Kraft Heinz

Tackling Stunted Growth in Indonesia

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Author

bunga ludmilla

bunga ludmilla

School

IPMI International Business School

IPMI International Business School

Professor

Amelia Naim Indrajaya

Amelia Naim Indrajaya

Global Goals

2. Zero Hunger 3. Good Health and Well-Being

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Summary

Kraft Heinz Micronutrient Campaign offers an opportunity for those who come from low-income to high-income communities to learn about the importance of nutrition for kids and expectant mothers. In order to make this campaign possible, Kraft Heinz also commits to produce better products and create a corporate social responsibility (CSR) program by partnering with the government and a Non-Governmental Organization (NGO) called Rise Against Hunger. They create this program with the purpose of reducing hunger and increasing good health and well-being in society.

In Indonesia, Kraft Heinz Micronutrient Campaign has run for almost four years. They believe by continuing this program they can contribute to improving the quality of human resources in Indonesia by the end of 2022. Through this campaign, they have successfully distributed 350,000 nutritious food packages, built many integrated service posts in Indonesia (Pos Pelayanan Terpadu) and developed a curriculum about the importance of nutrition for many underprivileged communities across the country. These actions aim to eventually broaden people’s perspective and offer a higher level education to targeted communities. This may be accomplished by expanding the existing program or partnering with another organization.

Innovation

As a multinational company, Kraft Heinz has a global vision to be the best food company & grow a better world. Growing a better world affirms their dedication to acting as a good corporate citizen. They focus on the sustainable health of people, the planet and the company. In the interview, they emphasized that their success is not only measured by profit, but by how much of a contribution they can give to society. In that sense, they created the Kraft Heinz Micronutrient campaign as their commitment to reducing hunger and improving health and well-being. In this campaign, they pack food that contains 18 main vitamins, minerals and iron as nutritional supplements for children so they can grow and develop optimally.

Through this campaign, they want to combat stunting issues, along with the government. They explore, exercise and collaborate with the presidential office in Indonesia, because stunting is one of the issues that the current president, Joko Widodo, has emphasized.

Kraft Heinz also goes directly to the community by building several integrated service posts in Indonesia (Pos Pelayanan Terpadu) and, also educate the local people, especially expectant mothers, about the negative effects of Monosodium Glutamate (MSG).

Tackling Stunted Growth in Indonesia

Inspiration

From the beginning, Kraft Heinz has committed to be a good corporate citizen in the communities. They believe that all children, no matter where they live, deserve a chance to grow up strong and healthy. As we live in a demographically dividend era, 2036 is predicted to be the year where millennials become the dominant generations in the world. In that sense, millennials will be the generation that has a bigger rate of productivity. This situation can be a burden, or an opportunity for human capital in Indonesia. If Indonesia could create good quality people by 2036, Indonesia could be a powerful country. However, if Indonesia cannot tackle this problem, the millennials are predicted to have low cognitive development, academic performance issues, and lower productivity. Meaning, Indonesia will have problems increasing the development of the country.

In that sense, Kraft Heinz tries to not only facilitate the underprivileged communities by distributing nutritious food, but also working together with the government, other companies and Non-Governmental Organizations (NGOs) to build many integrated service posts in Indonesia (Pos Pelayanan Terpadu), and develop a curriculum about the importance of nutrition in Indonesia, especially in the countryside.

Overall impact

Since the program is helping babies to get enough nutrition during their first 1,000 days, the result cannot be seen in a short period of time. Yet, the result can only be seen over time. However, Kraft Heinz hopes that by the end of 2022 the children can have better nutrition, compared to now.

Looking at the other impacts; by doing this campaign Kraft Heinz has already reduced the percentage of stunting in NTB and Maluku to below 60%. Plus, by the end of 2018, Kraft Heinz Micronutrient Campaign will increase the awareness about healthy food from 40% to 58% across Indonesia.

The fact that Kraft Heinz Indonesia has a firm commitment to reducing hunger and improving health and well-being through their corporate social responsibility (CSR), they embedded this principle in the way they conduct their business. In 2018, Kraft Heinz also has reduced the level of sodium by 10%. For the long-term plan, they will develop a technology where they could produce better tasting food, without adding any Monosodium Glutamate (MSG).

Business benefit

As their value is to give back to society, they try to support this campaign by creating a better product. They did this to build trust with the customer and they want to emphasize that their campaign is not a one-off. They do the campaign as a sustainable program. This means, they will carry out this campaign over a long period of time.

So far, their actions lead them to be the fourth largest food company in the world. In Indonesia, the ABC brand is the most famous brand in Indonesia. Kraft Heinz created ABC Indonesia as a subsidiary of The Kraft Heinz Company. The fact that they produce a high quality of food, Kraft Heinz ABC was classified as one of the Top Brands in 2016. In addition, there are a lot of people interested in joining the management trainee program. These facts show that even though they concentrate on giving back to society through this campaign, the company still manages their own business. They show us that business can go hand in hand with community development.

Social and environmental benefit

In the past four years, Kraft Heinz Indonesia has:

  • Increased the awareness about healthy food from 40% to 58%
  • Reduced the percentage of stunting in NTB and Maluku to below 60%
  • Reduced the level of sodium in their products by 10%
  • Packaged 130,000 meals
  • Built many integrated service posts in Indonesian (Pos Pelayanan Terpadu)

Interview

RIFQI ADHYASA, Internal Communication Specialist, Southeast Asia

Photo of interviewee

Business information

Kraft Heinz

Kraft Heinz

Jakarta, DKI Jakarta, ID
Year Founded: 2015
Number of Employees: 10000+

Kraft Heinz is a global food company focused on providing a high quality of food. This company is practicing a good ethical manner, guided by their strong commitment to integrity, safety, and the principles of social and environmental responsibility, in the communities where they operate.