The world’s biggest cosmetics company has scooped the top prize for its ethical practices, having been listed as one of Ethisphere’s 2013 World’s Most Ethical companies.
The New York-based Ethisphere Institute aims to highlight both ethical and unethical practices in the world of business in an attempt to raise the bar on how companies operate with the best practices at the forefront of its interests.
L’Oréal was chosen as an example of a leading multinational company based around principles such as best practices in business ethics, governance, anti-corruption and sustainability.
Fourth time L’Oréal appears on the list
This is the fourth time that L’Oréal has made the list, with the competition being stiffer than ever before following a record number of applications, representing 36 different industries from over 100 countries.
The company was entered into the health and beauty category and was joined by Brazilian company Natura and Japan’s Shiseido on the list which totaled 145 companies.
Other companies in the personal care arena also included some of the other biggest names in the personal care business that where ented into the consumer products category, including Colgate Palmolive, Kao, Kimberly-Clark and Henkel.
Precise methodology for the assessment
L’Oréal says that the methodology for it entry included reviewing its codes of ethics, litigation and regulatory infraction histories, evaluating the investment in innovation and sustainable business practices, looking at activities designed to improve corporate citizenship, and studying nominations from senior executives, industry peers, suppliers and customers.
“L’Oréal is honored to be nominated by Ethisphere as one of “The World’s Most Ethical Companies” for the fourth time,” Jean-Paul Agon, L’Oréal Chairman and CEO, said.
“Striving to achieve ethical excellence is a remarkable source of inspiration, creativity and competitiveness for the group, and a source of pride for our teams. Our commitment to ethical principles helps shape our identity as well as build relationships of trust with our consumers.”