Sustainability governance in Novozymes
Novozymes’ purpose, which was introduced in early 2015, integrates sustainability at the heart of Novozymes. Sustainability is a key component of business strategies and management processes across Novozymes.
As sustainability is such an integral part of Novozymes’ purpose and strategic direction, it is governed by the Board of Directors and the Executive Leadership Team. The Board is responsible for overseeing financial, social and environmental performance as part of the Executive Leadership Team’s day-to-day running of the company.
In 2018, Novozymes established the SDG Governance Board to build a shared understanding of the risks and opportunities associated with the UN Sustainable Development Goals and to translate this knowledge into corporate priorities and targets. The SDG Governance Board consists of an Impact Board and a Foundation Board. In June 2019, Novozymes launched its updated strategy, Better business with biology, and new targets, and the Novozymes’ SDG Governance Board played a fundamental role in this process.
SDG Impact Board
The Impact Board sets Novozymes’ strategic global direction and ambition in respect of the SDGs. The board also develops and executes a strategy for integrating sustainability into business strategies and management processes. The Impact Board consists of the Executive Leadership Team as well as a number of SVPs and VPs from different areas of the business.
SDG Foundation Board
The purpose of the Foundation Board is to provide the foundation for ensuring that Novozymes’ sustainability performance in our operations, supply chain and other functions allows us to build on and maintain our sustainability leadership position. The Foundation Board consists of SVPs and VPs representing a variety of Novozymes’ functions.
Performance & Remuneration
Sustainability KPIs are included in Executive Leadership Team and Senior Leadership Team scorecards which are reviewed regularly. Sustainability metrics are also included in Executive and senior management’s remuneration programs.
Global Sustainability & Public Affairs
Global Sustainability & Public Affairs works to ensure that Novozymes is able to influence and leverage global sustainability and political trends to support our commercial objectives. The department responds to investor and customer queries, supports the annual report, conducts trend analyses and stakeholder mappings, and integrates key learnings into the business. This team also conducts life cycle assessments and documents sustainability benefits to support the development of product value propositions. Novozymes also has regional sustainability managers at various sites to drive local sustainability agendas where we operate.
Our public affairs teams are responsible for maintaining relationships with key non-commercial stakeholders (e.g. governments, NGOs, trade associations) and advocating for favorable policy regimes across all regions.