St Stra rategic egic CSR SR an and d Busin Bu siness De ess - PowerPoint PPT Presentation

St Stra rategic egic CSR SR an and d Busin Bu siness De ess Develo elopment pment Cas ase e St Stud udy (2011-20 (2 2013) 3) BY KE KENY NYA A BIXA XA LTD 1

 Kenya ya Bixa ISO 9001 and ISO 22000 Certified company based in South Coast whose core business is processing of Nor-bixin and bixin powder with annual turnover of 120 Tons established in 1979.  CSR Community Water borehole  Labour ur Child labour: Sensitization throughout the supply chain Health th and safety ety Risk assessment First aid kits Health and Safety Committee  Environment nment & Energy Bio – gas and biomax manure Plant 2

 Child labour used to exist at the farm level integrated as a cultural value.  Conducted 10 sensitization meetings Outcome Most of The children attend school  Busine siness s benefit its: s: Assurance of better working condition through the supply chain and cordial relationship with the suppliers and the farmers and Compliance with Global Legal requirements on child labour 3

1400  Current contracts farmers appx. 350. 1200  Bixa acreage of 1,750. 1000  Annual seeds collected 800 Contract 1200 Tons. farmers 600 Seeds in Tons 400 200 0 2010201120122013 4

Contract tract fa farme mers Pa Parameters s Output put Acreage 250 trees per acre Given free by KBL Harvest 2 times per year 16kgs per year per tree Revenue Kshs. 40 per kg Kshs. 160,000 per year per Acre 5 acres Kshs. 160,00 x 5 Kshs. 800,000 Expenses Appx. Kshs. 200,000 Kshs. 600,000 5

 Began business in 1986 SAL ALES IN TONES ES  Purchase 75% of our 90 production. 80  2006 – 2009 we were not able to fully supply because 70 there was very little raw 60 material  we were unable to get 50 substantial orders from 40 Tones Chr. Hansen 30  Through Susbiz programme secured a visit by Mr. 20 Stevenson the Global 10 Sourcing director 0  2013 to sign contract of 50 2000 2002 2004 2006 2008 2010 2012 Tons because of 6

Cost of installation 4,188,414.00 Operation Expenses and payback period Since Diesel savings Norbixin Norbixin Savings in Diesel Consumption per year Powder Powder/ Ltr Ksh YEAR Litres Cost Kgs Kg/Ltr Lrs 2008 11,500 577,875.00 32,684 2.84 2009 6900 376,050.00 20,098 2.91 2010 17650 1,155,898.00 34,965 1.98 8,051.92 748,831.35 2011 0 - 20,935 9,053.08 887,201.84 2012 0 - 23,538 23,692.31 2,440,307.93 2013 61,600 1,358,779.00 Average savings per Year 3 Year Recovery period Cost of project/ / annual savings 7

 Provision of full equipped First aid kits  Trained committee  Emergency preparedness and pictorial signs in place  Training on proper use of PPE  Conducted risk assessments 8

9

10

11

12

THE END 13