Title (Fariz Nasution) CREATICISM_Fortune Avenue Venture.pdf ✅

Sobarisar Al F. Proposed by Fortune Avenue Venture Achmad Za’im Albert Lukas Ardell Bagas Sustainable FMCG with Balance of Economic, Social, and Environmental Aspect Evolving FMCG Industry through FMCG (Fount, Manufacture, Circular Economy, Green Marketing) Strategy
FMCG stands for Fast Moving Consumer Goods. These goods are characterized by their wide availability, mass production, and high consumer demand. Problem - Situation and Industry Overview Source: Greenpeace (2018), GlobalData (2022) Fortune Avenue Venture l 2 FMCG being a significant contributor to Indonesia's GDP while facing immense pressure to reduce its environmental impact due to the substantial generation of waste and pollution. 19.25%of Indonesia’s GDP making this sector the largest contributor to the nation's economy. With Annual Growth Rates of 5-7%, FMCG industry contributes to Job Creation Economic Growth Tax Revenue Quality of Life However... FMCG is a major contributor to 40% of all plastic packaging waste in the world. = 1.3 Billion tonnes of plastic waste each year 100,000 0 50,000 Nestle JBS Unilever Henkel Colgate-Palmo live 118,680 71,108 61,720 44,050 41,025 FMCG Companies generates massive amounts of greenhouse gas emissions which further contribute to global warming! (Thousands Tonnes CO2eq)
Problem - MECE Issue Tree Source: Team Analysis Fortune Avenue Venture l 3 In order to define the challenges and problems clearly while deepen our understanding, we are conducting an issue tree analysis to identify the root causes that FMCG players are facing. How to overcome the challenges of a sustainable FMCG industry by taking into account the balance between economic, social, and environmental aspects. Case Objective Issue Sub Issue The company is experiencing difficulties in recovering its investment and maintaining profitability. Lack of clarity and hard-to-measure ROI on sustainability initiatives which makes it difficult to justify the initial investment FMCG Industry is one of the biggest contributors to negative impacts on the environment Upfront costs of investing in sustainability initiatives can be high which resulting in minimal government support Political instability and economic volatility make it difficult for companies to operate and invest in some emerging markets Lack of consumer understanding of the benefits of sustainable products Limited number of sustainable alternatives and perpetuation production of unsustainable consumer goods Overproduction from companies and Overconsumption from consumers Economic Social Environment Lack of recycling and waste management infrastructure Produces a large amount of waste, including packaging, food waste, and hazardous waste Major consumer of energy dan contributes to climate change through its emissions of greenhouse gases Imbalance between human needs and sustainability aspect Root Cause Challenging landscape of gaining investment, justifying investment, lack of government support, political instability, and economic volatility. A lack of consumer education and awareness, limited sustainable alternatives, and issues of overproduction and overconsumption. The FMCG Industry accumulates large amounts of waste, consume massive amounts of energy, and lack of recycling and waste management infrastructure. 1
Complication How to overcome the challenges of a sustainable FMCG industry by taking into account the balance between economic, social, and environmental aspects. ● The company has difficulty in recovering investment and maintaining profitability Economic Answer FMCG Strategy 1 2 3 Sustainable Sourcing Sustainable Material How to minimize waste production in the FMCG industry to become more sup-stainable? How can a company balance between the economic aspect and environmental aspects. How will our solution provide a positive impact on the company’s prosperity? Situation Question Impact 1 2 3 Source: Team Analysis Fortune Avenue Venture l 4 Analysis - SCQA & Impact ● Imbalance situation between human needs and sustainability aspect Social ● FMCG Industry is one of the biggest contributors to negative impacts on the environment Environment 5 6 7 Green Logistics Waste Management Circular Economy Adoption GHG reduction of total emission from Green Logistics of 2050 in FMCG 79% Plastic waste reduction of total 42% plastic produced GWh/yr energy saved from recycled plastic (1 GWh ~ 20000 EV/year) 900k #WeAreGreen Marketing Campaign Here is a general overview regarding the correlation between the situation of the FMCG industry, and how our solution address the complications and question with expected impact. Fount Manufacturer Circular Economy Green Marketing 4 Supply Chain Optimization