”Doing Business Differently – growing sustainably in a resources-constrained world”

Depok, 29 September 2011 -- Depok 29 September 2011 – Universitas Indonesia, through the Directorate of Business Partnership and Incubator, and  PT Unilever Indonesia Tbk held a public lecture with the theme ”Doing Business Differently – growing sustainably in a resources-constrained world” delivered by Unilever Chief Executive Officer,  Paul Polman.  In the public lecture, Paul Polman elaborated on Unilever’s business development with the adoption of the sustainability principle in all aspects.

The public lecture was conducted the University’s convention center in Depok, West Java (29/9) and was attended by hundreds of students from Universitas Indonesia  as well as other universities. Also present in the lecture were Vice Rector Bpk Muhammad Anis, Unilever Chief Human Resources Officer Douglas  A. Baillie, and President Director of  PT Unilever Indonesia Tbk. Maurits Lalisang.

Four subjects were raised in the lecture, namely (1) Unilever’s perspective on the social and environmental challenges which face the world in the coming decades, (2) how Unilever is preparing itself to grow and prosper in this very different environment, (3) key elements of the new sustainable business models which we will all have to adopt in the future, (4) the importance of leadership and why new ways of doing business rely on new forms leadership

Paul Polman also elaborated on the three big trends which are believed to have a major impact on how and where Unilever will do business in 2020. 

“The first is the shift of economic power to the East and to the South.  China, India, Russia, Brazil and, of course, Indonesia, will increasingly take centre stage in a new world order. The centre of gravity of our business will shift eastward and southward.  By 2020 as much as 70% of our sales will be outside Europe and North America.”

The second big trend, Paul Polman went on to say, is a shift of power to the consumer.  The digitalisation of communications and media is giving huge power to the individual and the proliferation of sophisticated search engines and cheaper mobile devices will give everyone free and easy access to information.

“The third big trend, and in my view the most significant, is what we in Unilever call “the end of the age of abundance”.  We are facing a future where the most basic resources of food, energy and water will all be in scarce supply,” said Paul.

The International Energy Association, explained Paul Polman, estimates that in 2030 we will need to generate 50% more energy than we produce today.  The UN’s Food and Agriculture organisation is saying that we will need to produce 50% more food than we harvest today. And the need for water is equally demanding.

“We need to think what this implies for the provision of food, water, sanitation and basic hygiene in mega cities like Calcutta, Istanbul and here in Jakarta.  Unilever wants to be to be part of the solution to these problems.  We believe that we have a contribution to make.”

Unilever has a strategy of doubling the business without increasing the impact on the world’s resources.  The strategy is set out in the Unilever Sustainable Living Plan, launched at the end of 2010. 

“There are three particularly significant features to Unilever’s Sustainable Living Plan.  The first is that it spans our entire portfolio of brands and all 180 countries in which we sell our products. Second, when it comes to the environment, the plan covers not just the direct impacts of our factories, offices, lorries and laboratories.  It also accepts that Unilever has a responsibility across all the activities in its value chain – from the sourcing of raw materials through to the energy and water needed by people when using our products.  Third, for Unilever, sustainability isn’t just about the environment.  There is a social and economic dimension.  Our products make a difference to people’s health and well-being and our supply chain supports the livelihoods of millions.  

University of Indonesia’s rector Prof. Dr. der Soz. Gumilar Rusliwa Somantri said “This public lecture is of utmost importance and we hope that it will benefit the students of the University of Indonesia as well as other universities, as they will take part in the global economic growth, specifically in Asia.  We hope that this lecture will be able to motivate the young generation of Indonesia to embrace the knowledge and mentality needed to face the shift of economic power to the East and South.”

Maurits Lalisang, President Director of PT Unilever Indonesia Tbk said “This programme is part of the Educational Cooperation between Unilever and the Economic Faculty of the University of Indonesia which had been forged since May 2011.  This cooperation reflects the company’s contribution towards promoting the quality of the Indonesian work force, which, in the end, will raise Indonesia’s productivity and competitiveness in facing the future.”