Overview
The UN Global Compact is the world's most prominent corporate sustainability initiative. It calls on private sector organizations to align their business models and strategies within the SDG framework, the concept of Environment Social Governance (ESG), and Corporate Social Responsibility. This compact is guided by ten principles focused on Human Rights, Labor, Environment, and Anti-Corruption. Regarding environmental impact, the key principles are:
The UN Global Compact reflects a corporation's executive leadership and vision regarding ESG. The compact can only be joined at the executive level, highlighting the importance of good leadership in a company's commitment to sustainability.
Target:
Businesses and corporations and private entities around the world.
Intended Impact
By fostering transparency, accountability, and ethical business practices, it seeks to create a more sustainable and inclusive global economy. The initiative encourages companies to integrate sustainability into their core operations, report on progress, and collaborate on solutions to global challenges like climate change and social inequality. Ultimately, the UN Global Compact aims to enhance corporate responsibility, drive sustainable development, and contribute to achieving the UN Sustainable Development Goals (SDGs).
Implication for Heath&Beauty Industry:
Additionally, by embedding the UN Global Compact into their strategies, policies, and daily practices and fostering a culture of integrity, brands, labs suppliers, and retailers in the health and beauty industry do more than meet their essential obligations to people and the planet—they lay the foundation for sustained, long-term success [link to blog on ROI of ESG].
Timeline
| 2000 |
Un Global Compact Founded |
| 2024 |
20,000 companies and counting committed |
How to Engage
In actively engaging with the UN Global Compact, cosmetics brands can enhance their sustainability, strengthen their reputation, and contribute to meaningful global change.
Join the UN Global Compact
- Sign the Commitment Letter: Brands must commit at the executive level to align their operations with the UN Global Compact's Ten Principles and support its broader goals.
- Pay Membership Fees: These fees fund the UN Global Compact's work and ensure access to resources and support.
- Access Tools and Training: Use resources like the UN Global Compact Academy for sustainability and corporate responsibility education.
Develop and Communicate a Sustainability Strategy
- Define Priorities: Assess areas where the brand can have the most significant environmental and social impact, aligning with sustainable sourcing, ethical labor practices, and environmental stewardship.
- Report Progress: Submit an annual Communication on Progress (COP) report detailing actions taken to implement the principles and achieve sustainability goals.
Address the Ten Principles in Operations
- Human Rights: Ensure fair labor conditions in supply chains, avoid exploitation, and champion diversity and inclusion.
- Labor: Use fair trade-certified ingredients and work with suppliers that adhere to ethical labor practices.
- Environment:
- Principle 7: Proactively avoid environmental harm through sustainable manufacturing and sourcing.
- Principle 8: Commit to reducing carbon footprints and conserving resources.
- Principle 9: Innovate and adopt environmentally friendly technologies like renewable energy or biodegradable packaging.
- Anti-Corruption: Promote transparency, fair business practices, and integrity in dealings with suppliers and retailers.
Collaborate and Advocate
- Supply Chain Partners: Work with suppliers who also commit to the principles of the UN Global Compact.
- Non-Governmental Organizations (NGOs): Partner with organizations to address specific challenges such as deforestation, ocean pollution, or ethical ingredient sourcing.
- Consumers: Educate and empower consumers through product transparency.
- Participate in Initiatives:
- Engage in Local Networks:
- Collaborate with other companies in regional UN Global Compact networks to share knowledge and develop local solutions.
Resources