Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Safety
• Quality
• Ecological Responsibility
• Social Responsibility

Environmental Achievements

• Reduced specific energy requirement in detergent spray drying by 30 percent through energy recovery and exhaust air temperature reduction.
• Halved energy consumption in zeolite production over 10 years.
• Considerable reduction in wastewater pollution by organic contaminants.
• Reduced dust emissions from water glass furnaces through electrofilters and exhaust gas coolers.
• Reduced nitrogen oxide emissions from water glass furnaces by 50-60 percent.
• Reduced solvent use in dispersion adhesives by 25 percent since 1985 and eliminated volatile aromatic solvents since April 1992.
• Eliminated CFCs as propellants in aerosol products.
• Replaced chlorinated hydrocarbons in many cleaning agents with aqueous systems.
• Developed solvent-free alternatives for many adhesives.
• Reduced packaging material use by 10 percent between 1984 and 1990, with a further 15 percent reduction targeted by 1995.
• Successfully implemented the Herenox process for reducing nitrogen oxides in industrial boiler plants.
• Achieved 92 percent efficiency in the Henkel power station through engineering measures.

Social Achievements

• Established principles of environmental and consumer protection in 1981, mandating compatibility between production processes, products, and the environment.
• Launched a training and motivation program on 'Environmental Protection in Production' in 1990.
• Developed and marketed environmentally compatible lubricants based on renewable raw materials.
• Introduced phosphate-free powdered detergents with zeolite A as a phosphate substitute.
• Developed liquid heavy-duty detergents with significantly lower surfactant amounts.
• Developed esterquats as ecologically superior substitutes for DTDMAC in fabric softeners.
• Developed alkyl polyglycoside (APG) surfactant for dishwashing agents, reducing surfactant consumption.

Governance Achievements

• Commitment to the principles of the Business Charter for Sustainable Development.
• Conducted an Eco-Audit of more than 140 production sites in 53 countries in 1988.
• Implemented an Eco-Program with projects costing DM 23 million in 1991 focusing on environmentally friendly R&D.

Climate Goals & Targets

Environmental Challenges

• Reducing organic aerosols in waste gases from detergent production.
• Finding suitable alternatives for propellants in aerosol products beyond hydrocarbons and dimethyl ether.
• Developing water-based adhesives to replace solvent-based products in all applications.
• Reducing the environmental impact of contact adhesives.
• Managing the disposal of used lubricants.
• Reducing the use of volatile organic components in cosmetics.

Mitigation Strategies

• Ongoing research and development of new compounds to replace hazardous substances.
• Development of new, low-waste technologies.
• Research into methods of reducing energy consumption and conserving resources.
• Development of solvent-free alternatives and aqueous systems for adhesives and cleaning products.
• Development of biodegradable lubricants based on renewable raw materials.
• Development of concentrates and higher-yield products to reduce packaging material use.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Business Charter for Sustainable Development

Sustainable Products & Innovation

• Phosphate-free detergents with zeolite A
• Environmentally compatible lubricants
• Solvent-free adhesives
• Aqueous cleaning agents

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced carbon dioxide emissions by 47% through eco-logistics initiatives (switching from road to rail transport).
• Reduced hazardous substance emissions by approximately 7,600 metric tons annually through eco-logistics.
• Developed phosphate-free detergents, significantly reducing phosphate loads in rivers.
• Developed a process for purifying contaminated soils (TerraMet technology), removing lead pollution from a US military site.
• Developed environmentally compatible processes for treating metal surfaces, eliminating chromium from pretreatment processes for architectural aluminum.
• Developed solvent-free adhesives and aqueous systems for laminating purposes, reducing solvent emissions.
• Reduced packaging waste by using lightweight packs, refillable paper pouches, and concentrates.
• Developed a readily biodegradable drilling fluid component, replacing thousands of metric tons of mineral oil.

Social Achievements

• Implemented an Eco Audit, a worldwide systematic analysis of environmental situation.
• Developed an Environment Manual based on DIN/ISO 9000 system for systematic environmental protection.
• Implemented employee training programs on environmental protection.
• Engaged in stakeholder communication and cooperation with eco groups and local initiatives.
• Supported recycling initiatives in Vienna, Austria.

Governance Achievements

• Established a coordination circle 'Eco Leadership' to integrate ecological aspects into company targets and projects.
• Implemented purchasing guidelines prioritizing suppliers with strong environmental respect.
• Developed a databank of manufacturing processes for raw materials, accessible to customers for their own eco-balances.

Climate Goals & Targets

Environmental Challenges

• High levels of water pollution in eastern Germany.
• High levels of soil contamination from various sources.
• High emissions of organic substances and dust from various production processes.
• Noise pollution from production facilities.
• Waste disposal costs.

Mitigation Strategies

• Environmental monitoring of rivers in eastern Germany.
• Development of soil decontamination technologies.
• Installation of end-of-stack filters and other emission control equipment.
• Noise reduction program with sound dampers and shielding walls.
• Waste prevention and recycling initiatives.
• Improved process technologies to reduce waste and emissions.

Supply Chain Management

Responsible Procurement

• Purchasing guidelines prioritizing suppliers with strong environmental respect.

Climate-Related Risks & Opportunities

Sustainable Products & Innovation

• Phosphate-free detergents
• Solvent-free adhesives
• Biodegradable drilling fluid component
• Environmentally compatible processes for metal surface treatment

Awards & Recognition

• Second prize in the category for environmentally compatible products (Bundesverband der Deutschen Industrie)
• Special Meritorious Award for Engineering Innovation (Petroleum Engineer)

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Occupational Safety
• Product Stewardship
• Responsible Care

Environmental Achievements

• Reduced nitrogen oxide emissions by 50% in water glass production.
• Reduced sulfur dioxide emissions significantly at the Genthin plant.
• Reduced dust emissions by more than 80% through electrofilters.
• Reduced wastewater pollution through various improvements across multiple plants.
• Developed and implemented Eco Logistics Concept, reducing truck journeys by up to 20,000 and pollutant emissions by 7,600 tons per year.
• Introduced Megaperls detergents, reducing detergent dosage and wastewater pollution.
• Developed new scale inhibitor with better environmental properties than conventional products.
• Switched to more environmentally friendly laminated film refills for detergents.
• Improved packaging for dishwasher cleaner tabs, reducing cardboard usage by 42%.
• Developed new folding box for powdered detergents, reducing packaging material by 20%.

Social Achievements

• Supported the Konrad Henkel School "Kanchana buti" in Thailand.
• Implemented emergency drill program across multiple locations.
• Established a partnership with the city of Düsseldorf for more effective wastewater monitoring.
• Engaged with local schools and teachers to improve communication and understanding of environmental issues.
• Planted 860 trees at the Jacarei (Brazil) factory to restore vegetation and support biodiversity.
• Implemented employee training courses on environmental protection and safety.

Governance Achievements

• Integrated environmental protection and safety principles into a single Group-wide program.
• Undertook intensive preparations for EU Eco Audit certification.
• Established a global environmental information network (SHE network) for improved communication and early warning system.
• Implemented a comprehensive management system for environmental protection and safety across the Henkel Group.

Climate Goals & Targets

Environmental Challenges

• Wastewater purification in small, decentralized mills processing renewable raw materials.
• Market acceptance of more environmentally friendly products with different characteristics.
• High costs of sludge disposal in Italy.
• Need to reduce emissions of organic substances from increased plant exploitation and formulation changes.

Mitigation Strategies

• Improved processing of renewable raw materials to optimize efficiency and reduce pollution.
• Developed and implemented new, more efficient and environmentally friendly products.
• Selected cost-effective biological purification process for wastewater treatment in Italy.
• Initiated measures to reduce emissions of organic substances.

Supply Chain Management

Responsible Procurement

• Cooperation with suppliers to develop more environmentally friendly raw materials and products.

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Responsible Care

Sustainable Products & Innovation

• Megaperls detergents
• New scale inhibitor
• Oleochemical combing lubricants
• Alkyl polyglycosides (APGs)

Awards & Recognition

• Dynamit-Nobel Prize for Logistics and the Environment
• Californian Waste Reduction Award
• Environmental Champion Award from the American Environmental Protection Agency

Environmental Metrics

ESG Focus Areas

• Safety
• Health
• Environment
• Quality
• Social Responsibility
• Sustainable Products
• Employee Well-being

Environmental Achievements

• Reduced energy consumption by 10% in hand soap production
• 10% reduction in detergent consumption and packaging materials (target)
• Reduced wastewater pollution in customer plants in the food sector
• Development of solvent-free wrapping system for PVC window profiles
• Development of wastewater-free, closed-circuit procedure for feather washing
• Reduced sulfur dioxide and dust emissions in Tianjin, China
• Reduced water consumption by 10% in Europe despite production increase

Social Achievements

• Launched “Make an Impact on Tomorrow” (MIT) initiative supporting employee volunteer projects
• Improved employee health through ergonomic exercises in São Paulo, Brazil, reducing work-related arm and back problems by over 80%
• First prize for “Environmentally Oriented Business Management” from the Federation of German Industry
• EU Commission award for sustainable development

Governance Achievements

• Implemented integrated management systems for safety, health, environmental protection, and quality across the Group
• Established a Sustainability Council to oversee sustainability initiatives
• Developed a Code of Conduct and Business Ethics

Climate Goals & Targets

Environmental Challenges

• Lower SHE standards at some sites in Africa/Middle East
• Occupational accidents (two fatalities)
• Inadequate fire-fighting water supply at one plant
• Solvent use in unsuitable plant
• Safety deficits in handling flammable liquids at one Asian production plant

Mitigation Strategies

• Developed medium-term improvement programs for Africa/Middle East sites
• Upgrading work commenced for inadequate fire-fighting water supply
• Production halted and plant modified for solvent use in unsuitable plant
• Corrective action initiated for safety deficits in handling flammable liquids
• Implemented targeted improvement and training measures based on accident data analysis
• Established a corporate accident database

Supply Chain Management

Responsible Procurement

• Preferential use of renewable raw materials

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: EMAS (EU Eco-Management and Audit Scheme), ISO 14001, OHSAS 18001, ISO 9000 ff

Certifications: ISO 14001, EMAS, OHSAS 18001, ISO 9002

Sustainable Products & Innovation

• Solvent-free adhesives
• Detergents in tablet form
• APG-based hand soaps
• Wastewater-free production methods

Awards & Recognition

• First prize for “Environmentally Oriented Business Management” from the Federation of German Industry
• EU Commission award for sustainable development
• Other awards listed on page 40