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Goals

 

SECTION 4 EARTH AND COMMUNITY CARE (ECC) GOALS UPDATE

Fiscal Years 2015-2016 Goals Performance

Product Lifecycle

2016 Goal

2016 Performance

Product + Ingredient

Research + Development

·   Average of 97% naturally derived ingredients for new retail product launches

·   Goal partially achieved

All but one new product launched contained a minimum of 97% naturally derived ingredients.

Product + Ingredient

Research + Development

·   Implement formalized review of manufacturing energy requirements during new product formulation and production process development

·   Goal achieved

Close collaboration between the ECC team, the technical services organization, and the manufacturing team has been established to improve energy evaluations during new product formulation and production process development. Process development work will continue to see energy evaluations evolve going forward.

Ingredient Sourcing

·   Aveda funding for 12 additional projects that deliver environmental and/or social benefits to our sourcing communities

·   Goal achieved

14 projects in sourcing communities. Aveda continues to make significant contributions to environmental and social projects globally through our partnership with the Global Greengrants Fund.

Ingredient Sourcing

·   Identification of supply chain water-related risks for at least 6 key ingredients

·   Goal achieved in early FY 17

Supply chain water related risks for 6 ingredients were evaluated in partnership with the University of Minnesota’s Institute on the Environment.

Ingredient Sourcing

·   Development of a Community Supplier Agreement defining Aveda's obligations to small community suppliers of botanical ingredients to enhance the level of predictability of purchases and support if Aveda's needs for the ingredient change over time

·   Goal achieved

Letter of intent completed defining Aveda’s commitment to HBTL and purchases of lokta bark paper

Manufacturing/Making and Delivering

·   14% reduction in GHG emissions per kg production 

·   Not achieved

The change in product lines during 2015-2016 caused a delay in meeting this goal.

Manufacturing/Making and Delivering

80% recycling rate for manufacturing

·   98% recycling rate at Midwest Distribution Center

·   Not achieved

2015: recycling rate 77%
2016: recycling rate 79%

2015: recycling rate 96%
2016: recycling rate 96%

Manufacturing/Making and Delivering

Water reduction by 10%

·   On hold

A water use audit and better metering are being used to determine opportunities and strategies for reduction going forward.

Manufacturing/Making and Delivering

·   A total incidence rate no greater than 1.45

·   Goal achieved in 2016
2015 incidence rate: 2.08
2016 incidence rate: 1.44

 

Manufacturing/Making and Delivering

·   At least 50% participation of all North American employees in volunteer activities

·   Not achieved

Under-reporting of volunteer activities has prevented an accurate calculation of employee participation, though we believe it has been increasing through new opportunities to engage, including the Estée Lauder Companies Good Works program that incentivizes volunteering. We are working to improve data collection.

Product Experience

·   At least $7 million in Earth Month Fundraising

·   Not achieved
$6.4 million in Earth Month fundraising for 2016

Product Experience

·   At least 90% Concept Salon participation in Earth Month

·   Not achieved
72% of Concept Salons participated in 2016

Product Experience

·   Over 4,000 network professionals will engage with Aveda Mission Leader (approximately 10% of all Network professionals)

·   Not achieved
Aveda Mission Leader did not roll out as planned within the Aveda network

Product Experience

·   Over 1,000 Aveda Mission Leader users will participate in the Green Salon Certification Project

·   Not achieved
The Green Salon Certification project was put on hold in 2016.

Product Experience

·   100% of Experience Center Advisors and staff will participate in Aveda Mission Leader

·   Not achieved

Full roll-out of the program to Experience Centers was delayed.

Product End of Life

·   100% increase in bio-based polymer packaging from fiscal year 2014

·   Goal achieved
120% of target

 

Earth and Community Care Commitments and Goals for the Future

 

We pledge never to waiver in our ongoing commitment to care for the world we live in and strive for environmental leadership and responsibility through:

 

Our Ongoing Sustainability Commitments

1.     Remaining a cruelty-free brand, never testing ingredients or products on animals and never asking others to do so on our behalf.

2.     Remaining carbon-neutral in our North American operations by purchasing electricity generated by wind or other renewable resources and carbon offsets for our manufacturing facility, corporate headquarters, distribution centers and all of our company-owned operations in North America.

3.     Offsetting carbon emissions from the third-party manufacturing and use of Aveda aerosol products.

4.     Maintaining an average naturally derived content across Aveda products of at least 95%[1].

5.     Maintaining an average of at least 96% certified organic or wild harvested essential oils in the aromas of Aveda products 

 

Our Current Sustainability Goals

1.     100% of the palm kernel oil (PKO) derivatives we purchase will be RSPO Mass Balance or Identity Preserved Certified by 2020.

  • In the interim, we will achieve a minimum of 50% MB Certified PKO derivatives in 2017, 70% in 2018, and 90% in 2019.
  • In addition, we will continue to purchase only RSPO Identity Preserved and organic certified palm fruit oil.

2.     100% vegan ingredients by 2020.

3.     Zero virgin petrochemical plastic in Aveda retail bottles, jars and tubes by 2020, all packaging by 2024. 

4.     Reduce absolute energy consumption from Aveda operations by 2% each year.

5.     Reduce total waste disposal (municipal solid, industrial and hazardous) at Blaine headquarters, manufacturing and the Midwest DC to a total of 275 tons annually by 2020 (a 14% reduction from FY16).

6.     Reduce water use at Blaine corporate offices, manufacturing and the Midwest Distribution Center by 3% by 2020 (2017 baseline).

 

 

 

 

 



[1] We define naturally derived ingredients to be those for which more than 50% of the molecule comes from a plant, non-petroleum mineral, water or some other natural source.

 

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