Suntory US Integrates Sustainability and Risk Management, Marotta Leads Enterprise Risk Committee to Address Water Strategy Challenges
2026-03-06 15:51
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Wedoany.com Report on Mar 6th, Suntory Global Spirits, a $5 billion Japanese beverage company, views freshwater access as a core business imperative. Kim Marotta, the company's Chief Environmental Risk Officer, also chairs the Enterprise Risk Management Committee, overseeing water strategy to address this critical business risk. In April 2025, Suntory established a new company called "Waterscape" aimed at restoring and securing water supplies.

In a Climate Pioneers interview at GreenBiz 26, Marotta stated, "We often say, 'No water, no whiskey,' and it truly is a business imperative. Water is a primary ingredient in our products, irrigates crops, and is used throughout the distillation process. Therefore, water availability must be considered when developing long-term resilience strategies." Appointed as the head of enterprise risk in January 2025, she previously integrated sustainability and risk management at Molson Coors and advises all sustainability leaders to bring this mindset into executive discussions.

Suntory's Enterprise Risk Committee, which includes the CEO and executives from various departments, treats water management as a risk on par with supply chain disruptions, geopolitical tensions, or digital transformation. Marotta noted, "We have a list of long-term management priorities like water, soil health, packaging, carbon, and climate. Enterprise risk management allows us to see the big picture—these are not just environmental risks but business risks as well."

Headquartered in New York, Suntory owns brands such as Jim Beam, Maker's Mark bourbon, and El Tesoro tequila. The company is committed to halving its water use per unit of product by 2030—a target already exceeded—and aims to replenish over 100% of operational water use in water-stressed areas, with about 15% achieved so far. These metrics are tied to key performance indicators and incentives. Marotta said, "We incorporate water into short-term bonus calculations, with distillery and business personnel jointly driving this goal."

Suntory uses internally developed software and external data, employing AI to analyze risks across three tiers: Tier 1 includes immediate-impact threats like water; Tier 2 covers issues requiring immediate attention, such as white oak sourcing; and Tier 3 monitors potential escalation issues. Marotta emphasized, "We cannot stop risks, but by mitigating them and building response measures, we can enhance resilience." She advises corporate sustainability teams to adopt a similar approach, transforming conversations with business leaders, and points out, "You are all enterprise risk managers; you just might not realize it yet."

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