Focus Areas & Commitments

The fragrance and flavor industries have a key role to play in socio-economic development relating to the sourcing of raw materials – notably in relation to job creation, skills development and the improvement of employment prospects. This is especially important for people living far from the main centers of employment.

F&F companies must ensure respect for human rights and labor standards in our activities and products, as well as in our business relationships and in monitoring the activities of partners. In areas where there is political instability or even conflict, companies have to be especially vigilant.

In their operations and supply chains, F&F companies rely on a variety of ecosystem services that are generally classified as common property and/or public goods, and which must be protected. The protection and/or rehabilitation of biodiversity is an imperative as well as an opportunity to develop new projects and engage employees and wider communities.

As responsible industries, we should also seek to go beyond our core business activities by contributing to dynamic and positive change at a local level, whether through involvement in education or culture, community cohesion or wider technological development.

Increasing concerns over climate change raise expectations of industry. Regulators, customers and other stakeholders want to know how we will anticipate issues, diminish risks, lower emissions and develop solutions.

The fragrance and flavor industries are committed to a circular economy approach with practical measures that include limiting the environmental impact of their facilities and investing to comply with environmental rules. Engaging in a circular economy approach requires us to rethink the old industry model and adapt it to changed societal expectations — waste is becoming either a material resource or an energy resource, with a circular economy approach allowing companies to create value and make savings.

To ensure resource availability in the future, companies should ensure that the raw materials used in our product portfolio — whether natural or synthetic — are used efficiently. The sustainability and environmental footprint of both natural and synthetic ingredients will need to be considered, recognizing that synthetic production can be more sustainable than use of natural ingredients.

In addition, companies should use energy, water and other resources carefully, and implement the principles of green chemistry, in the knowledge that resource consumption is closely linked to their overall environmental impact — both globally and locally.

Companies have a moral and legal duty to ensure health and safety at work. But there is also an economic incentive: prevention helps to reduce risks, prevent accidents and illness, and boost economic performance.

Given the materials used, the fragrance and flavor industries have the potential to expose workers to potential occupational risks. We should therefore anticipate and limit the risks associated with products and processes to ensure the health and safety of employees. Like other industries, we have to address physical risks (from travel, musculoskeletal disorders, lifting, electrical charge, noise and so on) as well as psychological and social hazards.

The fragrance and flavor industries, as significant employers, have a role to play on subjects such as equal pay and protection of certain groups in the workforce. The challenge is to allow the diverse talents of the industry to express themselves fully and sustainably, and to respect all differences. By implementing a diversity and equal opportunities policy and promoting inclusion, companies can increase their attractiveness as employers and improve performance.

A well-established social dialogue improves the functioning of companies and reduces the risk of conflict. Involving employees in the development and implementation of their own working conditions increases their satisfaction, well-being, motivation, loyalty and performance.

Good manufacturing processes are the starting point for the development of products with a high level of safety and a good environmental profile. The benefits for companies of high-quality processes and products are significant – not only in relation to consumer satisfaction and protection, but also in terms of financial savings and competitive advantage.

'Safety by design' means that companies need to rethink key phases in a product life cycle, from manufacturing, to use, to end-of-life. It means managing risk, meeting customer and consumer expectations with regard to protection of human health and the environment, and developing systems that ensure that the right people have the right information at the right time.

Business ethics guide companies to make decisions that are fair and transparent and to prevent risks associated with unethical business or industrial practices. Business failures in this area can have a significant impact in terms of reputational damage, as well as leading to possible commercial, civil or criminal penalties.

With a strategy in place, a company should develop indicators that allow analysis and follow-up of results and define a new direction if necessary. Although reporting is not an end in itself, these indicators have to be considered as a tool for continuous improvement.

Externally, a company can communicate on these indicators to strengthen the credibility of its actions and set an example. Building dialogue with external stakeholders helps to create an environment that is conducive to understanding of a company's business and helping it to improve.