Corporate Social Responsibility PT Unilever Indonesia Tbk by gzn12524

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									Corporate Social Responsibility
PT Unilever Indonesia Tbk.
From the Heart of Our Chairman                              1

Capturing the Spirit of Sharing                             2
(Unilever Indonesia Peduli Foundation)

Widening the Horizon of Corporate Social Responsibility     3
(Unilever Perspective on Corporate Social Responsibility)

Achieving Excellence with True Compassion                   5
(Impact of Operations)

Building Successful Synergies for Society                   7
(Impact through the Value Chain)

Answering Community Calls                                   11
(Voluntary Contribution)

Awards and Recognitions                                     17
Unilever Indonesia recognises the                          To us, working on the “CSR issues” is an integral part
                                                           of doing our business and a completely natural thing
need to give and to share, not
                                                           to do. This implies that we commit to do everything
because it helps maintain our good                         in a responsible way and to make a positive impact on
reputation, but because it helps us                        the community in every aspect of doing business.
to grow. Continuously, we consider                         We do believe that if all the components of society
corporate social responsibility as an                      including the business world do their part to make a
integral part of our business.                             positive impact, then the dream of a better life will        2
                                                           become a reality. This simple report is just one of our
Dear Reader,                                               efforts to share and communicate what we are doing
Every day people in Indonesia use our products to          to fulfill our corporate social responsibilities. We hope
fulfill a part of their needs for nutrition, hygiene and    that it will be both a source of pride in our employees,
sanitation. In doing so, they have helped Unilever         a challenge to want to do more and an inspiration to
Indonesia to grow and become the pre-eminent fast          others to follow our example.
moving consumer goods company in Indonesia.                In short: CSR is a pillar of our business. As our
We have been sharing this growth by involving SMEs in      corporate purpose states, “To succeed requires the
our production activities, creating work opportunities     highest standards of corporate behaviour towards our
in our supply chain operations, and by simply giving       employees, consumers and the societies and world in
something back to society. It is part of our heritage.     which we live.”

 In recent years we have seen increasing pressures         Finally, from the bottom of my heart, I present to you
 from globalisation, NGOs, rules and regulations, fierce    this review of Unilever Indonesia’s CSR activities. Please
 competition and even on people in the business            let us know your thoughts.
 community to make more significant contributions to
 society. Unilever has worked with communities helping     Jakarta, June 2005
 families and individuals for many years – long before
 any call for action. In fact, inspired by our corporate
 purpose we started to act long before the term
‘corporate social responsibility’ was coined and CSR
 guidelines were formulated.
                                                           Sincerely,
                                                           Maurits Lalisang, Chairman
    On November 27, 2000, we established the Unilever                 • Small-Medium Enterprise (SME) Development
    Indonesia Peduli Foundation (UPF). Its stated aim is to             Programmes;
    become the “ultimate manifestation of our corporate               • Water Resource Preservation Programmes;
3   social responsibility commitment.” The establishment              • Recycling Programmes and
    of the foundation is a significant step towards our aim            • Public Health Education Programmes.
    to grow with society and the environment in a sustain-            Four guiding principles to the programmes are:
    able manner.                                                      • Develop programmes that are related to our
    We intend to do our best to share resources to                      business interest;
    contribute to a better quality of life. Our mission is            • Formulate action models or pilot programmes that
    to unlock society’s potential, add value to society,                can be replicated in other areas;
    synergise the strengths of our partners and become                • Work together with NGOs, governmental agencies,
    the inspiring catalyst for building partnerships. We also           academic institutions, business entities, and other
    want to further enhance our corporate reputation by                 stakeholders and
    promoting sustainability in environment, community                • Replicate successful activities and implement them in
    and business growth.                                                areas beyond the original.
    We know that sharing resources to make a better life              In the implementation of our CSR initiatives we apply a
    is a rather broad vision. We have therefore asked the             comprehensive consideration for each of our initiatives.
    foundation to concentrate its efforts around four main            Based on the big picture, we start small to make sure
    programmes namely:                                                it happens. Afterwards, we move fast to replicate or
                                                                      expand it to make a bigger impact on society.




    Organisational Structure of Unilever Indonesia Peduli Foundation 2005
    Consultative Board                           Supervisory Committee                    Executive Committee
    Chairperson        Maurits Lalisang          Chairperson    Muhammad Saleh            Head        Okti Damayanti
    Vice Chairperson   Josef Bataona             Secretary      Sancoyo Antarikso         Secretary   Bonnita Thoha Manoppo
    Members            Desmond G. Dempsey        Members        Linawati Widjaja          Treasurer   Franky Jamin
                                                                Laksmi Susanto Tobing     Members     Marlan Mardianto
                                                                                                      Eka Sugiarto
                                                        These behaviours are applied in our company’s daily
                                                        activities. In 2003, we introduced the 3C (Consumer,
                                                        Customer and Community) connection programme
                                                        to our employees. They are encouraged in proactively
Values and Behaviours: Customer,
Consumer and Community Focus                            listening to our consumers, customers and community
                                                        to collect insights for improving our contribution. We
We focus on winning the hearts of customers (internal
                                                        always want to be part of solutions for any relevant
and external) and delighting our consumers and com-
                                                        issues.
munity constantly by understanding and anticipating
their needs and responding entrepreneurially.           In implementing UPF’s sustainable programmes, we
• Proactively listening to consumer and community       actively seek inputs, suggestions and comments from
  needs – resulting in actions that focus on            stakeholders, especially from the targeted community
  improving value                                       which in turn creates a more effective, efficient and
• Taking ownership of customer, consumer and            well-targeted corporate contribution. Monthly meet-
  community issues                                      ings with Camats, Lurahs and other informal leaders
• Planning effectively – giving sufficient lead time     are regularly conducted as a bottom up approach in
  to do the job properly                                our programmes.
• Delivering what’s promised – promptly                 By focus on our strengths, we believe that our con-
• Caring about social conditions in the                 tribution can create a bigger impact on our society
  community surrounding us                                          in surrounding areas and other parts of
                                                                                       Indonesia.


                                                                                                                 4




           The Unilever Indonesia Peduli Foundation Operational Team
    We believe that CSR is not limited to voluntary
    contributions; it permeates the whole of our
    corporate being.
    Our perspective on corporate social responsibility is built around our whole
    business operation. We think that a responsible business should make
    significant contributions to the welfare of people, the economy of the
    nation, and the knowledge base of society and environment.
    Aiming to reach beyond corporate philanthropy, we are sharing our tech-
    nology and skills, even our network of partners, in the form of voluntary
    contributions. Yet, at the same time, we are broadening our mind with
    vistas about hitherto untapped social markets.
    With this mental picture, we then embrace our existing markets. Here we
    are striving to influence members of our value chain – the broadest range
    of our stakeholders – to see things not only from a business but also from a
    social point of view.
    We define social responsibility as the impact or interaction we have with
    society in three distinct areas:
5
    Achieving excellence with true compassion
    (Impact of operations)
    The most important impact on society is through direct business opera-
    tions. Our approach to managing our social responsibilities is based on
       ensuring corporate social responsibility as part of our business activities
           and embraces a willingness to learn from our actions and the experi-
              ence of others.
               We are continuously improving our performance through
               the implementation of national and international guidelines
                of business operations including Environmental Rating
                Performance (PROPER) and ISO standards.
                 Our business operation is more than creating job opportuni-
                   ties, we develop human capital for the benefit of both
                       company and society.
Building successful synergies for society
(Impact through the value chain)
A wider indirect impact along the ‘value chain’ is created from suppliers
through trade customers to consumers. We have introduced a code of
business principles for suppliers called the Business Partner Code and
implement a Supplier Quality Management Programme (SQMP) to encour-
age our suppliers to improve their capability and performance.
We work in partnership with a wide range of independent distributors to
promote entrepreneurship, employment and profitability for local businesses.


Answering community calls (Voluntary contributions)
Voluntary contributions made to the community and wider society, often
in partnership with non-profit organisations, government agencies,
academics and communities, are the visible ‘tip of the iceberg’ of the
much larger impact of business operations. These include sustainable
programmes that are implemented professionally under Unilever Indonesia
Peduli Foundation. One of the main activities is building the capacity and
empowering black soya bean farmers to be Unilever’s business partners.
We encourage our employees to share their heart, mind and
experience with a wide range of volunteer activities
especially with the needy, such as orphans,
street children, local villagers, refugees
and others.


                                                                              Voluntary Contribution




CSR (Corporate Social Responsibility)
is the impact of the whole business
operation on the community.
                                                                                             Impact of Operation




           Impact of Value
    In our operations, we are working                              We have obtained the ISO 9000, ISO 14000 and BS
                                                                   8800 certificates for our factory’s operations. These
    hard to ensure that our business
                                                                   accolades motivate us further to continuously improve
    is both environmentally and                                    our performance. Our efforts were also recognised
    socially friendly. Our employees                               by the Japanese Institute of Productive Maintenance.
7   are spearheading the effort, while                             In 2001, this Institute presented our factory with the
    our customers, consumers, and                                  TPM Special Award in recognition of the factory’s
    community are the recipients.                                  performance of Zero Waste, Zero Accident and
                                                                   Zero Breakdown. While the Award was not our
                                                                   ultimate goal, it was received with a certain sense
    The Drive to Perform                                           of accomplishment – a reward for our effort. It’s the
    It is not easy to prove commitment. Being environment-         performance that counts as it represents an important
    friendly is an easy claim to make but represents a seri-       milestone on the roadmap for the future.
    ous commitment. Unilever Indonesia understands this            While compliance with rules and regulations are not
    well, and ecological friendly products have become the         seen as a glamorous element in business it is however
    absolute standard of the Unilever groups of companies.         a vitally important part of the roadmap. Employees
    Only soft alkylate is allowed for detergents and only          were therefore particularly proud when their ex-
    materials that have passed the rigorous life cycle analy-      ceptional efforts meant that both of our factories
    sis may be used as ingredients or in packaging. We are         achieved green status in the Government’s environ-
    concerned about the condition of today’s environment           mental rating programme PROPER. Only seven others
    and we do our best to live harmoniously with nature.           have the same status in Indonesia.




                 The “Lifebuoy Berbagi Sehat” programme gives families the opportunity to help raise health awareness
                 by making a small donation with the purchase of each soap bar. To date the result is sufficient to provide
                 10,000 elementary school students with interactive modules about personal health care. There is even
    enough money to finance a programme to go from school to school in order to encourage the children to become
    agents of change in their family, helping to lead the way to a healthier way of life. Thousands wrote down their com-
    mitment to uphold cleanliness and signed their pledge with their handprints. All these are made possible by the 10
    Rupiah per bar contribution of the consumers. The consumer is the real hero!
                                                           year, a number of employees are sent on advanced
                                                           training sessions abroad. We even sponsor academic
Promoting a Health Consciousness                           endeavours.

We took responsible advertising and promotions a           However, our concern goes beyond formal educa-
step further to promote social concerns together with      tion. There are work skills and knowledge, which
the brands. The results were exciting.                     are best learned on the job. We all know that the
                                                           success in training and developing our people has a
Unilever is renowned for its brands. Every year, we
                                                           definite impact on our bottom line. Therefore, Unilever
spend millions of dollars on advertising, sales promo-
                                                           Indonesia strives to have the very best training pro-
tions, marketing public relations and other communica-
                                                           grammes and facilities in the industry. Moreover, we
tion channels. Unilever Indonesia’s branded products
                                                           take great care to perfect our practices of placement,
have received many awards that imply good quality,
                                                           remuneration, safety and health conditions, as well as
including the Indonesian Consumer Satisfaction Award.
                                                           our reward system. A commitment to the promotion
Furthermore, they are available, “fresh” every day, in
                                                           of human rights and diversity and merit-based career
more than 550,000 outlets.
                                                           advancement ensures that Unilever Indonesia provides
In our brands’ communication, we not only tell the         excellent work opportunities.
consumer about the product itself but also convey
                                                           Among the various facilities provided by Unilever
educational messages about health consciousness. For
                                                           Indonesia for the wellbeing of its employees are the
example, the “Lifebuoy Berbagi Sehat” Programme.
                                                           popular Nursery Room and the Gym. A nursing mother
                                                           is able to work confidently with the knowledge
Beyond the Basic Elements                                  that her baby is only a few steps away. The services
Unilever has been named ‘employer of choice’ by na-        provided by the Nursery Room staff are professional
tional media on many occasions. More than just creat-      and extend to day-care during the Idul Fitri season,
ing jobs, we are committed to develop human capital        when there may be nobody in the employees’ houses
for the benefit of both the company and society.            to watch their children. Watching over the well being     8
Unilever Indonesia employs people from a variety of        of our employees on a daily basis are specially trained
nationalities, ethnic and religious backgrounds. We        nurses and doctors. They endorse the use of our
promote diversity and uphold human rights. Unilever        in-house Gym, which has professional instructors to
aspires to excellence in everything that it does and the   guide hardworking employees to physical fitness.
quality of its employees is therefore of highest impor-
tance. We attract and work hard to retain the best, be
they experienced workers or fresh graduates. Every
    We believe that we cannot exist                                   Through SQMP (Supplier Quality Management
                                                                      Programme), we encourage and motivate our suppliers
    without the support of our business
9   partners. Mutual benefit and sustain-
                                                                      to apply the highest standards of business practices. As
                                                                      a recognition for those who meet the highest score of
    ability are the leading principles                                the SQMP criteria, we reward them with the “Preferred
    to maintain all of our value chain                                Partner Certification “. A preferred partner has to
    relations, from suppliers to distributors.                        consistently deliver quality at a prescribed level, ship the
                                                                      correct amount of its products on time at competitive
                                                                      prices and in a trustworthy, and yet flexible manner.
    Helping Suppliers to Maximise
                                                                      Our SQMP covers all our suppliers: packaging, raw
    Their Potential
                                                                      material and perfumery. The intention of the pro-
    Growth is an important element in the business but                gramme is not only to extend the business relationship
    continuous growth is even more important. Therefore,              but also to achieve a better growth rate. We want to
    we ensure that we help our partners conduct business              grow together with our business partners in a sustain-
    in a sustainable manner.                                          able manner. The programme started in 2000 and its
                                                                      success has allowed us to enhance the criteria of selec-
                                                                      tion. It now includes health, safety and environment
                                                                      precautions and also commitment to corporate social
                                                                      responsibility.




                                         “We are thankful to Unilever Indonesia, not just because of the continuous business they
                                          have given to us, but even more so because they have made us feel like true partners. We
                                          relate to each other daily as equals, and within this close relationship we have learned a lot.
                                          Better knowledge leads to innovations and innovations to sustainable business. It’s really a
                                          win-win situation.“
                                         Tony Hambali, President Director of Dynaplast, 3 times recipient of the prestigious
                                         Preferred Supplier Certification.
                                                                  leadership, they might just add the little extra needed
                                                                  to turn the wheel of progress. We empower and help
                                                                  them with special training.
Generating Opportunities to Develop
Local Economies                                                   Empowerment is also the keyword for our ice cream
                                                                  hawkers. Working through 35 concessionnaires, or ice
In order to delight our consumers, our products need              cream distributors, we have engaged more than 400
a large and efficient sales and distribution network.              entrepreneurs (hawkers), which, in turn, has created
We understand that in a highly competitive market                 around 5,000 new jobs. Special training sessions cov-
place, effective distribution of products to the reach of         ering salesmanship, business administration and health
consumers is essential.                                           issues are provided as part of our continuous advocacy.
To establish and maintain this network, we have                   In this way, we hope to make yet another contribution
worked in partnership with a wide range of indepen-               to the sustainability of local economic development.
dent distributors rather than establishing our own               To adapt with the emerging trend of modern trade
distribution system. It is a very unique form of partner-        type of outlets, we have redeployed many of our sales
ship as it promotes entrepreneurship, employment and             representatives. They are to convey the warmth we
profitability for local business owners. We understand            want to share with our customers, while helping the
that synergies within these value chains create and              supermarket and hypermart personnel ensure the right
enhance the livelihoods of thousands of people in a              quanties of the right goods are available to the con-
sustainable manner.                                              sumers in a timely manner. Our Sales Push Teams have
With our strong distribution system we manage to tap             a similar task, but they interact more directly in relation
approximately 550,000 outlets. They are served by                to the consumers. The Sales Push Team functions as a
more than 350 well-motivated distributors. We do this            friend of the consumers. They actively convey informa-
on a weekly basis, meaning that every week we ship,              tion about product benefit and at the same time
replenish and sell a new batch of goods to each outlet.          receive feedback and complaints from the consumers
                                                                                                                                                 10
This is possible because of the involvement of 17 sales          that is of vital importance as we strive to improve our
offices and two central warehouses that continuously              products and service to the highest standard.
supervise and support our distributors. In total, around         The relationship between Unilever Indonesia and the
25,000 direct income generating opportunities have               modern outlets is not purely business related. It goes
been created.                                                    beyond that. With many of them we have a joint
 In 1998, we created a new segment in our value chain            collaboration/promotion for the needy. We contribute
– the Sub-District Distributor (SDK). Their specific aim          part of our sales for the benefit of homeless children
is to reach outlets in more remote areas beyond the              in big cities as well as in disaster areas. With Matahari
prime and traditional capability of our Distributors.            Supermarket we joined to contribute a part of our
SDK is a unique part of our distribution network. We             sales for the Nabire disaster. The donations open new
see the SDKs as agents of change that may well help              opportunities for street children by providing opportu-
local economic development. With their individualistic           nities to obtain a proper education and for the children
                                                                 of Aceh, North Sumatra and Nabire, it could mean
                                                                 new hope for a better life.




                                                            “I always thought of Unilever as a multinational company. Only when I became
                                                             their distributor I did realise that they are also multi-local, meaning that they
                                                             know there are different ways to achieve things in different markets, while
                                                             still pursuing international levels of quality. Fortunately, they also provide
                                                             enough room to learn. It has helped my business and I am sure that it has
                                                             helped the business of my peers as well.“
                                                            Saryanto, Operation Manager of Distributor BSM 2.
We are committed to further improve
the positive impact of our operations
through voluntary contributions. To
implement CSR more meaningfully,
we have focused on developing SMEs
as partners, improving the quality of
our environment, helping to
transform waste into useful product
and increasing health and
environmental awareness.

Throughout the years, we have streamlined our
voluntary contributions. We want to be as professional
in the management of our social responsibilities as
we are in other area of business. This is where the
Unilever Indonesia Peduli Foundation (UPF) comes into
the picture. UPF focuses our efforts and makes them
more meaningful by concentrating on four main areas
of action.
Black Pearls of Highland Java                               Treasuring the Source of Life
and Other Gems
                                                            We are committed to become a part of environmental
In the rural regions of Java, which have a long and         solutions. The aim is to raise, by way of voluntary
sad history of poverty, we have encouraged farmer           contributions, the level of healthiness of our immedi-
groups to become suppliers to our Kecap Bango fac-          ate neighbours. One example is the Clean River project
tory. They have been provided with the best available       that focused on the village of Jambangan, Surabaya.
seeds, technical guidance and small, non-commercial         Here we tried to change the peoples’ paradigm of
loans. While agricultural experts from the Gajah            living with the Brantas river.
Mada University of Yogyakarta leading the technical
                                                            In the past, people threw garbage and other pollut-
aspects of the project, we made sure that the farmers
                                                            ants into the river and used the water in unsustainable
developed business acumen. Work progressed with
                                                            ways. Within the programme, we supported the
the assurance that all produce would be absorbed by
                                                            community to improve the condition of their environ-
Unilever Indonesia at a competitive price if the quality
                                                            ment by building sanitation facilities, positioning
was right. Harvests improved and the farmers in-
                                                            garbage bins strategically and taking care of solid
creased their income significantly. All are now looking
                                                            waste disposal. Waste segregation between organic
forward to a sustainable future and greater prosperity.
                                                            and non-organic materials was introduced. We con-
Another SME programme worth mentioning is the fish           tributed further by donating a composter unit and a
processing for our Royco brand of seasoning. Here,          composting facility was established. The effort was       12
the breakthrough came in the form of innovation. In         a cooperative one. Other stakeholders, including
collaboration with the researchers of the Gajah Mada        governmental agencies, NGOs, universities, private
University, we discovered liquid seasoning without ad-      companies and the media are helping too. With their
ditional MSG (mono sodium glutamat) as an important         involvement, continuous advocacy is possible and the
extension to our Royco line. This innovation required       people of Jambangan can now expect a sustainable
fish as an ingredient. The required fish is a common          programme of improving their quality of life with the
species in Indonesia but it has to be raised with special   Brantas river. As for us, we hope that this extremely
care to attain the qualities that the formula prescribed.   successful model can be replicated in other villages
Again, collaboration between farmer groups, the             along the waterway. Preserving the quality of water
university and Unilever Indonesia proved successful.        and waterways treasures the very source of life.




Black soya bean farmer                                            Brantas river programme
development programme




                           Number of farmers                                    Number of beneficiaries
     Salvaging Cities                                                           Fun of Health Awarness
     We are attempting to broaden the impact of our activi-                    Continuous health awareness campaigns are usually
     ties by helping cities to improve the quality of life of their            deemed expensive. They do not have to be so, if
     citizens. Of course, this means that we have taken on a                   various stakeholders collaborate to spread the word.
     bigger set of problems too. We have focused our efforts                   Together with stakeholders we have campaigned
     to alleviate some urban problems by concentrating on                      through the Pepsodent Schools Programme since
     trash recycling. When we set out to gather information                    1994. Children from 7,000 elementary schools have
     about solid waste problems, we were surprised to find                      been educated on the importance of oral health
     that many recycling operations were lacking raw material.                 using interactive education material. Pepsodent has
     This was rather ironic, since solid waste disposal has been               also conducted free dental check-ups to promote the
     a problem in the cities for some time.                                    importance of regular visits to the dentist.

13   To help alleviate the problem, we worked with the                          Through the “IDE” programme, we create an interactive
      local government, universities, NGOs and the media,                       teaching-learning process for schools that has covered
      to raise public awareness about refuse-collection in                      233,000 students with more than 10,000 teachers in
      Surabaya, the second largest city of Indonesia through                    800 schools in four cities for the third year. The curricu-
     "Surabaya Green and Clean" campaign. We wanted to                          lum is the reference used to balance between business
      separate recyclable items from other waste, knowing                       advantage and goodwill, and we provide teaching aids
      that waste segregation is a significant step towards                       and learning activation kits to be used by the teachers
      more sustainable disposal methods. Professional trash                     to run a fun interactive teaching process.
      collectors, working in the informal sector of Surabaya
      and elsewhere, were engaged to transport the waste
      to transfer stations or directly to recycling facilities.




                                                                      It’s an honor to be part of Unilever’s initiative in recycling plastic
                                                                      waste, because I believe we are doing something important for our
                                                                      environment. This initiative is unique and very challenging, as no one
                                                                      in Indonesia has done this before. I believe we will make a difference
                                                                      to our environment.
                                                                      Purnomo, President Director of Primapack, honorary member of
                                                                      Unilever recycling programme.
                                                            Humanitarian aid in the form of collected funds and
                                                            goods by both our employees and the company have
                                                            helped alleviate some of the pain and suffering in
                                                            disaster areas such as Nabire (Papua), Aceh, North
Blessing of Intimate Connection                             Sumatra and other areas.
We engage with communities because we believe               These are not the only examples of corporate philan-
that every successful business must listen carefully to     thropy. The employees are developing a more balanced
its consumers’ needs. Our over 70 years of existence        life for themselves by taking a broader interest in the
gives us the confidence that we are able to do so. In        social life of the wider community. The employees,
this rapidly changing world we are also aware however       through their active participation, are learning what it
that we must listen to consumers as fellow citizens too.    takes to be a proud member of society.
We therefore encourage our employees to get                 As we have said before we want to be as professional
involved and contribute in a variety of community           in the management of our social responsibilities as we
actions through a voluntary Community Connection            are in other area of business. These experiences help us
Programme. It is heartwarming to know that the              to enrich our corporate social responsibility initiatives.
initiative came from the employees themselves. They
have also been involved in improving surrounding
communities through the Care for Area Surrounding
Programme. Our employees have joined forces to
rebuild run-down school buildings. Hundreds of
managers have worked to provide indoor and outdoor
classes, organise excursions to interesting places, share
knowledge with children and help other stakeholders
in many other ways.
     Our corporate purpose is the inspiration for the way we conduct
     our business operations. We strive to delight our consumer,
     customer, community and the environment we live in. Our
     ultimate goal is to be deservedly seen as the best by these
     important stakeholders. Therefore, we see every award from
     them as recognition of just how well we are performing.

     Our commitment to conduct our business in a responsible way has brought us a number
     of accolades. These included “The Best in Corporate Governance 2004 Award” from the
     Asset Magazine, a leading business magazine in the Asia Region. Based on Commitment
     to Corporate Governance, Shareholders’ Rights, Board of Commissioner’s Management,
     Functional Committees, Board of Directors, Stakeholder Relations and Transparency and
     Accountability we received the Indonesian “Corporate Governance Perception Index Award
     2004”. The Award was presented by SWA Sembada Magazine, a prestigious Indonesian
     business magazine, and IICG (Indonesia Institute for Corporate Governance).
     We also feel honored that we received recognition from the Government as a good taxpayer.
     In 2004; the Ministry of Finance presented us the Tax Award. We are pleased to be a major
     contributor to the development of this country.
     In the eyes of our shareholders, we are considered as a good and valuable investment.
15   A leading business daily, Investor Indonesia, has awarded us the Top Performing Listed
     Company 2004 and the Top Listed Company 2004 in the Household Goods Sector.
     Our care for the safety, health and environment of our workplace has been recognised by the
     Zero Accident Award in 2005 by the Ministry of Manpower and Transmigration. This is a real
     and further encouragement to us to keep improving our performance.
     We appreciate that the task of delighting our consumer, customer and the community is a
     never-ending journey. The rewards for success are immense; we are able to keep growing
     and be sustained in our business life.
     The various awards and recognition are just an acknowledgement of what we have done so
     far but also represent a reminder of the challenges of the ongoing tasks ahead.
“As a corporate entity with a high commitment to respond to the needs of the environment and
 the community, Unilever optimizes their resources to continue preserving mutual benefit with
 its surrounding through programmes that are environmentally and socially friendly. Unilever
 positions its Corporate Social Responsibility as part of its strategies based on a belief that the
 corporate will only exist and grow if it could share benefits together with its surrounding.
I, Minister for Women Empowerment, extend my salutation to Unilever’s performance in
supporting our effort to promote the Child Protection Act (Act No.23/2002) for a more child
friendly environment.”
Dr. Meuthia Hatta Swasono, Minister for Women Empowerment Republic of Indonesia

 From ”I” to ”WE”
“In the last fifty years, global income has increased sevenfold as the global economy got en-
 ergised by the “enlightened self interest” concept, which is believed to be a basis for a better
 welfare. Simultaneously, however, billions of people are living in poverty and global environment
 is deteriorating due to worsening pollution. Developments seem to meet only the “enlightened
 self interest” of the individual, the strong and the rich, while disregarding the needs of the poor
 and the environment.
To achieve a more equitable, sustainable world without poverty and environmental degradation,
a paradigm shift is needed, from meeting the “enlightened individual interest” into “enlightened
common interest”, a shift from managing “corporate usual responsibility” to “corporate social
responsibility”, which reveals a changing orientation from an “I” to a “We Together” lifestyle.
All members of the society have to work together as a team to make the world a better place to
live for all.
I hope that this Unilever Report “Engaging with Community & Environment” has given us a
glimpse of how and why such a shift in business development paradigm and lifestyle is neces-
sary and feasible."
Emil Salim, Head of Excecutive Board of Association of Community Empowerment

“We see Unilever as a beacon of good corporate governance in Indonesia, with the com-
 pany consistently ranking at the top of our corporate governance score sheets.”
Michael Chambers, Head of TIPs Research, CLSA Indonesia

“Unilever Indonesia through its Foundation has showed the real case of care to the
 community. In the Black Soya Bean farmers development programme, it has created
 an opportunity to farmers to improve their livelihood through providing market
 certainty, increasing their farming skills, improving productivity and facilitating
 the farmers capital needs. It also encourages the farmers to deal with industry
 through farmer groups or cooperatives and assist them to be its mutual benefit
 and sustainable partners. This programme also unleashes the potentials of
 Gajah Mada University to devote their expertise directly to the farmers as well
 as opens an opportunity to the graduates to experience the real world in imple-
 menting their skills. This all will sure make Unilever Indonesia grow together
 with the community.”
Prof. DR. Mary Astuty, MS,
Professor of Food and Agricultural Production Processing Technology,
Gajah Mada University
Graha Unilever, Jl. Jend. Gatot Subroto Kav.15, Jakarta 12930, Indonesia

								
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