Page 38 - FBL AR 2019-20
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Fermenta Biotech Limited
           Annual Report 2019-20




          Our Stakeholder


          Value-Creation Report FY 2019-20



          How we enhanced value in an integrated, inclusive and sustainable way



          Overview                          leading to different reporting strands   including employees, customers, suppliers,
          The Integrated Value-Creation Report   (financial, management commentary,   business partners, local communities,
          represents the cornerstone of corporate   governance and remuneration, and   legislators, regulators and policy-makers
          success. This new measure overcomes the   sustainability reporting) integrated to   - focused on an organisation’s ability to
          limitations of the conventional approach   express an organisation’s holistic ability to   improve value across time. This shift from
          with a more comprehensive framework   enhance value.                the ‘hard’ to ‘soft’ (non-financial data) helps
          that captures a wider set of initiatives   Integrated Reporting explains to providers   screen a Company like Fermenta more
          addressing a larger family of stakeholders.  of financial capital how an organisation   comprehensively.
          The Integrated Reporting approach   enhances value. Its impact extends
          explains the sectoral context, analyses   beyond financial stakeholders; it enhances
          corporate strategy and competitiveness   understanding across all stakeholders -





           Our overall       Positioned as
           value             a large global   Endured across   Focused on one   Multi-decade     Investment
           enhancement       player (Vitamin   market cycles  area with diverse   understanding   in world-class
           strategy              D)                            applications    of technologies   infrastructure





                                                                               Demonstrated
           Reinvestment of     Marketing      Extension into   Increased global   improvement     Proprietary
            profits into the   products across   adjacent product   competitiveness  in operating   manufacturing
              business        50 countries     segments                                           capability
                                                                                 efficiencies





          Drivers of Fermenta’s performance:   enhance the value of their holdings.  consistent engagement. Across all the
          Creating shared value             Our vendors provide credible and a   regions that we operate in, we endeavour
          At Fermenta, we believe that the interplay   continuously supply of resources. Our   our utmost to contribute towards the
          of value for our various stakeholders has   focus is to maximise quality procurement   fulfillment of human rights, in compliance
          translated into our business profitability   through strategic sourcing arrangements   with not only the local laws but also our
          and sustainability.               with the objective to widen our markets,   corporate ethical values.
          Our employees represent the aggregate   strengthening sustainability.  Our governments in the areas of our
          knowledge of how to grow the business   Our customers keep us in business   presence provide us with a stable
          across a range of functions (research,   through a consistent purchase of products,   structural framework that ensures law,
          procurement, manufacturing, marketing,   generating the financial resources to   order, policies etc. Our focus is to serve as a
          technology, finance etc.). Our focus is   sustain our operations. Our focus is to   role model for corporate citizenship.
          to provide an engaging and exciting   cater to a larger number of customers by   At Fermenta, we believe that the prudent
          workplace, generate stable employment   supplying quality products and widen our   interplay of the value generated by each
          and enhance productivity.         basket of offerings.              and our consistent payback ensures
          Our shareholders provided capital for our   Our communities provide the social capital   business sustainability and the ability to
          business ventures. Our focus is to generate   (education, culture etc.). Our focus is to   enhance organisational value.
          free cash, growing RoCE and, in doing so,   support and grow communities through

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