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Opportunities & Exposures: Environment
Green Machine
Dominique Conseil
11/01/2004

I am fortunate enough to have been the leader of Aveda for almost four years. It has been an enlightening and inspirational journey. Aveda manufactures beauty products backed by botanical science. Despite the extra cost of our products, our customers are not willing to live their lifestyles at the expense of other people on the planet. Our customers see value in our total-quality approach.

When I began working here, my challenge became immediately apparent: to retain the soul of the company even while it grew far beyond the entrepreneurial venture created by its founder, Horst Rechelbacher. In 1997, he sold Aveda for $300 million to Estée Lauder, an organization where family values are still prominent, in order to take the brand to another level. Lauder helped build manufacturing capacity, open foreign markets and acquire third-party distributorships, all while honoring Horst’s original mission to set an example of environmental leadership, to steward the globe and to give back to society.

We manufacture products from nature—but not at nature’s expense—by supporting indigenous communities and farmers who have been working with the land for generations. Our support of Brazil’s Yawanawa tribe, for example, has helped the people build a new health care facility for their community. Our work also provides funding for education and training in other areas. We focus on sustainable development and capacity building. If we cultivated our own botanicals, we would be taking work and added value away from these communities. Instead, we are helping to keep their local economies growing, and by purchasing certain organic materials, we are able to shift a variety of agricultural processes away from petrochemical materials and toward more natural, sustainable agricultural systems. Every day we learn about better, more natural petrochemical ingredient alternatives.

Everything we do is connected to the philosophies and beliefs upon which the company was originally founded. This requires us to embrace new systems. For example, we require our research and development team to undergo a unique ingredient process whenever it conceives a new product. We call it the Mission Aligned Ingredient Review, and it allows us to vet our products based on specific environmental criteria.

• We measure any impact on threatened or endangered species.

• We gauge the use of petrochemical-based ingredients when plant-based alternatives can be developed through green chemistry.

• We monitor our reliance on noncertified-organic resources when certified-organic ones are available.

• We ensure that total plant- and mineral-based content is less than 90 percent by weight.

If we find an ingredient is incompatible with our mission, the R&D team works to find suitable alternatives.

We are also passionate about our packaging. There are no mandates for the cosmetics industry for environmentally friendly packaging; everything that we do in this arena is voluntary. We see our role as acting as the catalyst for change for everyone in the supply chain. We have asked our suppliers to provide more post-consumer recycled (PCR) content, and have encouraged our competitors to perform better in this area as well.

We set new standards with our makeup packaging within the last year, creating a clamshell package made of 100 percent recycled newspaper and introducing a nutritional lipstick in a refillable case—an industry first. Our lipstick sales increased by 40 percent. We recently redesigned the packaging for our entire shampoo line, and revamped our Brilliant line, moving from cobalt blue glass (which cannot be recycled) to 100 percent PCR PET. We saved $150,000 on that project alone.

We have also invested in wood certified by the Forest Stewardship Council (FSC). We use it for all the pallets on which we ship products from our manufacturing facility in Blaine, Minn., to international markets. We have begun using FSC-certified wood for all our lip pencils and makeup displays.

Our chief challenge is our inability to develop a strong restorative agenda. We are also still working to move from traditional means of obtaining energy to cost-effective green alternatives: wind, solar and others. We are not out to conquer the world. But I believe that we can change that world by changing the way we do business.

Dominique Conseil is president of Aveda, a maker of plant-derived hair care, skin care and makeup products.

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