HOW SOME COMPANIES THINK ABOUT CORPORATE RESPONSIBILITY

When the last technology bubble burst in 2000, many companies began to realize that an exclusive focus on short-term financial performance and market value might erode their reputation among customers, employees and even shareholders, not to mention public opinion. Some of those companies – seriously affected by the quick fall in market value after the stock market crash – started to rethink the firm's goals and social responsibilities. Indeed, it seemed as if a new day had dawned in the corporate world. Some people forgot that some companies had been practising a clear idea of corporate responsibility for decades and graduate schools such as Harvard Business School and IESE were already offering courses on the ethical dimensions of management and the social responsibility of corporations.

In a fiercely competitive industry like cosmetics, Henkel, a German company, has always integrated a strong sense of social impact with its business activities. Founded by Fritz Henkel in 1876, when Henkel and two colleagues developed and marketed a universal silicate-based detergent, the company grew from a start-up into a large family business. By early 2009, it was a global company with revenues close to €10bn and operations in 125 countries. Moreover, the company had managed to grow while maintaining corporate values that were very close to the Henkel family, which has members of the fifth generation serving as board members.