L’Oréal’s Chairman and CEO Jean-Paul Agon has revealed that the company has experienced a “real cultural shift” as a result of its progression towards achieving its sustainability goals.
Writing in L’Oréal’s latest Sharing Beauty With All programme Progress Report, released today, Agon explained that the programme has brought about “substantial lasting changes” in the way the company designs, produces, communicates and distributes its products.
He explained that L’Oréal’s 2020 sustainability goal efforts, set in 2013 as part of its Sharing Beauty With All programme, are having an impact on the company right down to its employees.
He said: “Our employees are moreover completely involved to tackle these challenges, which they want to overcome and which correspond to their desire to make their everyday life more meaningful.”
So what are the highlights from the report and what has L’Oréal achieved so far?
1. CO2 EMISSIONS
In 2016, L’Oréal reduced its CO2 emissions of its plants and distribution centres by 67% – achieving its target four years early.
2. WATER CONSUMPTION
L’Oréal is taking strides towards its 2020 goal of reducing water consumption by 60% per finished product unit from a 2005 baseline. In 2016, it reduced water consumption in plants and distribution centres by 48%.
3. LANDFILL
The company only sent 0.2% of industrial waste to landfill in 2016, from its plants and distribution centres. It plans to reduce this to zero by 2020. L’Oréal used 7,050 tonnes of recycled material in its packaging in 2016 and has been following a responsible packaging policy based on the three pillars of ‘respect, reduce and replace’ since 2007.
4. DEFORESTATION
L’Oréal pledged that by 2020 none of its ingredients or components would be sourced from deforestation. So far, the company sources 100% of its palm oil and derivatives, and soy oil from sustainable sources. L’Oréal made public its new Sustainable Palm Index in 2017.
5. PRODUCT PROFILES
It has also boosted the environmental profiles of its products with 82% of products launched in 2016 having an “improved environmental or social profile”. L’Oréal says it now takes sustainable development into consideration when creating or re-developing products.
6. SOCIAL RESPONSIBILITY
Meanwhile, L’Oréal has also been investing in people involved in its supply chain. In 2016 it helped 67,533 people from communities in difficulty gain access to work through one of its programmes. It plans to raise this to 100,000 by 2020.
7. UNITED NATIONS GOALS
L’Oréal says it now contributes to 14 of the 17 goals set by the United Nations in 2015, when its 193 member states unanimously adopted the Sustainable Development Goals. Goals include: no poverty, good health and well-being, quality education, gender equality, climate action, life below water and peace, justice and strong institutions, among others.
8. BONUS INTEGRATION
Tying its sustainability efforts into its bonus scheme, L’Oréal revealed that in 2016 it integrated criteria related to the performance of its Sharing Beauty With All programme into the calculation of the bonuses for its country and brand managers. This is said to be a way of recognising the contribution they have each made to the success of the programme.