of greenhouse gases by 2030 by influencing agricultural processes and halting deforestation.

Mars has achieved deforestation-free status in its palm oil initiative and is committed to achieving the same for its cocoa supply chain by the end of the next year.

Consumer sentiment supports their efforts, with 69% of adults in major economies advocating for companies to continue or increase climate efforts.

Mars recognizes the importance of consumer and employee sentiments in driving their sustainability agenda. Aagaard believes this approach will not only provide a competitive advantage but also sustain long-term business growth. The company aligns its objectives, including financial ones, with the Mars Compass, where a significant portion of executive remuneration is tied to climate actions and reputation-building.

Have you read?  
Hollywood: These Are The Most Expensive Flops In Movie History.
Top 10 Healthcare Leaders For 2023: Redefining Medical Innovations and Pharma Solutions
Here Are The Most Unmissable Travel Destinations In 2024.
10 legendary celebrities who, despite their passing, continue to earn millions in 2023.
Los Angeles Lakers Players with the Highest Earnings of All Time.