Creating Sustainability-Driven Corporate Goals

Arlan Peters

Novozymes North America

Introducing nature's problem solvers

Purpose, strategy, and 2020 targets

Purpose

Strategy

2020 Targets

NOVOZYMES PRESENTATION13 3/20/2009Change the worldtogether with our customersthrough insight and solutions

Customer

Industry

World

Deliver radical innovation to customers

Drive the world toward sustainability

Make it great to be a Zymer

Develop great leaders

Deepen our relationship-based culture

Be a company people want to work for

Simplify how we work together

Be smart and efficient as we grow

Build relations and partnerships for growth

Develop new enzyme growth engines

Build BioBusiness

Win in biomass

Become a voice on the world stage

Sustainable solutions drivenew business

Build sustainability capabilities

STRATEGY MISSION/

VISION

BRAND SUSTAIN-

ABILITY

PURPOSE

Executive leadership wanted to define a new purpose and vision

PURPOSE

BRAND

SUSTAINABILITY

STRATEGY

MISSION/

VISION

Jan

2014

NOVOZYMES

SUSTAINABILITY

April

2014

Novozymes Sustainability Board aims for next level

NOVOZYMES: THE CURRENT PICTURE AND FUTURE OPPORTUNITIES

June

2014

Saving water and energy in

manufacturing processes

VISION 2050: Enabling nine billion people to thrive through bio-based solutions which deliver more from less June

2014

ExLT

pres

The evolving sustainable development agenda

The Millennium Development Goals were due to ‘expire’

Other global challenges have emerged since they were established

The Draft SDGs prioritize:

Poverty eradication

More sustainable patterns of consumption and production

Protecting the natural resource base of economic and social development

Reduction of global GHGs

We identified the short-list of global challenges

Global challenges Business rationale

Water • Due to increasing population and living standards

global water demand could outstrip supply by up to 40% by 2030

• Primary energy demands will grow by 36% worldwide by 2035, while climate GHG limits are already being reached

Energy

Food • Current food reserves are at a 50 year low, yet global

demand for food will increase by 35-50% by 2030

Waste • Urbanization and the expanding middle class will

increase global solid waste generation by 70% by 2025

Health and Nutrition

• Currently 2.5bn people still lack access to sanitation and 162mn suffer from poor nutrition

Education

• Current science, technology, engineering and math skills are insufficient to meet global needs

Within planetary boundaries

• Exceeding planetary boundaries could generate abrupt or irreversible environmental changes

• Ensure strong long-term business foundation via link to SGDs and alignment with customer and key influencer (power player) priorities

• Access alternative finance channels (e.g., Development Banks, Green financing)

• Grow the core of the business (food, water, energy) while building emerging business areas (waste, health and nutrition)

• Differentiate from competitors

• Manage risks (water)

• Build relevance in emerging markets (e.g., education, health and nutrition, water)

• Attract, engage and motivate employees • Develop talent pipeline (education) • Increase global awareness of biotechnology (education)

“Thriving lives for all” Together, we find biological answers for better lives in a growing world

- Let´s Rethink Tomorrow

FOOD FOR ALL ENERGY FOR ALL WATER FOR ALL HEALTH FOR ALL EDUCATION FOR ALL

Within planetary boundaries (emissions, pollutants, biodiversity)

• Opt.

• Risk.

• Opt. • Opt. • Opt.

• WEMA / Monsanto

• WEF, CGI

• UN - FAO

• SE4ALL

• UN CARING FOR CLIMATE

• UN CEO WATER MANDATE

• UNIDO

• BILL GATES / GAIN FOUNDATION • NZ TS + Citizymes

(scaled up)

GOALS TBD in sync with

com / lob

PRIORITIES

FOCUS AREAS*

PARTNER FLAGSHIPS (EXAMPLES)

• Opt.

• Risk.

October2014

Our non-financial long-term targets

Inspired by the SDGs

From theory to practice

SDG

impact

potentials

Negative Neutral Positive

Novozymes

innovation pipeline

• Products

• Business models

• Partnership opportunities

• …

High impact opportunities

Impact categories

August

2015

Alignment to the UN Sustainable Development Goals

• Strengthen the innovation pipeline by addressing big societal needs

• Make our solutions more relevant in a global

development context

• Appeal to potential partners seeking societal development eg. Governments, Organizations, NGO´s

• Learn the new “policy and NGO language” of the coming decades

• Strengthen corporate and technology storytelling and positioning

• Leadership

What’s in it for Novozymes?