Press Release
- LG H&H Co., Ltd. CEO :
- Lee Jung Ae
- Business License Registration No. :
- 107-81-98143
Any unauthorized reproduction, copying or distribution is strictly prohibited.
Copyrights © LG H&H Co., Ltd. All Rights Reserved.
For your beautiful life
For your healthy life
For your Refreshing life
Our vision is to create a culture dedicated in promoting our customers beauty and dreams.
A planet borrowed for all of us
Through our ESG activities, to hand over a healthy and beautiful planet to our future generation, we will fulfill all our responsibilities
as a true successor.
ESG
Management
Direction
Our Goals
In 2021, company established ESG committee to strengthen its ESG capabilities by reflecting non-financial factors, e.g., environmental safety, customer value and governance in its management.. ESG committee, under BOD, is comprised of the CEO and all external members of the BOD. It is the highest body overseeing company¡¯s sustainability activities. It will lead companywide ESG initiatives thru collaboration with the management and its staff members.
LG H&H BOD
ESG Committee
(Biannually,Hold an extraordinary meeting if necessary)
Secretariat : ESG Team
ESG Working Group
(Quarterly)
Promise of LGH&H
Classification | Tasks | Key Performance Indicators(KPIs) | 2022 Performance | Relevant SDGs |
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Economics and Governance |
Creation of Social and Environmental Benefits |
Select and execute mid- to long-term tasks to reduce environmental impacts and promote customer safety and health(~2025) |
Refined the ESG-based Clean Beauty Inside(CBI) built in 2021 and applied it to Belif, Beyond, and TFS new products in 2022, achieving the targeted average CBI index score of 8 in 2022. [Representative Products] Belif Super Drops: Efficacy quality/scientific trust Beyond Angel Aqua Line: Contains extracts from farm-to-skin farming/Eco-friendly package/Vegan formula TFS The Therapy Vegan Line: Eco-friendly package/Vegan/24 additive-free formulas Applied eco-friendly recycled plastic containers made from 100% pure waste plastic and waste vinyl pyrolysis oil for the first time in the domestic cosmetics industry. |
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Enhancement of product safety |
Advance effective prevention activities and operate quality planning(~2024) Advanced quality diagnosis process Expand the scope of quality accident diagnosis and strengthen the reporting process Establish and settle quality management indicators such as quality cost Improve quality issues and proactive management systemSystematize and globalize prevention activities(~2026) Operate a unified customer management system based on global business standards Operate a global consulting capability organization for safe quality certification Establish a preventive management system that warns of quality risks through data analysis |
Operated a safety quality certification system across design, mass production, and distribution: Completed a pilot diagnosis for 10 departments in the design area, completed a safety quality diagnosis for 19 production sites, and completed a safety quality diagnosis for 64 logistics sites. (2022.10): Awarded excellent workplace plaques to 4 production sites and 4 logistics sites |
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Portfolio Diversification | Achieve KRW 3.17 trillion in sales by continuously expanding overseas businesses(~2025) |
Achieved KRW 2 trillion in overseas sales |
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ESG governance establishment |
Organize and operate the ESG Committee Produce an ESG Council operational outcome Enhance the diversity and expertise of internal and external directors |
Operated the ESG Committee(2 times/year), but in 2022, it was held 3 times in February, May, and November. ESG Council(held quarterly) Appointed a new female outside director(2022) |
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Social | Enhance social contribution activities |
Expand the number of the beneficiaries of social advancement such as job creation for women |
Natural Beauty Live Creator1) 5th Term, selected 35 people(171 cumulative participants) |
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Continuous value-up through follow-up management of existing personnel |
Added live commerce training and access to expert mentors and hands-on opportunities |
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Diversify education channels of ¡®Borrowed Earth School,¡¯ habit improvement convergence education program for teenagers and2) and achieve a cumulative total of 100,400 beneficiaries(by 2025) |
2022: Establishment of a ¡°Borrowed Earth World¡± metaverse for national school participation Cumulative participation in 2022: 73,215(2022 alone: 7,500) |
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Expand the regions for a health musical for children, Twinkle Twinkle Perio, and3) achieve a cumulative total of 242,290 beneficiaries(by 2025). |
234,706 participants in 2022(3,049 in 2022 alone) |
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Build a sustainable supply chain |
Improve reliable quality level for suppliers4) with a cumulative total of 660 companies(by 2025) |
300 cumulative cases in 2022(60 cases in 2022 alone) Issued certificates to 9 domestic suppliers of the reliable quality level |
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Provide Technical support for business partners with a cumulative total of 1,811 cases(by 2025) |
2022 alone: 204 cases Cumulative from 2017 to 2022: 1,153 cases |
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Provide financial support for business partners with a cumulative total of KRW 310.2 billion(by 2025) |
2022 alone: KRW 39.8 billion Cumulative from 2017 to 2022: KRW 218.6 billion |
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Minimize risks by enhancing the ESG capabilities of suppliers |
Conducting written investigations, due diligence(audit), and progress monitoring(for ¡®Significant suppliers¡¯ among all suppliers) 30 suppliers to be consulted(utilizing external consulting firms) |
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Operate advanced consulting for overseas partners and discover and nurture new overseas partners |
Completed diagnosis of 16 existing overseas suppliers(conducted by an external specialized organization) Completed diagnosis of 9 new overseas suppliers(opened trading codes for 3 companies) |
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Sustainable Palm Oil(RSPO) Purchasing Ratio Target(64.9%, by 2025)5) |
Achieved 61.5% of sustainable palm oil(RSPO) purchases |
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Create a good working environment |
Improve employee engagement(85 points, by 2025) |
Employee engagement score average of 82 points |
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Establish a global education system |
1:1 English coaching classes with native speakers: 59 people Global Expertise Course(GEC), an English-speaking business capacity building program: 13 people Global MBA: 3 people Japanese/Chinese Basic Business Conversation Course: 117 students(target of 750 students by 25 years by maintaining some 150 students per year) |
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Build Global Leadership(by 2025) |
LG H&H Global Internship Program: 9 Participants in 2022 / Period: As of December 2022 |
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Achieve 28.5% of female managers(by 2023) |
28.3% of female managers(up 1.3% compared to 2021) |
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Environmental | Promote resource circulation |
Achieve KRW 550 billion in sales of green products through eco-labeling(by 2025) |
Achieved KRW 476.8 billion in sales of green products Eco-labelings(183 environmental-labels, 2 for low-carbon products, 10 for carbon footprints) |
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200 tons of recycled plastic used(by 2025) |
Recycled plastic use of 180 tons(PCR PET/PCR LLDPE) |
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Achieve 50% of clean beauty products among clean beauty-focused brand new products(by 2025) Achieve an average Clean Beauty Inside Index of 13 for new products(~2030) |
Operated LG H&H clean beauty new product guide, ¡°Clean Beauty Inside¡±(2022) Achieved 25% of clean beauty products among new products from clean beauty focused brands Measured the Clean Beauty Inside index of launched products(2022) Average Clean Beauty Inside Index of 8.37 for new clean beauty products in 2022(target of 8) |
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Achieve 1.46 tons/product-ton of water intensity(by 2025) |
1.95 tons/product-ton |
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Reduce restricted substances in use by 50%(by 2025) |
Managed about 3,500 banned ingredients of Clean Beauty Inside No Harmful Ingredients(Human Safety) Step 3(2022) Achieved 82.5% exclusion rate of D5 and D6 among Clean Beauty new leave-on products(2022) |
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Lead climate change response |
Cumulative Greenhouse Gas Emission Reductions 25,870 ton CO2eq(by 2025) |
7,223ton CO2eq(cumulative) |
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Carbon Neutrality Response Activities and Performance |
Established a carbon-neutral mid- to long-term strategy Invested KRW 200 billion in 84 core technologies, reducing carbon emissions by 45%(~2030) Achieved Net Zero(~2050) |
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Invest continuously to improve energy efficiencies, such as facility improvement at business sites and replacement of old equipment |
Invested KRW 8.6 billion |
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1) Natural Beauty Creator: A beauty creator training program for women with career breaks 2) Borrowed Earth School: Cumulative data since 2014 3) Twinkle Twinkle Perio: Cumulative data since 2004 4) Cumulative data since 2019 for the reliable quality rating evaluation for partner companies/Cumulative data since 2017 for the goals and performance related to technical support and financial support for partner companies 5) Target % is annual sustainable palm oil purchases/annual total palm oil purchases |