As a consumer you may not have heard of Zamora Company, but it will surely ring a bell when you hear the names of some of its most popular premium spirit and wine brands, such as Licor 43, Martin Miller’s Gin, Yellow Rose, Ramón Bilbao, Champagne Pommery, and many others.
The international enterprise with headquarters in Spain and operations in more than 80 countries has been including environmental protection and economic growth into its DNA and is constantly working on achieving a sustainable business model that will be its future legacy to society and to the planet. Its commitment to the planet is based on four pillars: climate action, biodiversity protection, circularity, and conscious suppliers.
The mission of Zamora Company toward its suppliers is to encourage them to be more sustainable by collaborating closely to substitute product and packaging materials with more sustainable alternatives and to use more recyclable packaging materials to support circular economy principles. It’s no wonder that, for Zamora, sustainability goes hand in hand with innovation without compromising the highest quality standards. Zamora Company’s strategy as a conscious company is also focused and aligned with the achievement of the Sustainable Development Goals (SDGs) set by the United Nations 2030 agenda.
Accelerating Innovation Through New Packaging Legislation
Since the introduction of a new packaging tax in Spain on January 1, 2023 on non-reusable plastic packaging, companies are required to meet comprehensive reporting requirements.
The tax is an indirect excise tax with an environmental purpose. It aims to internalize the environmental costs related to the manufacturing and consumption of plastic packaging in the price of final products.
The taxable event is the manufacturing, import, or intra-community acquisition of non-reusable plastic packaging for its use within the Spanish market. The plastic packaging tax captures a broad concept of “non-reusable plastic packaging” in its scope, which includes:
- Non-reusable plastic containers – the law provides definitions of “non-reusable,” “plastic,” and “container” for the purpose of this tax
- Semi-finished plastic products, such as preforms and thermoplastic sheets, intended for production of non-reusable plastic containers
- Plastic products aimed to facilitate the closing, trading, or presentation of non-reusable containers
“The new legislation required us to respond to governmental requisitions and was an additional driver to accelerate our sustainability efforts,” Enrique Gonzalo Mecández, SAP manager in Operations at Zamora Company, explained. “With a cross-departmental team, we were looking to find the most appropriate and scalable software solution to meet the country’s regulatory requirements and help us with data management, a tax monitor, and reporting and insights.”
Keeping All Data in One Central Place
As a result, Zamora Company found that SAP Responsible Design and Production, an industry cloud-based solution, would best meet its needs. SAP Responsible Design and Production can support manufacturers and retailers in calculating extended producer responsibility (EPR) obligations and fees, plastic taxes, and corporate commitments to optimize material choices. In addition, it helps improve design decisions based on costs and planetary impact.
“From a process standpoint, SAP Responsible Design and Production facilitates the incorporation of everything related to sustainability data linked to the material, so that all relevant information is unified in the material master,” Gonzalo Mecández said. “As all information is kept in one place, purchasing work and master data maintenance required to ensure regulatory compliance is centralized, without the need to manually replicate information in different systems.”
“Moreover, leveraging a single and integrated platform with SAP S/4HANA provides the security of working with up-to-date and correct data. Additionally, the data quality application allows our users to detect any lack of information and correct it,” he added. “With deep knowledge and solution experience, our trusted partner Minsait, an Indra company, closely supported us during the implementation of SAP Responsible Design and Production, as well as the integration with our SAP S/4HANA platform.”
The benefits Zamora Company achieved include:
- Ability to rely on 100% correct data, fully aligned with material registration processes
- Cost savings thanks to less administrative work, eased reporting, and a central data repository
- Reduced risk of non-compliance with extended producer responsibility regulations in Spain
- A simple, user-friendly tool to support legal reporting requirements in a timely manner
- Ability to expand solution usage to meet upcoming EPR legislation in other countries, like Italy
Positive Impact on Customers, Economy, Society, and Environment
“The project helped us learn more about our products and incorporate their packaging details, so that our company knows exactly how much plastic and non-recycled plastic is being used. In a more strategic phase, this will allow us to evaluate alternative materials and compositions, which can create cost savings for the company and positively contribute to the environment by being able to transition to more sustainable elements,” Gonzalo Mecández concluded.
Watch a solution overview video to learn how to start acting on a circular economy, design products sustainably, and eliminate waste with SAP Responsible Design and Production. Read about what benefits other enterprises achieved.
To explore how the comprehensive, cloud-based sustainability solution portfolio from SAP can support carbon footprint management, reducing material waste, and becoming a socially responsible business, visit here.
Karin Fent is senior director of Global Customer Success, Digital Supply Chain, at SAP.