Unilever CSR report “..growth and sustainability. We have to do both”

In conjunction with the global release of their very bold “Sustainable Living Plan” last week, I was greatly encouraged by the words chosen by Unilever CEO Paul Polman when asked to summarize what the corporation hopes to achieve:

“Many would say making consumption sustainable is impossible. Our view is that we have to make it possible. We cannot choose between growth and sustainability. We have to do both.”

Those last five words truly summarize the ideal marriage of what a company with high CSR standards should be looking to achieve. ‘We have to do both’ is more than just a mantra but ultimately a balance has to be struck from the largest corporations down to those who may employ just two or three individuals. It’s a statement that applies to businesses throughout the world, there is no escaping the reality that businesses exist to make money for their owners, employees and shareholders but businesses also need to find a winning strategy that will encompass growth and sustainability exactly as Mr. Polman has suggested. On paper it looks to be a big target, but one that if incorporated well should hopefully see the most conscientious companies thrive in the coming years whilst those that are chained to outdated methodologies are likely to see diminished returns in every sense of the word.

Unilever CEO Paul Polman

Unilever are another example of what I call the ‘quiet’ corporations who have gradually expanded their product and service platforms over the course of decades, in the case of this Dutch/English corporation a worldwide portfolio of household and food products now sees them operating globally with over 160,000 employees worldwide. You probably recognize their brand names before the parent company which include Dove, Knorr, Hellmanns, Alberto-Culver and Lipton to name just a few. The report published by Unilever set some of the most ambitious sustainability goals that I have seen since I’ve been writing about corporate social responsibility over the last 11 months. It’s a decade-long blueprint that seeks to reduce by a remarkable 50% the company’s emissions, water usage and wastage by the year 2020. The broad platform lays out 50 individual social, economic and environmental targets that the company will be focusing on over the next 10 years. Much of these goals would be contingent upon supplier targets which reinforces my belief that large corporations can help to proactively dictate the overall market when it comes to corporate responsibility, suppliers in turn will have to invest and strategize their operations to meet the standards sought by their biggest customers. The knock on effect may be seen as gradual, while in actuality it changes the overall efficiencies of companies both for and wide.

Positive support and reinforcement for supply-chain management will need to take a partnership approach, not just for Unilever but in all companies that source or manufacture products for the consumer market. The entire report contains detailed examinations of the ten-year plan but some highlights include:

• Sourcing 100 of agricultural raw materials sustainably
• Provide 500 million people access to safe, clean drinking water
• Increase social impact by integrating over 500,000 small farms and small-scale distributors into its supply chain

Paul Polman expanded upon the ideas within the report during the London launch of the program and explained the broader goal being put into place:

“We are already finding that tackling sustainability challenges provides new opportunities for sustainable growth: it creates preference for our brands, builds business with our retail customers, drives our innovation, grows our markets and, in many cases, generates cost savings.”

With the assumption that each of the factors addressed are correct, it shows that ‘doing both’ is not only possible but more importantly logical in the coming years and can result in the expansion and customer loyalty that a business seeks. We strongly believe here at Miratel that the balance can be found and makes for a company that will be able to support the triple bottom line of people, planet and profit.

To read the full Unilever ‘Sustainable Living Plan” please follow this link.