L’Oréal named 2017 World’s Most Ethical Company by the Ethisphere Institute
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L’Oréal, the world’s leading beauty company, has been recognized as 2017 World’s Most Ethical Company by the Ethisphere Institute, a global leader in defining and advancing the standards of ethical business practices.
L’Oréal has been recognized for the 8th time and is one of only 2 in the Health and Beauty industry, underscoring their commitment to leading ethical business standards and practices.
“Culture is the foundation of a high performing, innovative and sustainable company” said Jean-Paul Agon, Chairman and Chief Executive Officer of L’Oréal. “I am proud that ethics is the key pillar of our culture and leadership, requiring our teams throughout the world to always include ethics in the decisions they make”.
“Receiving this recognition from Ethisphere for the 8th time is a source of pride for everyone at L’Oréal. Ethics is the new decision-making framework and we are convinced that a strong culture of integrity is an essential component for long-term success” said Emmanuel Lulin, Senior Vice-President and Chief Ethics Officer.
Twenty-seventeen is the eleventh year that Ethisphere has honored those companies who recognize their role in society to influence and drive positive change, consider the impact of their actions on their employees, investors, customers and other key stakeholders and use their values and culture as an underpinning to the decisions they make every day.
“Over the last eleven years we have seen the shift in societal expectations, constant redefinition of laws and regulations and the geo-political climate. We have also seen how companies honored as the World’s Most Ethical respond to these challenges. They invest in their local communities around the world, embrace strategies of diversity and inclusion, and focus on long term-ism as a sustainable business advantage,” explained Ethisphere’s Chief Executive Officer, Timothy Erblich. “Congratulations to everyone at L’Oréal for being recognized as a World’s Most Ethical Company.”
Methodology & scoring
The World’s Most Ethical Company assessment is based upon the Ethisphere Institute’s Ethics Quotient® (EQ) framework which offers a quantitative way to assess a company’s performance in an objective, consistent and standardized way. The information collected provides a comprehensive sampling of definitive criteria of core competencies, rather than all aspects of corporate governance, risk, sustainability, compliance and ethics.
“Culture is the foundation of a high performing, innovative and sustainable company”
Scores are generated in five key categories: ethics and compliance program (35%), corporate citizenship and responsibility (20%), culture of ethics (20%), governance (15%) and leadership, innovation and reputation (10%) and provided to all companies who participate in the process.
Honorees
The full list of the 2017 World’s Most Ethical Companies can be found at: https://worldsmostethicalcompanies.ethisphere.com/honorees/.
Best practices and insights from the 2017 honorees will be released in a series of infographics and research throughout the year. Organizations interested in how they compare to the World’s Most Ethical Companies are invited to participate in the Ethics Quotient.
Questions & Answers
Q.How many times has L’Oréal received this recognition from the Ethisphere Institute?
How many times has L’Oréal received this recognition from the Ethisphere Institute?
L’Oréal has been recognised as a World’s Most Ethical Company for the eighth time. They are one of only two companies in the Health and Beauty industry to achieve this recognition.
Q.Which specific areas are assessed to determine a company's ethical standing?
Which specific areas are assessed to determine a company's ethical standing?
A company's ethical standing is assessed across five key categories. These include their ethics and compliance program, corporate citizenship and responsibility, culture of ethics, governance, and leadership, innovation, and reputation.
Q.Who commented on the importance of ethics as a key pillar of L’Oréal’s culture and leadership?
Who commented on the importance of ethics as a key pillar of L’Oréal’s culture and leadership?
Jean-Paul Agon, the Chairman and Chief Executive Officer of L’Oréal, stated that culture forms the foundation of a high-performing company. He expressed pride that ethics is a central pillar of their culture and leadership.
Q.What proportion of the assessment score is attributed to a company’s ethics and compliance program?
What proportion of the assessment score is attributed to a company’s ethics and compliance program?
The ethics and compliance program contributes 35% to the overall assessment score. Corporate citizenship, responsibility, and the culture of ethics each account for 20% of the score.