About Klabin – Klabin

About Klabin

WITH 120 YEARS OF OPERATIONS, FOUR BUSINESS UNITS AND 18 INDUSTRIAL UNITS, KLABIN OFFERS THE DOMESTIC AND FOREIGN MARKETS A BROAD MIX OF PRODUCTS BASED ON A PRODUCTION CYCLE THAT STARTS IN ITS FORESTS

—  Klabin aspiration

To become a global benchmark for responsible solutions that respond to the constant transformations of society, with multi-purpose, renewable, recyclable and biodegradable forestry products.

In order to contribute to the development of a sustainable economy and inspire final consumer choices, Klabin prioritizes the prosperity of the planet, generating value for its investors, employees and business partners.

 

—  About us

(GRI 102-1, 102-5, 102-12)

Klabin S.A. is a publicly traded company founded in 1899, operating 17 industrial plants in Brazil and one in Argentina. It is the largest producer and exporter of packaging paper in Brazil, and the only Brazilian company to offer market solutions in hardwood, softwood and fluff pulps, and the national leader in corrugated board packaging and industrial bags.

In order to provide a broad mix of products to the market, Klabin adopts an integrated view of its business, from the forest to production outflow. Its entire production cycle is based on full operational efficiency, with four driving pillars: high performance, innovation, people and sustainability.

Commitment to sustainable development is a premise for Klabin’s business deals. In line with the new macro consumer trends, the company is prepared to offer the market solutions based on secure, lightweight, efficient and recyclable packaging, resulting from renewable, biodegradable and flexible sources.

Klabin has been included in the B3 Corporate Sustainability Index (ISE) since 2014. Also committed to the Sustainable Development Goals (SDGs), the company is a signatory to initiatives such as the UN Global Compact, the National Pact to Eradicate Slave Labor, and the Business Pact for Integrity and against Corruption. The company seeks suppliers and business partners who are committed to the same values in ethics, transparency and respect for the principles of sustainability.

>> IN LINE WITH THE MACRO CONSUMER TRENDS, KLABIN IS PREPARED TO OFFER LIGHTWEIGHT, EFFICIENT AND RECYCLABLE PACKAGING, ORIGINATING FROM RENEWABLE, BIODEGRADABLE AND FLEXIBLE SOURCES <<

 

—  Business units

(GRI 102-2, 102-7)

Forestry

Responsible for the management of forests planted by Klabin, which includes the planning, planting, harvesting and transporting to supply raw material to the company’s pulp and paper mills.

Pulp

Responsible for the production of hardwood pulp (eucalyptus), softwood pulp (pine) and fluff pulp. Manufactured for the first time in Brazil from pine softwood pulp, fluff pulp is an important input for the production of diapers, disposable absorbents and other products.

Paper

The company produces paperboard for liquids and for the food, hygiene and cleaning, electronics and consumer appliances industries, among others. Supported by state-of-the-art technology, Klabin manufactures kraft paper used in corrugated board boxes and industrial sacks, as well as recycled paper.

Packaging

Kraftliner and sack kraft paper is converted into corrugated cardboard and industrial sacks, respectively, to be used by the food, beverage, fruit and vegetable, health and personal hygiene, electronics and consumer appliances, and construction sectors.

—  Location of our operations

(GRI 102-3, 102-4, 102-6, 102-7)

Klabin is headquartered in the city of São Paulo and has 18 industrial units, 17 of which are located in Brazil, and one in Argentina. It has commercial offices in eight Brazilian states, a branch office in the United States, an office in Austria, as well as representatives and commercial agents in several other countries.

The company’s forests are cultivated in three Brazilian states (Paraná, Santa Catarina and São Paulo), with a high level of preservation of one of the most threatened biomes of the country, the Atlantic Forest.

 

—  Highly productive forestry base

In an integrated production chain, pulpwood used to manufacture paper and packaging or sold to the market comes from planted pine and eucalyptus forests, with one of the highest productivity rates in the world and located in areas close to the plants, which makes the operations very competitive.

Klabin’s respect for the environment is closely linked to the essence of its business. The company maintains 43% of its forests for the preservation and maintenance of biodiversity.

 

 

  • 216,000 hectares of native forests

  • 239,000 hectares of planted pine and eucalyptus forests

  • 30,000 hectares were planted on both klabin’s and third-party lands in 2018

—  Production processes and destinations

(GRI 102-6)

Klabin’s products are focused mainly on the food (milk, meat, fruit, among others), health and personal hygiene, cleaning, construction, and electronics and consumer appliances industries. In addition to spearheading the Brazilian market, the company also ships its products to 69 countries worldwide.

Exports

 

Production capacity

Production processes

—  Continuous Improvement

Klabin estimates that for each Brazilian real invested in continuous improvement, BRL 10 returns to the company. This estimate involves the implementation of the Programa Klabin Superar (PKS) [Klabin Overcoming Program], an initiative based on the Total Productive Management (TPM) methodology, adopted since 2002. PKS is composed of pillars focused on various topics (autonomous management, research, planned maintenance and improvement teams, for example) that guide the work of specific Internal Improvement Teams (TIMs) and several other initiatives to solve recurring or more complex problems.

>> IN 2018, THE PROGRAM GENERATED OVER BRL 11.5 MILLION IN REVENUE FOR THE COMPANY. A TOTAL OF 681 INTERNAL IMPROVEMENT TEAMS HAVE COMPLETED THE TRAINING DURING THE 17 YEARS THE PROGRAM HAS BEEN IN FORCE, WITH THE PARTICIPATION OF 4,169 EMPLOYEES <<

People must get involved and be acknowledged to ensure the excellence of processes and products based on continuous improvement. Therefore, in addition to providing training on the Kaizen tool (a Japanese methodology focused on improvement) for facilitators, the Programa Único de Reconhecimento (PUR) [Exclusive Acknowledgement Program] has been established. The initiative rewards employees who participate in continuous improvement projects and activities to enhance results at the plants.

—  Governance

(GRI 102-10, 102-18)

Klabin’s main governance bodies are the General Shareholders’ Meeting, the Board of Directors, the Audit Committee and the Executive Board, which operate jointly to achieve economic, financial, social and environmental results. There were no significant changes in the company’s structure in 2018. Specific changes in its organizational structure, such as the formation of permanent management commissions, were aimed at maintaining an increasingly cohesive team, allowing the company to continue on its growth trajectory in a resilient and sustainable manner.

Permanent Committees Ensure Better Quality And Faster Decisions

Seeking to improve its management practices, Klabin enhanced its corporate governance structure in 2018 by establishing Permanent Committees. With this model, the company set up specific committees divided by topic to discuss, plan and validate business support strategies. The restructuring is in line with the company’s new growth cycle, in the continuous search for improving operational efficiency and strengthening the mapping of business opportunities.

With the new model, Klabin hopes to ensure better quality and faster decision-making processes. Permanent Committees created include “Market Strategy”, “People”, “Investments”, “Innovation”, “Risk Management”, and “Sustainability”. Composed of directors, each group has one sponsor, who ensures the operations of the committee and the relevance of the initiatives, and one representing manager, who is responsible for the dynamics of the operation. All decisions discussed by the Committees are submitted to Klabin’s Executive Board for validation.

—  New structure addresses the current business dynamics

The restructuring of the Industrial Technology, Innovation and Sustainability Department in 2018 reinforces Klabin’s strategy towards sustained growth, competitiveness, meeting customer demands and new business opportunities. The new structure is underpinned by the integration and synergy among several management units.

Automation Technology Management aims to optimize solutions and manage the company’s evolution against the demands in automation, advanced control systems and Industry 4.0. Sustainability and Environmental Management works to consolidate and disseminate corporate sustainability practices in the industrial and forest environments. This structure is reinforced by Innovation Management, Corporate Research & Development Management and General Project Management.

—  Composition of the Executive Board and of the Board of Directors

(GRI 102-18)

EXECUTIVE BOARD (2018)

  • Cristiano Teixeira – Chief Executive Officer
  • Arthur Canhisares – Industrial Director of Paper
  • Gustavo Sousa – Chief Financial and Investor Relations Officer
  • Francisco César Razzolini – Industrial Technology, Innovation, Sustainability and Pulp Business Officer
  • José Totti – Forestry Director
  • Sérgio Piza – People and Corporate Services Director
  • Fábio Medeiros – Legal and Compliance Director
  • Flavio Deganutti – Commercial Director of Paper (Cardboard and Kraft)
  • Douglas Dalmasi – Packaging Director
  • Edgard Avezum Junior – Commercial Director of Coated Boards
  • Gabriella Michelucci – Corrugated Board and Recycled Materials Director
  • José Soares – Commercial Director of Pulp
  • Sadi Carlos de Oliveira – Industrial Director of Pulp
  • Sandro Ávila – Integrated Planning Director

EXECUTIVE BOARD (CURRENT COMPOSITION)

  • Cristiano Teixeira – Chief Executive Officer
  • Arthur Canhisares – Industrial Director of Paper
  • Francisco César Razzolini – Industrial Technology, Innovation, Sustainability and Pulp Business Officer
  • José Totti – Forestry Director
  • Sérgio Piza – People and Corporate Services Director
  • Fábio Medeiros – Legal and Compliance Director
  • Flavio Deganutti – Commercial Director of Paper (Cardboard and Kraft)
  • Douglas Dalmasi – Packaging Director
  • Gabriella Michelucci – Packaging and Corrugated Board Director
  • José Soares – Commercial Director of Pulp
  • Sandro Avila – Operational Planning, Logistics and Procurement Director

BOARD OF DIRECTORS (2018)

EFFECTIVE MEMBERS
  • Armando Klabin
  • Celso Lafer
  • Daniel Miguel Klabin
  • Paulo Sérgio Coutinho Galvão Filho
  • Israel Klabin
  • Roberto Klabin Martins Xavier
  • Francisco Lafer Pati
  • Horácio Lafer Piva
  • Roberto Luiz Leme Klabin
  • Sérgio Francisco Monteiro de Carvalho Guimarães
  • Joaquim Pedro Monteiro de Carvalho Collor de Mello
  • Vera Lafer
  • Helio Seibel
ALTERNATE MEMBERS
  • Bernardo Klabin
  • Reinoldo Poernbacher
  • Amanda Klabin Tkacz
  • Graziela Lafer Galvão
  • Alberto Klabin
  • Lilia Klabin Levine
  • Luis Eduardo Pereira de Carvalho
  • Eduardo Lafer Piva
  • Marcelo Bertini de Rezende Barbosa
  • Olavo Egydio Monteiro de Carvalho
  • Camilo Marcantonio Junior
  • Vera Lafer Lorch Cury
  • Francisco Amaury Olsen

BOARD OF DIRECTORS (2019)

EFFECTIVE MEMBERS
  • Daniel Miguel Klabin
  • Armando Klabin
  • Pedro Oliva Marcilio de Sousa
  • José Luis de Salles Freire
  • Horacio Lafer Piva
  • Israel Klabin
  • Paulo Sergio Coutinho Galvão Filho
  • Roberto Klabin Martins Xavier
  • Roberto Luiz Leme Klabin
  • Joaquim Pedro Monteiro de Carvalho Collor de Mello
  • Sérgio Francisco Monteiro de Carvalho Guimarães
  • Vera Lafer
  • Mauro Cunha
  • Amaury Bier
ALTERNATE MEMBERS
  • Amanda Klabin Tkacz
  • Wolff Klabin
  • Alberto Klabin
  • Francisco Lafer Pati
  • Francisco Amaury Olsen
  • Celso Lafer
  • Vivian do Valle S. L. Mikui
  • Lilia Klabin Levine
  • Marcelo Bertini de Rezende Barbosa
  • Camilo Marcantonio Junior
  • Olavo Egydio Monteiro de Carvalho
  • João Verner Jeunemann
  • Vera Lafer Lorch Cury
  • Luis Eduardo Pereira de Carvalho

—  Risks and internal controls

(GRI 102-11)

Klabin established Risk and Internal Controls Management in 2018. Based on the principles of sustainable growth and transparency, the area seeks to ensure best practices, supporting business units in analyzing their processes with a focus on controls and risk assessment. As such, the company aims to improve its way of handling the matter, adopting a more preventive attitude and making decision-making processes safer.

Risk management identifies, evaluates and monitors potential events and situations that may affect business objectives, providing support to the Executive Board’s Risk Committee. The internal controls area has a focus on security, mapping, standardization and continuous improvement of business processes, seeking to ensure compliance with current regulations.

Full risk assessment

In 2018, the Company’s Risk Policy was updated. The effort involved a detailed risk assessment of 36 areas across all businesses and comprised impact and vulnerability checks, providing a criticality diagnosis of each risk. Strategic, financial, operational, regulatory and environmental risks were considered. For those regarded as highly critical, Risk Management proposed action plans with alternatives for mitigation and controls.

Following approval of the Policy by the Board of Directors, which should occur in 2019, and whenever it is reviewed, the Risk Committee will be responsible for addressing, monitoring and reporting the risks to other departments across the company. Thus, Klabin is moving towards the restructuring of the crisis management process, which further strengthens the basis for sustaining its vision for the future.

—  Policies and codes

(GRI 102-16, 103-2, 103-3)

Decisions at Klabin are based on the high values of morality, dignity, liberty, integrity, loyalty, transparency and justice. As a support to best practices and to maintain the same standards of conduct throughout the company in Brazil and abroad, the company chose a set of codes and policies that strengthens its principles and guides its actions.

The Code of Conduct is one of them. Adopted by all employees and disseminated to suppliers, the document brings together the company’s values and guidelines and guides Klabin’s relationship with its stakeholders. Read the full version of Klabin’s Code of Conduct on the company website.

The Anticorruption Manual aims to strengthen the concepts of the Code of Conduct and reaffirm the company’s commitment to good business practices. It details the anticorruption procedures practiced by the company and explains what acts may be associated with the practice of corruption, including applicable penalties.

The Sustainability Policy formalizes Klabin’s commitments, combining practices, business and operations to produce quality products, a safe environment for employees and the sustainable development agenda, among others. See the Sustainability Policy.

—  Integrity program strengthens commitment to ethics

(GRI 103-1, 103-2, 103-3, 205-1)

Klabin created the Integrity area in 2018, linked to the Legal Department, which allowed for improvements in structuring and planning initiatives related to the matter. With the support of consulting specialists, the integrity risks inherent to the business were mapped, assessed and incorporated into the company’s risk matrix. The work resulted in an improvement plan, which includes a review of policies and procedures, among other actions, combining goals with the implementation of Klabin’s Integrity Program.

The risk mapping process, including those related to corruption, comprised workshops and interviews with all directors, as well as questionnaires applied to the managers of the Klabin units in Brazil and Argentina, totaling 100% of the operations.

The Integrity Program brings together a series of procedures to prevent, detect and remedy conduct that could expose Klabin to undesirable situations, and establishes global best practice initiatives related to the matter. It is aligned with the UN Sustainable Development Goals (SDGs) and is intended for all those who work or interact with Klabin, in public and private interactions.

The Program’s cornerstone is the strengthening of the ethical culture, having as strategic pillars the Code of Conduct, the Anticorruption Manual, the Competition Policy (currently being disseminated in 2019) and the Ombudsman’s Office. The company is a signatory to the Business Pact for Integrity and Against Corruption and adheres to the Ethos Institute’s Charter of the Entrepreneurial Movement for Integrity and Transparency.

PRACTICES ADOPTED THROUGH THE INTEGRITY PROGRAM

· Elaboration of standards, policies and procedures to mitigate identified risks;
· Communication actions, including Klabin Ethics Week;
· Training on issues related to competition, harassment, anti-corruption, among others;
· Complaint channel, with proper management and investigation of reported cases (comprising the Internal Audit area);
· Due diligence of integrity in commercial transactions possibly posing risks to the company.

—  Preventing and fighting corruption

(GRI 103-1, 205-1, 205-3)

Corruption is considered a critical issue, posing risks to the business. Therefore, Klabin promotes initiatives on several fronts, guided by its Code of Conduct and the Anticorruption Manual, materials that are delivered and disclosed to all employees, who are required to attest their receipt, acknowledgement and commitment by signing. Commercial partners must adhere to the Code of Conduct and the Anticorruption Manual, in compliance with clauses set forth in business contracts.

In addition to the communication actions, Klabin promotes training on the issue for all employees (see table below). In order to improve the management of the issue and ensure a wider reach of the prevention actions, the company may train specific groups of employees, based on the criticality of their interactions with the public authority, as previously identified in the corruption risk assessment. The company has also been targeting efforts to intensify and improve communication and training actions on the Anticorruption Policy to suppliers and service providers, sorting these groups by level of criticality, a process that is already in progress and should be consolidated by 2020.

Conflicts of interest

Some measures to be implemented soon intend to further empower the company’s managers on potential conflicts of interest. A specific policy on the matter is under discussion. The Know Your Vendor questionnaire is expected to be implemented – a methodology widely used to monitor the supply chain – and acquisition of a specific risk assessment and third-party management system is also planned.

In 2018, no public corruption lawsuits were brought against the company or its employees.

—  Anticorruption communication and training

(GRI 205-2)

In 2018, almost 70% of Klabin’s direct employees were informed on anticorruption procedures and policies; 36% of them were trained on the topic. Among the members of the company’s management bodies, 100% were informed on the topic, while 92% of them were trained. Almost 95% of the service providers were informed on the topic.

Direct employees trained and informed on anticorruption policies and procedures by region1

2018 2017 2016
Informed Trained Informed Trained Informed Trained
Northern Region Total 33 14 32 15 36 8
% 13,64% 5,79% 16,00% 7,50% 12,04% 2,68%
Northeastern Region Total 427 116 135 116 149 122
% 33,13% 9,00% 10,76% 9,24% 11,51% 9,43%
Southeastern Region Total 2.531 835 2.266 841 1.429 720
% 86,71% 28,61% 72,70% 26,98% 45,18% 22,76%
Southern Region Total 6.873 4.156 6.657 3.942 6.166 3.132
% 69,99% 42,32% 67,71% 40,09% 70,60% 35,86%
Total Total 9.864 5.121 9.090 4.914 7.780 3.982
% 69,12% 35,89% 63,11% 34,12% 58,06% 29,72%

1 The company did not have employees in the Midwest region in the period.

 

Members of the company’s management bodies trained and informed on anticorruption policies and procedures1

2018 2017 2016
Informed Trained Informed Trained Informed Trained
Total 13 12 14 14 15 11
% 100,00% 92,31% 100,00% 100,00% 100,00% 73,33%

1 All members of governance bodies are in the Southeastern region.

 

Parceiros de negócios treinados e comunicados em políticas e procedimentos de combate à corrupção1

2018 2017 2016
Informed Trained Informed Trained Informed Trained
Total 998                       – 873                       – 737                       –
% 94,42% 0,00% 90,84% 0,00% 88,58% 0,00%

1This item reports the total number of service providers (considering all regions) and, of this total, the number whose contracts include an Anticorruption Clause. The difference between the numbers corresponds to price agreements, software contracts, partnership contracts, leases, contracts with real estate companies and airline operators.

—  Training on the Competition Policy

(GRI 103-1, 103-2, 103-3)

In 2018, Klabin held training on competition law for approximately half of its employees in the commercial area (analysts, managers and directors). Dissemination of the Competition Policy to employees and a new round of classroom and distance learning training through the Klabin Business School (ENK) are planned for 2019.

—  Reinforcement of the complaint process

(GRI 103-1, 103-2, 103-3)

Klabin adopts procedures to identify and follow-up discussions and legal compliance on possible situations related to human rights, such as Ombudsman channels, for internal and external stakeholders. The Integrity Committee, which should come into force in 2019, reinforces the company’s governance evolution with respect to the issue. The body consists of representatives from Legal, the People and Corporate Services division, and a Commercial Director (on a rotational basis), and will be responsible for evaluating complaints.

In the future, it will also rely on the help of an independent consultant and an audit. The objective is that the information gathered from this process can be used as a management tool to address the sources of the problems, with actions to prevent any violation of human rights and enable impacts to be mitigated.

—  Dialogue channels

(GRI 103-2)

The channels for receiving and forwarding complaints at Klabin are the company-wide Ombudsman’s office and Fale com a Klabin [Talk to Klabin] for the forestry departments.

The Ombudsman’s office (contact form on the website) follows the Ombudsman Policy, which establishes the procedure to be implemented, ensuring the secrecy and proper analysis of each complaint received involving ethical and conduct issues set forth in the Code of Conduct and Anticorruption Manual. Audit and Ombudsman Management is responsible for this channel, which is in charge of receiving and investigating complaints, either directly or together with the areas involved.

The Internal Audit department handles fraud, bribery, conflicts of interest and illicit gain complaints. In other cases, complaints are forwarded to the responsible departments. The People and Corporate Services Board is copied on all events due to its key role in appraising and investigating the cases.

Klabin’s demand management flow (toll-free line, e-mail and suggestion boxes) starts with an initial assessment by the Community Relations department, which registers the event in a spreadsheet, forwards it to the responsible area, and monitors the entire process up to its closure. When the complaint is not anonymous, the petitioner is constantly updated on the process.

Grievances, reports and complaints in 2018

In 2018, Klabin received 2,338 complaints through its communication channels. A total of 963 complaints were received through the Ombudsman’s office and involved human rights and labor issues such as abuse of power, moral harassment, irregular conduct, conflict of interest, discrimination, questions on benefits and recruitment processes, among others.

The 1,155 cases received by Fale com a Klabin mostly included complaints arising from truck traffic, such as noise, dust, road damage and speeding. Other complaints mainly included requests for the removal of trees that are too close to homes or shading plantations.

Of the total complaints received through the two channels, 2,162 (92%) had already been resolved by the completion of this report.

 

Complaint Mechanisms

2018 2017 2016
Total number of complaints 2.338 2.197 1.499
Forwarded 2.338 2.197 1.499
Resolved 2.162 2.027 1.454
Pending 176 170 45
Pending complaints from prior periods, resolved in 2018 112 45  –

 

—  Sustainability Governance

(GRI 102-18)

In light of its growth strategy, Klabin revised its executive governance structure for Sustainability in April 2018, enabling the company to take a step forward in the evolution of its management practices. The previous structure gave way to a Permanent Sustainability Commission, consisting of five directors and one manager.

The group meets every three months to define guidelines, assess the need for investments and prioritize initiatives, promoting discussions and deliberation on sustainability-related topics to be referred to the Executive Board for final review and approval. With this new structure, the company expects to ensure quality and prompt decision-making, leveraging the sustainability management process.

—  Sustainability Vision

We believe that Sustainability is a continuous creation of value, focusing on the balance between the economic, social and environmental spheres. We are a unique and responsibly managed forestry company committed to the principals of biodiversity. We work collaboratively with our customers and suppliers, constantly striving to innovate and improve our products and processes. We encourage the engagement and development of our collaborators and the communities in which we operate, promoting the sustainable improvement of results across the entire value chain.

—  Sustainability Policy

  • Seek to consistently and competitively improve results by researching, developing and continuously improving both new and existing processes, products and services, to meet the expectations of customers, employees, shareholders, the communities, suppliers and other stakeholders.

  • Promote cooperation with customers, suppliers, academia and other stakeholders in the quest for innovation in products and processes and value chain improvements.

  • Guarantee the appreciation of the forest holdings from their transformation into sustainable and competitive products.

  • Ensure the supply of planted timber to the company’s industrial units in a sustainable manner, without harming associated natural ecosystems, in the company’s own operations and those of developed producers.

  • Practice and promote the recycling of cellulose fibers across the production chain.

  • Avoid and prevent pollution by reducing environmental impacts related to wastewater, solid wastes and atmospheric emissions, constantly considering these factors in the maintenance and improvement of production processes, product development and upgrading, forestry and logistical operations, and the monitoring of the economic and socio-environmental aspects of critical suppliers.

  • Seek to apply the most efficient and current technologies and engineering solutions in the implementation of new projects and ventures, ensuring the protection of human health, natural resources and the environment.

  • Promote the personal and professional growth of the company’s employees and seek to continuously improve working conditions, health and safety.

  • Promote an ethical company culture and develop the best practices of corporate governance.

  • Observe the United Nations (UN) Sustainable Development Goals (SDG) and direct the company’s actions and investments to support its objectives, acting in a positive way in favor of the socio-environmental development of the areas in which it operates.

  • Practice social responsibility with principals of private social investment, directed towards local development and education.

  • Comply with the legislation and standards applicable to its products, the environment, health and safety.

  • Ensure that the company’s operations are constantly seeking to reduce greenhouse gas emissions (GHG).

—  Sustainable Development Goals

Klabin voluntarily adhered to the Sustainable Development Goals (SDGs) in 2016. This United Nations initiative brings together governments, civil society and the private sector on a global agenda for people, the planet, peace and prosperity, setting global priorities and aspirations for 2030. Since then, Klabin has been working not only to distinguish the initiatives it already adopts to contribute to such agenda, but also to identify new action opportunities and increasingly integrate the SDGs into the company’s strategic planning. To learn more about the SDGs, visit the website.

The company worked on creating its own sustainable development agenda in 2018, the 2030 Klabin Agenda. A materiality matrix was drawn up with the support of a consulting company, indicating the dimensions identified as priorities for sustainability. Such effort involved interviews with 36 managers, covering all of Klabin’s businesses, and consultations with suppliers and partners during the “Inova Klabin” event, which promoted debates and discussions with society on important topics related to innovation, technology and sustainability (see the Research, Development and Innovation chapter).

Prioritizing the identified topics is the basis of the 2030 Klabin Agenda, with short-, medium- and long-term goals, and will give rise to the Klabin Sustainable Development Goals (Klabin Sustainable Development Goals). The document will be forwarded for validation by the Sustainability Committee, established in 2019, and then the Permanent Sustainability Committee, aiming at the effective implementation of the KODS.

Engagement

Even prior to the launch of Klabin Sustainable Development Goals the Sustainability team has been visiting several business units since 2018 to disseminate the SDGs and Klabin’s initiatives.

The topic has been disseminated to external stakeholders with the launch of the web series “For a Renewable Future” – monthly videos on sustainability posted on Klabin’s social networks. Click here to watch the videos posted so far.

—  Participation by sector

(GRI 102-13)

Klabin’s participation in national and international associations and organizations as an associate, committee or commission member, or as a member of the entity’s governance board strengthens the company’s sustainability governance.

 

Entity Participation in governance bodies Participation in committees
Indústria Brasileira de Árvores (IBÁ) [Brazilian Tree Industry] Full member Certification Committee; Climate Change Committee; Forestry Steering Committee; Forestry Protection Committee; Biotechnology Committee; Biodiversity Committee; Working Group for the National Policy on Solid Waste;
Associação Brasileira do Papelão Ondulado (ABPO) [Brazilian Association of Corrugated Cardboard] Presidency Grupo Mercado de Aparas [Chip Market Group]; Tax Group;
Associação Brasileira Técnica de Celulose e Papel (ABTCP) [Brazilian Technical Association of Pulp and Paper] Vice-Chairman of the Executive Board
Associação dos Usuários SAP do Brasil (ASUG Brasil) [SAP Users Association of Brazil] Board of Education
CIONET  Board
Sindicato das Indústrias de Papel e Celulose do Paraná [Paraná Pulp and Paper Industry Union] Executive Board (alternate)
Sindicato da Indústria de Papelão do Estado de São Paulo (Sinpesp) [São Paulo State Cardboard Industry Union] Chairmanship
Sindicato da Indústria do Papel, Celulose e Pasta de Madeira para Papel no Estado de São Paulo (SIP/SP) [São Paulo State Paper, Pulp, and Wood Pulp Industry Union] Board of Directors
Associação Paranaense de Empresas de Base Florestal (Apre) [Paraná Association of Forestry-based Companies] Vice Presidency
Associação Paulista de Produtores de Florestas Plantadas (Florestar São Paulo) [São Paulo Association of Planted Forest Producers] Full member
Association of Owners of Private Reserves of Natural Heritage of Santa Catarina Associate
Working Group for Environmental Education of River Basin Region 4 of the state of Santa Catarina Representative
Associação Catarinense de Empresas Florestais (ACR) [Santa Catarina Association of Forestry Companies] Vice Presidency
Research entities
Forest Studies and Research Institute (IPEF) Deliberative Council; Full member; Full member; Group of forestry companies in partnership with the Universidade de São Paulo (USP); Forestry Certification Cooperative Program; Micro-basin Cooperative Monitoring Program; Forestry Management Cooperative Program
Sociedade de Investigações Florestais (SIF) [Society for Forest Research] – Universidade Federal de Viçosa Deliberative Council Board Member
Universidade do Estado de Santa Catarina (Udesc) Partnerships for research Technical and Scientific Cooperation Agreement
Other entities
Management Committee of the Canoas River Basin Advisory Committee
Tibagi River Basin Committee Full member
Consortium for Environmental Protection of the Tibagi River (COPATI) Board of Directors
Coalizão Embalagens – PNRS (IBÁ) [Packaging Coalition] External Coordination
Empresas pelo Clima (EPC – FGVces) [Companies for the Climate] Participant member
Simulação de Sistema de Comércio de Emissões (SCE-FGVces) [Simulation of the Emissions Trading System] Participant member
Iniciativa Ciclo de Vida Aplicado (CIVIA – FGVces) [Applied Life Cycle Initiative] Participant member
Comitê de Sustentabilidade e Meio Ambiente ABRE (Associação Brasileira de Embalagens) [Brazilian Packaging Association’s Sustainability and Environment Committee] Participant member
Climate Change Committee (IBÁ) Participant member
GT Inventário de Gases de Efeito Estufa (IBÁ) [Working Group on Greenhouse Gas Inventory] Participant member
Global Compact – Thematic Group on Energy and Climate Participant member
Brazilian GHG Protocol Program (PBGHGP) Participant member
Balanço Energético Nacional (BEN) [National Energy Balance] Participant member
ECOVADIS Participant member
Compromisso Empresarial para Reciclagem (CEMPRE) [Business Commitment to Recycling] Participant member
Corporate Movement for Biodiversity Communication Committee
World Containerboard Organisation (WCO) Executive Board
International Corrugated Case Association (ICCA) Executive Board
Central America and Mexico Coniferous Resources Cooperative (Camcore), North Carolina (USA) Scientific Committee Member of pine research and studies consortium
Sociedade de Investigação Florestal (SIF) [Forest Research Society] at Universidade de Viçosa Chairmanship
Grupo Executivo de Tecnologia (GETEC) [Executive Technology Group] Member
FSC International Full member Policy and Standards Committee (PSC)
Diálogo Florestal [Forest Dialogue] – PR/SC Forum Full member
Diálogo Florestal [Forest Dialogue] – SP Forum Steering Committee
National Forest Dialogue Steering Committee
The Forests Dialogue Full member; Leader; Advisory Board Steering Committee; Executive Team; Tree Plantations in Landscape; Land Use Dialogue;
Overseas research partnerships
Forest Productivity Cooperative (FPC) North Carolina State University; University of Toronto; Lund – University of Sweden
Central American and Mexico Coniferous Resources Cooperative Scientific Committee; Member of pine research and studies consortium
University of Toronto Pulp and Paper Consortium
Melodea Executive Board
North Carolina State University (NCSU) Research Committee Member
Research Institutes of Sweden (RISE) Research Committee Member
Associação Brasileira Técnica de Celulose e Papel (ABTCP) [Brazilian Technical Association of Pulp and Paper] Executive Board, Committee Member of the Board, Technical Committees
Comitê de Produtores – Tappi Nano [Producers Committee – Tappi Nano] Member Member of the Committee

 

—  Voluntary commitments undertaken

  • Global Compact, since 2003

    AN INTERNATIONAL GROUP OF COMPANIES THAT SUPPORTS THE UNITED NATIONS’ (UN) ESPOUSAL OF TEN PRINCIPLES THAT BRING TOGETHER FUNDAMENTAL VALUES IN THE AREAS OF ENVIRONMENT, HUMAN RIGHTS AND LABOR AND ANTI-CORRUPTION. THE GLOBAL COMPACT RELIES ON THE VOLUNTARY PARTICIPATION OF COMPANIES IN THE SEARCH FOR A MORE SUSTAINABLE AND INCLUSIVE GLOBAL ECONOMY. IN 2018, KLABIN SUPPORTED THE PROJECT “THE WORLD WE WANT”, WHICH PROMOTES AWARENESS OF HUMAN RIGHTS AND DIVERSITY WITH A MONTHLY AGENDA OF DEBATES, CULTURAL SHOWS AND FESTIVALS TARGETING GROUPS SUCH AS WOMEN, INDIGENOUS PEOPLES, LGBTQI+, REFUGEES AND BLACK COMMUNITIES. LEARN MORE AT http://omundoquequeremos.org.br/

  • Sustainable Development Goals (SDGs), since 2015

    THESE ARE THE CURRENT OBJECTIVES PROPOSED WITHIN THE MILLENNIUM GOALS INITIATIVE. THEY CONSTITUTE A GLOBAL DEVELOPMENT AGENDA WITH 17 OBJECTIVES AND 169 GOALS SET OUT BY THE UNITED NATIONS (UN) FOR GOVERNMENTS, CIVIL SOCIETY AND THE PRIVATE SECTOR.

  • UN WOMEN’S EMPOWERMENT PRINCIPLES, SINCE 2018

    TO REINFORCE ITS COMMITMENT TO DIVERSITY AND TO PROMOTE AN INCLUSIVE ENVIRONMENT, KLABIN ADHERED TO THE SEVEN WOMEN’S EMPOWERMENT PRINCIPLES (WEPS), IN 2018. THIS UNITED NATIONS (UN WOMEN) INITIATIVE FOR GENDER EQUALITY GUIDES COMPANIES IN THE EMPOWERMENT OF WOMEN WITHIN THE ORGANIZATIONS, THEIR VALUE CHAINS AND WITHIN THEIR COMMUNITIES. LEARN MORE AT http://www.onumulheres.org.br/.

  • CORPORATE MOVEMENT FOR INTEGRITY AND TRANSPARENCY, SINCE 2018

    CREATED BY THE ETHOS INSTITUTE, THIS MOVEMENT AIMS TO DEFINE STRATEGIES AND PRIORITIES FOR ENGAGING BUSINESS LEADERS IN THE INTEGRITY AGENDA, WITH A SPECIAL FOCUS ON IMPROVING PUBLIC-PRIVATE RELATIONS AND STRENGTHENING PREVENTION AND THE FIGHT AGAINST CORRUPTION IN BRAZIL.

  • Carbon Disclosure Project (CDP), desde 2006

    GLOBAL INITIATIVE TO FOSTER DIALOGUE BETWEEN INVESTORS AND COMPANIES THAT SEEK TO MINIMIZE THE ENVIRONMENTAL IMPACTS OF THEIR BUSINESSES ON CLIMATE CHANGE.

  • Empresas pelo Clima (EPC) [Companies for the Climate], since 2009

    A PERMANENT CORPORATE PLATFORM AIMED AT MOBILIZING AND EDUCATING BUSINESS LEADERS ON THE MANAGEMENT AND REDUCTION OF GREENHOUSE GAS (GHG) EMISSIONS, CLIMATE RISK MANAGEMENT AND THE PROPOSAL OF PUBLIC POLICIES AND POSITIVE INCENTIVES IN THE CONTEXT OF CLIMATE CHANGE.

  • Corporate Sustainability Index (ISE), since 2013

    CREATED IN DECEMBER 2005 BY THE FORMER BM&FBOVESPA, CURRENTLY B3, THE INDEX SEEKS TO EVALUATE DIFFERENT ASPECTS OF SUSTAINABILITY IN AN INTEGRATED MANNER. ITS OBJECTIVE IS TO INDUCE GOOD PRACTICES IN THE BRAZILIAN BUSINESS ENVIRONMENT. THE COMPANIES ARE SELECTED BASED ON CRITERIA ESTABLISHED BY THE SCHOOL OF BUSINESS ADMINISTRATION OF SÃO PAULO, AT FUNDAÇÃO GETULIO VARGAS (EAESP-FGV).

  • IDLocal, since 2013

    THE LOCAL DEVELOPMENT AND MAJOR PROJECTS INITIATIVE (IDLOCAL) AIMS TO EDUCATE THE BUSINESS SECTOR TO REFLECT, EXCHANGE EXPERIENCES AND BUILD PROPOSALS AND BUSINESS GUIDELINES FOR LOCAL DEVELOPMENT. IT PROMOTES DIALOGUE, STUDIES, ARTICULATION AND CO-CREATION OF LOCAL MANAGEMENT PROPOSALS, METHODOLOGIES AND TOOLS. IT AIMS TO INTEGRATE LOCAL DEVELOPMENT INTO THE BUSINESS STRATEGIES OF COMPANIES RESPONSIBLE FOR INVESTMENTS IN THE MOST VULNERABLE TERRITORIES.

  • National Pact for the Eradication of Slave Labor, since 2013

    LAUNCHED IN 2005, IT BRINGS TOGETHER BRAZILIAN AND MULTINATIONAL COMPANIES THAT HAVE MADE A COMMITMENT NOT TO NEGOTIATE WITH THOSE WHO EXPLOIT SLAVE LABOR. IN ADDITION TO ECONOMICALLY RESTRICTING EMPLOYERS WHO COMMIT THIS CRIME, THE PACT PROVIDES FOR THE PROMOTION OF HONEST WORK, THE SOCIAL INTEGRATION OF VULNERABLE WORKERS AND THE FIGHT AGAINST UNLAWFUL RECRUITING FOR FORCED LABOR. COMPANIES THAT ARE SIGNATORIES TO THIS INITIATIVE PARTICIPATE IN THE PROCESS OF MONITORING THE PACT AND ARE COMMITTED TO MAKING THE RESULTS OF THEIR EFFORTS TO FIGHT SLAVE LABOR PUBLIC.

  • Business Pact for Integrity and Anti-Corruption, since 2013

    THE PACT WAS LAUNCHED IN JUNE 2006, BY THE ETHOS INSTITUTE OF BUSINESS AND SOCIAL RESPONSIBILITY, UNIETHOS – TRAINING AND DEVELOPMENT OF SOCIALLY RESPONSIBLE MANAGEMENT, PATRI GOVERNMENT RELATIONS & PUBLIC POLICY, UNITED NATIONS DEVELOPMENT PROGRAM (UNDP), THE UNITED NATIONS OFFICE ON DRUGS AND CRIME (UNODC) AND THE BRAZILIAN COMMITTEE OF THE GLOBAL COMPACT. THE MAIN COMMITMENTS EXPRESSED IN THE TEXT ARE: INFORMATION ON LEGISLATION; DISCLOSURE, GUIDANCE AND ANSWERS ON LEGAL PRINCIPLES APPLICABLE TO ITS ACTIVITIES; PROHIBITION AGAINST BRIBERY; TRANSPARENT AND LAWFUL CONTRIBUTION TO POLITICAL CAMPAIGNS; PROPAGATION OF PRINCIPLES OF THE PACT; OPEN AND TRANSPARENT INVESTIGATIONS; AND PERFORMANCE IN THE PRODUCTION CHAIN. KLABIN IS COMMITTED TO FOLLOWING ETHICAL PRINCIPLES AND JOINING THE FIGHT AGAINST CORRUPTION, ADOPTING ASPECTS REVIEWED ANNUALLY BY THE PACT AS A MEANS OF IMPROVING ITS INTEGRITY PROGRAM. IN THE ASSESSMENT CARRIED OUT IN 2017 BY INPACTO, AN INSTITUTE THAT MONITORS THE MEMBER COMPANIES, KLABIN WAS MENTIONED AS ONE OF “THE COMPANIES MOST COMMITTED TO THE FIGHT AGAINST SLAVE LABOR”. THE WORK CONTINUOUSLY PROMOTED BY THE COMPANY, APPROVED BY ITS BOARD OF DIRECTORS, GAINED RECOGNITION AS A RELEVANT INDICATOR OF “HOW SERIOUSLY THE ISSUE IS ADDRESSED”.

—  Recognition of best practices

For its sustainability-oriented practices, Klabin received the following new or continued recognitions in 2018:

B3 Corporate Sustainability Index (ISE)

The index aims to create an investment environment compatible with sustainable development, as well as to promote ethical responsibility by acknowledging best business practices. Klabin has been in the portfolio for six consecutive years.

Spott Timber & Pulp

Klabin was included for the second time in the Spott Timber & Pulp, which evaluates public information regarding policies, operations and commitments to the best environmental, social and governance practices of 50 pulp and wood producers in the world. The company is ranked third in the industry’s global list, reinforcing the consistency and level of transparency of its sustainability practices.

The most loved companies – professionals’ choice, Love Mondays website

Klabin was cited as one of the 50 best evaluated companies in the Love Mondays ranking, a platform that registers workplace assessments on companies in Brazil. The opinions of professionals from more than 170,000 companies in Brazil were taken into account to compose the list, which considered criteria such as quality of life, career opportunities, compensation and benefits, and company culture. Klabin stood out mainly in the last two criteria and reached a 90% approval margin from its employees, who stated that they would recommend the company.

Most Humane Companies in Brazil

Klabin stood out among the 22 most “humane” Brazilian companies for its responsible practices, in an unprecedented survey conducted in the country by the Universidade de São Paulo (USP), in partnership with the Instituto Capitalismo Consciente and the Trustin consulting firm. Over 1,000 companies were assessed through the opinion of their employees, customers, suppliers, investors and partner entities. Survey respondents indicated values such as ethics, sustainability, environmental awareness, innovation, safety and social responsibility as attributes that stand out in Klabin.

STRAIGHT As FOR KLABIN

Klabin was featured for the first time in the “A List”, the leadership classification by the Carbon Disclosure Project (CDP), for its Water Management, Climate Change and Supply Chain programs. For the Forestry Program, the company was classified at the management level. Such recognition positions Klabin among the companies acknowledged by the institution as leaders in the transition to the new sustainable economic model.