? Are you surprised by the current discussions on the social responsibility of companies?

! No, not really. From my point of view, this should have been discussed for a long time. I would, however, hope the discussion is balanced, and we as a company need to take part in it actively.

? What is the reason for the fact that the social responsibilities of companies have become such a prominent topic?

! There are several reasons for it. First, it is a direct result of the economy’s globalization and fears about the consequences of globalization, which also has an effect on the acceptance level of the free market economy. We need to counter this development, for the free market economy – as I understand it – and competitive, successful corporations lead to common benefits over the long run. When the free market economy is functioning and there are rules and a consensus on certain values, then seeking benefits for oneself will lead to benefits for all.

Another reason is that customers, as well as investors and financial markets, are increasingly concerned with the topic of social responsibility. There is a small but rapidly growing market for mutual funds investing consciously in companies that fulfill certain criteria with respect to social responsibility. Last but not least, conventional investors are asking more often how companies deal with certain aspects of their social responsibilities. Indeed, they have recognized that there is a connection between corporate success and social responsibilities.

? What does this connection look like?

! If you have accepted your social responsibilities, then you are better able to integrate yourself in various cultural circles and are more open to the changing challenges in multicultural markets. You can operate with less resistance, are able to fulfill the expectations of the shareholders better, and are consequently more successful.

? How does Henkel define its responsibilities to society?

! One of our corporate values says, “We are dedicated to sustainability and corporate social responsibility.” For us, each concept is a pre-condition for the other. Only a company that operates sustainably, organizing its activities on the foundation of the long term and future viability, is conducting itself socially responsibly. For a long time now, really since its founding 130 years ago, Henkel has addressed social concerns, and environmental issues became a part of this very early, too. This arose from an awareness of our social responsibilities, not because laws or regulations forced us to do so. Henkel set up facilities for working mothers early and offered its employees a wide range of training courses and education, as well as preventive medical care. We are among the first companies to have assembled and published environmental and sustainability reports. Henkel has supported cultural and social institutions, and we have an exemplary instrument with MIT to further and to support the efforts of our employees on behalf of social causes.

? What is new about the discussion on CSR then?

! First of all, it is the intensity and the global dimension of the discussion. Also, it is the comprehensive demands placed on social responsibility. It is no longer an issue of isolated ecological advances or sponsoring cultural projects or supporting a social idea. It is decisive how a company conducts itself in achieving profits. It is important that a company acts responsibly in all of its activities, at every point in the chain of added value, that is, earning its profits in a sustainable and socially responsible manner. What a company then does with the profits, making donations or sponsoring cultural projects, is another question and up to the owners.

In addition, part of this concept of responsibility is that the company has to be successful. Only successful companies are able to fulfill the demands placed on them: creating jobs that have viability for the future, promoting and developing their employees, offering apprenticeships, and developing safe products that guarantee the purchaser a fair value – or better, added value.

? What challenges do you perceive for the future?

! In our aging society, for example, we need to contribute to maintaining the health and performance of our employees over the long term. In light of the current state of our education system, we need to contribute to helping young people find vocational opportunities. We are called upon to support our employees in their efforts to bring their careers into step with their personal lives. In this way, we are also contributing to our own long-term competitiveness. This requires carrying out restructuring programs at an early point in time and adapting to structural changes in our markets so that the costs are borne when the going is better. We can only make a contribution to effective environmental protection and to social justice when we are a successful company economically. We are called upon to stand up openly and publicly for certain values and to prove that we follow them.

? Does the Global Compact come into the issue here?

! Exactly. In 1999, the U.N. Secretary General Kofi Annan presented the Global Compact at the World Economic Forum in Davos. In order to confront the erosion of social, ecological and legal standards, multinationally operating companies were asked to commit themselves to the elimination of child labor and forced labor, to the development of environmentally friendly technologies, and to fight corruption. We joined the Global Compact as a noticeable signal for our commitment to sustainable and socially responsible operations. Since the start of the initiative, more than 2,700 companies have taken part in the Global Compact.

? Are consumers prepared to spend more for our products because we operate responsibly?

! Yes, they are, but only when we can guarantee them added value, such as an innovation, better product performance, a better image, or the awareness that we are doing the right thing with our products. We need to work out this added value and communicate it. We also need to make it clear that socially responsible activity is not limited to corporations or individuals. Everyone has to contribute.

? This includes all of our employees?

! This includes all of our employees, but it includes all members of society, as well. It is important to me that every individual assumes responsibility wherever possible, for example, as a consumer and independent citizen. With each purchasing decision, we document whether we accept and honor the efforts of a company to operate sustainably. Each of us should ask more often: Where is this product from? Under what conditions was it produced? What will happen with my money? In which corporations or countries does my bank invest my money? Or, what do you as a politician want my vote for? Our customers are powerful and they make a decision with regard to us and our future with every purchase. Only if all of us conduct ourselves socially responsibly will we be able to retain our mutual value system in the future as it finds its expression in our market economy and our democracy.