03/22/2007, Düsseldorf, Germany/Gulph Mills, Penn.
Henkel Publishes Sustainability Report for 2006
Only if we all act responsibly will we be able to achieve true sustainability. This is the key message of the new Henkel Sustainability Report that the company presented today at a press conference in Düsseldorf.
Among the results Henkel reported for the period 2002 to 2006 are a 72 percent reduction in occupational accidents, 27 percent lower energy consumption, and 21 percent lower carbon dioxide emissions - with a concurrent increase of 66 percent in production volume. The Sustainability Report 2006 additionally documents how Henkel helps to conserve resources with its brands and technologies - from production through use to disposal. And Henkel employees and retirees attending the roundtable of the Make an Impact on Tomorrow (MIT) Initiative reported on their volunteer work in social projects.
"Sustainability and social responsibility cannot be left solely to the endeavors of individual persons or companies. We must all play our part - every employee and every member of society," said Prof. Dr. Ulrich Lehner, Chairman of the Management Board of Henkel KGaA. "By choosing to buy Henkel products, customers and consumers show that they acknowledge and appreciate the efforts that Henkel makes to achieve sustainability." The crucial factor, said Lehner, was how a company behaved in generating its profits, and whether it could be seen to be conducting its business in a responsible manner - throughout the entire process chain.
Lehner praised the many different kinds of volunteer work done by company employees and retirees. Through the Make an Impact on Tomorrow (MIT) Initiative founded in 1998, Henkel has already assisted 4,574 MIT projects in 105 countries, including 1,125 children's projects. "More than half of all MIT projects that our employees and retirees support are carried out in developing and emerging economies," reported Lehner.
Dr. Wolfgang Gawrisch, Chief Technology Officer (CTO) and Chairman of the Henkel Sustainability Council, presented the sustainability performance from 2002 to 2006. An especially satisfying result was that occupational accidents were substantially reduced - by 72 percent - over the past five years. And the environmental indicators (per metric ton of production volume) also showed significant improvements - while sales grew by 32 percent and profit (EBIT) by 61 percent:
- 59 percent less heavy metals,
- 30 percent less waste,
- 27 percent lower energy consumption,
- 26 percent lower sulfur dioxide emissions,
- 21 percent lower carbon dioxide emission,
- 18 percent lower wastewater load, and
- 8 percent lower water consumption.
Further examples are presented in Henkel's new Sustainability Report.
Trust as a success factor for customer loyalty
At the press conference, sustainability expert Dr. Allen White, Vice President of the Tellus Institute in Boston, Mass., outlined the regional challenges in the USA. "Especially for companies with strong lines of personal and home care products, a business where competition is intense and alternatives are plentiful, trust is central to customer loyalty," he said. Among the prominent issues for those doing business in the USA, White named transparency, product safety, job quality and security, the transformation of business models from product to services, and the Millennium Development Goals of the United Nations.
Henkel in North America
Brad Casper, President of the affiliate The Dial Corporation in Scottsdale, Ariz., reported about the sustainability and corporate social responsibility activities of Henkel in North America. As one current example he cited an innovation from the Purex brand. The optimized and concentrated formulation of this liquid laundry detergent now delivers the same cleaning performance as conventional products with just half the dosage per wash cycle. "Purex Ultra Concentrate helps to save resources and reduce the burden on the environment in many respects," said Casper. "The lower dosage of the liquid laundry detergent and the resultant lower product volume mean that less water is consumed during the detergent's production. Furthermore, 40 percent less packaging material is needed. This also has a positive effect on transportation, distribution and storage."
Henkel employs 6,651 people in North America and generated sales of 2,742 million euros in this region in 2006. Henkel markets a wide variety of consumer and industrial brands in North America, including Dial® soap, Right Guard® antiperspirants, got2b® hair styling products, Duck® brand duct tape, and Loctite® adhesives.
Round Table "Make an Impact on Tomorrow" (MIT) 2007
Henkel is a part of society and sees itself as a "good citizen." Beyond its business undertakings, the company expresses its social commitment through many different activities. Henkel has grouped all of its corporate citizenship programs under the Henkel Smile umbrella. The total amount spent on these measures in 2006 was six million euros. Since 1998, Henkel has especially supported the volunteer involvement of its employees and retirees through the highly successful initiative "Make an Impact on Tomorrow" (MIT).