Creating Shared Value
In 2017, Vreugdenhil Dairy Foods launched its five year strategy Marathon ‘22. On the principle of Creating Shared Value, we are working toward achieving three ambitions: profitable value chain, great place to work and climate neutral.
Profitable value chain
2017 saw an increase in the milk price we pay our dairy farmers, despite a very volatile market. Dairy farmers contribute to our strategy with a pasturing rate far above the Dutch average and their successful eﬀorts to remain below the phosphate ceiling. Vreugdenhil prepared its Gorinchem site for the production of ingredients for infant formula and has since started production. We also added butter to our product range. In 2018, we will expand enriching our milk powders in order to increase our contribution to public health, seeing as there still are 2 billion people around the world with vitamin and mineral deficiencies.
Great place to work
The number of staff increased and our low absenteeism rate stabilised. There were 13 lost time accidents. Our aim is zero, to which we will be fully committed in 2018, among others by the launch of safety certification for our sites. We took the first steps in splitting up our production site in Gorinchem to allow the two factories to focus on different strategic goals: more rapid and ﬂexible delivery, for one factory, and ingredients for infant formula for the other. Separation of activities will make business operations more agile and offers more opportunities for personal development. We will also be starting a project in 2018 aimed at enhancing personal leadership.
We are convinced that Vreugdenhil will only be future-proof if our production is climate neutral. We plan to achieve this by 2029. In doing so, Vreugdenhil is pursuing the UN’s Sustainable Development Goals. Our energy consumption per ton of product already decreased further in 2017 and 100% of our electricity is green power. We drafted a concrete and cost-efficient plan comprising nine measures with which our production will be climate neutral in 2029. In 2018 we will be further developing our process innovations and solar and wind energy.
Creating Shared Value puts into practice Vreugdenhil Dairy Foods’ mission:
we bring you the best of milk!
Jan Vreugdenhil, Chairman
Albert de Groot, CEO
Albert de Groot and Jan Vreugdenhil