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More Henkel Corporate Reporting 2014
Our company first published an Environment Report in 1992. It reviewed our achievements and progress in the area of environmental protection at our production sites and outlined product improvements. Henkel subsequently began preparing an annual report on the company’s major sustainability activities. In 2014, we collected data on 163 sites, representing 99 percent of our global production volume. Representative life cycle analyses cover around 70 percent of our sales across all product categories, and in our innovation process we systematically assess the contributions that our products make to sustainability. We are currently using the knowledge we have gained to further improve our assessment and measurement systems to allow us to make an integrated assessment of our progress toward our 20-year goal for 2030 across the entire company and our value chains.
Henkel is developing various measurement methods to optimize the “Value” and “Footprint” dimensions. These allow the actions to be identified that have the greatest effect on sustainability along the value chain. The various instruments are summarized in the Henkel Sustainability#Master®. At the heart of this evaluation system is a matrix that can be used to assess changes in the “Value” and “Footprint” dimensions.
We use the results to develop measures for improvement and innovations with improved sustainability performance. Only by considering the entire life cycle can we ensure that the actions taken will improve the overall sustainability profile of our products. We also use this tool in a variety of different ways to engage in dialog with retail partners, nongovernmental organizations, research institutions and other stakeholders.
In 2014, our work mainly concentrated on further developing our measurement methods in the focal areas of “Materials and Waste” and “Water and Wastewater.” In order to be able to better appraise and manage our influence across the entire value chain, we assessed our raw materials portfolio and the use phase of around 120 product categories in our three business units. These two phases are of a determining nature across all of our portfolio. Regarding water and carbon dioxide, more than 80 percent of the footprint is generated during the use of our products.
To make it easier to optimize our products while they are being developed, we integrate the environmental profiles of possible raw ingredients and packaging materials into the information systems of our product and packaging development departments. This allows the footprint of a new formulation to be computed as early as the development phase.
We are working with selected partners to further develop and standardize the accounting methods used for the environmental footprint of our business activities, and for the value created for our customers, consumers, and the communities in which we operate. For example, we participate in the Sustainability Consortium, the Consumer Goods Forum and the World Business Council for Sustainable Development (WBCSD).
In a joint project with the International Council of Chemical Associations (ICCA) and the WBCSD, we developed guidelines for measuring and communicating how greenhouse gases can be avoided in value chains. We are also participating in the current EU Commission’s “Product Environmental Footprint” project coordinated by the International Association for Soaps, Detergents and Maintenance Products (A.I.S.E.). (see also here)
Our worldwide optimization programs are based on globally uniform standards for safety, health, environment (SHE) and integrated management systems. The SHE Standards and our Social Standards apply to all sites. Our management systems ensure that these standards are implemented consistently across our global production network.
Our employees’ behavior plays a key role in implementing these corporate standards. Therefore, we conduct regular environmental and safety training sessions on a variety of topics at all sites.
We carry out regular audits at our production sites and, increasingly, at our subcontractors and logistics centers to verify compliance with our codes and standards. All audit results, including the monitoring of our SHE and Social Standards, are included in the Internal Audit department’s annual report to the Henkel Management Board.
We have our management systems externally certified at the site level, wherever this is expected and recognized by our partners in the respective markets. At the end of 2014, 90 percent of our production volume came from sites certified to ISO 14001, the internationally recognized standard for environmental management systems. 93 percent of our production volume is covered by the ISO 9001 quality management standard and 24 percent is covered by the ISO 50001 energy management standard. Furthermore, 83 percent came from sites certified to the OHSAS 18001 standard for occupational health and safety management systems.
An overview of our ISO certifications is available on the Adhesive Technologies webpage: