HISTORY
Horst Rechelbacher founded Aveda in 1978 in Blain Minnesota. He had a vision to make a
company that was based on the “connection between wellness and beauty and plant
aromaology” (rechelbacher). Along with these key factors Rechelbacher wanted a
business that was strong economically and that had a strong commitment both
socially and environmentally.
Since starting Aveda, Rechelbacher has left Aveda and Dominique Nils Conseli became
Aveda’s president in 2000. This change in leadership has not tampered with
Aveda’s main desire of being enivomentally and economically stable. They are
located in 24 countries and are striving!
Over the years Aveda has become a beacon to many other companies who wish to be
socially responsible. They are partners with CERES (Coalition for Environmentally Responsible Economies).
“Aveda is also the first beauty company in the world and only the second U.S. company in
any industry to receive a Cradle to Cradle (C2C) sustainability endorsement,
with nine Aveda products achieving Gold Level C2C certification” (Aveda.com).
Horst Rechelbacher founded Aveda in 1978 in Blain Minnesota. He had a vision to make a
company that was based on the “connection between wellness and beauty and plant
aromaology” (rechelbacher). Along with these key factors Rechelbacher wanted a
business that was strong economically and that had a strong commitment both
socially and environmentally.
Since starting Aveda, Rechelbacher has left Aveda and Dominique Nils Conseli became
Aveda’s president in 2000. This change in leadership has not tampered with
Aveda’s main desire of being enivomentally and economically stable. They are
located in 24 countries and are striving!
Over the years Aveda has become a beacon to many other companies who wish to be
socially responsible. They are partners with CERES (Coalition for Environmentally Responsible Economies).
“Aveda is also the first beauty company in the world and only the second U.S. company in
any industry to receive a Cradle to Cradle (C2C) sustainability endorsement,
with nine Aveda products achieving Gold Level C2C certification” (Aveda.com).
CURRENT PRODUCTS
Aveda specializes in making 100s of environmentally friendly products:
Shampoo/ Conditioner
Hair dye
Makeup
Lotions
Body care
Facial Cleaners
Makeup Brushes
GEOGRAPHICAL LOCATIONS
Aveda salons are located all over the USA and are located in 30 other countries, spanning from Iceland to Thailand. Aveda products come from all over the world, they work with communities in Nepal, Australia, Morocco, Australia, Spain, and Bulgaria. Aveda is definitely an international company on a large scale. not only do they provide their products to 31 countries but they are also invested in many communities all over the world, bettering environmental issues. For example, in partnership with Global Greengrants Fund, they are helping bring clean water to communities in Nepal.
Culture of Aveda
Aveda has a strong culture for people within their company and the communities in which they are an intergral part of. They have a strong desire to treat others and the planet with respect. The strive for strong social responsibility and see it as a key factor to being profitable, both,economically and with relationships.
Aveda hopes to educate people to bring "health and wellness" into their daily lives and that people should be empowered decision makers in the workplace and in their lives. Lastly, they see themselves as a model for future companies as a beacon of social awareness.
Aveda has a strong culture for people within their company and the communities in which they are an intergral part of. They have a strong desire to treat others and the planet with respect. The strive for strong social responsibility and see it as a key factor to being profitable, both,economically and with relationships.
Aveda hopes to educate people to bring "health and wellness" into their daily lives and that people should be empowered decision makers in the workplace and in their lives. Lastly, they see themselves as a model for future companies as a beacon of social awareness.
Kohlberg's Stage of Ethical Reasoning
Aveda is a Stage 5 in Kohlberg's Stages of Ethical Reasoning. They are at the Post-conventional level and Social Contract social orientation. Aveda is not only concerned with their stockholders investment but with the environment and with the products they produce and how healthy they are for their consumers. Aveda is a concerned with how they react within the communities they are in and do well at making choices for a sustainable environment for all, as well as making profit for their stockholders and employees.
Aveda is concerned socially and environmentally. They have many environmentally friendly conducts such as, renewable energy, responsible packaging and they are putting much time and money to help communities, for example, in Nepal to have fresh water. Aveda is an extremely sustainable company, being awarded with the Cradle to Cradle endorsement. Cradle to Cradle works off of the idea that industries must be concerned with the environment and what they are doing with it.
Aveda is concerned socially and environmentally. They have many environmentally friendly conducts such as, renewable energy, responsible packaging and they are putting much time and money to help communities, for example, in Nepal to have fresh water. Aveda is an extremely sustainable company, being awarded with the Cradle to Cradle endorsement. Cradle to Cradle works off of the idea that industries must be concerned with the environment and what they are doing with it.
CODE OF ETHICS
"Aveda places value on the social and environmental benefits
brought about by responsible sourcing practices. Thus, Aveda follows sourcing guidelines
that ensure a safe and healthy workplace for the people who produce its goods
and that respect environmental and social values."
*** Aveda has a strong Code of Ethics that guarantees that its employees are in a healthy place that is beneficial for them. They are also concerned for the environment and social standards.
brought about by responsible sourcing practices. Thus, Aveda follows sourcing guidelines
that ensure a safe and healthy workplace for the people who produce its goods
and that respect environmental and social values."
*** Aveda has a strong Code of Ethics that guarantees that its employees are in a healthy place that is beneficial for them. They are also concerned for the environment and social standards.
Level 3
Aveda's main challenge is Research and Development. They base their company on having the best quality products for your body and hair and that it is healthy for you to use. If they are going to base themselves on such a claim, they therefore must put in a lot of time, effort, and money into the research and development of their product.
Aveda has a commitment to their patrons that their product is extremely high grade and is safe and reliable for regular use. They are also extremely good at getting their message out through marketing.
Aveda has a commitment to their patrons that their product is extremely high grade and is safe and reliable for regular use. They are also extremely good at getting their message out through marketing.
Human Resources
Aveda has a strong basis for making sure that a company and by their employees they are setting a good example to follow. They want their employees to be good decision makers and to be great leaders that people want to follow. Human resources was not a main topic on their website but was mostly how they wanted their employees to conduct themselves to the world around them.
CONFLICT OF INTEREST
Aveda runs into the conflict that stockholders may not want to invest in the partnerships that Aveda has, such as its helping hand in communities around the world to provide clean resources such as water. However, Aveda was raised on the idea of being socially responsible so hopefully stockholders know that Aveda is a company that is not only concerned on revenue being returned but also the world around them. I do not think that Aveda has a strong conflict of interest, because they were born on such a socially responsible pathway.
Triple Bottom Line
Not only are companies giving detailed reports on their end revenue but also they are giving reports on their social and environmental reports, known as their triple bottom line. Aveda also give a detailed report of how they are a renewable energy company and how they environmentally friendly. On their website they document very well as to how they are involved in other countries to provide clean resources.
Corporate Social Responsibility
I would categorize Aveda as an Ethical CSR company. They definitely are conscience in managing their financial ventures but have a clear responsibility to the society surrounding them. They realize they need to do the correct thing for all of their stakeholders to better their investment as well as livelihood.
Aveda is extremely financially stable, having billion -dollar Estee Lauder a as a backer has pushed Aveda forward to be a powerful force. As well as being good to their stockholders, they do not put their stakeholders to the way side. Aveda makes sure to always give back to the communities in which they take ingredients from, for example in Brazil they take Lippia but they push for sustainability in this area, so that the ecosystem is not depleted. Aveda is also run 100% by wind power and have ecofriendly packaging, the best in the industry.
Aveda is extremely financially stable, having billion -dollar Estee Lauder a as a backer has pushed Aveda forward to be a powerful force. As well as being good to their stockholders, they do not put their stakeholders to the way side. Aveda makes sure to always give back to the communities in which they take ingredients from, for example in Brazil they take Lippia but they push for sustainability in this area, so that the ecosystem is not depleted. Aveda is also run 100% by wind power and have ecofriendly packaging, the best in the industry.
EVOLUTION/ REVOLUTION OF AVEDA
Aveda was mainly bases on research and development when it was founded in 1978 by Horst Rechelbacher. Rechelbacher invented one shampoo which is where Aveda found its roots. He wanted a company with products that were sustainable in a world full of chemicals, to he developed a shampoo free of chemicals and full or flower and plant essence. Aveda still strongly focuses on Research and Development but they are full fledge at raising awareness for the fight for world sustainability through their amazing marketing skills.
Horst Rechelbacher was the main force in making Aveda but power was handed to Nils Conseil in 2000, who furthers the fight for sustainability and beauty. Aveda as a team is giving back to communities they are getting ingredients for. Aveda realizes that the need for sustainability will never end but they are proud to be a fighting force.
Horst Rechelbacher was the main force in making Aveda but power was handed to Nils Conseil in 2000, who furthers the fight for sustainability and beauty. Aveda as a team is giving back to communities they are getting ingredients for. Aveda realizes that the need for sustainability will never end but they are proud to be a fighting force.
Corporate Governance
I believe that Aveda does have an effective Corporate Governance instilled in their company. They 'create a climate of trust and candor' because they pursue to help others in communities such as in Nepal they are protecting thousands of acres of wildlife preserves. They are indeed fostering 'a culture of open dissent' because they want their employees to be empowered decision makers.
I can not find an exact Board for Aveda, but I know that they empower their employees to be thoughtful and to make sustainable decisions for the world around them. I know that Dominique Nils Conseil is the President. For the former President, Horst Rechelbacher, he had many relationships for a board of directors but for Conseil nothing was stated on busninessweek.com.
I think the main problems that could occur in Aveda are: Do outside management meet without the board regularly. and Do employees want to be sustainable.
I can not find an exact Board for Aveda, but I know that they empower their employees to be thoughtful and to make sustainable decisions for the world around them. I know that Dominique Nils Conseil is the President. For the former President, Horst Rechelbacher, he had many relationships for a board of directors but for Conseil nothing was stated on busninessweek.com.
I think the main problems that could occur in Aveda are: Do outside management meet without the board regularly. and Do employees want to be sustainable.