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Essity presents new organisation and commits to 100% recyclability of plastic packaging

* Essity-presents.jpgEssity has marked some restructuring and the launch of a new organisation, with the announcement that it has joined the Ellen MacArthur Foundation's New Plastic Economy global commitment: 'A line in the sand', meaning it has committed to working toward 100% recyclability of the company's packaging by 2025.

The commitment is aligned with Essity's overall ambition that new solutions will contribute to reducing the environmental footprint by 33% by 2030.

The Ellen MacArthur Foundation was launched in 2010 to accelerate the transition to a circular economy. The initiative is a collaboration with a broad group of leading companies, cities, philanthropists, policymakers, academics, students, NGOs and citizens.

"We welcome this initiative as the challenge with plastic waste can be solved more effectively through cooperation across the value chain, including companies, governments, international organisations, the recycling industry and consumers," says Magnus Groth, President and CEO, Essity.

The restructuring sees the merger of two units: Global Hygiene Supply Tissue and Global Hygiene Supply Personal Care, into one unit under the name Global Manufacturing, with responsibility for production and technology for all business units except for Medical Solutions. Donato Giorgio, president of Global Hygiene Supply Tissue, is appointed president of Global Manufacturing. The executive management team has been reduced from 14 to 12.

The unit Global Hygiene Category, with responsibility for customer and consumer brands as well as innovation, will also encompass sustainability and public affairs. The unit will be renamed Global Brand, Innovation and Sustainability. Tuomas Yrjölä, vice president Baby and Feminine in Global Hygiene Category, is appointed president of the unit. Current president Georg Schmundt-Thomas has decided to leave Essity.

A new unit, Global Operational Services, is created to further strengthen the Group's overall work related to operational and cost efficiency. It will encompass sourcing, logistics, business services and digitalisation. Robert Sjöström, senior vice president Group Function Strategy and Business Development, Global Business Services and IT, is appointed president Global Operational Services.

Group Function Sustainability & Public Affairs is being integrated with Global Brand, Innovation and Sustainability, except for Compliance & Ethics, which integrates with Group Function Legal Affairs. Current senior vice president Kersti Strandqvist is appointed to a new role as vice president Digital Transformation Program. Group Function Strategy & Business Development is being integrated with Group Function Finance. The reorganisation reduces the number of staff functions in the Group from six to four.

Ulrika Kolsrud, president Global Hygiene Supply Personal Care, is appointed president Health and Medical Solutions. She succeeds Margareta Lehmann who is retiring as previously announced.

Tuomas Yrjölä, will take office on 15th November, 2018. All other changes will take effect on 31st December, 2018.

"These changes are part of our efforts to improve efficiency and increase the pace of change in the company," says Magnus Groth. "We are now taking the next step in building a business for the future."


8th November 2018

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