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Corporate Reporting 2014

Henkel Corporate Reporting 2014

More Henkel Corporate Reporting 2014

Sustainability Report 2014

Henkel Sustainability Report 2014

Facts and Figures 2014

Henkel Facts and Figures 2014

Corporate Report 2014

Henkel Corporate Report 2014

Henkel app

Henkel app
Sustainability Report 2014

Sustainability measurement

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.

Analysis of our influence along the value chain: From measuring our own production through to comprehensive quantification

Analysis of our influence

Sustainability evaluation in the Henkel innovation process

The Henkel focal areas have been systematically anchored into our innovation process since 2008. This means that, at a given point, our researchers must demonstrate the specific advantages of their project in regard to product performance, added value for customers and consumers, and social criteria (“more value”). They also have to show how it contributes to using less resources (“reduced footprint”). One of the tools they use to assess the different contributions is the Henkel Sustainability#Master®.

Sustainability evaluation

Measuring, assessing and managing progress

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.

Henkel Sustainability#Master® – Sustainability assessment of products and processes

Video Foreword Kathrin Menges

Video: The Henkel Sustainability#Master

The Henkel Sustainability#Master® combines various instruments for measuring sustainability. This evaluation system centers around a matrix based on the individual steps of our value chains and on our six focal areas. The goal is to increase the value of the product and simultaneously reduce its environmental footprint. Hot spots can be identified for every product category on the basis of scientific measurement methods. These are the fields with the greatest relevance for sustainability – this applies to both the “Value” and the “Footprint” dimension. The specified hot spots can also be used to compare the sustainability profile of two products or processes. This allows sustainability profiles to be prepared for each product category. Henkel’s researchers use these findings for innovation and continuous product improvements.

Sustainability assessment

Improvements based on life cycle analyses

With the help of life cycle analyses and the knowledge they have acquired during many years of work on sustainability, our experts analyze the complete life cycle of our products. As early as the product development phase we can assess what environmental impacts occur, to what extent, and in which phase of a product’s life. Improvement measures can then be applied where they are most needed and can be most efficiently implemented.

In preparing life cycle analyses, we use our own primary data as well as data from our partners along the supply chain. If such data is not available, we draw on secondary data from existing databases on life cycle analyses, average values and emission factors. To further develop metrics and indicators, we collaborate with external partners on topics such as product carbon footprints and water footprints. We also participate in international initiatives such as Walmart’s Sustainability Consortium and the Consumer Goods Forum’s Measurement Group.

Approaches for relevant improvements

A review of the life cycle analyses of our various product categories shows that the impacts on the environment often occur at very different points during the lifetime of a product. Suitable improvements can therefore often take widely differing forms. For example, the life cycle analyses of a laundry or dishwashing detergent show that energy consumption and hence the associated carbon dioxide emissions are highest during use in the washing machine or dishwasher. In such cases, we focus on developing products that can be used in a manner that saves energy and water. Other product categories call for an increase in the resource-efficiency of our own processes. Additional approaches for improving the environmental profiles of our products include the use, wherever appropriate, of renewable raw materials, improving the level of biodegradability, and reducing and enhancing packaging materials.

Product carbon footprint

In order to measure the contribution of products to climate protection, experiments are being carried out worldwide to measure product carbon footprints. Unlike complete life cycle analyses, this involves determining only the climate-relevant greenhouse gas emissions throughout the value chain of a product – from the purchase of the raw materials through production and use to disposal. However, until now there has been no internationally harmonized method for determining the carbon footprint of a product. Henkel therefore participates in pilot projects in Germany and the USA with a view to driving forward the development of a reliable and internationally harmonized method of determining carbon footprints. Since the beginning of 2011, we have also been involved in a project run by the EU Commission to establish standardized methods for calculating the ecological footprint of organizations and products. A case study on Somat 10 was selected for the “Products” category. PCF-Projekt

A key area of our research in cooperation with the Arizona State University in Phoenix, Arizona (USA), is the environmental impact of laundry washing, taking into consideration the special conditions in American households. The scientific findings reveal how consumers can contribute to conserving resources through the use of efficient washing machines, tumble dryers and laundry detergents, as well as by changing their laundry washing habits.

As a partner in the German Product Carbon Footprint project, we calculated the carbon footprint of various Henkel products. We then contributed the experience gained during the project as input in a working group of the DIN standards organization with a view to developing an international ISO standard (ISO 14067).

Product water footprint

The Earth’s water resources are unequally distributed and are threatened by increasing pollution and overuse. For us, therefore, reducing water consumption during the production and use of our products is an important aim. In order to identify suitable approaches for achieving improvements, we participate in efforts to develop methods for water footprinting. In 2010, for example, we worked together with the Swiss Federal Institute of Technology (ETH) in Zurich, to study the consequences of the water demand for laundry detergent production at our sites in the Middle East and North Africa. At the heart of this was a consideration of the different amounts of water required for the production of powder and liquid laundry detergents, taking into account regional factors such as water availability, scarcity and quality. We feed the experience we gain from such pilot projects into the discussion on the development of an international ISO standard (ISO 14046) on water footprints.