Vision & strategy

In November 2009 we launched a new vision to double the size of our business while reducing our overall environmental impact across our entire value chain.

A new vision

This new vision recognises that the world is changing. Populations are growing. Rising incomes around the world continue to fuel growth in demand for consumer products. Products like ours rely on an increasingly constrained set of natural resources, whether it is fuel or other raw materials. At the same time, climate change is not just a problem for the planet, it represents a huge threat to economic and social stability.

We know that if we are to achieve our growth objectives we must reduce the total environmental impacts of the business. Our commitment covers not just our factories and offices but also the environmental impacts associated with sourcing our raw materials, through to how consumers use and dispose of our products.

Our vision

We work to create a better future every day.

We help people feel good, look good and get more out of life with brands and services that are good for them and good for others.

We will inspire people to take small, everyday actions that can add up to a big difference for the world.

We will develop new ways of doing business with the aim of doubling the size of our company while reducing our environmental impact.

We fully recognise that we will need to develop a new model for business growth. We are embarking on a long-term programme of work with our suppliers, customers and other partners to realise this goal.

With our portfolio of strong brands, presence in emerging markets and long-standing commitment to shared value creation, we believe we are well placed to deliver on this ambition.

Our sustainability journey

More than 100 years ago, our founders not only created some of the world's first consumer brands, they also built a business with strong values. We have continued to update our vision as the world has changed.

Our brand imprint process

Our brand imprint

In the 1990s we formally integrated sustainability factors into our strategy. Then, in 2005, we started to embed this agenda into our product brands using a process called Brand Imprint. Since then, Brand Imprints have been completed across all our product categories. Social and environmental considerations are now integrated into the innovation and development plans of our major brands.

At the same time, we are also evolving our approach to corporate branding. We are starting to consider how we make Unilever's corporate commitments and activities more visible and relevant to our consumers. With individual product brands taking a stronger stance on social and environmental issues, consumers will look at the corporate brand for its values and approach. Product brands can only communicate effectively and credibly on these issues if they have a firm foundation in the company's overall approach and commitment. This led to the development of our new vision.

Engaging consumers

Our research shows consumers not only want to be reassured that the products they buy are ethically and sustainably produced; they also want to choose brands that are good for them and good for others.

However, they also told us they feel powerless to make a difference: the scale of the challenges is too great and their individual actions are too small.

We believe we are well placed to help people understand how their brand choices and small actions, when added to those of others, can make a big difference across the world.

Unilever brands x small, everyday actions x billions of consumers = big difference

For example, Unilever's detergent brands are used in 125 billion washes a year. That is the equivalent of 14 million washes every hour. Every time a Unilever consumer does the laundry at a lower temperature or with a full load, the reductions in energy, CO2 and water are cumulatively very large.

With consumer use accounting for around 70% of our greenhouse gas footprint, engaging consumers through initiatives such as the Cleaner Planet Plan will be key to achieving our vision.

Assessing impacts across the value chain

Our commitment to reduced environmental impact extends right across our value chain – ie, from the sourcing of raw materials through our own production and distribution to consumer use and eventual disposal of residual packaging.

In 2008 we developed a set of metrics for our four priority environmental impact areas across this value chain:

  • greenhouse gas (GHG) emissions

  • water

  • waste

  • sustainable sourcing.

These metrics are designed to measure the impacts of our products when used by consumers, such as grams of greenhouse gas per single usage occasion. During 2009 around 1 500 products were assessed to allow us to understand their water, waste and GHG impacts in 14 of our largest markets.

In 2009 we also started to develop a set of metrics covering social impacts. For those of our brands with social missions, the metrics seek to measure the benefits they bring to society. In 2010, Lifebuoy will be the first brand to pilot the new metrics, helping track the impact of Lifebuoy programmes on handwashing behaviours over a five-year period.

The development of these metrics will allow us to track performance across our portfolio, enabling us to show consumers how their small, individual actions can add up to a big difference.

Working for others

Unilever does not have all the answers to the challenges and dilemmas that our business faces today. Many sustainability issues can only be addressed through a collaborative, multi-stakeholder approach. If we are to fulfil our vision, we must work in partnership. Partners bring expertise on specific issues as well as the networks to deliver practical initiatives on the ground. We complement this with our own experience, marketing expertise and commercial muscle.

Some of our partnerships are formal, long-standing relationships with well-known global organisations; others are informal alliances with others in industry, NGOs, governments and UN agencies. One example is the work we are doing to promote sustainable palm oil through a coalition of businesses and NGOs including Greenpeace, Oxfam and WWF.

Our global partnerships

Our principal global partnerships are with:

  • the UN World Food Programme: to feed hungry children and improve their nutrition

  • the World Heart Federation: to promote heart health

  • the Global Alliance for Improved Nutrition: to co-create new approaches in food fortification to address malnutrition

  • FDI World Dental Federation: to improve oral health

  • the Global Public-Private Partnership for Handwashing with Soap: to save children's lives by promoting handwashing with soap.

United Nations Global CompactUN Global Compact

We are also signatories to the United Nations' Global Compact and are committed to living out the Compact's ten principles on human rights, labour, environment and anti-corruption in our everyday business operations.

Our own Code of Business Principles has long reflected the Compact's goals. We provide an annual update in our Global Compact Communication on Progress, explaining how we are implementing the principles across our business.

See Related links for more.

Progress on our commitments

Our commitments – and the progress we made against them in 2009 – are set out in the table below.

A pdf of the table is also available to download.

Issue

Topic

Our commitment

Progress in 2009

Health and well-being

 

 

 

Nutrition

Conduct regular reviews of our portfolio of food products via our Nutrition Enhancement Programme

Our food portfolio remains under regular review. 44% of our products are in line with internationally accepted guidelines for saturated and trans fat, sugar and salt

Guide consumers to meet the World Health Organization’s recommended daily intake of 5 g of salt per day by reducing salt levels in our products. Our ambition is to reach 6 g per day by 2010 and 5 g by 2015

76% of our portfolio already meets our 2010 benchmarks to help consumers reduce to 6 g per day

 

Display percentage of Guideline Daily Amounts (GDA) for five key nutrients on pack for products sold in Europe as part of CIAA voluntary initiative

Achieved for over 90% of eligible products; implementation plans are in place for the remainder

 

Reach 100 million people 2009–2020 through Heart Age online tool

Around 1.5 million people took the Heart Age test

Deliver school meals to 100 000 children in 2009 via our partnership with the UN World Food Programme

Delivered nearly 17 million school meals to 80 000 children

Hygiene and well-being

Change the hygiene behaviour of one billion people 2009–2015 through Lifebuoy and its partner programmes

Lifebuoy reached millions of people in 23 countries via Global Handwashing Day 2009. Extended roll-out of hygiene education programmes in Indonesia, Pakistan, Sri Lanka and Vietnam

Align partnership activities with FDI World Dental Federation to focus on day and night brushing campaign

Launched joint Brush Day and Night campaign with the FDI World Dental Federation

Reach five million young people 2005–2010 with self-esteem materials through Dove's Self-Esteem Fund

Reached 1.3 million people with educational programmes, bringing the total to 4.8 million

Sustainable living

 

 

 

 

Business growth

Reduce our overall environmental impact while doubling the size of our business

Assessed the greenhouse gas, water and waste impacts of 1 500 products

 

Sustainable sourcing

Source all tea for Lipton and PG tips tea bags in Western Europe from Rainforest Alliance Certified™ farms by 2010. Purchase all tea for our Lipton tea bags from certified sustainable sources by 2015

Around 80% of Lipton Yellow Label and PG tips tea sold in Western Europe comes from Rainforest Alliance Certified™ farms.

 

Globally, around 15% of our tea is sourced from Rainforest Alliance Certified™ farms

Purchase all palm oil from certified sustainable sources by 2015

Purchased 185 000 tonnes of certified sustainable palm oil via GreenPalm certificates, accounting for 15% of our total purchases

 

Source 100% cage-free eggs for:

  • Hellmann’s, Amora and Calvé products sold in Western Europe by 2012

  • Hellmann’s Light mayonnaise in North America

  • Ben & Jerry’s ice cream in Europe by 2004 and the US by 2010

 

 

 


  • Western Europe target achieved by end 2009, ahead of schedule

  • Sourcing started in 2009 in preparation for product roll-out in 2010

  • Achieved target for Europe in 2004. On track to meet US target by end of 2010

 

Assess potential of Fairtrade sourcing for Ben & Jerry’s ice cream ingredients

In early 2010, Ben & Jerry’s committed that, where Fairtrade options exist, all ingredients will be Fairtrade-certified in Europe by end of 2011 and worldwide by 2013

Refrigerants

Purchase new point-of-sale ice cream cabinets that use climate-friendly HC refrigerants, wherever technically and legally feasible

Around 430 000 HC refrigerant cabinets purchased since 2004

Climate change

Reduce CO2 from energy in our manufacturing by 25% by 2012 (measured per tonne of production against a 2004 baseline)

Over 1995–2009, achieved a 40% reduction in CO2 from energy from manufacturing. On track to achieve 2012 target

Water

Continue to reduce water use in our manufacturing operations per tonne of production

Over 1995–2009, achieved a 65% reduction in water use

Manufacturing waste

Continue to reduce total waste in our manufacturing operations per tonne of production

Over 1995–2009, achieved a 73% reduction in total waste

Packaging

Eliminate PVC from our packaging, where viable, by 2010.

Identify technologies to allow elimination of all PVC by end of 2012

 

On track to achieve 2010 target.

 

Working with suppliers to identify novel technology solutions

 

Economic impacts

 

 

 

 

Business performance

Long-term ambition to be in the top third of a reference group of 21 consumer goods companies for total shareholder return on a 3-year basis

Reached target of top third : 5th out of 21

Increase the penetration and consumption of our categories by consumers at all income levels in developing and emerging markets

Reached 49% of sales from these markets

Smallholder farmers

Explore opportunities to increase sourcing from smallholder farmers to ensure security of supply

  • 10 500 farmers now involved in allanblackia project in Africa

  • 38 000 smallholder farmers achieved Rainforest Alliance certification in Kenya over 2007-2009