As we will soon share the most recent Global People Survey, it
is a good moment to take stock of how we are doing – not only in terms of
business performance – but also in living up to the values and behaviours that
will help to shape the company over the long term.
Values are important to an organisation at any stage, but
particularly at times of great change and uncertainty as they help guide and
build the trust and consistency needed. No-one can doubt that the world remains
in the grip of many forces. The VUCA world we have frequently spoken about –
volatile, uncertain, complex and ambiguous – just seems to
intensify.
Opening my newspaper today emphasises the point. There are
stories on the growing environmental threat posed by the pollution that is
smothering many of China’s smog-filled cities; on the weakening economic
momentum of the world’s largest economy, the US; or on the continuing
uncertainty in Brazil and wider region as a result of the country’s ongoing
currency volatility.
All this in one day’s newspaper! No wonder people feel anxious.
Increasingly, they look to business to play its part in addressing these
challenges. Yet when my same morning paper leads with a story that the
fines now imposed on JP Morgan for the misselling of mortgage-backed securities
have reached $20 billion, it is hardly surprising that people become cynical
and see business as part of the problem, not part of the solution. Even very
old and established firms can very soon find that their reputations are built
on quicksand.
For our part, we just need to keep focused on delivering
consistent results while continuing to do the right thing for the long term.
Our commitment under the Unilever Sustainable Living Plan to combine economic
grow with a positive social and environmental impact is certainly helping to
set us apart – a and reinforcing Unilever’s reputation as a business built to
last.
To remain on the right side of the argument we need to go on
strengthening the values and the long-term pillars which underpin the company.
I certainly feel good about our prospects, particularly after the last few
weeks as I witnessed some great examples of our commitment to the long term and
to the values we have called out – Integrity,
Responsibility, Respect and Pioneering – being lived out in
several different parts of the business.
First, Kenya, a market where Unilever goes back 90 years. Today
it is a vibrant business employing 15,000 people and supporting the livelihoods
of thousands more. I was there shortly after the appalling terrorist attack on
the Westgate Shopping Centre in Nairobi, which left the country in a state of
shock. The courageous and dignified response to the outrage was epitomised in
the behaviour of one of our own people, John Kibira, a CD manager, who – like a
number of other employees – found himself in the centre at the time of the
attack. It was three hours before John was freed. In an emotional
meeting with him, I learned what it means to face adversity and to retain a
strong sense of responsibility, not only for
yourself but for your fellow citizen. A true unsung hero. Thank you, John.
The visit was also the occasion to announce the acceleration of
some significant investments – both in our manufacturing and tea operations –
which will help to grow our business in Kenya over the long term. Like other
parts of Africa, the potential here is huge. Realising our ambition will rely
on the kind of pioneering spirit that first
took William Lever to Africa back in the early part of the last
century.
Like everywhere else, we want to grow our business in Kenya in a
responsible way. A great example is the Lifebuoy handwashing campaign, which
has already helped to change the habits of 2.3 million people in Kenya, many of
them children susceptible to diarrhoea and other life-threatening diseases.
During my visit we took the ‘Help a Child Reach 5’ campaign to the Kilimani
Primary school in Nairobi, where President Kenyatta’s wife, Margaret, joined us
in helping to highlight the life-saving benefits that can result from simple
changes in hygiene behaviour. This is the USLP in action. This is our
commitment to responsibility brought to life.
From Nairobi to Johannesburg and the annual summit of One Young
World, a body harnessing the enthusiasm and ideas of some of the world’s most
talented young people. As I like to say, young people may only constitute 30%
of the population but they represent 100% of the future. The new forms of
leadership that bodies like One Young World are promoting are desperately
needed. Unless we invest in young talent and inspire them with the prospect of
a better world, then the future looks bleak. That’s why I am proud that 65 of
this year’s One Young World ambassadors were from Unilever, young men and women
involved in initiatives to create a better world. A significant commitment by
the company, but what better way to help guarantee the long-term future of the business than investing in its
future leaders.
From Africa to Europe, and first to France and to the annual
meeting of the Women’s Global Forum. Once again the theme is leadership in
a changing world, this time with a focus on what Hillary Clinton rightly
described as “the world’s most under-utilised resource” – women. More than
1,400 women attended the meeting in Deauville, giving me an opportunity to
explain why a more gender-balanced organisation is not only key to our
long-term business success but also why women play a critical role in the
delivery of our wider ambitions under the Unilever Sustainable Living Plan. The
fact is women possess many of the qualities needed to bring about change
(empathy, long-term thinking, collaborative working) and are also engaged at
every stage of the value chain. We see this particularly in an area like food
security, where women are the vital link in the chain – planting the seeds,
caring for livestock, harvesting crops, preparing food – yet there is a
persistent failure to invest in female smallholder farmers. Just giving women
the same opportunities as men would result in a 30% increase in crop yields and
a reduction of up to 150 million in the number of people who go to bed hungry.
We still have much to do in the area of gender balance, but we
should feel good about the integrity of our model and that
we have put the company on the right track, not least in our recognition that
women play a critical role in delivering the Unilever Sustainable Living Plan.
From France to the Netherlands and Germany to take part in two
events, both combining a focus on the long-term opportunities for the business with a
celebration of its remarkable past.
First, Rotterdam and the opening of the new Weena head office.
An opportunity to recognise the company’s wonderful Dutch heritage, while
celebrating a new start for our European business, under Jan’s
leadership. By co-locating our brand and regional teams in the
Weena hub we are pioneering a new approach in
Europe, one I believe can bring a real competitive advantage. The excitement at
what is possible is palpable and the focus on brands is an inspiring example to
us all. It’s not easy in Europe at the moment, but I left feeling good that we
are now truly creating the winning organisation we need.
The benefits of co-location were also evident during my next
visit, to Heilbronn in Germany, where brand, R&D, Food Solutions and
manufacturing teams all work together. I am here to join the celebrations
marking the 175th anniversary of Knorr.
Carl Heinrich Knorr was a pioneer and an enlightened
entrepreneur in the finest Unilever tradition. He founded the business in 1838
at the time of the industrial revolution. He opened his factory in Heilbronn
and built a business providing good, tasty food to a growing urban population.
Today, Knorr is a €4.5 billion business and Unilever’s biggest brand, operating
on every continent and in 87 countries. Remarkably, 18 billion times a year
someone somewhere reaches for a Knorr cube to flavour their meal.
Responsible growth is at the
heart of the Knorr offering. The brand has an ambition to source all of its
vegetables, meat, herbs and spices sustainably by 2020, and is well on its way.
In keeping with the spirit of the USLP, this will only be achieved by working
in partnership with suppliers and others and the 175th celebrations include a
visit to one of the Knorr Landmark Farms, where much of this work is being led.
Another great example of responsibility in action.
An energising two weeks and a reassuring reminder that Unilever
values and our commitment to the long term remain important threads running
through all parts of this great company of ours
