Report of the Executive Board continued
Operational review
continued
whilst preventing harmful emissions and
production of waste where possible.
Once again, our efforts were recognised by our
continued inclusion in the Dow Jones Sustainability
Index (second within our global industry category)
and by our membership of the FTSE4Good index.
In April 2006, Heineken published a full
sustainability report that covered 2004 and 2005.
Our 2006 Sustainability Report will be published
in April 2007. You will find both reports on our
website and we invite you to visit and find
out more. Also see the dedicated website
www.enjoyheinekenresponsibly.com.
Personnel and organisation
The new regional structure under the direction
of new management, implemented in 2005,
continued to work to improve operational
efficiency and improve top- and bottom-line
growth. Thanks to these changes and to the new
senior management reward policy, which came
into effect on 1 January 2006, we have made
significant steps towards a more performance-
oriented company. In addition to the improved
results, this has become apparent in greater
clarity of direction, a higher speed of decision
making and a better focus on implementation.
In 2006 we completed a benchmark of the
efficiency and effectiveness of our support
functions, both externally and internally. In
general, the benchmark indicated that we
perform at reasonable levels, but efficiency and
effectiveness improvement opportunities are
available across all functional areas. Especially in
our back office, we have possibilities to reduce
our error rate and time spent, which could help to
focus more on added-value activities. Increased
leverage of technology is an important enabler
for this.
Initial quick wins have been achieved and more
structural improvement projects have been
initiated. This has resulted in better focus on
(centralised) HR-related purchasing. In 2007, we
will continue our drive for improved performance.
Progress was made in strengthening our
senior management review and performance
management processes and the goal of upgrading
our information systems to provide more
transparency across the organisation. Human
Resources information can now better be shared
among regions and this is especially helpful when
identifying potential high-performing individuals
so that we can develop these people across all
disciplines and regions.
O/l Heineken N.V.
Annual Report 2006