INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...

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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
INTEGRAL CLIMATE PROTECTION AND THE
            WELEDA WAY
             SAT 22.05.2021 / 29.05.2021
  WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER
INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
OUR FOUNDING IMPULSE (~1921)
                                                                             Dr Ita Wegman
                                                                               Doctor and
              Dr Rudolf Steiner                                               Entrepreneur       Dr Oskar Schmiedel
      Founder of Anthroposophy                                                                   Chemist, pharmaceutical and cosmetics
                                                                                                 pioneer

                          Medicine
                                                                                                   „Different Business“

 https://dasgoetheanum.com/100-jahre-anthroposophische-medizin-2/                                           https://socialnew.goetheanum.org/de/home-de/

                                                                    Caring                   Activism

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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
WELEDA IN A NUTSHELL

 Founded in 1921
 Producer of certified natural cosmetics
 Manufacturer of medicines for anthroposophical treatments
 > 2,500 employees worldwide
 > EUR 420 million sales (75% natural cosmetics, 25% medicines)
 24 companies in 20 countries on 5 continents
 over 50 projects and partnerships with suppliers worldwide
 1,000 natural ingredients and around 300 plant species

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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
WELEDA THROUGHOUT THE WORLD

PRODUCTS ARE MARKETED ON 5 CONTINENTS AND IN OVER 50 COUNTRIES

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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
RANKING RESULTS (GERMANY)

WELEDA IS HIGHLY TRUSTED BY CONSUMERS
IN TERMS OF SUSTAINABILITY
Number 1 trusted brand for sustainability
in the care and cosmetics sector

                                                                          Source: Online survey March 2019 – May 2019, based on: Total n =
Source: Stern survey, 3 February – 19 March 2020, 32,700 consumers, 790   2,300, cosmetics 2019, Facit Research, 24 June 2019 (SIS =
brands, Link                                                              sustainability image score), Link
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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
SUSTAINABILITY BRAND RANKING
MORALSCORE (FRANCE) (NEW 2021)
WELEDA IS NO1 IN THE COSMETICS SECTOR

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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
STAKEHOLDER FEEDBACK

                                                                           Swiss Ethics Award 2016

                            Sustainable
                            Beauty Awards 2013,
                            2016, 2018

Green Brands 2020/2021                             UN-Decade
                                                   Biodiversity 2017

                                                   CSR-Award for Ethical
                                                   Supply Chains 2017
                            Responsible Business                           German Sustainability
BSB Innovation Award 2020   Award 2017                                     Award «Most Sustainable
                                                                           Brand» 2016
                                                                                                     7
INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
WORLD
 AND
WELEDA

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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
HUMANITY: A SUCCESS STORY

                            https://ourworldindata.org/

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INTEGRAL CLIMATE PROTECTION AND THE WELEDA WAY - SAT 22.05.2021 / 29.05.2021 WELEDA CORPORATE SUSTAINABILITY, DR. STEFAN SIEMER - Natural ...
COLLATERAL DAMAGES OF GROWTH:
LEAVING THE RESILIENT COMFORT ZONES

                                      Source: Stockholm Resilience Centre

                                                                      10
WORLD: CLUSTERFUCK FOR OUR KIDS

                                  Source: WWF Living Planet Report 2018
                                                                          11
WORLD ECONOMY FORUM: RANKING OF RISKS

2020: ALL 5 MOST PROBABLE RISKS ARE ECOLOGICAL

                                                 12
WHAT THE WORLD NEEDS

PARADIGM SHIFT: FROM "LESS BAD" TO "MORE GOOD”

                                                 From:
                                                 Cradle2Cradle /
                                                 Prof. Braungart

                                                              13
CLIMATE – WISH ….

Source: Global Carbon Project
                                14
… AND REALITY ASSUMPTION

Source: Statista
                           15
WHAT IS MORE
PROBABLE?

Source: Statista / Global Carbon
Project

                              16
FRAME: WELEDA AND GLOBAL EVOLUTION
   AT A CRUCIAL POINT

          1921                                                              2021
                                                                 Integration Context-Orientation
              Pioneering Differentiation

 Context-Orientation* also means:
 Being and acting Response-Able to the external
 human, spiritual, cultural, social and ecological
 challenges of the past, the present and the future.

 From I (Weleda) to We (World)
*»Symptoms» of growing Context-Relevance are as well: Strongly growing Demands
from Civil Society, Consumers, Customers, Media, NGOs, Legal, Regulation etc                       17
                                                                                                    17
WELEDA IS AND ACTS RESPONSE-ABLE

INTERNAL SOLUTIONS OF CONTEXT-ORIENTATION – FOUR EXAMPLES

Ethical Sourcing System            Corporate Strategy (2021)
o Fulfilling the UEBT Ethical      o Target: «We act as a company
  Sourcing Standard (2011)           Impact Positive»
o and the UEBT Supply Chain        o Target: «We are the Pioneer
  Management System (2018)           and Trendsetter of ecological
  for all our ~650 raw materials     pharmacy and natural cosmetics”
  and ~1,200 supply chains

Becoming a B-Corp in ~2021         New Collaborative Impact Models
including a «Mission Lock»         (2021)
in the AoA (2020):                 o LIVING SOIL JOURNEY,
"The Company shall have a            including CAMP (2022) and
material positive impact             FarmFoodClimateChallenge (2021)
on society and the                 o MUNDI – Educational Initiative
environment, taken as a whole,       for Sustainable Development
through its business and             (2021)
operations.“
                                                                       18
2022:
   TWO NEW IMPACT AREAS OF
BEING AND ACTING RESPONSE-ABLE

         1% PROGRAM
            WITH
 CLIMATE PROTECTION PROGRAM

                                 19
1% OF ANNUAL TURNOVER ON DOING GOOD FOR
THE PLANET (THE MORE TURNOVER, THE BETTER…)

                                              20
WELEDA CLIMATE FOOTPRINT AND PROTECTION
PROGRAM: SAVING ~350.000 TCO2E/A UNTIL 2025

                            Impact Reduction of Scope 3 climate
                            footprint by 20% (climate-friendly
                            finances, raising awareness and activating
                            customers and employees) ~250.000
                            tCO2e/a until 2025 (from 2019)

                            Climate neutral from 2022 (efficiency,
                            regenerative energy, insetting, offsetting)
                            ~100.000 tCO2e/a

                            Climate neutral from 2021 (efficiency,
                            regenerative energy, insetting, offsetting)
                            ~10.000 tCO2e/a

                                                                          21
ETHICAL BUSINESS
    PRACTICE

                   22
ETHICAL BUSINESS PRACTICE AT WELEDA
FROM EVERY ASPECT

                                      23
ETHICAL BUSINESS PRACTICE AT WELEDA
   EXISTING COMMITMENTS
                                  • High quality promise (certified
                                    NOC/NaTrue, ‚free from‘)                  • Average organic share of
                                  • Vertical integration (own gardens,          > 80% of natural raw
                                    tincture production, perfume                materials
• Recycling rate of waste ~ 98%     development, quality)                     • Own gardens
• Production of NOC with 100% green                                           • Engagement palm oil
  power
• Environmental management                                                         • Partnerships &
  systems at key sites                                                               projects with
                                                                                     growers (50
                                                                                     worldwide)
 • Value added statement                                                           • UEBT-management
 • Economical resilience                                                             system for entire
                                                                                     supply chains of
                                                                                     natural resources
                                                                                   • Highest possible
• Promotion of the Weleda                                                            transparency
  Culture and personal
  & professional development
                                                          • Commitment to anthroposophical medicine
• Fostering of work-life balance, health and
                                                          • Inspiration of people for a good life
  diversity
                                                            (gardens, event center GD, publications)
• Engagement of and for employees                                                                      24
ETHICAL BUSINESS PRACTICE AT WELEDA
    NEW TARGETS UP TO 2022
                                More sustainable NOC primary packaging:
                                • 65% recycled content (post-consumer
                                  recycling, including closure system)         •   30% of organic
•   Improvement in              • At least 75% recyclability                       raw materials of
    sustainability achieved                                                        biodynamic quality /
    (CIP: energy, water,                                                           Demeter
    waste)                                                                     •   International
•   Increased proportion of                                                        “healthy soil”
    renewable energies                                                             campaign

                                                                               •   True cost
     •   Weleda is                                                                 transparency
         becoming a B Corp                                                         for the major
         worldwide                                                                 plant raw
                                                                                   materials (true
                                                                                   cost
                                                                                   accounting)
          •   Global leadership programme
                                                       •   777 Weleda “goodprints” that
          •   Worldwide continuing                         inspire people to adopt
              development of the Weleda                    sustainable lifestyles
              culture and identity
                                                                                                     25
OUR UEBT CERTIFICATION (ETHICAL SOURCING
SYSTEM)
WHAT DOES THE CERTIFICATION STAND FOR?

• Since 2011, Weleda has met the UEBT ethical sourcing standard,
  including maximum transparency, high ecological, social and socio-
  economic standards (including Fairtrade), biodiversity management
• Since 2018, Weleda has also met the requirements of the UEBT
  “Sourcing with Respect” supply chain management system
• Weleda applies the standard and the management system to all its
  approximately 650 raw materials and
  approximately 1,200 supply chains

                                                                       26
ETHICAL BUSINESS PRACTICE IN THE SUPPLY CHAIN
BIODYN INITIATIVE
OVER 80% OF OUR CERTIFIABLE RAW MATERIALS ARE PRODUCED ORGANICALLY.
BY 2022, 30% OF THESE RAW MATERIALS WILL BE BIODYNAMIC (END OF 2020, APPROX. 22%).

 Big picture: Our long-term,
 aspirational objective is for 100%
 biodynamic raw materials
 A wide range of long-term projects
 and corporation ventures worldwide
 (approx. 50 of our own projects
 with partners)
 Current example: March 2019,
 start of a PPPP (public-private
 partnership project) with DEG and
 our grower partner for lavender in
 Moldova: Production of biodynamic
 lavender and social initiatives
 (EUR 400,000 investment)
                                                                                     27
ETHICAL BUSINESS PRACTICE
PALM OIL / LAND RESTORATION
PRACTICAL ACTION WITH AWARENESS OF
RESPONSIBILITY
Awareness, knowledge, transparency, standards
  No palm oil is not a solution.
  Weleda is a committed FONAP member (as chair of the board)
  and consequently also of the RSPO
  Standards are high: only certified palm oil (>20% IP)

Since 2019: Cooperation with the BOS foundation
  In January 2019 we started working with the BOS (Borneo
  Orangutan Survival) foundation, in a pilot land restoration /
  conservation project in East Kalimantan, Indonesia. First project
  phase: 20 months
  Weleda investment 2019: EUR 100,000
  Objectives: Long-term protection of ecosystems with
  orangutans, socio-economic development of the region,
  involvement of the local population, protection of biodiversity
  and rainforests.

Movie: https://youtu.be/v3ldNnakPZE
                                                                      28
ETHICAL BUSINESS PRACTICE
CORPORATE DIGITAL RESPONSIBILITY
WELEDA CDR CODEX
     #NaturallyDigital – in an increasingly digitised world we take responsibility for health and
                            beauty in harmony with humans and nature
Corporate Digital Responsibility (CDR) ensures value orientation in our digitalization. CDR is a self-commitment that goes beyond the
statutory regulations, in which a conscious position with so-called dilemmas is taken.
                                            15 principles serve as a compass for us:
      Good handling of data                            Human-centered                                    Positive impact on the
      and algorithms                                   digital work                                      environment + society
1. protect and respect privacy                   6. create fair and healthy working                12.promote a positive impact on
                                                    conditions
                                                                                                      humanity
2. Use data transparent                          7. involve employees
                                                                                                   13.avoid negative effects on nature
3. ensure high data security and                 8. promote digital competence
   quality                                          among employees                                14.support sustainability goals
                                                 9. leave decision-making with
4. make algorithms transparent                      humans                                         15.make digital innovation
                                                                                                      responsible
5. use data economical                           10. design CDR Leadership in an
                                                     exemplary way
                                                 11. ensure equal opportunities

Our principles are bindingly set out in our CDR codex and are known throughout the company. Projects are examined and aligned with respect
to the principles. The CDR Council makes binding recommendations for action and is the contact person for all digital-ethical questions
(CDR@weleda.de). With CDR, Weleda fulfils her responsibilities and inspires on the outside and in the inside.

                                                                                                                                             29
ETHICAL BUSINESS PRACTICE
B-CORP
2021 WELEDA WILL BECOME A B-CORP (PROBABILITY >90%)

                                                      30
ETHICAL BUSINESS PRACTICE
B-CORP
LEGAL REQUIREMENT: “MISSION LOCK” (INCLUDED IN WELEDA AOA 2020)

The Company shall have a
material positive impact
on society and the environment,
taken as a whole,
through its business and operations.
                                                                  31
ETHICAL BUSINESS PRACTICE
TRANSPARENT AND INTEGRATIVE REPORTING
OUTLOOK 2025: INTEGRATE CONTEXTS (E.G. SDG, PLANETARY BOUNDARIES) AND
MULTIPLE TYPES OF CAPITAL (E.G. FINANCIAL, NATURAL, HUMAN, SOCIAL)

Blueprint e.g.:
Cabot Creamery

                                                                        32
ETHICAL BUSINESS PRACTICE
PACKAGING
ACCORDING TO THE REQUIREMENTS OF THE PRODUCT, WE USE A VARIETY OF
PACKAGING SOLUTIONS:

GLASS OR                                   PLASTIC                                      ALUMINIUM
RECYCLED GLASS
                                           Advantages                                   Advantages
                                           + easy to handle                             + very easily recycled
Advantages                                 + relatively light                           + very good product protection
+ good product protection                  + numerous packaging innovations             + proven material
+ high-quality feel                                                                     + good environmental image
+ very easy to recycle                     Disadvantages
+ up to 85% recycled glass content         - not all plastic packaging can be           Disadvantages
  can be used for our products without       recycled                                   - mining of raw material bauxite
  loss of quality                          - only limited amounts of good-quality         associated with severe environmental
                                             recycled plastic available on the            impact
Disadvantages                                market                                     - production of alu requires high energy
- weight                                   - only a few countries have a                  use
- risk of breakage and splintering           an effective recycling system              - tubes can crack easily when creased
- only limited amounts of good-quality     - where waste disposal is unregulated
  recycled glass available on the market     there is a risk of the plastic ending up
                                             in the environment (the sea)
                                                                                                                                   33
ETHICAL BUSINESS PRACTICE
PACKAGING
NATURAL COSMETICS PACKAGING MATERIAL

Packaging material type                                                Today                       End of 2022:

                                                        29% recycled materials               65% recycled materials*
     Primary packaging material

                                                       100% sustainable paper
                                                       (100% FSC-certified and/or recycled
                                                                  materials)
  Secondary packaging materials

                                                                                              Increased proportion of cardboard and
                                                       100% sustainable paper                 environmentally-friendly packaging and
                                                       (100% FSC-certified and/or recycled    filling materials
                                                                  materials)                  (Reduced use of shrink- and stretch-wrap
                                                                                              film, etc.)
    Tertiary packaging materials
*in terms of the weight of all packaging produced, including closure systems
                                                                                                                                         34
PLASTIC INITIATIVE 2020
BABY BOTTLES
CHANGE FROM PET TO 97% rPET
ON SALE FROM JULY 2020 (IN NEW PACKAGING DESIGN)

o    Calendula Baby Oil (Fragrance-Free)
o    Calendula Cleansing Milk
o    Calendula Bath Milk
o    Calendula Cream Bath                                        Integration of the logo on
o    White Mallow Care Lotion                                    the rear of the bottle,
                                                                 implemented at the same
                                                                 time as the new packaging
                                                                 design

                                           An annual emissions reduction of 153 tonnes of CO2
                                                     = a 1,175,000 km car journey
                                                     = 29 times round the world! *
    97% recycled plastic
     3% cream-white dye

                                                                                                35
PRIMARY PACKAGING
LONG-TERM PACKAGING VISION
Weleda's long-term, aspirational packaging vision:
• 0% Waste
• 0% Harm
• 100% Consumer Relevance

                                                     36
MEANINGFUL AND GOOD
       WORK

                      37
COLLEGIAL LEADERSHIP AND TRANSFORMATION

                   Werde

                                          38
BACK TO OUR TOPIC: CLIMATE PROTECTIONS
REQUIRES CLIMATE CONSCIOUSNESS
AND INNER WORK, TOO

                          I

                   IN          OUT

                         WE

                                         39
ASSOCIATIVE COLLABORATION: TRANSCENDING
COMPANY BOUNDARIES FROM EGO TO ECO
           Associative course                       Associative leadership training
•   In 2019, together with GLS Bank, we             •   In September 2019, the first joint
    launched the experiment Associative                 management training course took
    Studies in Business Administration.                 place – a new format that we developed
•   We expect this to lead to a new quality in          together from four companies.
    training – formed in different cultures, with   •   A number of managers from each of the
    broadened horizons and unique                       companies involved took part.
    opportunities for personal and professional
                                                    •   The response was so encouraging that we
    development.
                                                        are planning the second module together.
•   In September 2019, the first associative
    student started.
•   In 2020 we plan to allocate further
    associative study places.

                                                                                                   40
PROGRAMME: "PROMOTING RESILIENCE” –
MODULE: BIOGRAPHY DAYS FOR EMPLOYEES
             WHY                              HOW                          WHAT
•   Burnout prophylaxis           •   Specially developed      •   Individual, salutogenetic
    ("sharpening the saw")            Weleda format based on       development workshop
•   Gain biographical                 our idea of the human    •   Determining the current
    sovereignty                       being                        situation with the aid of
•   Promoting awareness of        •   Duration: 1,5 days           suitable instruments
    personal responsibility for                                •   Discover the connection
    and initiative                                                 between work and private
•   Encourage own                                                  life
    professional and personal                                  •   Discovering the longing
    development -                                                  and need for development
    contribution to the
                                                               •   Developing development
    potential development of
                                                                   scenarios
    all employees
                                                               •   Decide on concrete next
                                                                   steps
                                                                                               41
NEW IMPACT MODELS

                    42
INSPIRATION AND AWARENESS RAISING
THROUGH COMMUNICATION

                                    43
Werde: The Art Of Green Living

                                 44
• Independent magazine, founded by Weleda

• No PR-Stories

• Financed by its readers

• Inspiration for sustainable lifestyle

• Featuring ecological leaders

• Supporting initiatives (BioBoden, proBiene)

                                            45
WELEDA EXPERIENCE CENTRE AND EUROPE'S
LARGEST BIODYNAMIC MEDICINAL PLANT GARDEN
                             Annually around (without a
                             pandemic ;-):
                             • 150 internal conferences
                               and events
                             • 4 major events and markets
                             • 750 guided tours
                             • 80 workshops, adventure
                               days, summer holiday
                               events

                                                       46
LIVING SOIL JOURNEY

An Associated OpenSocialInnovation Program with ProjectTogether
for living soils, thriving biodiversity, regenerative agriculture and food transition.

                                                                                         47
RENEWAL OF OUR FOUNDING IMPULSE: WHAT WILL
HUMANITY AND WORLD NEED IN 100 YEARS?

                                             48
THANKS VERY MUCH
    FOR LISTENING
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