L'Oréal has received the Environment Trophy from the Ethics Observatory (L'Observatoire de l'Ethique). Listed in the Consumer Guide to Ethics published by the ODE, 83 international companies present on the French consumer market were in competition for this award.
L’Oréal won an Environmental Trophy at the Ethical Commitment Awards (Prix de l’Engagement Ethique) after receiving a score of 15.42 out of 20 for the quality and long-term commitment of its environmental protection activities. Trophies are awarded to the companies that received the highest evaluations from professional analysts at the Ethics Observatory (l’Observatoire De l’Ethique), an organization that is co-founder and member of the European Circle of Deontologists (Cercle Européen des Déontologues).
Analysts for The Ethical Commitment Awards evaluated 83 international companies (representing more than 700 brands and trade names) doing business in the French consumer market. All of these firms were selected to appear in the ODE’s Ethical Guide for Consumers (Guide Ethique du Consommateur, Albin Michel, France). The companies honored in 2001 include the insurance firm AGF, which received the Social Awareness Trophy; L’Oréal, which received the Environmental Trophy and Carrefour, a hypermarket chain, which received the Citizenship Trophy. Sodiaal received the Jury’s Special Trophy for its food industry tracing operation called “The Milk Pathway” (“La Route du Lait”).
ODE meets with company heads and grades the businesses according to ten ethical criteria. These criteria reflect the expectations of consumers and investors who “would like to know more about the ethical commitments of businesses.” The core of ODE’s approach is an ongoing dialogue with the company. ODE’s President, Pierre Cadet, explains, “Our analyses are based on close collaboration with our client, who formulates his own questions.” A jury of experts then evaluates the selected businesses on the basis of overall ethics and the ethical road traveled (the company’s ethical history and continuity). In terms of environment, analyses take into account the nature of the company’s activities, its general environmental policies, the environmental operations it has carried out as well as follow-up and results.
The criteria recognized by the Environment Trophy
Since the ODE was founded in 1997, L’Oréal has been continually monitored and evaluated. Joëlle Sauvy, head of the Business Analysis Department of the ODE, points out, “L’Oréal was honored this year for the quality of its environmental policy and its perseverance in applying that policy. It is a pragmatic policy of concrete actions. Especially important are its research and development activities, which aim at long-term procedural improvements."
Among the L’Oreal initiatives highlighted by the ODE are:
- Its waste-reduction policy
- The reduction of water consumption, especially the recycling of water used for cooling and the use of new industrial cleaning technologies,
- The goal of “zero waste dumping” at its industrial sites,
- Reducing the weight of plastic shampoo bottles.
Did you know?
- L’Oréal saves more than 2.5 million cubic meters of water each year (equivalent to the annual consumption of a town with 40,000 inhabitants)
- In 2001,L’Oréal saved 140 million kilowatt hours of electricity (equivalent to the annual consumption of a town with 70,000 inhabitants)
- In 2001, L’Oréal’s twelve French factories recycled 99% of their waste, and that the company’s other factories worldwide recycled 88% of their waste
- L’Oréal saves 443 tons of plastic each year
The Ethics Observatory (L’Observatoire de l’Ethique)
This independent French organization sprang from the Business Ethics Circle (Cercle Ethique des Affaires), which was created in 1993. The Ethics Observatory (Observatoire de l’Ethique) came into being in 1997. Since then, the ODE has contributed to the creation of the European Circle of Deontologists (Cercle Européen des Déontologues), which includes more than 300 members. In 2001, the ODE was chosen to evaluate French companies. The results obtained are included in the FTSE’s international ethics indices. The ODE is a member of the international ethics group, Global Partners, which is active in 13 European countries, Asia and North America. This extends the reach of the ODE by giving it access to information gathered by partner grading agencies when drafting its evaluations.