Corporate Water Stewardship: Assessing the Performance of Non-Governmental Organization-Corporate Coalitions in the Food and Beverage Sector

Abstract

Of all sectors, the food and beverage industry is particularly reliant on water. As it consumes 70% of the world’s water resources and has a considerable impact on water, securing clean and abundant freshwater is a clear business imperative. Competition for water and increasing water scarcity in relation to climate change force food and beverage companies to address pressuring physical, regulatory, reputational, and financial water risks. By partnering with NGOs, businesses develop corporate water stewardship strategies to mitigate their water risks and turn them into opportunities. This case study aims to assess the performance of NGO-corporate coalitions in developing corporate water stewardship initiatives in the watershed where they operate. The Analysis finds that water issues are extremely complex and difficult to comprehend and address. In this regard, if water risks are commonly well assessed at the site level, companies find it more difficult to comprehensively capture and respond to water risks outside their operating facilities, along their supply chain, or at the catchment level. A comprehensive approach to water challenges, including agricultural suppliers and all key stakeholders in the watershed, is key to ensuring the viability of corporate water stewardship at the basin level.