A bright future ahead
When we founded Oriflame in the late 1960s, it was with the idea of creating a sustainable business model, and in fact it still remains strong decades later. Direct sales have held their own against retailers – in old and new economies. Families, and women in particular, around the world are given an opportunity to improve their financial situation, reach new goals and in many cases rise from poverty. Young people are attaching increasing value to being able to manage their own time. Personal networks and confidence in those you do business remain important – especially in markets where Oriflame is active. The growth of the Internet and social media is creating exciting new opportunities for Oriflame. Many positive things have already happened, and development has just begun. But even though the channels are new, our concept is the same today as it was when we got started – beauty products of high quality sold in a personal manner.
In my view, our corporate culture, characterised by entrepreneurial spirit, is the single most important reason for Oriflame’s long-term success.
In a fast-changing and frequently turbulent world, it is becoming increasinglyimportant to define your position, your message and your values. People want strong, distinctive brands, and our long-term competitive strength is based on how well we succeed in communicating what Oriflame stands for: natural, progressive and ethical. Sustainability issues, corporate responsibility and charity have always been a key part of Oriflame’s culture, which is why I am pleased that we were able to take this work a step further during the year by creating a suitably robust structure for professional CSR work. Long-term sustainability goals and concrete measures will accelerate the pace and ensure that our CSR work is taking us in the right direction. During the year we also intensified our charitable commitments through many new projects and by creating a central organization to manage these efforts even more professionally. The fact that we were able, despite a fairly tough year, to focus on our long-term values and structural issues alongside critical day-to-day challenges is a sign of our ability to take action and true commitment. It leaves me proud and impressed.
In my view, our corporate culture, which stresses an entrepreneurial spirit,is the single most important reason for Oriflame’s long-term success. It is vital that we continue to find driven people and good leaders at every level in and around the Company. People who also share and live by our values. Ensuring that new talent is added to the organisation, utilising our competencies and offering exciting career opportunities are a constant challenge.
We have left a year of challenges behind and now face a new one with continued uncertainty in our operating environment. Yet I feel no less convinced of the bright future that Oriflame has ahead. We have a well-established, respected position in the industry, a strong product offering at attractive prices and a business model that has been proven strong in many countries, cultures and economies.
On behalf of the Board of Directors, I would like to thank the company’s management and all its employees for their professionalism and hard work.
Robert af Jochnick
Chairman
