Electrolux’s new sustainability strategy is aimed at closing the gap between its strong performance and consumer perception
Swedish white goods manufacturer Electrolux has been ranked top of its industry for sustainability by RobecoSAM. So why is it not getting more credit from the public for its efforts?
It’s a problem that Electrolux shares with a handful of other big-name companies, including Unilever, Fujitsu, pharmaceutical company Roche, and South Korea’s LG Corporation, according to the Reputation Institute, which ranks consumer’s emotional connection to companies by combining a number of stakeholder perceptions. Electrolux ranks 91 in RI's top 100 list.
“I think we do get high rankings from institutional investors and from key stakeholders, and we have very good relations with some of the most demanding customers you can work with,” says Henrik Sundström, Electrolux sustainability director, who admits that the company would also like its efforts to be recognised by a “more global stakeholder audience”.
To close the gap between performance and public perception, RI says Electrolux (and other companies in a similar position) should communicate what it is doing more transparently, and in a way that feels genuine to them. The company says it has begun that process with the launch of its For the Better sustainability framework this year.
In its home country of Sweden,...