Source of this article: Times Finance Author: Chi Jianhe
In today's fierce global competition, enterprises need to balance their care and contribution to the environment and society and the optimization of corporate governance while pursuing financial returns, and in this context, the importance of sustainable development is becoming increasingly prominent, and whether it can implement the concept of ESG (environmental, social and corporate governance) has gradually become a key indicator for the outside world to measure whether a company can create long-term value.
As a "solid doer" of ESG concepts, Nu Skin has always been at the forefront of the industry. Today, Nu Skin has built a comprehensive sustainability strategy based on three pillars: Planet, People and Community, and R&D and Product. In order to unswervingly implement ESG, this year, Nu Skin officially released the Environmental, Social and Governance Report (hereinafter referred to as the "Report") with ESG as the core and the theme of "Green as New, Bringing Responsibility for the Future with Good", committed to promoting the company's steady progress on the road of sustainable development.
The birth of this report marks a key turning point in Nu Skin's development – a comprehensive leap from traditional corporate social responsibility (CSR) to ESG. This strategic transformation demonstrates Nu Skin's keen insight into the challenges of our time, as well as the company's commitment to sustainability.
Jiang Huilin, President of Nu Skin Asia, said that in the face of complex global challenges, Nu Skin spared no effort to explore the potential impact of its business on the environment and society, and solemnly launched the sustainable development goal of "Achieving Packaging Transformation for All Products by 2030", integrating the commitment of carbon neutrality, carbon peaking, plastic reduction and sustainable products into every aspect of its daily operations, and moving forward side by side with the national "dual carbon" goal.
Raw materials and products go hand in hand, and the "green" will be carried out to the end
As a global company with deep roots in personal care and nutritional supplements, Nu Skin has established subsidiaries in 50 countries and regions, and has a significant position in the Chinese market when looking at its global strategy.
Nu Skin has been rooted in the Chinese market for 21 years, and through long-term observation and deep cultivation, Nu Skin is very sensitive to domestic iterative consumer trends. With the growing wave of green consumption in China, how to establish a low-carbon and environmentally friendly brand positioning and provide consumers with healthier and more sustainable choices has become an important part of Nu Skin's efforts to achieve profitability and promote it.
In order to better implement health and environmental protection and provide products closer to the needs of consumer users, Nu Skin has continued to make efforts in the selection of raw materials, product research and development, design, and production in recent years.
For the selection of green raw materials, Nu Skin has its own set of standards. Specifically, Nu Skin has formulated a series of sustainability-related policy documents, including the Nu Skin Ingredient List and the Prohibited Ingredient List, with "green chemistry" as the core principle for selecting raw material sources. In addition, Nu Skin has established a raw material research and development function and program to manage the whole process of raw materials in terms of traceability, extraction, and research, so as to ensure that each raw material meets environmental and sustainable standards.
Injecting healthy and green aspects into product innovation, Nu Skin is also moving forward. Over the years, Nu Skin has been developing its products both internally and externally to keep up with consumers' new needs for beauty and health.
Nu Skin said in the report that in 2022~2023, the company will launch the TRME body shape management program to help consumers achieve a healthy and beautiful quality of life at a young age.
At this year's Green Innovation Show, Nu Skin unveiled a variety of ageLOC series of smart beauty and health devices, the Gathering Show, the Epoch series, TRME and some health food products, which not only demonstrated Nu Skin's "skills" in the field of smart technology, but also incorporated the design concept of green environmental protection, demonstrating Nu Skin's dual pursuit of beauty and health.
Optimize the cost-saving and energy-saving technology, and take the road of low-carbon environmental protection
In addition to its products, Nu Skin has also injected an efficient and environmentally friendly production and operation system into the construction of factories and supply chains, and strives to implement the concept of green environmental protection to the end.
In terms of factory construction, Nu Skin is building a benchmark for green manufacturing. At present, Nu Skin Greater China Innovation Headquarters Campus and Nu Skin Huzhou Factory have deployed cutting-edge energy-saving technologies and equipment, including wastewater treatment and smart lighting, and a number of environmental protection measures, including wastewater treatment and smart lighting, to further improve energy efficiency and reduce greenhouse gas emissions.
"In 2014, we established the Greater China Innovation Park in Shanghai, and at the end of last year, the second phase of the factory was officially opened, both of which won the highest award in the United States green building rating system - LEED Gold, and our second phase factory was recently awarded the title of 'Waste-free Factory' by Shanghai." ”
In addition, building green logistics and supply chains is also Nu Skin's focus on low-carbon environmental protection.
According to the report, in 2022~2023, Nu Skin innovated logistics technology, optimized logistics links, and comprehensively upgraded the back-end of Nu Skin's manufacturing system, providing strong support for the realization of the dual carbon strategy.
Specifically, Nu Skin has developed a reliable product packing calculation logic through the warehouse management (WMS) system to reduce the use of cartons and fillers, and in 2023, the total use of Nu Skin packaging materials will be reduced by 39% compared to 2022. In the logistics picking list, Nu Skin uses environmentally friendly recycled paper made from 100% recycled waste paper and thermal printing sheets to reduce paper waste.
In terms of vehicle transportation, in 2023, about 85% of the vehicles picked up by Nu Skin will be electric, reducing the use of gasoline by 1,240 liters.
In the supply chain, Nu Skin incorporates environmental risk assessment into every aspect of supplier selection. When selecting suppliers, Nu Skin will ask and collect information from suppliers, including carbon footprint, participation in green environmental protection actions such as energy conservation and emission reduction, and pay attention to suppliers' international certifications and environmental emission permits.
After passing the screening, Nu Skin also requires suppliers to provide high-quality services to Nu Skin in a green, environmentally friendly and energy-saving manner, promote localization of packaging materials and raw materials, and reduce import transportation logistics. At present, 95% of Nu Skin's imported packaging materials have been localized, and 10% of raw materials have been localized.
We will thoroughly implement compliance management to achieve sustainable development
Adhering to the concept of green manufacturing and innovation is one thing, in order to achieve sustainable development, it is inseparable from the sound and compliance of the company's operation, Nu Skin is well aware of this.
In Greater China, Nu Skin has carefully formulated and implemented the Compliance System to establish a comprehensive and rigorous compliance framework to ensure that every strategic decision and marketing activity of the company strictly complies with laws and regulations, further improving the company's operational efficiency and setting a good compliance operation model for the company in the industry.
In cooperation with its business partners, Nu Skin has also formulated and implemented a series of strict systems, including the Regulations on the Administration of Direct Selling, the Regulations on the Prohibition of Pyramid Selling, the Nu Skin Law, the Guidelines for the Use of Social Media, and the Guidelines for Dealer Operations.
In order to support the company's operation and integrity building, Nu Skin has formulated the Risk Management Manual to optimize the internal control system. In addition, Nu Skin has formulated the Global Anti-Corruption Policy, established and continuously improved a series of anti-corruption system guidelines such as the Chinese Mainland Anti-Corruption Anti-Bribery Supplementary Policy and the Employee Code of Conduct, so as to work with all partners to jointly defend the business bottom line of anti-corruption, strive to create a transparent and active business atmosphere, and provide positive impetus for the long-term prosperity of the industry.
Don't forget the original intention, you have to always. Since its founding, Nu Skin has continued to advance the beauty and wellness industry towards a more prosperous and harmonious future. The company's first ESG report in China not only showcases the company's past achievements, but also sets a new milestone on Nu Skin's sustainability journey. Looking ahead, Nu Skin China will continue to deepen the implementation of its core concept of "Green Driven, Good Deeds for the Future", unswervingly promote its sustainable development strategy, continue to lead the industry with the power of good, and set a new model for the development of a green, low-carbon and circular economy.