business beyond THE Bottom line By Guilherme Leal Growing a business that was once based in a garage into a leading cosmetics company is gratifying, but what makes me proudest is how we’ve done it. Natura has been dedicated to creating social and environmental value since it was founded in 1969. Our belief in the power of human relationships led us to adopt a direct selling model, enabling thousands of consultants to generate income. Their entrepreneurial spirit helped us to grow rapidly in the 1980s, even amid Brazil’s economic downturn. During this decade, we became the first cosmetics company to offer refill products and launched pioneering products which highlighted the value of non-stereotypical beauty. In the early 1990s, we restructured, detailing our raison d’être and clarifying our commitments and way of doing business. During this time my two co-founders and I discussed how we could translate our personal values into what we wanted for the business. We believed passionately that everything on the planet is interdependent.
Similarly, companies’ longevity depends on their ability to contribute to the evolution of society and its sustainable development. To succeed and be happy, we knew we had to take care of each other and the planet. So we set out to develop products, and to relate with our customers and suppliers, using these values. Since then, Natura has strived to change its habits and adopt more sustainable behaviours. We design and produce sustainable brands that respect people and biodiversity, an approach which is at the heart of our business strategy and a core element of our innovative R&D. Today more than 80% of Natura’s ingredients are plant-based and 12% are produced by suppliers in the Amazon. We work directly with more than 30 local communities who share local natural resources and their knowledge. Together, we help to keep the forest standing. Similarly, to fight poverty and inequality we founded Instituto Natura, investing all profits from our Crer para Ver product line to support public education improvement projects. This philosophy of success beyond the bottom line goes hand-inhand with the B Corp movement, which is redefining business achievement and promoting the integration of financial, social and environmental metrics. In December 2014, Natura became one of the world’s largest B Corps, a big undertaking for our large, mature company. It reinforced our values and spurred us to further improve our policies and practices. We cannot do it alone. We need a mobilised civil society to push for change and governments to create enabling policies which help sustainable approaches to thrive.
But for Natura, it all starts at home. Our business can be an important agent of transformation, essential for building the better world which we seek. This is both a responsibility and an opportunity. It’s time for all of us to operate within social and planetary boundaries and leverage businesses’ unique strengths to solve our greatest challenges. At the same time, we can grow resilient companies which produce value for all shareholders, including the most important: Mother Earth.
For the past three years, The B Team has worked in partnership with businesses, governments, thought-leaders and civil society advocates to...