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Organizational Strategy - Sustainable Development - L'Oréal

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6 L’oréaL - GrI DaTa SHEETS 2011<br />

TRANSPORT<br />

L’oréal optimises its global production on a regional basis, placing operations teams as close as possible to the markets they serve. This<br />

allows each production site to be more responsive and more efficient in terms of logistics and transport.<br />

While, relatively speaking, greenhouse gas emissions in the cosmetics industry is limited, transport still contributes to L’oréal’s overall<br />

carbon footprint.<br />

L’oréal’s logistics network moves over 5.78 billion products a year from factories to distribution centres to the customers all over the world.<br />

NEW CARBON REDUCTION INITIATIVES<br />

road transport represents 58% of the means of transport used by L’oréal. as far as possible, the logistics teams use greener forms of<br />

transport that enable the group to meet required costs and deadlines. In 2011, L’oréal has placed priority on other methods and different<br />

modes of transport with lower greenhouse gas emissions.<br />

> For more details, see page 24 of the <strong>Sustainable</strong> <strong>Development</strong> report 2011.<br />

BIODIVERSITY<br />

In 2010, the signatory countries to the Convention on Biological Diversity approved the Nagoya Protocol, aimed at regulating access to<br />

resources in a given territory and the fair sharing of benefits resulting from those resources. L’oréal research was aware of these issues well<br />

before the protocol came into effect, and since 2005 has continuously striven to secure its supply chains so that they meet the issues of<br />

sustainable development.<br />

This awareness goes hand in hand with the increasing use of renewable plant-based ingredients in their products, as with Biotherm which<br />

launched a men’s deodorant with 100% natural ingredients this year. Palm oil supply is a significant example: in 2011, L’oréal’s was again<br />

recognised as sustainable by the WWF with a score of 9/9 on their rating scale. Similarly, the group’s argan sourcing was the subject of<br />

a presentation by an external expert, Daniel robinson (New South Wales University, australia), during the “Union for Ethical BioTrade”<br />

conference, where it was hailed as a proactive initiative for “accessing and sharing benefits”.<br />

SUMMARY OF THE ENVIRONMENTAL PERFORMANCE OF FACTORIES AND DISTRIBUTION CENTRES OF THE L’ORÉAL GROUP<br />

• Increase of 15.8% in manufacturing capacity (2005-2011) 4.<br />

• Emissions of greenhouse gases: absolute reduction of 29.8% (tonnes of Co 2 , direct and indirect 2005-11) 4.<br />

• reduction in water consumption of 22.6% (litres per finished product, 2005-11) 4.<br />

• reduction of 24.2% in production of transportable waste (grams per finished product, excluding returnable packaging, in the factories<br />

and distribution centres, 2005-11) 4.<br />

ENERGY<br />

I. CONTENTS<br />

CORE<br />

ADD<br />

EN3<br />

Direct energy consumption by primary<br />

energy source.<br />

EN4<br />

Indirect energy consumption by primary<br />

source.<br />

EN5<br />

Energy saved due to conservation<br />

and efficiency improvements.<br />

2/12<br />

ADD<br />

EN6<br />

Initiatives to provide energy-efficient<br />

or renewable energy based products<br />

and services, and reductions in energy<br />

requirements as a result of these initiatives.

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