ESG: the guiding principle for SABECO

December 18, 2024 - 08:16
At Saigon Beer-Alcohol-Beverage Corporation (SABECO), Environmental, Social, and Governance (ESG) principles form the cornerstone of every business operation, product innovation, and community initiative.

 

Numerous SABECO breweries have adopted rooftop solar power systems, saving 25 million kWh of electricity annually and reducing carbon emissions by 18,000 tonnes each year. Photo courtesy of SABECO

 

HÀ NỘI At Saigon Beer-Alcohol-Beverage Corporation (SABECO), Environmental, Social, and Governance (ESG) principles form the cornerstone of every business operation, product innovation, and community initiative.

The company is committed to driving sustainable development, positively impacting the socio-economic landscape, and enhancing the lives of people in Việt Nam. By integrating ESG into its core values, SABECO ensures its long-term success while contributing to the welfare of the country and its communities.

As one of Việt Nam’s leading enterprises, SABECO has continuously demonstrated its dedication to driving economic and social progress. By applying global best practices in production and business, the company adheres to the three pillars of ESG - Environmental, Social, and Governance-throughout its operations. ESG is not merely a strategic initiative for SABECO but a key measure of transparency, business sustainability, and workforce development, ensuring long-term value creation for the company, its employees, and its partners.

"Sustainable development is closely tied to our mission to share the value created by every employee. That's why we maintain safe working conditions, prioritize physical and mental well-being, and foster an inclusive workplace where diversity is respected," a SABECO representative explained.

The company also plays a significant role in improving local living conditions, creating job opportunities across Việt Nam, and enhancing the overall quality of life in the communities it serves.

SABECO takes the "E" and "G" factors of ESG seriously, which have yielded tangible business results. With a strong focus on reducing environmental impact, many SABECO breweries have implemented solar energy systems, collectively saving 25 million kWh of electricity annually - equivalent to a reduction of 18,000 tons of CO2 emissions.

Thanks to these environmentally friendly initiatives and its robust governance practices, SABECO has seen promising results in its financial performance. In 2024, the company is on track to achieve a revenue target of VNĐ34.4 trillion (a 12.9 per cent increase from the previous year) and an after-tax profit of VNĐ4.58 trillion (up 7.6 per cent).

A SABECO’s representative said: "Strengthening corporate governance, maintaining an effective management system, and adhering to legal and regulatory requirements have brought us sweet results, enabling us to make sustainable contributions to the economy."

 

SABECO Sports Hub is implemented with the aim of promoting a healthy, balanced and active lifestyle in the community. Photo courtesy of SABECO

 

SABECO is deeply invested in community development. Through its "SABECO Sports Hub - Connecting Vietnamese Spirit" programme, the company organises football tournaments and cultural events in rural areas, fostering community spirit and creating opportunities for local youth. This initiative, along with various other community-focused projects, contributes to the long-term sustainable development of Việt Nam's localities by improving health, wellness, and social engagement.

The company’s commitment to sustainability has also earned SABECO prestigious recognition. In 2024, the company was named to the "Top 100 Sustainable Enterprises" list, an honor bestowed by the Việt Nam Chamber of Commerce and Industry (VCCI) for its dedication to implementing effective ESG practices.

Innovation and technology: SABECO’s path to sustainable growth

SABECO’s commitment to sustainability is exemplified in its investment in advanced technology, as seen with the launch of the SABECO Beer Research and Development Centre. The SRC serves as the epicenter of innovation, enabling the company to master brewing technology, produce high-quality beer products, and elevate the Vietnamese beer industry to international standards.

The centre is equipped with state-of-the-art machinery from Europe and leverages AI and automation to ensure consistent product quality, from raw materials to finished goods. SABECO’s investment in modern machinery has also proven cost-effective, with the company significantly reducing costs by modifying imported machinery to suit local conditions, further demonstrating its commitment to efficient and sustainable operations.

“The SRC represents the future of our growth. It’s not just a facility; it's a training hub for the next generation of brewers, where new ideas can take shape and lead the way for the future of Việt Nam’s beer industry," said Lester Tan, General Director of SABECO.

The centtre embodies SABECO’s vision for a sustainable and innovative future. With a workforce of around 50 expert brewmasters trained in the US and Germany, the center’s team is dedicated to producing beers that cater to both domestic tastes and international quality standards. The emphasis on employee well-being, technological integration, and environmentally conscious practices ensures that SABECO’s operations remain in harmony with its ESG goals.

SABECO’s investment in sustainable practices, combined with its focus on innovation and community development, highlights its commitment to making a positive impact. The company’s ongoing efforts to reduce energy consumption, minimize waste, and support local communities are clear indicators that ESG principles are not just a set of guidelines but are deeply embedded in SABECO’s corporate DNA.

As SABECO continues to grow and innovate, its focus on ESG principles will remain a key driver of its success. By balancing business performance with social responsibility and environmental stewardship, SABECO is not only strengthening its position as an industry leader but also contributing to a more sustainable future for Việt Nam and its people. Through this holistic approach, SABECO is well-positioned to lead the charge in the next chapter of sustainable development in the global beverage industry. VNS

 

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