RESPONSIBLE SOURCINGFROM RAW MATERIAL TO HENKEL PRODUCT

A hand holds a palm fruit in the air.

Many companies source their raw materials from suppliers around the globe. That’s why a company’s supply chain is such an important resource – because collaboration between companies at every step in the chain can open up powerful opportunities to minimize the overall environmental impact and maximize the overall positive social impact.

Of course, global supply chains are also very complex. Raw materials are often handled by many different companies and travel long distances before reaching their final destination. This creates challenges for companies when seeking to boost sustainability at every step in their supply chain.

At Henkel, our global supply chain includes business partners in more than 120 countries. Together, we want to drive progress toward 100 percent responsible sourcing. That’s why we operate a holistic supplier management approach  – and work closely with our suppliers and partners to promote sustainability throughout our supply chain for the benefit of people and the planet.

Icon palm oil fruit

Palm oil and palm kernel oil are extracted from the fruit of the oil palm tree, which is grown on plantations

Our goal is to source 100 percent of the electricity we consume for production

Based on our Responsible Sourcing Process, we select and collaborate with suppliers that comply with our sustainable sourcing requirements

Icon globe

The palm-based materials we buy are grown in Africa, Asia and South America. They are then processed by various refiners before the ingredients we need are transported to our factories

We aim to supply surplus carbon-neutral energy

Henkel factories use surfactants that are derived from palm (kernel) oil to produce detergents, household cleaners or cosmetic products

Icon washing machine

To achieve the best washing performance, we use a mixture of different surfactants. 44 percent of the surfactants for our laundry detergents and household cleaners are based on renewable raw materials such as palm kernel oil

By 2040, we want to replace the last remaining fossil fuels used in our production

When you choose one of our products, we encourage you to use it sustainably and responsibly

Enabling purposeful growth through responsible sourcing

With our leading approach to responsible sourcing, we aim to enable purposeful growth by driving sustainability throughout our supply chain for the benefit of people and the planet.

Here’s how we implement our responsible sourcing strategy:

  1. We place a strong focus on risk management and compliance to create a solid foundation for sustainable decision-making.
  2. Becoming climate-positive, promoting a circular economy, and supporting social progress are at the heart of our responsible sourcing agenda.
  3. Collaboration, transformation, innovation and empowerment are four strategic enablers that support us in accelerating our efforts.
Image of Bertrand Conquéret, President Global Supply Chain Henkel and Corporate Senior Vice President Purchasing

   

Within our purchasing department, we are strongly committed to contribute to Henkel’s Purposeful Growth strategy and its ambitions with our ‘100% Responsible Sourcing’ strategy.

Respecting human rights and promoting high social standards

Millions of people around the globe work within our supplier base. This means we have a responsibility to manage the impact of our business activities. We do this by choosing suppliers who consider the safety and health of their employees – and who operate in line with our high expectations for social standards and fair business practice.

We constantly engage in open dialog and collaboration with our suppliers to promote sustainability and respect for human rights. Our Responsible Sourcing Policy is an integral part of our sourcing processes, and we also support the implementation of the 17 UN Sustainable Development Goals (SDGs). In this way, we ensure a holistic supplier management process that is based on a strong commitment to conducting business responsibly.

   

gray

Palm oil and palm kernel oil FAQ

At Henkel, we purchase less than 0.2 percent of the palm oil and palm kernel oil produced worldwide. Most of this is related to surfactants based on palm kernel oil that we use in laundry detergents, household cleaners and cosmetic products. Surfactants are ingredients that build a foam to dissolve grease and dirt.

The expansion of the conventional palm oil industry has been linked with the displacement of indigenous communities and unethical working conditions, as well as deforestation and the related loss of habitats for animals. Therefore, Henkel is following an alternative approach supporting sustainable practices along the entire value chain.

Not really, because the oil palm tree is so much more productive than other crops. One hectare of land can be used to produce 3.3 tons of palm oil, but would only yield 0.7 tons of oil from rapeseed, coconut or sunflower crops, or 0.4 tons of soy oil. This means much more land would be needed to meet global demand for vegetable oils. In addition, palm oil and palm kernel oil are extremely versatile.

The Roundtable on Sustainable Palm Oil (RSPO) is a global, not-for-profit, multi-stakeholder initiative that offers an established certification program for palm oil and palm kernel oil. It covers criteria ranging from eliminating deforestation through to respecting the rights of workers and communities.

The Mass Balance (MB) model is a certification system from the RSPO that monitors the trade of RSPO-certified palm oil products throughout the entire supply chain. In this model, sustainable palm oil from certified sources is mixed with ordinary palm oil throughout supply chain.