WEBVTT 1 00:00:00.000 --> 00:00:02.583 (upbeat music) 2 00:00:07.440 --> 00:00:09.660 What motivated you to really ramp up 3 00:00:09.660 --> 00:00:11.700 your sustainability efforts? 4 00:00:11.700 --> 00:00:13.530 We thought about where we are in the supply chain 5 00:00:13.530 --> 00:00:15.960 and we know that we have a responsibility 6 00:00:15.960 --> 00:00:19.740 sitting between our customers and our suppliers 7 00:00:19.740 --> 00:00:22.140 and how we can bring the supply chain together 8 00:00:22.140 --> 00:00:24.330 to be a more responsible supply chain. 9 00:00:24.330 --> 00:00:25.350 And we could stop there 10 00:00:25.350 --> 00:00:27.720 because that's the right thing to do, 11 00:00:27.720 --> 00:00:31.590 but in reality, it's a big opportunity for us 12 00:00:31.590 --> 00:00:33.780 because our customers need certain things, 13 00:00:33.780 --> 00:00:36.000 Our suppliers want to provide certain things. 14 00:00:36.000 --> 00:00:37.470 And we created what we'll call 15 00:00:37.470 --> 00:00:40.200 the Climate and Sustainability Advantage, 16 00:00:40.200 --> 00:00:42.630 and then we organized everything around it. 17 00:00:42.630 --> 00:00:45.000 Now, the bonus is for our own operations, 18 00:00:45.000 --> 00:00:48.570 we can actually reduce our costs by doing this work. 19 00:00:48.570 --> 00:00:52.020 We changed the packaging for our branded product 20 00:00:52.020 --> 00:00:54.060 and we changed it from white to craft, 21 00:00:54.060 --> 00:00:56.730 which sounds like a simple step in the process, 22 00:00:56.730 --> 00:00:58.590 but because of our scale, 23 00:00:58.590 --> 00:01:02.790 we're talking about 270 million packages. 24 00:01:02.790 --> 00:01:04.500 There's less packaging involved 25 00:01:04.500 --> 00:01:06.750 and there's a lower cost with that box 26 00:01:06.750 --> 00:01:08.610 versus the prior white box. 27 00:01:08.610 --> 00:01:10.770 It's a big cost savings for us 28 00:01:10.770 --> 00:01:13.500 and for the partnership across the supply chain. 29 00:01:13.500 --> 00:01:15.360 Henry, on this journey then, 30 00:01:15.360 --> 00:01:18.750 what has been really exciting in terms of accomplishments? 31 00:01:18.750 --> 00:01:21.500 I'll start with our one planet, one table assortment. 32 00:01:22.590 --> 00:01:26.100 So we actually had already a vast array of products 33 00:01:26.100 --> 00:01:27.990 that our customers were wanting, 34 00:01:27.990 --> 00:01:29.310 but they just didn't have the data 35 00:01:29.310 --> 00:01:31.470 and the certifications against them. 36 00:01:31.470 --> 00:01:33.990 And so what we decided was we're gonna create 37 00:01:33.990 --> 00:01:37.830 the very best sustainable assortment in our industry. 38 00:01:37.830 --> 00:01:39.090 And that's what we did it, 39 00:01:39.090 --> 00:01:41.910 and now it's been driving growth for us. 40 00:01:41.910 --> 00:01:43.020 As you've been on this journey, 41 00:01:43.020 --> 00:01:45.660 can you share some concrete examples of 42 00:01:45.660 --> 00:01:48.180 what business value you are already starting to see? 43 00:01:48.180 --> 00:01:49.680 One of our national sales customers, 44 00:01:49.680 --> 00:01:53.460 one of the largest food service providers in the world, 45 00:01:53.460 --> 00:01:56.557 they came to us a few years back and said, 46 00:01:56.557 --> 00:02:00.150 "We want to meet our sustainability goals 47 00:02:00.150 --> 00:02:02.520 and we wanna partner with you, Sysco, on doing that, 48 00:02:02.520 --> 00:02:04.230 'cause we see you as the experts, 49 00:02:04.230 --> 00:02:07.440 but we're not getting the data, we're not getting 50 00:02:07.440 --> 00:02:09.210 always the products that we need." 51 00:02:09.210 --> 00:02:11.370 So we're giving them data on which products 52 00:02:11.370 --> 00:02:12.810 have lower carbon 53 00:02:12.810 --> 00:02:16.290 and then they're increasing their spend on those products 54 00:02:16.290 --> 00:02:18.690 so that they can reduce their carbon emissions. 55 00:02:18.690 --> 00:02:23.640 And I talk regularly with the VP who leads that account 56 00:02:23.640 --> 00:02:25.290 and he just talks to me about the amount 57 00:02:25.290 --> 00:02:28.650 that sustainability has helped bring that relationship along 58 00:02:28.650 --> 00:02:29.700 and how it has really helped 59 00:02:29.700 --> 00:02:31.860 to drive growth with that customer. 60 00:02:31.860 --> 00:02:33.570 Can you talk a little bit about what some 61 00:02:33.570 --> 00:02:37.140 of the challenges were and what you learned in that process? 62 00:02:37.140 --> 00:02:40.860 Yeah, the biggest one was data and technology. 63 00:02:40.860 --> 00:02:42.210 And so working with 64 00:02:42.210 --> 00:02:44.520 all of the different global business units, 65 00:02:44.520 --> 00:02:47.100 working with our specialty businesses, 66 00:02:47.100 --> 00:02:49.680 to bring all of that data into one place 67 00:02:49.680 --> 00:02:52.710 and then report it out to the relevant stakeholders. 68 00:02:52.710 --> 00:02:55.110 It needed a lot of planning, it needed a lot of alignment, 69 00:02:55.110 --> 00:02:57.510 and it needed some really thorough processes 70 00:02:57.510 --> 00:03:00.960 in selecting some external help on that journey. 71 00:03:00.960 --> 00:03:02.850 I would say another challenge has been 72 00:03:02.850 --> 00:03:04.380 the rise in regulations. 73 00:03:04.380 --> 00:03:06.450 And so what we're trying to do now is try and use 74 00:03:06.450 --> 00:03:07.740 some of the reporting regulations, 75 00:03:07.740 --> 00:03:09.690 actually as an advantage for us. 76 00:03:09.690 --> 00:03:12.090 By measuring and tracking what we're doing, 77 00:03:12.090 --> 00:03:13.950 we can actually move faster 78 00:03:13.950 --> 00:03:16.250 if we do it in an efficient and pragmatic way. 79 00:03:17.160 --> 00:03:19.920 As sort of some of the pioneers 80 00:03:19.920 --> 00:03:21.930 in this space, in sustainability, 81 00:03:21.930 --> 00:03:24.690 what would be your message to other organizations 82 00:03:24.690 --> 00:03:28.590 that are embarking or are on this journey as well? 83 00:03:28.590 --> 00:03:31.223 If you do this work correctly, 84 00:03:31.223 --> 00:03:35.190 you can provide an opportunity for your business to grow. 85 00:03:35.190 --> 00:03:38.190 Of course, there's a responsibility that we all have 86 00:03:38.190 --> 00:03:40.530 to do this work and do it well. 87 00:03:40.530 --> 00:03:43.680 However, I can get everyone rallied around 88 00:03:43.680 --> 00:03:45.900 the opportunity to grow. 89 00:03:45.900 --> 00:03:47.580 And you can't do it alone. 90 00:03:47.580 --> 00:03:49.140 You need to bring a partner in 91 00:03:49.140 --> 00:03:50.850 who's gonna provide the right thinking 92 00:03:50.850 --> 00:03:53.430 and challenges for you to go in the right direction. 93 00:03:53.430 --> 00:03:57.030 Can you talk a little bit about the collaboration 94 00:03:57.030 --> 00:03:58.830 with BCG and Quantis? 95 00:03:58.830 --> 00:04:00.390 So I think what was really special about 96 00:04:00.390 --> 00:04:02.820 the BCG, Quantis relationship with Sysco 97 00:04:02.820 --> 00:04:04.620 is we felt like one team. 98 00:04:04.620 --> 00:04:07.530 So you're not just getting the strategy and the plan, 99 00:04:07.530 --> 00:04:09.030 but you are getting a partner 100 00:04:09.030 --> 00:04:10.980 who can come and implement it with you 101 00:04:10.980 --> 00:04:13.560 and in partnership with your teams. 102 00:04:13.560 --> 00:04:15.360 Thank you both for joining me today 103 00:04:15.360 --> 00:04:16.980 and thanks for making the time. 104 00:04:16.980 --> 00:04:18.930 Thanks for having us. My pleasure.