1、Yum!Brands 2022 Global Citizenship&Sustainability ReportFEEDING THE FUTUREGROWTHFEEDING THE FUTURETABLE OF CONTENTSAPPROACH CEO Message .5Yum!Brands Global Reach.62022 Good Growth Highlights .7Our Recipe for Good Growth .8Corporate&Sustainability Governance.9Reporting&Disclosures .104Performance Sum

2、mary .43UN SDGs.46Materiality.47Stakeholder Engagement.48GRI Index.49SASB Index.65About This Report.69People Summary .12Our Team&Business.13Employees .14Franchisees .17Suppliers .17Communities&Society .19Social Impact .19Community Impact .21Food Summary.23Food Safety.24Balanced Choices .25Animal Wel

3、fare.26Limiting Antibiotic Use .27Planet Summary.29Less Carbon.30Deforestation.38Better Packaging.39Water Security.41PEOPLE11FOOD22PLANET28APPENDIX42APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Recipe for Good GrowthCorporate&Sustainability GovernanceRe

4、porting&DisclosuresOverview4APPROACH We Feed the FutureA recipe is more than just a list of instructions.Its a way of putting care into key ingredients,so that they become something much more than the sum of their parts.When executed well,a recipe can bring people together across time and distance,u

5、nite cultures,form the foundation of lasting memoriesand present each element in its best form.In much the same way,Yum!Brands Good Growth strategy,also known as our Recipe for Good Growth,is transformative in its potentialand it guides us in every aspect of what we do.This strategy is grounded in t

6、he idea that our business will only endure if our brands are inclusive,sustainable and reflective of evolving employee,franchisee and other stakeholder needs.By focusing on our Growth priorities of a people-first culture,bold restaurant development,unmatched operating capability and relevant brands,

7、we achieved industry-leading unit growth in 2022.As we grow,were identifying synergies with our Good priorities of our People,Food and Planet,and doing so with social responsibility,risk management and sustainable stewardship at the forefront.The more we explore,the more we learn that Good and Growt

8、h are mutually reinforcing and capable of creating benefits for multiple stakeholders.For example,our four brands provide incomes and career pathways for more than a million restaurant team members worldwide.Through our social impact work,including the Unlocking Opportunity Initiative,we continue to

9、 support individuals to earn an education,gain employment and launch new businesses.Its hard to overstate the impact this has on local economies and among underrepresented populations.Were also seeing the potential of Good Growth in how we construct and operate new energy efficient and low-carbon re

10、staurants,and in our supply chain,where we are partnering with suppliers to explore solutions for emissions reduction and packaging innovation.As 2022 marked our 25th year as a public company,were proud to be a resilient,diversified business with distinctive brands that are well-positioned for the f

11、uture.When we harness the collective power of Good and Growth,theres no limit to what we can accomplish.We look forward to continuing to share whats possible with you.Thanks for your support.David Gibbs A MESSAGE FROM DAVID GIBBSDavid GibbsChief Executive Officer Yum!Brands,Inc.When we harness the c

12、ollective power of Good and Growth,theres no limit to what we can accomplish.5APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Recipe for Good GrowthCorporate&Sustainability GovernanceReporting&DisclosuresOverview6Overview Yum!Brands is building the worlds

13、most loved,trusted and fastest-growing restaurant brands for today and tomorrow.Were doing so by following a mindful recipe:one with Good priorities that influence long-term Growth,and Growth drivers that accelerate the Good we can accomplish.This recipe continues to evolve alongside the changing ne

14、eds of our employees,franchisees and other stakeholders.YUM!BRANDS GLOBAL REACH4 ICONIC BRANDS 55,000 RESTAURANTSaround the worldRestaurants in 156 COUNTRIES AND TERRITORIES 98%of restaurants are owned by franchisees 1M+equity and franchise employees 25 JOBS CREATED by each new restaurant$59B system

15、 sales 1,500 franchiseesPEOPLEFOODPLANETNote:Figures based on 2022 data.APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Recipe for Good GrowthCorporate&Sustainability GovernanceReporting&DisclosuresOverview7Launched business employee resource groups(BERGs)

16、for women in 10 countries,and in 6 countries for LGBTQ+employees and allies Strengthened our ability to unlock opportunity by supporting social impact programs across our four brandsJoined the Consumer Goods Forum,and set a goal to have all suppliers achieve 100%Global Food Safety Initiative(GFSI)Re

17、cognized Certification,the most widely accepted food safety benchmark globally Offered food that todays consumers crave,including plant-based menu items,balanced options and simple ingredients Recent Recognition Named to 2022 Dow Jones Sustainability North America Index Ranked on Newsweeks Americas

18、Most Responsible Companies 2023Listed on 3BL Medias 100 Best Corporate Citizens of 2022Named to 2023 Bloomberg Gender-Equality Index Scored 100 on 2022 Human Rights Campaign Foundations Corporate Equality IndexAchieved A-Score on 2022 CDP Water Security,B Score on Climate and Forests2022 GOOD GROWTH

19、 HIGHLIGHTSAchieved goal of removing antibiotics important to human medicine from chicken used for wings at all of Pizza Huts U.S.restaurants Piloted new sustainable restaurant features around the world,including net-zero designs,zero-waste pilots and new building conservation solutionsEngaged prote

20、in suppliers to set emissions-reduction goals and invested in strategic sector engagements Partnered across brands to introduce more sustainable packagingAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXCorporate&Sustainability GovernanceReporting&DisclosuresOv

21、erviewOur Recipe for Good Growth8Our Recipe for Good Growth Many aspects of what we today call Good Growth have long been part of our business.Our global citizenship&sustainability strategy,formerly called our Recipe for Good,has three priority pillars:People,Food and Planet.We elevated this framewo

22、rk in 2020 as a complement to our Recipe for Growth.Together,Yum!s integrated strategy ensures were building the worlds most loved,trusted and fastest-growing restaurant brands,and achieving our purpose of unlocking opportunity.Guided by this strategy,weve galvanized our teams to make progress in ea

23、ch of these important areas,accelerating new restaurant development worldwide and building a strong and diversified business.Increasingly,we recognize that neither Growth nor Good can exist on its own.Todays businesses are expected to operate sustainably,protect and preserve natural resources and cr

24、eate value for all stakeholders.Our attention to these priorities allows us to remain brands of choice for our customers and maintains our license to operate,ultimately fueling our growth for the future.In turn,business growth gives us the resources to reinvest in sustainable practices and a strong

25、culture.Yum!Brands Good Growth strategy reflects who we are today,demonstrating how both halves of the whole are being embedded into every aspect of how we think and operate.This strategy allows us to mitigate risks inside and outside our businessrelated to regulations,resource scarcity and costas w

26、ell as to increase relevance among the growing number of customers and employees for whom these issues are a top concern.Weve set a number of bold goals spanning our three pillars of People,Food and Planet,with a focus on the following areas that are core to our business and therefore present the gr

27、eatest potential for positive impact:Less CarbonReducing greenhouse gas(GHG)emissions from our restaurants and our supply chain.For restaurants,its about improving energy efficiency and shifting to renewable or low-carbon power.Within our supply chain,were focused on supporting responsible agricultu

28、ral practices for our core proteins of beef,dairy and poultry.Better PackagingReducing our overall waste footprint by finding packaging solutions that are reusable,recyclable or compostable,while also eliminating unnecessary single-use plastics and chemicals of concern.More EqualityTackling the syst

29、emic drivers of inequality to unlock opportunity for our employees,and frontline workers and their communities,all over the world.You can learn more about our progress on each of these focus areas throughout this report.GOOD GROWTH STRATEGYGoodGrowthWe believe our growth and brand relevance will onl

30、y be enduring if theyre inclusive,sustainable and reflective of evolving employee,franchisee and stakeholder needs.APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Recipe for Good GrowthReporting&DisclosuresOverviewCorporate&Sustainability Governance9Corpor

31、ate&Sustainability GovernanceGood corporate governance is a critical factor in achieving business success,and we embrace practices that align with management and shareholder interests.The Yum!board of directors consists of 10 directors,nine of whom are independent,based on New York Stock Exchange ru

32、les for director independence.In 2022,the board was led by an independent,nonexecutive chair.Our board maintains its independence and oversight of management through a strong independent chair or lead director and through the boards composition,committee system and policy of having regular executive

33、 sessions of nonemployee directors.The board has three independent committees:Audit Committee Management Planning&Development Committee Nominating&Governance CommitteeOnly independent directors serve on the Audit,Management Planning&Development and Nominating&Governance Committees in accordance with

34、 our Corporate Governance Principles.The board has instituted an annual self-evaluation process,led by the Nominating&Governance Committee,through which directors assess how the board can better contribute to the company.Our Audit,Management Planning&Development and Nominating&Governance Committees

35、conduct similar self-evaluations.BOARD DIVERSITYA diverse range of experiences and perspectives among our directors helps our board advise our company regarding our complex,varied global brands.When recruiting new directors,we look for leaders from different backgrounds who combine a broad spectrum

36、of experience and expertise with a reputation for integrity.For complete selection criteria and policies,please see our corporate governance principles.Currently,three of our 10 directors are women,and three are people of color.We continue to integrate sustainability and business decision-making mor

37、e tightly,in line with our Good Growth strategy.Last year we clarified how our Good priorities factor in executive compensation.In 2023,we began evaluating executive performance against more targeted environmental,social and governance(ESG)-centric goals,which combine talent commitments previously c

38、aptured in the Unrivaled Culture and Talent goal and certain People,Food and Planet commitments.Our Good Growth strategy also informs how we support and engage with franchisees.For example,we connect franchisees with suppliers of food,packaging,marketing materials and restaurant equipmentand we prov

39、ide guidance on how they can operate their restaurants more sustainably.Reduction in franchisee restaurant emissions is a component of Yum!s science-based emissions-reduction target.Some franchisees have set their own GHG reduction targets,and we continue to work closely with our franchisees to brin

40、g them along and share data on this journey.GOOD GROWTH ROLES&RESPONSIBILITIES Who They AreHow They EngageYum!Brands Board of DirectorsUltimate oversight for citizenship and sustainability issuesReceives briefings at least once a year from Audit Committee and through business updates.In January 2023

41、,new charters were approved outlining sharpened roles and responsibilities of the board when it comes to this work.Global Leadership TeamRegularly engaged with and informed on material topicsESG CouncilTeam that helps shape strategy,made up of senior leaders,including:chief operating officer&chief p

42、eople officer chief financial officer chief corporate affairs officer chief sustainability officer chief strategy officer chief food safety officer chief equity&inclusion officer chief legal&franchise officer&corporate secretary chief food innovation officer chief development officer vice president,

43、supply chainBrand-Level LeadershipChief sustainability officers and/or steering committees within our brands allow each brand to connect with its own markets and franchisees and drive rapid progressAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Recipe for

44、 Good GrowthCorporate&Sustainability GovernanceOverviewReporting&DisclosuresReporting&Disclosures Regular reporting,in a variety of formats and for a range of stakeholders,is a critical way we share our progress and show transparency around our Good Growth practices.In addition to publishing annual

45、updates in this report,which is completed in accordance to the Global Reporting Initiative(GRI)Universal Standards standards,we respond to the Sustainability Accounting Standards Board(SASB)framework for the Food&Beverage sector and Restaurant industry.Regular materiality assessments help us identif

46、y and prioritize our most significant citizenship and sustainability impacts,risks and opportunities.We also participate in comprehensive,voluntary disclosures such as the Bloomberg Gender-Equality Index;CDP Climate Change,Forests and Water Security;the Dow Jones Sustainability Index;and the Roundta

47、ble on Sustainable Palm Oil(RSPO)Annual Communication of Progress.We align our priority areas of work with the United Nations Sustainable Development Goals(UN SDGs).Yum!also discloses our climate-related risks and opportunities through a Task Force on Climate-related Financial Disclosures(TCFD)repor

48、t.The results of our TCFD assessment,conducted in 2021,provide an analysis of the physical and regulatory risks that directly impact our restaurants and supply chain across regions and brands.Our TCFD work continues to guide the prioritization of our work in addressing and mitigating risks of climat

49、e issues.In addition to our TCFD assessment,Yum!reports on other priority areas,including workforce diversity and operating a responsible supply chain.We continue to monitor other emerging frameworks for reporting on and responding to the risks we face,including the Taskforce on Nature-related Finan

50、cial Disclosures.UN SUSTAINABLE DEVELOPMENT GOALSThe UN SDGs are an ambitious,global vision for ending poverty,reducing inequalities and tackling climate change by 2030.As a business that operates in a majority of the worlds countries and touches all types of communities,aligning with the 2030 Agend

51、a makes sense for Yum!.We share many priorities,including tackling climate change and providing access to good jobs and opportunities for economic development.We have identified specific SDGs that align most closely with our three priority pillars of People,Food and Planet.Read more about how were m

52、aking progress toward targeted SDGs in the Appendix.TRANSPARENCY&VERIFICATION Attention to Good Growth issues,such as addressing climate change and inequality,must be part of any companys approach to enterprise risk management(ERM),and Yum!is no exception.This allows us to sharpen our top Good Growt

53、h issues from an ERM perspective and prioritize them according to their importance to our business and stakeholders.High-integrity data is a key element in our ability to make progress against our commitments and continue regular,transparent disclosures.Investments in digital capabilities are helpin

54、g us further enhance the quality and timeliness of the data we collect.Our data collection tool regularly captures information gathered from teams across our systemincluding food safety,supply chain and sustainabilityproviding a comprehensive picture of our business.All data included in this report

55、is accurate according to the information available to us.10APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Team&BusinessCommunities&Society People Summary11PEOPLE We Unlock OpportunityAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFO

56、ODPLANETAPPENDIXOur Team&BusinessCommunities&Society People Summary12People SummaryHOW WERE DRIVING GOOD GROWTH This work begins within our businessincluding our corporate workforce,our supply chain and the company-owned and franchise restaurants that employ over 1 million frontline workers worldwid

57、eand extends into the many communities and other spheres of influence where we operate.We make a difference across the full spectrum of impact,from immediate response to disasters and crises,to corporate and employee grants and donations,to programs that drive systemic change.For example,when we dev

58、elop strong teams,we deliver exceptional customer experiences,driving restaurant performance,which builds economic security and empowers the community around us.And when we help ensure people of all backgrounds feel included,with equal opportunity to thrive and pursue their goals,we improve our coll

59、ective productivity and ability to achieve greater success.KEY TAKEAWAYS We continued to make significant investments in our equity,inclusion and belonging(EIB)function to build capacity and capabilities.Yum!is among OneTen Coalitions highest-performing partners in terms of the number of new hires a

60、nd promotions at our company-owned restaurants and corporate offices.As of the end of 2022,we have committed approximately$50 million to help fund more than 30 social impact programs in 11 countries.We continue to create opportunities for people interested in franchising through the Yum!Center for G

61、lobal Franchise Excellence and Yum!Franchise Accelerator.MATERIAL ISSUES Equity,Inclusion&Belonging Employee Health&Safety Talent Attraction,Engagement&Retention Community&Philanthropy Human Rights&Labor PracticesALIGNED UN SDGsHarvest,Yum!s food donation program,continues to feed people through don

62、ations to hunger relief organizations.Education is one of the focus areas of our social impact work,through which we make investments to help system employees and community members grow their skills.Our franchise restaurants provide jobs for more than 1 million people worldwide,and were constantly e

63、valuating opportunities to support our franchisees and determine how to address the development needs and aspirations of system restaurant teams and leaders.Our social impact programs are designed at a market level to address the localized root causes of inequality.APPROACHYum!Brands 2022 Global Cit

64、izenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXCommunities&Society People SummaryOur Team&Business13Unlocking Opportunity for Our Team&in Our Business ETHICS&HUMAN RIGHTSAt Yum!,we understand our long-term success and growth is predicated on operating a resilient and socially responsible busi

65、ness that creates value for all stakeholders.A key component of this is the high standard of ethical conduct we set for ourselves and our stakeholders,particularly franchisees and suppliers.We reference many leading frameworks in building our policies and procedures,including the UN Guiding Principl

66、es(UNGPs)on Business and Human Rights and the International Labour Organisation(ILO)Declaration on Fundamental Principles and Rights at Work.Our commitments and expectations around these standards are expressed in our Global Code of Conduct.All employees are required to certify their acceptance of t

67、he Code as part of annual compliance training,which also covers anti-discrimination and harassment.When it comes to interacting with one another,employees are expected to demonstrate mutual respect.Sexual,racial,ethnic,religious or any other type of harassment has no place at Yum!.It is our policy t

68、o deal fairly with employees;provide equal opportunity in recruiting,hiring,developing,promoting and compensating without regard to race,religion,color,age,gender,disability,genetic information,military or veteran status,sexual orientation,gender identity and/or expression,citizenship,national origi

69、n or other legally protected status;maintain a professional,safe and discrimination-free work environment;and recognize and compensate employees based on their performance.We encourage employees to raise any ethical or other concerns relating to our operations.Yum!employees have 24/7 access to an in

70、dependent,third-party-operated ethics hotline and online portal,known as The Speak Up Helpline.Translation services in nine different languages are available.The Audit Committee of our board of directors has additional procedures for handling employee concerns related to accounting and auditing matt

71、ers.Any person may also use the Yum!corporate citizenship email address listed on Y to raise citizenship and sustainability-related issues.APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXCommunities&Society People SummaryOur Team&Business14EMPLOYEES Culture&Ta

72、lent Culture and talent are our competitive advantage.When we hire great people and bring out the best in them through collaboration and recognition,we cultivate strong teams and satisfied customers that enable our business to grow.Yum!Brands people-first culture is characterized by our newly refine

73、d values and an EIB mindset.We have invested significantly in our EIB function over the past few years so that we can move further and faster in this space.We now have EIB leaders across our brands.Additionally,leaders at the senior director level and above are also accountable to help us make progr

74、ess on our aspirations,including increasing representation of women in leadership and people of color in the U.S.Whether in our board rooms or our four brands restaurants,were making room for all people and voices at our tables.In addition to internal aspirations,cross-sector partnerships help inspi

75、re us to make further progress.Yum!Brands remains committed to the Hispanic Promise,a national pledge to hire,promote,retain and celebrate Hispanics in the workplace,and the CEO Action for Diversity&Inclusion.As a member of the OneTen Coalition,we are partnering with other U.S.businesses to create c

76、areer mobility and advancement opportunities for 1 million Black/African American individuals over 10 years.In 2022,Yum!was among OneTens highest-performing partners in terms of the number of new hires and promotions at our equity-owned restaurants and corporate offices.Also in 2022,we partnered wit

77、h OneTen and edtech company Multiverse to offer a 1218-month apprenticeship program that gives restaurant employees the opportunity to learn technology skills needed to pursue full-time roles in our corporate digital and technology function.DEVELOPING WOMEN IN LEADERSHIPWomen make critical contribut

78、ions at all levels of our business:as franchisees,restaurant general managers(RGMs),restaurant team members and corporate employees.We want our leaders to reflect this gender diversity,which is why weve set an aspirational goal to achieve gender parity in leadership globally by 2030 in alignment wit

79、h Paradigm for Parity.43%of Yum!s senior leaders are womenWere moving quickly toward our goal,due to efforts like the Next Generation of Women(NOW)Program,which launched in 2022.KFC launched NOW to accelerate womens professional development and retention.The program helps advance women to the direct

80、or level and above through equitable recruiting practices and a structured plan utilizing insights from Heartstylesone of our leadership development programs,executive coaching and mentorship.NOW has been so successful it is being rolled out to the other brands.APPROACHYum!Brands 2022 Global Citizen

81、ship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXCommunities&Society People SummaryOur Team&Business15MAKING SPACE FOR ALL We believe in creating pathways for people from historically underrepresented backgrounds to succeed.One way we do this is by helping people of color already on our teams feel

82、valued,connected and supported.In 2023,Yum!held its second Refresh Inspire Spark Engage(RISE)event,formerly called the New Legacy Summit.This in-person gathering unites Black and Hispanic employees at the director level and above,along with Yum!s executive leadership team.This program is designed to

83、 help create community and understanding and build future leaders throughout the organization.We also have a program called MidRISE,which is a bridge to RISE,for select underrepresented people of color at mid-level manager roles.MidRISE cohorts begin with two days of professional development and com

84、munity-building and continue throughout the year with additional skill development and group mentoring opportunities.Sharing stories is another way we build a culture of inclusion and belonging.At Pizza Hut,the Slice Of series is about recognizing and celebrating the diverse life experiences that ma

85、ke our employees unique.The program invites individual employees to share their personal story with teammates and has proven to be a powerful platform for building empathy,connection and a community where people feel valued for who they are.BERGs are a way for communities of employees and their alli

86、es to learn and grow,receive personal and professional development and make an impact in the community.These groups are strategically important to our business,contributing to our recruitment,employee engagement and marketing efforts.In 2022,our womens and LGBTQ+-focused BERGs launched international

87、 chapters,extending their reach beyond our U.S.-based offices.Recent activities organized by our BERGs include:An educational series on privilege and microaggressions,hosted by our multicultural BERG Conversations on mental health in the wake of recent mass shootings in the U.S.,jointly organized by

88、 two of our multicultural BERGs and our BERG for parents and caregivers Pride parades,civic engagement,presentations to Live Ms Scholars and connections to LGBTQ+-aligned organizations by our LGBTQ+BERGsPAYING EMPLOYEES EQUITABLY We are committed to paying our employees fairly and equitably for thei

89、r work.In the U.S.,where most of our corporate team members live,we annually analyze pay to confirm that pay disparities by gender and ethnicity do not exist when taking into account all job and performance-related pay factors.We are proud to say that our recent analysis showed no statistically sign

90、ificant pay discrepancies by gender or ethnicity.APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXCommunities&Society People Summary16Training&Education People at Yum!Brands and our restaurants lead with smart,heart and courage.Being effective and inclusive lea

91、ders means always seeking out ways to improve.For many years,the Heartstyles leadership development program,Leading with Heart,has been a cornerstone of our training and development approach.A key component of the program is the Heartstyles Indicator,an assessment and action plan that helps individu

92、als cultivate positive and constructive attitudes,thinking and behaviors to help them in life and at work.The Indicator is available in 26 languages,and we offer Leading with Heart to franchisees and RGMs at all four Yum!brands worldwide.Since Yum!Brands acquired Heartstyles in 2020,more than 600 Ce

93、rtified Practitioners have been trained,and 30,000 Indicators have been completed across six continents.Recent research at KFC restaurants in multiple geographies revealed that locations that have implemented Heartstyles have lower staff turnover,reduced onboarding costs and greater customer satisfa

94、ction,compared to restaurants that have not.Other important programs include Coach Academy,a global,virtual program for managers on how to be an effective leader and coach;and Leadership Accel,a transformational experience that enables employees to grow as inspirational leaders and strategic thinker

95、s.We assess employees satisfaction with the work environment weve created with biennial engagement surveys.The survey we conducted in 2021 revealed record-high levels of engagement,well above industry benchmarks.We continue to roll out Inclusive Leadership,a training program designed to challenge pe

96、rceptions and demonstrate the holistic benefits that inclusion brings to our operations.The program,developed in partnership with Heartstyles,has been offered to corporate employees,RGMs and franchisees,and we expect to have it rolled out globally by the end of 2025.In addition,we expect every above

97、-restaurant team member to make a personal commitment to EIB and to revisit their goals during regular performance reviews.All employees also have the opportunity to broaden their mindsets through reverse mentoring arrangements.These intentional relationships between employees at different levels an

98、d from different backgrounds have been known to create deep connections between mentors and mentees.The program is designed to last for six months,but many mentor/mentee pairs continue to meet long after the formal program ends.KFC now offers this program globally.Our brands also support employees i

99、n developing their skills outside of work.For example,in the U.S.,KFC is putting college degrees in reach for its restaurant employees.Team members who apply and enroll can now earn degrees at Western Governors University(WGU)with tuition 100%covered.They can choose from more than 60 different bache

100、lors and masters degree programs and certification programs across business,information technology,education and healthcare.Eligibility begins from day one on the job.WGU also offers rolling start dates,so prospective students can enroll at any time and begin online courses as soon as theyre ready.O

101、ur Team&BusinessAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXCommunities&Society People Summary17FRANCHISEESYum!s approximately 1,500 franchisees are an incredibly important part of our business.As of the end of 2022,over 98%of Yum!Brands restaurants were f

102、ranchise-owned.Our franchises are highly sophisticated businesses,some of which are publicly traded companies,and exemplify our 3C model of being committed,capable and well-capitalized.While franchisees control how they recruit and train team members,what benefits to provide and how to compensate th

103、eir employees,we offer tools to help increase team member engagement and retention.Yum!and our brands are also committed to helping franchisees excel at the practice of franchising itself.We provide industry-leading incentives for new development,assistance with site selection and design,and flexibl

104、e asset formats to meet a variety of needs.The Yum!Center for Global Franchise Excellence at the University of Louisville(the Center)provides existing and potential franchisees multiple levels of online education focused on the franchising model across industries.During the 20212022 school year,170

105、students completed the Yum!Franchise Management Certificate Program.Through the Yum!Franchise Accelerator,a one-of-a-kind MBA elective opportunity,the Center focuses on recruiting and educating underrepresented people of color and women.In Spring 2022,the Center welcomed MBA students from the Univer

106、sity of Louisville and Howard University to its latest cohort.All 10 students received a$10,000 scholarship from Yum!Brands and the opportunity to learn about franchising with Yum!.For those interested in becoming Taco Bell restaurant leaders,the Taco Bell Business School is a six-week program desig

107、ned to give them a head start.This program recently completed its fourth cohort.The Center is not the only way for aspiring franchisees to connect with ownership opportunities.In early 2023,the impact-based investment firm Lafayette Square announced plans to lend up to$50 million to new and existing

108、 underrepresented Yum!franchisees as part of a new financing program called Franchise Fast Start.SUPPLIERS Yum!sources food,packaging materials,restaurant equipment and other goods and services from suppliers around the world.In partnership with our exclusive supply chain management organization in

109、the U.S.,Restaurant Supply Chain Solutions,we have built a robust corporate supplier diversity program.We actively seek qualified underrepresented suppliers for all possible product and service needs and encourage our majority-owned suppliers to do the same when they are choosing vendors,subcontract

110、ors and distribution services.Since 2015,we have presented an annual Supplier Diversity Award to honor a supplier demonstrating significant leadership in diversity and inclusion.Yum!welcomes certified suppliers of the following designations:Minority-Owned Business Enterprise Woman-Owned Business Ent

111、erprise LGBTQ+-Owned Business Enterprise Business Enterprise Owned by People with Disabilities Veteran-Owned Business Enterprise Disabled Veteran-Owned Business Enterprise Small Business Administration 8(a),SDB,HUBZoneSUPPORTING DIVERSE CREATIVE PARTNERS Diversity matters,not only in our offices and

112、 restaurants,but also in our advertising ecosystemin front of the camera,behind it and in all aspects of content creation and production.Yum!is a member of the Publicis Media Once&For All Coalition,a multiyear,cross-industry collaboration to support ethnically diverse media suppliers,creators and pa

113、rtners,with an initial focus on Black and Hispanic suppliers.Our U.S.Multicultural Marketing Leadership Council drives cross-brand implementation of our multicultural marketing strategies and partnerships and is committed to significantly increasing our marketing spend with agencies owned by people

114、from underrepresented communities.We aspire to increase our spend with these agencies by 2%year over year.Our Team&BusinessAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXCommunities&Society People Summary18Supply Chain Responsibility&Human RightsWe view our s

115、uppliers as key stakeholders within our wider system.At a minimum,suppliers are required to abide by all applicable laws,codes or regulations and to conform their practices to the published standards for their industry.Following our Supplier Code of Conduct is mandatory for all suppliers seeking to

116、work with Yum!Brands.It clearly articulates our expectations of compliance with operational standards,ethics and human rights.In addition,we have commitments in areas with elevated risk,including palm oil through our membership to the RSPO and fresh produce as part of the U.S.Fair Food Standards Cou

117、ncil.Our suppliers have always been subject to assessments,audits and inspections to verify compliance with critical aspects of our Supplier Code of Conduct and the terms of their contract.Where corrective action is required,we collaborate with suppliers to address areas of concern and effect real c

118、hange,but reserve our right of termination.During 2022,we increased the transparency in this area by publishing a Responsible Sourcing infographic that discloses key challenges identified in our supply chain and the steps we took to remediate.While responding to identified issues is important,we are

119、 committed to building a more proactive response to managing ethical risks within our supply chain.Yum!has a global membership with Sedex,one of the worlds leading ethical trade membership organizations that works with businesses to create more responsible and sustainable business practices.Sedex le

120、verages the Ethical Trading Initiative Base Code to assess risk at each supplier site,across four main areaslabor standards,health and safety,business ethics and environment.It uses a combination of industry and country-related risk factors,self-assessments and third-party,ethical audits to determin

121、e both potential and actual exposure.Gaining this additional visibility further strengthens our existing supply chain auditing capabilities,adding increased focus on human rights and labor practices,within responsible sourcing more broadly.To date,the KFC U.K.&Ireland,KFC Western Europe and KFC Sout

122、h Pacific markets continue to lead the way in their use of Sedex and its related risk management tools.Having undergone a rigorous supplier onboarding process over several years,these markets are now using data to identify responsible sourcing risks and responses as part of standard business operati

123、ons.We are using insights from these markets to further develop a plan to drive system wide adoption.We are also creating a Responsible Sourcing playbook and a Sedex Implementation playbook.In the interim,we continue to have ongoing dialogue with markets regarding the onboarding process.Supplier Eng

124、agement Due Diligence ApproachOur focus remains on core direct food suppliers in higher-risk markets where we believe we can have the most impact,as informed by our inherent risk assessment.This assessment,across approximately 6,000 supplier sites,indicated potential areas of concern in developing g

125、eographies and within the manufacturing and agriculture,forestry and fishing industries,specifically meat packing and processing,palm oil and hand-picked produce.For supply chains across the world,general awareness of human rights issues,including modern slavery,child labor and the rights of migrant

126、 workers,continues to rise.Yum!and our franchisees have the opportunity to make a positive impact on these issues,particularly through collaboration with suppliers.Our brands are working to improve their own due diligence processes and build awarenesswith the Australian and U.K.markets leading in th

127、e development of dedicated training materials.Using benchmarking feedback and review of the latest guidelines,we have also updated our Global Human Rights&Labor Practices Policy.The updated policy reflects the clarified role of the Board in addressing human rights concerns,documents our understandin

128、g of inherent risks within our value chain and includes stronger language around our commitments.CommitTrack&MonitorActionIdentify&AssessCommunicate&ReportStakeholderEngagementGrievance&RemedyOur Team&BusinessAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur

129、 Team&BusinessPeople SummaryCommunities&Society 19Unlocking Opportunity in Communities&Society As a major employer,community member and corporate citizen,Yum!supports people in many ways.We aim to provide both local and global support across a spectrum of needs,from emergency relief to robust progra

130、mming to target systemic sources of inequality.Each of our brands has maintained programs designed to address systemic issues,such as hunger and barriers to literacy and higher education,all over the world.SOCIAL&COMMUNITY IMPACT FRAMEWORKSOCIAL IMPACT Yum!recognizes our role in helping to address s

131、ome of societys greatest systemic challenges.We have a long history of running highly effective social impact programs in key markets to deliver meaningful change to local communities.Through the Unlocking Opportunity Initiative(UOI),a$100 million commitment over five years that was announced in 202

132、0,we have expanded our social impact reach,enabling more markets to develop localized,impactful programs,and driven other key initiatives at the corporate level.UOI has three focus areas:Equity&InclusionDeepening our investments in efforts related to EIB across all aspects of our brands and througho

133、ut our franchise businesses and beyond EducationExpanding access and funding of education and skills training to empower restaurant team members and other frontline workers to build their best lives and also uplift our communities EntrepreneurshipCreating pathways to entrepreneurship for restaurant

134、employees wanting to lead a business,franchise or social enterprise,as well as for small businesses and social entrepreneurs looking to make a meaningful difference in their communitiesAs of 2022,we have committed approximately$50 million of UOI funds,helping to fund more than 30 social impact progr

135、ams in 11 countries.COMMUNITY IMPACTSOCIAL IMPACTMatching Employee Gifts&TimeCommunity PartnershipsEmployee Donation RequestsLONG-TERMONE-TIMEEquity&InclusionEntrepreneurshipEducationSystemic ChangeGood CitizenshipDisaster ReliefMemorial SupportImmediate ResponseSHORT-TERMPartnership|Volunteering|Fu

136、nding Pizza Hut:An Equal Slice for EveryonePizza Hut is committed to providing opportunities for allno matter their background or life circumstances.Over the past year,the brand has activated its social impact work in many parts of the world.For example,in Delhi,India,Pizza Hut recently opened a ful

137、ly women-run restaurant.Every restaurant function,from food preparation and customer service to day-to-day management,is carried out by women.Similar initiatives are in place in Bangladesh and in Ethiopia.Pizza Hut South Africa is also helping create jobs for women through the LeadHERship Initiative

138、.This program matches women ages 1824 from marginalized communities with 12-month job placements in health services,creative fields,literacy and education roles.Throughout the year,women participate in monthly catchups with program facilitators and have access to mentors and short courses to deepen

139、their learning.At the end of the 12 months,they exit with a curriculum vitae,reference letter and experience that they can leverage into their next career move.In 2022,the program placed more than 100 womenmany of whom have already secured full-time jobs.In the U.S.,Pizza Hut has operated the BOOK I

140、T!reading program for students since 1984.The program fosters a lifelong love of reading and has helped increase literacy rates across the country.During the 20212022 school year,more than 3.5 million students enrolled in BOOK IT!.The brand continues to offer the BOOK IT!Bundle,a meal deal that dona

141、tes$1 from every purchase to its nonprofit literacy partner,First Book,to provide access to books and educational resources,raising over$2.4 million during the past year.APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Team&BusinessPeople Summary20KFC:Feedi

142、ng Peoples PotentialKFCs recent efforts have focused on creating opportunities for restaurant team members,both prospective and existing,to further their careers.The brands U.K.business recently pledged that by 2030,one-third of new hires will be young people who have faced barriers to employment.In

143、 partnership with the charity UK Youth,KFC will provide training and work experience to help 6,000 young people get job interviews.In Germany,KFC has partnered with socialbee to create job opportunities for refugee women.With skills and language training,mentoring and other forms of support,the prog

144、ram matches women with stable jobs at KFC restaurants.KFC France has partnered with the cole de la 2e chance(Second Chance School),which helps unemployed youth gain job skills.Taco Bell:Fueling Bold AmbitionsThe Taco Bell Foundation has been breaking down barriers to education for 30 years.In 2022,t

145、he nonprofit worked with franchise owners to award$10 million in grants to charities focused on youth education in communities where Taco Bell team members live and work.These Community Grants support direct services like college and career exploration,mentorship,financial literacy and more.The Taco

146、 Bell Foundation also announced more than$8 million in Live Ms Scholarships to over 770 Taco Bell restaurant team members and consumers and held its first in-person summer conference designed to offer 100 Live Ms Scholars a dedicated space to network and share their passions with likeminded individu

147、als.To wrap up the year,the Taco Bell Foundation and Taco Bell launched the Ambition Accelerator,a competition for budding social impact entrepreneurs in partnership with Ashoka(see sidebar).CREATING A LAUNCHPAD FOR AMBITION“My background is in fashion design and sociology,so Im always looking at th

148、e systemic aspect of thingswhy things are the way they are,”says Chicago native Sparkle Whitaker.“I wanted to use design as a space to conquer injustices,specifically around criminal justice rehab.”Whitaker turned her passions into reality by creating the Onyx Incubator,a free,virtual program offeri

149、ng workshops on creativity to youth who have experienced incarceration or qualify for alternatives to detention centers.At just 23 years old herself,Whitaker recently became the first grand prize recipient of Taco Bell Foundations inaugural Ambition Accelerator program.In the programs first year,app

150、licants shared nearly 300 submissions for enacting community and global-level change,with particular focus on addressing inequities.Of the total pool,26 teams were selected to attend an immersive experience at Taco Bells headquarters.Attending teams sharpened their changemaking skills,learning every

151、thing from budgeting breakdowns to social media tips.Each received$1,500 in seed funding for their social venture,while five final teams were invited to a pitch competition for a chance to secure the top award of$25,000.Whitaker,a previous Live Ms Scholar,wowed the judges with her concept for helpin

152、g young people discover new skills and prepare for life after high school.The$25,000 prize money will help Onyx Incubator expand its course offerings and provide physical materials in community centers so students participating in the classes can learn tangible skills,like fashion design.“Its epic t

153、o receive this funding,”Whitaker says.“Im super grateful and cannot wait for the impact this will have.”Communities&Society APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXOur Team&BusinessPeople Summary21COMMUNITY IMPACTIn addition to our long-term efforts to

154、 create transformational,systemic change,we are also responding to urgent needs that many communities face.One of these critical issues is hunger,which,as a food company,Yum!is well-positioned to address.Since 1992,Pizza Hut has donated surplus food to food banks and other organizations through the

155、Harvest Program,with KFC starting the program in 1999.In 2022,KFC in the U.K.&Ireland evolved this work through a new partnership with FareShare.KFC surplus,including much-needed proteins like cooked chicken,is packaged into a donation bag and frozen at the end of its holding time,allowing it to be

156、stored for up to 60 days.Donation bags contain information on storage,cooking,ingredients and allergens so that community partners can prepare food safely.Through this program,1,000 KFC restaurants donated over 144,000 meals to people in need.The Habit has a long-term partnership with No Kid Hungry.

157、Guests have the option of rounding up their bills to support the nonprofit,raising$270,000 in the fourth quarter of 2022.The Habit also donates to local food banks,particularly in its southern California hometown.In partnership with Community Action Partnership Orange County,the Habit supports pop-u

158、p pantries in communities identified as food deserts.The 15 pantries provide food boxes,produce and household items to families with young children.2022 also marked 20 years of partnership between Yum!and Dare to Care Food Bank,which has resulted in more than 51 million meals made possible for kids,

159、families and seniors in Kentucky and the surrounding area.Each year,the Yum!Brands Foundation responds to disasters that affect our employees and franchisees in all parts of the world with direct relief as well as matching gift programs to multiply the support these causes receive.During the COVID-1

160、9 pandemic,we established a Global Medical Relief Fund that made one-time grants to corporate and franchisee employees in 85 countries affected by coronavirus and a memorial program to cover funeral or medical costs for employees who passed away.To further engage employees in our community impact wo

161、rk,we match employees contributions to nonprofits.Whether a corporate employee donates money or time,we match their gifts.In October 2022,we activated our volunteer credit program,enabling employees to earn a$10 donation credit for each volunteer hour given,available for use toward an eligible chari

162、ty of their choice.Volunteer credit is a great complement to the existing employee donation-matching program,as it serves to recognize the valuable contribution of time.The Habit:Crafting a Brighter Future The Habit Burger Grill recently launched its first social purpose committee to further its own

163、 initiatives to unlock opportunity.Its recent community engagement work has focused on bringing people together around food,from making donations to relieve hunger to supporting culinary education.The Habit also supports kids who aspire to work in restaurants.The brand was the 2022 national sponsor

164、of the ProStart Cup,a restaurant entrepreneurship and culinary competition hosted by the California Restaurant Association(CRA)that awards more than half a million dollars in scholarships.The Habit will sponsor the event again in 2023 and also provided volunteer support to the CRAs job training prog

165、ram known as Force in Training.Yum!Brands:Unlocking Opportunity In addition to the work done at the corporate level,Yum!focuses on tackling systemic drivers of inequality in our headquarters city of Louisville,Kentucky.We partner with Cardinal Bridge Academy(CBA),which increases college enrollment a

166、nd completion for students from low-to moderate-income families and for first-generation college students,reaching over 200 students per year.After applying to CBA,students can begin earning college credit from the University of Louisville while still in high school.They also receive college admissi

167、on counseling,scholarship prep and career mentorship and can earn early admission to the University of Louisville College of Business.Another Yum!partner,the AMPED Russell Tech Business Incubator(RTBI),is working to create generational wealth for Black entrepreneurs.It has provided hundreds of small

168、 business owners with business development training,seed capital and technical assistance to help them launch and grow their entrepreneurial ideas.With Yum!s help,RTBI will address systemic barriers to business ownership.In addition to providing the grant,employees mentor high school students throug

169、h regular in-person meetings to share expertise and learnings from their educational and professional journey.Communities&Society APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXFood SafetyBalanced Choices Animal WelfareLimiting Antibiotic Use Food Summary22FO

170、OD We Serve Food People TrustAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXFood SafetyBalanced Choices Animal WelfareLimiting Antibiotic Use Food Summary23Food Summary HOW WERE DRIVING GOOD GROWTH Great food is what keeps consumers coming back for moreand wh

171、at has made Yum!Brands the largest restaurant company in the world.There is so much we can do to offer food that is not only craveable,but also good in so many other ways.We take a multifaceted approach to this work.A robust food safety program is the cornerstone of our food strategy,which is why we

172、 use real-time data to manage potential risks related to food safety and quality,helping us earn and maintain consumer trust.When it comes to animals that are raised for food,were partnering across the industry to make continuous improvement on standards in animal welfare and antibiotic use.Another

173、key area of focus is our menu offerings.We stay abreast of what ingredients consumers want to see on our menus,like plant-based proteins,and we are transparent about the nutritional content of our food.Underpinning the work is advanced technology that helps us gather in-depth insights and stay ahead

174、 of consumer trends.KEY TAKEAWAYS We returned to fully in-person engagement with suppliers on food safety in 2022,including audits,market visits,colleges and summits.KFC has rolled out its global chicken welfare platform,and published chicken welfare reports for both the U.S.and Western Europe.Pizza

175、 Hut continues to make progress on plant-based offerings worldwide,with plant-based protein toppings available in 17 countries and vegan cheeses available in select markets including Europe.Taco Bell is engaging across the beef supply chain to reduce the use of antibiotics important to human health

176、in its U.S.and Canada beef sourcing.The Habit lowered its footprint by the CO2 equivalent of approximately 13.1 million miles of driving by selling Impossible burgers made from plants.MATERIAL ISSUES Food Safety Choice&Nutrition Food Technology&Genetically Modified Organisms(GMOs)Responsible Marketi

177、ng Animal WelfareALIGNED UN SDGsHarvest,Yum!s prepared food donation program,continues to feed people through donations to hunger relief organizations.Harvest also allows us to address the challenge of food waste by diverting food from landfills and reducing GHG emissions.APPROACHYum!Brands 2022 Glo

178、bal Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXBalanced Choices Animal WelfareLimiting Antibiotic Use Food SummaryFood Safety24Food Safety Maintaining food safety and quality is foundational to protecting customers and upholding their trust.Food safety is not a competitive advantage,bu

179、t rather a public health imperative.Over the course of the pandemic,Yum!was highly effective in assessing both restaurants and suppliers,using technology to gain robust visibility,despite restrictions.In 2022,we returned to fully in-person engagement,including audits,market visits,colleges and summi

180、ts.The past year was a time of getting back to basics,being hands-on with our teams and simplifying systems and processes to reduce administrative activity,decrease risk and improve quality.Moving forward,we will continue to make the best use of both virtual and in-person connections.For example,usi

181、ng virtual tools to review documentation in advance allows us to make better use of time spent at supplier sites.This hybrid approach allows us to advance and democratize food safety and quality worldwide.In 2022,Yum!joined the Consumer Goods Forum,which manages the GFSI.GFSI benchmarks food safety

182、standards and provides governance that supports accredited third-party certification systems around the world.GFSI is the most widely accepted benchmarking program in the world,reducing duplication with a“once certified,accepted everywhere“approach.More than 50%of Yum!approved suppliers have achieve

183、d GFSI Recognized Certification to date,and over the next several years,Yum!will:transition to 100%GFSI Recognized Certification for all suppliers and distributors.This bold goal will increase our internal teams ability to focus on risk management and supplier development,rather than the administrat

184、ive tasks associated with managing an internal audit scheme.USING TECHNOLOGY TO ADVANCE FOOD SAFETYFrom consumer-facing apps to back-of-house systems,innovation is a top priority at Yum!.Today,we are exploring a variety of technologies to help ensure food safety in our restaurants.Yum!uses a risk-se

185、nsing tool that constantly scans for potential risks to food,packaging or people,and notifies us of hazards and their potential impacts to our suppliers or business.Yum!s global supply chain team uses the tool to track the impact of concerns such as global weather events and labor shortages.The tool

186、 relies on predictive analytics and will become even more effective over time.RISK-SENSINGDIGITAL CHECKLISTSOPPORTUNITY TRACKINGTEMPERATURE SENSORSSensors can be used to ensure safe cooking and holding temperatures for all of our products.They can also identify inefficiencies and ways for us to redu

187、ce energy use.In the U.S.,Pizza Hut is piloting the use of new functionality added to its Hutbot tool to allow food safety teams to capture areas for improvement,make recommendations and track follow-up actions to reduce food safety risk.Transitioning from paper checklists to digitized ones makes re

188、staurant team members jobs easier and helps food safety risk managers evaluate and reduce food safety risk more effectively.We use a third-party tool to transform data stored across multiple databases into focused reports,dashboards and charts.APPROACHYum!Brands 2022 Global Citizenship&Sustainabilit

189、y ReportPEOPLEFOODPLANETAPPENDIXFood SafetyAnimal WelfareLimiting Antibiotic Use Food SummaryBalanced Choices 25Balanced ChoicesYum!is proud to serve some of the worlds favorite pizza,chicken and tacos,as well as made-to-order chargrilled burgers.To continue to lead in these categories,we must stay

190、ahead of consumer trends regarding ingredients,flavors and nutritional content and delight consumers with menu innovations they crave.Here are a few ways we continued to provide transparency and offer choice to consumers worldwide:OFFERING CONSUMERS BALANCED CHOICES IN THE U.K.KFC is helping consume

191、rs choose balanced menu items through the power of suggestion.The brand recently teamed up with Bite Back 2030,a U.K.-based nonprofit focused on healthy food systems;Deliveroo,a food delivery app;and the University of Durham on a project to determine how to shift purchasing behaviors toward healthie

192、r choices.The team hypothesizes that featuring a menu item in KFCs hero image on the Deliveroo app will increase sales of that item.During a series of trials,when consumers in a certain area search for KFC on the Deliveroo app,they will see images of recommended lower-calorie menu items such as Sout

193、hern Sweet Chilli Twister Wrap.The trials will be conducted throughout 2023.Once complete,the team will gather and interpret their findings.Simplicity and labelingWe continue making progress in our efforts to remove artificial colors,artificial flavors and partially hydrogenated oils from core food

194、ingredients globally by 2025 and are 94%,88%and 95%of the way there,respectively.In addition,many of our brands and geographies also offer nutrition facts and ingredient and allergen information online.For the U.S.,details can be accessed here:KFC,Pizza Hut,Taco Bell,The Habit Burger Grill.Beverage

195、optionsIn 2022,Taco Bell U.S.met its goal of offering at least 50%of its medium(20 fl oz)fountain beverages at 100 calories or less and 20 grams of sugar or less,with new beverage options including Brisk Dragon Paradise Sparkling Iced Tea and Dole Lemonade Strawberry Squeeze.Plant-forward menu items

196、Plant-based options remain a priority for consumers in many parts of the world.In 2022,23%of menu items sold at Taco Bell were vegetarian.The brand continues to test new menu items,including a Crispy Melt Taco with a proprietary seasoned plant-based blend.Offerings across our other brands include pl

197、ant-based toppings at Pizza Hut restaurants in 17 countries,vegan cheeses in a limited number of Pizza Hut markets,including Europe,and Impossible burgers at The Habit Burger Grill.Consumer choiceWe encourage consumers to make meals their own,customizing their orders to suit their dietary preference

198、s.Pizza Hut offers a“create your own”pizza option worldwide.At Taco Bell,consumers can choose to make menu items vegetarian,order“fresco-style”to lower calories and fat or use the brands nutrition calculator to evaluate other possible ways to customize.APPROACHYum!Brands 2022 Global Citizenship&Sust

199、ainability ReportPEOPLEFOODPLANETAPPENDIXFood SafetyBalanced Choices Limiting Antibiotic Use Food SummaryAnimal Welfare26CAGE-FREE EGGSYum!is on track toward our commitment to transition to 100%cage-free eggs for 25,000 restaurants by 2026,including the U.S.,Western Europe and other leading markets,

200、across all brands and for all menu items and ingredients;and to transition to 100%cage-free eggs worldwide by 2030.Going forward,Yum!will be creating transition plans,in partnership with our supply chain and key partners,that identify all menu items with egg ingredients and the suppliers associated

201、with each.For our 2030 global markets,we will review sourcing data and research during 2024 and 2025,and plan to begin disclosing progress and a potential path forward after 2026.Yum!is on track toward our commitment to transition to 100%cage-free eggs for 25,000 restaurants by 2026Over the past yea

202、r,highly pathogenic avian influenza(HPAI)has significantly affected egg-laying birds in many places around the world.To date,KFCs business has not been significantly impacted by this issue.The brand attributes this to its deep bench of suppliers in multiple geographies,as well as to our biosecurity

203、expectations of suppliers,which are designed to protect birds from disease.Yum!continues to monitor HPAI outbreaks and responds as necessary to ensure supply continuity and protect our consumers.Animal Welfare We have a responsibility to be a good steward of the animals raised for food throughout ou

204、r supply chain.Our approach is articulated in our Global Animal Welfare Policy and guided by our Sustainable Animal Protein Principles.Yum!also supports the Five Freedoms for all animals used for food.OUR FOCUS ON CHICKEN KFC is the largest of our brands by sales volume.And given KFCs focus on chick

205、en,the welfare of chickensboth those who lay eggs used in products and broiler chickens used for meatis the greatest focus of our animal welfare programs.Regarding broiler chicken welfare,we are working to increase transparency in our supply chain,create consistency across our brands and around the

206、world,and improve data collection so we can better communicate progress and challenges to our stakeholders.In 2022,KFC rolled out a global chicken welfare platform that summarizes its stance on key welfare issues,the principles it follows and how it evaluates suppliers.Also in 2022,KFC U.S.published

207、 its first chicken welfare report,and KFC Western Europe(including the U.K.and Ireland)launched its third annual report and continued deep engagement on chicken welfare issues.In its most recent report,the market provided details on both its overall performance and that of its main individual geogra

208、phies.KFC Western Europe also implemented a supplier welfare scorecard,with supplier leaders invited to join quarterly review sessions to discuss audit findings and areas for improvement.KFC Western Europe market was proud to achieve 100%compliance on its annual chicken welfare audits&corrective act

209、ion plans.Audits for KFC Western Europes supply chain are now conducted by NSF International.These reports and plans are integrated in TrueView to allow for real-time visibility,with data updated monthly and at a more granular level than was previously available.APPROACHYum!Brands 2022 Global Citize

210、nship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXFood SafetyBalanced Choices Animal WelfareFood SummaryLimiting Antibiotic Use 27Limiting Antibiotic Use Keeping farm animals healthy occasionally requires the use of antibiotics.Yum!shares concerns regarding the rising threat of antimicrobial resist

211、ance(AMR)and supports the thoughtful and judicious use of these treatments.We also support One Health,a holistic and multisector long-term effort to combat AMR by the United Nations World Health Organization(WHO),the Food and Agriculture Organization,the World Organisation for Animal Health and othe

212、r key stakeholders.In addition to our long-standing alignment with globally recognized frameworks,we are encouraged by recent guidance in the U.S.from the Federal Drug Administration(FDA)and the positive impact it will have on overall antibiotics reduction efforts.This guidance includes stopping the

213、 availability of over-the-counter(OTC)livestock antibiotics through traditional retail channels and now requiring a prescription from a licensed veterinarian.In 2022,Pizza Hut reached its goal of removing antibiotics important to human medicine from chicken used for wings in the U.S.This builds on a

214、 previous commitment,achieved by KFC,Pizza Hut and Taco Bell,to reduce antibiotics important to human medicine in their U.S.poultry supply chains.Taco Bell continues to work toward its goal of reducing antibiotics important to human health in its U.S.and Canada beef sourcing by 25%by 2025.In much th

215、e same way that we are working to reduce the emissions impact of our animal protein supply chain,we are making progress through sector engagements.Our partners include the U.S.Roundtable for Sustainable Beef and the International Consortium for Antimicrobial Stewardship in Agriculture(ICASA).ICASA i

216、s a public-private partnership created by the Foundation for Food&Agriculture Research to advance research on antimicrobial stewardship in animal agriculture.ICASAs research promotes the judicious use of antibiotics,advances animal health and wellness and increases transparency in food production pr

217、actices.Through ICASA,Taco Bell is funding research to help develop a system for beef producers to better evaluate and report their antimicrobial usage.Taco Bells project is one of nine ICASA grant-funded projects investigating novel and potentially high-impact solutions to promote targeted antibiot

218、ic use and advances in animal health and welfare.Due to the complicated nature of the beef industry,isolating the volume of antibiotics used in any one businesss supply chain is complicated.However,we are encouraged to see a reduction in antimicrobial use in the animal protein industry overall.Over

219、the past five years,there has been a 32%reduction in antibiotic use industrywide.DECREASE FROM 2016 THROUGH 2021 IN DOMESTIC SALES OF MEDICALLY IMPORTANT ANTIMICROBIAL DRUGS APPROVED FOR USE IN CATTLE 201620213,605,5432,460,766Source:U.S.FDA 2021 Summary Report on Antimicrobials Sold or Distributed

220、for Use in Food-Producing AnimalsEstimated Annual Totals(kg)332%reductionindustrywideAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryLess CarbonBetter PackagingDeforestationWater Security28PLANET We Grow SustainablyAPPROACHYum!Brands 2022 Global

221、Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXLess CarbonBetter PackagingDeforestationWater SecurityPlanet Summary29Planet SummaryHOW WERE DRIVING GOOD GROWTH Good Growth means addressing climate change and resource scarcity for the benefit of the planet,our business,employees franchisees

222、 and local communities that we serve.Taking action to reduce our environmental footprint enhances brand relevance by aligning with growing demands for sustainability among consumers,investors and nongovernmental organizations(NGOs)while also helping to mitigate risk.We are investing in advanced tech

223、nologies that will allow us to operate our restaurants more efficientlysaving energy and water and generating less waste while reducing costs.Given the scale of our business and the fact that we are largely franchise-operated,making progress on emissions reduction also means looking deep into our su

224、pply chain.Yum!is strengthening our supplier engagement and data management capabilities,giving us the insights we need to drive progress on emissions reduction as well as human rights,food safety and other supply chain issues.In each of our areas of impact,were leaning into multistakeholder partner

225、ships,seizing opportunities to both learn from and educate others.KEY TAKEAWAYS We achieved a 57%absolute reduction in corporate restaurant and office emissions(Scope 1&2)compared to 2019.We achieved a 28%reduction in per-restaurant emissions in franchisee restaurants(Scope 3)compared to 2019.Weve c

226、onducted a global renewable energy prioritization study covering key markets and are developing a roadmap for transitioning our restaurants.Pizza Hut reached its goal of sourcing 50%of the dairy used to make its pizza cheese in the U.S.from dairy farms enrolled in an environmental stewardship progra

227、mtwo years ahead of schedule.Taco Bell announced a partnership with Cargill and the National Fish and Wildlife Foundation(NFWF)to address the environmental impacts of cattle grazing.KFC Western Europe engaged with poultry suppliers to map and identify gaps in its soy supply chain and released its fi

228、ndings in a report for KFC U.K.&Ireland,with a plan to publish a report for all of the Western European markets in 2023.Our packaging policy,harmonized across all four brands,is helping drive focus on our packaging priorities.MATERIAL ISSUES Climate Impact Operational Waste&Recycling Packaging Susta

229、inable Sourcing WaterALIGNED UN SDGsAt Yum!,our restaurants have taken steps to reduce water use,and weve conducted a global water risk assessment to better understand our footprint.In 2021,we announced new science-based targets(SBTs),which give us a roadmap for reducing GHG emissions to levels alig

230、ned with the Paris Agreement.Yum!partnered with FAI Farms to identify and eliminate deforestation risk in our supply chain.APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestationWater SecurityLess Carbon30Less CarbonOne of Y

231、um!Brands greatest opportunities for positive impactand therefore one of the top priorities for our businessis reducing GHG emissions from our restaurants and supply chain.Weve been on a journey to reduce our carbon footprint for more than 15 years and continue to elevate our climate ambitions.In 20

232、21,our near-term climate target was approved by the Science Based Targets initiative(SBTi).Using 2019 as our baseline year,these SBTs commit us to:Reduce absolute Scope 1 and 2 GHG emissions 46%from corporate restaurants and offices by 2030Reduce Scope 3 GHG emissions 46%per franchise restaurant by

233、2030 Reduce Scope 3 GHG emissions 46%per metric ton of beef,poultry,dairy and packaging by 2030APPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestationWater Security31ActionsFocus AreasClimate Transition PathwayActionsFocus A

234、reasBeef&DairyImproved feed practices:Improved health monitoringFeed additives storage covering Increased milk production Feed additives:Tannins and nitrate addition Improved waste practices:Manure management Manure digesters PoultryImproved feed practices:Optimized diets Sustainable soy and cornImp

235、roved waste practices:Manure management Land Use,Biodiversity&Agricultural PracticesDeforestation and land use change:Pilot and implement practices such as regenerative agricultureWork with suppliers to end deforestation and land conversion Renewable EnergyExplore and implement renewable energy thro

236、ugh a mix of on-site virtual power purchase agreements(vPPAs)and energy attribute certificatesGOALS:Reduce absolute Scope 1 and 2 GHG emissions 46%from corporate restaurants and offices by 2030Reduce Scope 3 GHG emissions 46%per franchisee restaurant by 2030GOAL:Reduce Scope 3 GHG emissions 46%per m

237、etric ton of beef,poultry,dairy and packaging by 2030 Climate Transition StrategyBuilding EfficiencyReduce electricity,natural gas and hydrofluorocarbons(HFCs)consumption with focus on heating,ventilation and air conditioning(HVAC),exhaust hoods,equipment,refrigeration and lightingSupply ChainYum!Cl

238、imate Transition Action PlanRestaurants Oversight from board,global leadership,ESG Council and brand steering committees Improve tracking of building efficiency,grid greening and integration of renewable energy Engage with industry groups and trade associations for tracking life cycle emissions from

239、 beef,poultry and dairy to improve monitoring,reporting and verification Commitment to transparency through continued CDP Climate,Forest,Water disclosures and alignment to TCFD framework Third-party verification of annual GHG dataGovernance,Data&Transparency To achieve our SBTs,we need a clear plan.

240、Yum!s climate action plan,detailed below,illustrates where we will focus in the coming yearsand how much we expect each area to contribute to emissions reduction.The reduction pathway is grounded on baseline data from 2019 that was used when setting our approved science-based targets.We recognize th

241、at our strategy and supporting actions will likely evolve based on a number of factors such as improved economics,technology and innovation.425262728293050%100%50%100%4252627282930Emissions ReductionEmissions ReductionBUILDINGEFFICIENCYNO ACTION TAKENGRID GREENINGRENEWABLEENERG

242、YNO ACTION TAKENPOULTRYBEEF&DAIRYLAND USE,BIODIVERSITY&AGRICULTURAL PRACTICESTECHNOLOGY&INNOVATIONLess CarbonAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestationWater Security32CORPORATE RESTAURANTS&OFFICESReduce Absolute

243、 Scope 1&2 GHG Emissions by 46%by 2030 Compared to 2019Our Scope 1 and 2 emissions cover our corporate-owned restaurants in addition to our corporate offices.Since 2019,weve decreased energy consumption at corporate restaurants by 57%through restaurant energy conservation measures like high-efficien

244、cy HVAC systems,kitchen equipment,refrigeration equipment,lighting and building management systems.Beyond reducing the amount of energy used,we must also transform the types of energy we source.We have used renewable energy for our U.S.-based offices through open market renewable energy certificates

245、 since 2019.We continue to transform the types of energy we source and look at alternative options to further contribute to the development of new forms of renewable energy.mtCO2e4252627282930200K150K100K50KReduction target is 101,802 mtCO2e by 2030.This is an absolute reduction,based on

246、2019 emissions.Note:Baseline year 2019 has been restated and received external assurance to account for acquisitions,divestitures and required updates,in accordance with the GHG Protocol.All figures are market-based emissions.For a full breakdown,view our ESG Library.Less CarbonAPPROACHYum!Brands 20

247、22 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestationWater SecurityAs a next step on our decarbonization journey,in 2022 we worked with a third-party organization on a global study of renewable energy markets.Through this study,we examined ren

248、ewable energy opportunities and challenges in 10 key markets worldwide in terms of cost,complexity,risk,scalability and impact.We also explored possible solutions for each unique market dynamic,including physical and VPPAs,on-site solar installations and energy attribution certificates.Franchisee in

249、put was an important part of the process,and our next steps involve finding more ways to engage franchisees in bringing the renewable energy roadmap to life.Emerging government regulations and technological advances are also helping drive the transition to renewable energy.For example,a franchisee i

250、n Indonesia has entered into a joint partnership with a national solar power company to add rooftop solar panels to its entire portfolio of restaurants.33FRANCHISEE RESTAURANTS Reduce Scope 3(Per Franchisee Restaurant)GHG Emissions by 46%by 2030 Compared to 2019Since 2019,franchisee GHG emissions de

251、creased by 28%per restaurant on average,which gives us a good start toward meeting our 2030 goal.Yum!has a long history of designing,building and operating sustainable and efficient restaurants,having opened our first green building,certified using the U.S.Green Building Councils Leadership in Energ

252、y and Environmental Design(LEED)program,more than a decade ago.KFC has adopted proven approaches into a collection of must-have processes that serve as a common baseline for global development.Pizza Hut has also adopted a list of must-haves for its restaurants in its focus countries.Take Pizza Hut i

253、n Brazil,where the brand has adopted and implemented elevated standards for its HVAC equipment,lighting and water use.A franchisee in India built a new Pizza Hut restaurant which generates solar power,practices rainwater harvesting,uses wastewater from reverse osmosis for cleaning purposes and deplo

254、ys an environmental management system to control power usage.These projects serve as a roadmap for franchisees in reaching their environmental and business goals,including reducing GHG emissions.We also continue to investigate building conservation measures such as automation technologies and Intern

255、et of Things(IoT)-based solutions,including connected temperature sensors for coolers and fryers that will help franchisees reduce their footprints,keep food safe and deliver a great customer experience.mtCO2e/restaurant20015010050Reduction target is 96.2 mtCO2e per restaurant by 2030.This is an int

256、ensity reduction,based on 2019 emissions.Note:Baseline year 2019 has been restated and received external assurance to account for acquisitions,divestitures and required updates,in accordance with the GHG Protocol.All figures are market-based emissions.For a full breakdown,view our ESG Library.192021

257、222324252627282930Less CarbonAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestationWater SecuritySolar powerBoth KFCs corporate and franchise-owned restaurants are adding solar panels to their rooftops and now have them on

258、every continent where the brand operates.Locations include France,India,Indonesia,LA&C,Philippines,South Africa,South Pacific and the U.S.In the U.S.,a KFC franchisee has also installed a solar-powered drive-thru canopy.34SUSTAINABLE RESTAURANTS AROUND THE WORLDOur brands have emissions-reduction ac

259、tivities taking place at restaurants across the world and are hopeful that these improvements and innovations can be applied across the Yum!network.A few ways were making progress include:Electric vehicles(EVs)In the U.K.and Ireland,KFC is adding EVs to its delivery fleet.In select U.S.states,a Pizz

260、a Hut franchisee piloted a delivery EV with a dedicated,insulated cabin for product.Net-zero restaurants KFC U.K.&Ireland is reviewing the carbon footprint of its restaurants with the goal of making future restaurants net-zero carbon through sustainable design,operations and integration of renewable

261、 energy technology.University partnershipsPizza Hut is working with undergraduate and graduate students to gather data and develop concepts for more sustainable restaurant design,which could inform future builds.Zero-waste initiatives KFC Thailand has opened multiple“Green Stores,”which are built wi

262、th zero-waste material and offer plant-based poultry menu items.Sustainable furnishings The Habit Burger Grill continues to incorporate sustainable upholstery,lighting and equipment into its restaurants,including energy-saving technology in walk-in coolers,ENERGY STAR and Green Guard-certified machi

263、nes and fixtures and floor tiles made of recycled content.Similarly,KFC is developing a new line of restaurant furniture made of lightweight,recovered materials.Less CarbonAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestat

264、ionWater Security35SUPPLY CHAINReduce Scope 3 GHG Emissions 46%per Metric Ton of Beef,Poultry,Dairy and Packaging by 2030 The majority of Yum!s GHG emissions come from the food we purchase,namely our core proteins of poultry,beef and dairy.When we set our SBTs,we prioritized these proteins,along wit

265、h packaging,as areas for action.When it comes to calculating the emissions,we use standardized factors from Agri-footprint.Agricultural industries are continuing to refine approaches to calculating emissions.In 2019,our combined intensity for our primary GHG emitters was 6.2 mt CO2e per mt of produc

266、t purchased.In 2022,our emissions intensity was 6.4 mt CO2e per mt of product purchased based on recently updated emissions factor updates.Making continued progress on our supply chain goal requires a multipronged approach:partnering with our suppliers to address emissions from land use to animal fe

267、ed and working across the industry to align on the data and reporting behind agricultural and packaging emissions.As you will see on the following page,emissions from our key proteins can range greatly depending on several factors,including land use and feed efficiency.BeefPoultryDairyFiberPlastic43

268、%32%21%3%1%2022 Key Supply Chain GHG EmittersLess CarbonAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestationWater Security36ACTING ON CLIMATE IN OUR SUPPLY CHAINTracking and calculating emissions in food systems is diffic

269、ult,especially in regard to above ground carbon cycles.However,we continue to work on gathering complex data from our protein and packaging supply chain to estimate emissions.Currently,our reporting approach uses standardized emissions factors applied to the quantities of commodities procured for be

270、ef,dairy and poultry,as well as packaging.However,we know the approach of using averages has limitations and we continue to look for ways to address them.Data developmentTargeted pilotsStrategies for reducing emissions will vary by core proteins and the regions they are sourced from,as well as produ

271、cers and production models.We are working with partners on specific projects to define pathways for emissions reduction.Sector engagementsClimate action in our supply chain will require partnering with industry peers,as well as processors,farmers and retailers,to advance awareness and align on areas

272、 of focus and desired results.BEEF EMISSIONSPOULTRY EMISSIONSSource:WWF Measuring and Mitigating GHGs-Beef and WWF Measuring and Mitigating GHGs-ChickenResearch from the World Wildlife Fund(WWF),shown in the below charts,gives a breakdown of emissions when it comes to beef and poultry sourcing and s

273、upports our focus areas of land use,enteric fermentation and feed.Their research also affirms that Yum!is sourcing primarily from highly efficient regions that have lower emissions such as North America.Global emissions averages are approximately 76 kgCO2E/kg edible weight(EW)for beef and 7 10 kgCO2

274、E/kg EW for poultry.For North America,one of our largest sourcing regions,beef averages 40 kgCO2E/kg EW and poultry(meat)averages 4 kgCO2E/kg EW.Per below,land use and feed can more than double the entire life cycle emissions of beef or poultry.TOTAL:16 360 avg.76kgCO2e/kg EWTOTAL:2.6 21 avg.7 10kgC

275、O2e/kg EWLess CarbonAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryBetter PackagingDeforestationWater Security37Engaging SuppliersThrough participation in the Supplier Leadership on Climate Transition(Supplier LoCT)consortium,Yum!suppliers gain

276、access to classes where they can learn to calculate GHG emissions,set their own SBTs and access climate roadmaps and playbooks.We follow up on the progress they are making by conducting an annual sustainability survey and are seeing an increase in target-setting as a result of this program.To date,4

277、0%of our suppliers of poultry,beef and dairy in the U.S.,Canada,Western Europe and Australia have set emissions-reduction goals or have joined the Supplier LoCT program.Reducing Emissions on the Farm How will farmers meet the goals they set?Pizza Hut U.S.is partnering with the Dairy Farmers of Ameri

278、ca(DFA)to provide the technology and data needed to help answer that question.Over the past year,Pizza Hut has been working alongside DFA and dairy suppliers to conduct farm-level GHG and energy assessments through the Farmers Assuring Responsible Management and Environmental Stewardship(FARM ES)eva

279、luation.The brand set a goal to source 50%of the dairy used to make its pizza cheese in the U.S.from dairy farms enrolled in the FARM ES program by 2025,and met this goal in 2023,achieving 60%sourcing from enrolled farms.One of the most significant ways farmers can reduce emissions is changing anima

280、ls diets.The brand is helping them do this by providing all FARM ES-enrolled farmers with a SCiO cup,a lab-grade dry matter analyzer.The SCiO cup is a handheld device that resembles a large coffee mug.Farmers place a scoop of cattle feed into the cup as a sample,and the SCiO Cup uses near-infrared s

281、pectroscopy to determine levels of dry matter in the feed,which affects cows methane output.Using this information,farmers will be able to deliver precise nutrition to their cows,leading to a reduction in methane emissions and waste.In addition,Pizza Hut is helping implement farm-level projects such

282、 as cover crop planting and energy-efficient lighting and ventilation equipment.In 2023,Taco Bell announced an exciting new partnership with long-time supplier Cargill and NFWF to address the environmental impacts of cattle grazing.Cargill and Taco Bell will jointly commit$2 million and leverage an

283、additional$2 million in federal funds to provide grants to beef producers in the U.S.Intermountain West.These grants will equip ranchers with the technical and financial tools to expand their regenerative ranching practices,from conserving grassland ecosystems to improving river water quality and bi

284、odiversity,with the goal of sequestering up to 44,000 metric tons of CO2e per year by 2030.Less CarbonAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryLess CarbonBetter PackagingWater SecurityDeforestation38DeforestationLIMITING DEFORESTATION THRO

285、UGH SOURCING PRACTICES Beyond producing methane emissions,another way that raising animals for food can contribute to climate change is by accelerating deforestation.When forests are cleared to make room to grow crops or raise animals,sequestered carbon is released.Deforestation can also impact biod

286、iversity by destroying the habitats that native animals and plants depend on and has been linked to human rights violations against indigenous peoples.We seek to minimize or avoid sourcing livestock that is raised and feed that is grown in areas at risk of deforestation.Many other businesses source

287、the same commodities as we dotherefore,the primary way we are tackling this issue is through collaboration.It will take all parties,including NGOs,companies,governments and more,to move successfully in this area.Examples of our engagement include endorsing the New York Declaration on Forests(NYDF)an

288、d the private-sector goal of eliminating deforestation from the production of agriculture commodities such as palm oil,soy,paper and beef products and striving to end natural forest loss by 2030.We also recognize that there are increasing demands to move even faster and continue to monitor what this

289、 means for us.Yum!is a member of the Tropical Forest Alliance and UK Roundtable on Sustainable Soya(KFC U.K.&Ireland).We are also tracking the newly released Forest,Land and Agriculture Guidance from the SBTi.Due to the complexity of our supply chains,this work is more straightforward for some commo

290、dities than for others.For example,soy,which is a primary ingredient in poultry feed,has a supply chain involving soybean farmers,processors,feed mills,poultry suppliers and finally Yum!restaurants.While our business is at least five steps removed from the soybean field,we continue to work across ou

291、r supply chain to achieve greater levels of visibility and accountability.Through our 2022 feed mill audit,we determine that 100%of our feed mills in Brazil are aligned with the Amazon Soy Moratorium.In 2022,we expanded our data collection process to better understand the use of soy by our supply ch

292、ain partners.Given that we are not buying soy for animal feed,it is challenging to measure.All global soy information is shared through our CDP reporting as a part of Yum!s global disclosure.In addition,annual data of Brazilian feed mill performance,reflecting the production of poultry in Brazil rel

293、ative to the Amazon Soy Moratorium,is reported annually as a part of the Yum!sustainability reporting process.KFC Western Europe has made progress by incorporating a soy sourcing policy into its Sourcing Code of Practice,aiming for 100%sustainable soy by 2030(2025 for KFC U.K.&Ireland).The market al

294、so conducted a soy mapping exercise with poultry suppliers to identify gaps in its soy supply chain and released its findings in its first soy report for the KFC U.K.&Ireland market,with the aim to extend disclosure for the entire region in 2023.Additionally,in line with our Accountability Framework

295、 initiative(AFi)plan,KFC Western Europe has engaged suppliers on sustainability programs,including their soy sourcing strategy.Assess 20192020Conducted risk assessment for soy and beef sourced in Brazil,an area known to have a higher risk for deforestation.The assessment was conducted by our third-p

296、arty partner,WWF.Plan&Research 20202022Drafted AFi plan with WWF guidance,recognizing the industry challenges including traceability across a complicated soy supply chain,especially for downstream actors.Followed common steps and guidance of AFi to outline overall deforestation and conversion-free(D

297、CF)workstream including:Implement2022CurrentWe continue to execute against the AFi plan and revise as needed.This includes engaging with suppliers on their soy sourcing strategy and reviewing our soy mapping.In addition,we consult with and learn from other organizations facing similar supply chain c

298、hallenges.We are also working to ensure responsible sourcing of other raw materials whose cultivation can contribute to deforestation,including palm oil and fibers used for packaging(read more about our Better Packaging efforts).As a member of the RSPO,we are committed to sourcing all palm oil used

299、for cooking from responsible and sustainable sources and give preference to suppliers that are certified by the RSPO.In 2022,volatile markets and disruptions,especially from global conflicts,created significant challenges and slightly reduced our use of RSPO-certified palm oil.Still,our supply chain

300、 and sustainability teams remain dedicated to partnering on this issue.We use satellite technology to review palm mill exposure to deforestation risks and continue to look for opportunities to reduce the environmental footprint of our palm oil use.NAVIGATING OUR DEFORESTATION JOURNEYDCF AlignmentRis

301、k ProfileInternal OperationsSupplier EngagementMonitoring,Reporting&VerificationAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryLess CarbonDeforestationWater SecurityBetter Packaging39Better Packaging Another important way we can make a positive

302、environmental impact is by transitioning to more sustainable packaging for the food we serve.In 2022,Yum!introduced a harmonized packaging policy that built upon our brands existing packaging goals,providing an aligned aspiration for all brands to work toward by 2025 and beyond.To develop this polic

303、y,we engaged with brands,NGOs,investors and regulators to ensure our goals capture the full complexity of packaging opportunities at the local,national and global levels.YUM!S SUSTAINABLE PACKAGING FOCUS AREAS As part of our harmonized packaging policy,Yum!established four focus areas and goals with

304、in each to achieve by 2025.Our focus areas are:Eliminating unnecessary packagingBy removing products with Styrofoam and expanded polystyrene(EPS)and reducing overall packaging materials and use Shifting materialsBy transitioning to reusable,recyclable or compostable content and removing substances o

305、f concern Supporting better recovery&recycling systemsBy forming partnerships to improve local infrastructure Investing in circularityBy exploring concepts like reusability and repurposing of materials that would otherwise go to wasteAPPROACHYum!Brands 2022 Global Citizenship&Sustainability ReportPE

306、OPLEFOODPLANETAPPENDIXPlanet SummaryLess CarbonDeforestationWater Security40This harmonized policy recognizes that while our brands vary in their menu items,and therefore in the types of packaging they use,there is still much they can learn from each other.Since setting the policy,we have identified

307、 areas in which our three largest brands can lead,tasking each brand with exploring more sustainable packaging solutions.Each brand will share its learnings with the others,allowing us to move faster toward solutions than any brand could on its own.Yum!is evaluating progress toward our goals with a

308、self-assessment scorecard for each market and across all of our focus areas.We are proud of the progress weve made to date in each area over the past year,including:Eliminating Unnecessary PackagingUnrecoverable plastic items,including straws,cup lids,stirrers and cutlery,are prevalent around the wo

309、rld due to their convenience and low cost.But they are too small for recycling facilities to process,which makes them a key focus area of Yum!s new policy,as well as of emerging legislation worldwide.We have phased out 99%of Styrofoam and EPS from our brands packaging,marking the third year in a row

310、 with the remaining amounts being de minimis.We will keep working to remove the remaining levels in our system.Now,many of our markets are finding ways to remove other unrecyclable items.For example,Pizza Hut restaurants in India,Australia and Japan have eliminated plastic straws,plastic cups and pl

311、astic cutlery.Shifting MaterialsAs we remove unrecoverable plastics and other compounds from our packaging,we are making a transition to materials that use recycled content and are compostable or recyclable.In many cases,this means using paper fibers,which can be recycled and reused many times over.

312、In 2022,70%of our fiber-based packaging and servicewares were from certified virgin or recycled paper sources.Our strategy is to continue to work toward our published goals to prevent deforestation,in line with our endorsement of the NYDF.Taco Bell has transitioned to recyclable paper wraps in the U

313、.S.and is piloting a 30 oz polypropylene beverage cup made with 10%recycled content.At Taco Bell restaurants in Brazil and the South Pacific,new fiber-based products include paper straws,wraps and bags and wooden cutlery.The Habit Burger Grill transitioned to-go bags from plastic to paper,eliminatin

314、g 330,000 pounds of plastic.In 2023,the Habit is testing molded fiber packaging for salad bowls and exploring paper-based packaging solutions.Pizza Hut is focused on making its packaging,primarily made up of corrugated cardboard,more recyclable.Pizza boxes in Australia are made from 100%recycled con

315、tent,while that number is up to 70%in the U.K.Supporting Better Recovery&Recycling SystemsFor packaging to actually be recycled or composted,municipalities must have recovery infrastructures,and consumers must understand how to recycle or compost properly.Yum!is a member of How2Recycle,the leading r

316、ecycling labeling system in North America,which provides instructions on packaging to enable more and better recycling.We have begun the journey to implement How2Recycles standardized labeling system on our packaging and continue work to apply to more of our packaging suite.As a member of the NextGe

317、n Consortium,Yum!stays current on what materials are most widely recyclable and has the opportunity to work with other companies to support the development of sortation and recycling infrastructure.Globally,it is estimated that at least 27%of plastics used in our consumer packaging are considered wi

318、dely recyclable.For example,in 2022,polypropylene rigid containers,a material used in our brands packaging,were upgraded to be considered“widely recyclable”in the U.S.Taco Bells corporate-owned restaurants have added three-stream recycling bins to provide in-restaurant access to consumers in efforts

319、 to collect as much material as possible for recycling.Investing in CircularitySupporting a truly circular economy means considering what happens to materials at the end of their life.Taco Bell continues its partnership with TerraCycle in the U.S.to upcycle used sauce packets.Most recently,the brand

320、 elevated the program scope beyond Taco Bell sauce packets and now accepts condiment packets from any brand.KFC South Pacific has partnered with a supplier in Australia who manufactures sustainable,affordable and high-performance building materials made from hard-to-recycle packaging.Materials like

321、milk and juice cartons are upcycled into a construction board that has been installed in a new KFC restaurant for testing.We are also learning from reusable dishware and silverware programs for dine-in customers in locations such as California and France.Better PackagingAPPROACHYum!Brands 2022 Globa

322、l Citizenship&Sustainability ReportPEOPLEFOODPLANETAPPENDIXPlanet SummaryLess CarbonBetter PackagingDeforestationWater Security41Water Security Yum!uses water to prepare our food and keep restaurants clean and safe.We have a long history of working to reduce water consumption and are 40%of the way t

323、oward our 2025 goal of reducing average restaurant water consumption by 10%from our 2017 baseline.We also continue to focus our efforts on areas of high water stress.We conduct a regular risk assessment using the World Resources Institutes Aqueduct tools to determine areas at highest water risk.We e

324、valuate both water access and water quality due to their importance to restaurant operations and food production.For the first time in 2021,we included a portion of our supply chain assessing risks to our beef,poultry,dairy and fiber suppliers and found that 82%of our supply chain components have lo

325、w to moderate risk.The assessment also concluded which brands and countries have the highest level of water risk.For more information,see our latest CDP Water Security response.Yum!Brands 2022 Global Citizenship&Sustainability ReportUN SDGsMaterialityAbout This ReportStakeholder EngagementPerformanc

326、e SummaryGRI IndexSASB IndexAPPROACHPEOPLEFOODPLANETAPPENDIX42APPENDIX Yum!Brands 2022 Global Citizenship&Sustainability ReportUN SDGsMaterialityAbout This ReportStakeholder EngagementGRI IndexSASB IndexAPPROACHPEOPLEFOODPLANETAPPENDIXPerformance Summary43Performance SummaryPeopleGOALPROGRESSOur Tea

327、mSignificantly increase the number of women in senior leadership globally and achieve gender parity in leadership globally by 2030 in alignment with Paradigm for Parity.In 2022,43%of global corporate leadership roles were held by women,and approximately 52%of our global workforce was comprised of wo

328、men.Significantly increase diverse representation of people of color in the U.S.among corporate employees.Yum!is among OneTen Coalitions highest-performing partners in terms of the number of new hires and promotions at our company-owned restaurants and corporate offices.Yum!remains committed to the

329、Hispanic Promise and the CEO Action for Diversity&Inclusion.Continue rolling out Inclusive Leadership training across our system including company-owned and franchise restaurants.We expect to have the program rolled out globally by the end of 2025.Provide system employees with training and developme

330、nt that builds world-class leaders and business results.Employees participated in almost 260,000 training instances in 2022.Nearly 5 million hours of operational training were completed.Since Yum!acquired Heartstyles in 2020,more than 600 Certified Practitioners have been trained and 30,000 Indicato

331、rs have been completed across six continents.KFC U.S.is putting college degrees in reach for its restaurant employees with team members able to earn degrees at Western Governors University(WGU)with tuition 100%covered.Measure our employee engagement.Yum!s last biennial employee engagement survey,whi

332、ch was conducted in 2021,revealed an engagement level of 88%for all corporate employees,well above industry benchmarks.Remain committed to our Global Code of Conduct and Supplier Code of Conduct,which addresses guidelines for working conditions consistent with frameworks such as those of the Interna

333、tional Labour Organization and the United Nations Guiding Principles on Human Rights.Published updated version of Yum!s Human Rights&Supply Chain policy.Through Yum!s membership with Sedex,a leading ethical trade membership organization that works with businesses to improve working conditions in global supply chains,6,000 core category supplier sites were pre-screened for indicators of inherent re