Abstract
This report focuses on the relevance of leaders at Unilever in implementing and enforcing safe work practices. Accidents and deaths have destroyed the lives of many employees and their families in the past. Because of this, it ends up costing the businesses a lot of money and damaging their reputation in the market. As a result, many firms are increasingly focused on health and safety standards to avoid any potential problems at the workplace. In today’s ever-changing global business climate, workplace safety is essential, and it has a big impact on employee performance, whether they safeguard and promote while doing their jobs or not.
By imposing high safety standards for its employees, Unilever aims to limit the number of incidents that occur. Team structure and collaboration have also been found to be related to boosting employee awareness of workplace safety issues. It has also been realized that Unilever is attempting to enhance the working conditions of its employees and make them feel safe and satisfied with their employment. Everything from quality control to employee engagement from logistics to administration and satisfaction is handled by Unilever with elegance. According to experts, Unilever can better and enhance service delivery by improving existing work methods and applying new strategies in response to the changing needs in the global economy.
Introduction
Nearly everyone leaves their houses for work every day with the assumption that they would be able to return home to their families the following day in the same state that they left the office in. Accidents and deaths at work are tragic results in every country, as shown in the study by Thornthwaite and Markey (2017), which argues for the protection of workers’ health and safety. Therefore, the majority of the companies globally have shifted their focus to maintaining safety standards for their workforce.
Many people may lose their lives or suffer permanent physical or mental disabilities as a consequence of workplace accidents, which is why safety and health is a non-negotiable issues today. According to Moyce and Schenker (2018), health and safety management begins at the highest levels of management, with the board of directors being held responsible for health and safety. Whenever governors and directors admit that they are not adhering to the guidelines that they have set, people must individually and cooperatively assess their conduct to identify ways of improving health and safety. Because of this, leadership is essential in the implementation of health and safety standards in the workplace to reduce negative outcomes.
Many organizations are increasingly focused on health and safety standards to avoid any tough circumstances at their workplace because it eventually affects their company’s profitability. Unilever is a multinational conglomerate with 149,000 workers, 400 distinct brands, and a presence in 190 different countries (Yanar, 2019). New and better goods are developed by Unilever’s R&D department all around the world. Variety was made feasible by a well-developed market and cultural understanding. According to Shetty and Shreenidhi (2018), Unilever’s key priorities are majorly efficiency and productivity. The company encourages its employees to come up with new ideas and put them into action. Additionally, the integrity of Unilever’s customers, workers, suppliers, and other stakeholders is a high priority for the company. The management team has worked hard to develop a reputation for themselves as a leading manufacturer of high-demand commodities. With its worldwide reach, Unilever is a world-class producer of consumer and commercial products and services. They are industry leaders who are distinct and creative.
Every day, more than two billion people across the world use products made by Unilever. Using these items makes customers look and feel great, as well as simplifies your daily routine. With more than 400 brands, Unilever has a significant effect on many people. Products made by the firm include pharmaceuticals, cosmetics, and food. Healthcare coverage, annual retirement payments, tuition reimbursements, paid vacation entitlements, qualified spouses and intimate partners, as well as children, are all included in Unilever’s compensation package (Lay et al., 2017). Other services such as medical services and health savings plans are also included. This research will assess Unilever’s safety and health efficacy, as well as the engagement of the company’s leadership in the implementation of these safety standards.
Current Issues in Leading Health and Safety at Work
When safety is not backed by management, it degrades into behavioral issues like nagging workers to be cautious and wear safety gear. While maintaining good conduct is essential, it is as crucial to acknowledge that humans are prone to making mistakes. Changing people’s mindsets and implementing a safety management system are the most effective ways to solve safety concerns. As stated by Blagoycheva and Andreeva (2019), top leadership should not be solely responsible for safety. To achieve long-term preventative activities, all stakeholders in the influence chain must work together to ensure that safety standards are met.
Additionally, everyone in an FMCG Company must be engaged and held accountable as stated by Motter and Santos (2017). Companies and their employees share the responsibility of ensuring workplace safety. It is one of the most important obligations of everyone in the company, regardless of their position in the organizational hierarchy. Keeping the workplace safe is the responsibility of everyone in a profession, according to Yanar, Lay, and Smith (2019). Both adversely and favorably, new technologies have had a huge impact on businesses throughout the years. They will continue to do so for the foreseeable future, altering people’s daily lives in a significant way. Advances in artificial intelligence (AI) and data science will have a significant impact on the workforce in the future (Bejinariu et al., 2017). Even more substantially, these findings will affect the patterns of occupational diseases as well as deaths. For enterprises to establish trustworthy security culture, managers in the workplace will have to deal with new issues posed by this volatility in the field of occupational health and safety.
Many young individuals in Asia and Africa are starting their careers for the first time. Compared to older, more experienced employees, these workers are more likely to have health and safety concerns at work. Reduced physical, mental, and emotional development, as well as reduced academic and professional abilities, all contribute to these elevated rates. The stakes are getting higher due to an increase in the number of health and safety hazards. Unilever uses process safety, which strives to prevent major incidents to control potentially risky processes. Safety, construction, and supply-chain management skills from throughout Unilever are all included in the design and implementation of process safety. It also makes use of efficient technological advancements and operational best practices (Varianou-Mikellidou et al., 2019). According to the study, there was about an 8% drop in incidents related to industrial safety in 2020 with no major incidents.
When Covid-19 was classified as an epidemic by the World Health Organization (WHO), Unilever acted quickly to prevent its national and worldwide spread. According to Rosemberg (2020), priority one was to keep its personnel safe and to keep the factory running so that vital hygiene products like soap and bleach could be supplied. Unilever was also under pressure to meet rising demand in the wake of the current pandemic. To meet the growing demand for basic needs like food, water, and sanitation amid Covid-19, the firm had to pivot and increase its production (Rosemberg, 2020). For this reason, Unilever developed Standards for companies to guarantee that their employees who drive for work were safe and to protect pedestrians from harm. The adopted set of standards contained regulations that were to be met by all workers in the company. The document also contained information on disciplinary procedures, rewards, and recognition, performance analysis, vehicle operation, driving needs, and management.
The Changing Global Business Environment
Safety practices are a set of characteristics and behaviors shared by both individuals and organizations to help make sure that safety problems are taken seriously and given the attention they need. Fast-paced sectors, such as FMCGs, require a high volume of work to be completed quickly. To open and remove casings, separate strapping bands and remove box coverings as well as peel labels and create window cutouts, sharp tools are required (Pham al el., 2020). In some cases, industrial supplies and materials might be dangerously out-of-date. For the most part, they do not meet the fundamental requirements of being safe and effective.
Even if the gadgets are of high quality, they may be misused to the point that they can be used as fatal weapons by individuals. According to Ivey et al. (2018), field workers using machines are still being made safer by Unilever. Arms becoming trapped in gear are a common cause of injury. In 2020, 32 employees were injured while Unilever worked to reduce mechanical accidents, bringing the company’s efforts to a standstill (Ivey et al., 2018). To counter this, Unilever is educating its staff on how to spot hazards and weigh their relative dangers.
Usually, everyone is held more personally responsible for their safety. While working with suppliers and industry experts, Unilever ensures that every production equipment that arrives at its facilities is “safe by design” (Foreman et al., 2017). An important concept in management is the development of safety practices. Workers’ responses to working within and benefiting from a framework established by organizational policy and administrative actions are the two fundamental components of safety practices (OSHA, n.d). Mechanical implementation of professional standards, on the other hand, maybe ineffective. Everyone responsible for the safety of others must do their duties with the utmost care and attention to detail, as well as a strong sense of personal accountability (Lay et al., 2017). To maintain a safe working environment, employees must take the necessary measures and maintain an attitude of curiosity and self-restraint.
Application of Theory to Practice
Evaluation of the Health and Safety Leadership Styles
According to Palali et al (2021), appropriate and successful leadership styles are critical to an organization’s success. A company’s productivity may flourish and its corporate culture can thrive at the same time when a strong leadership style is implemented. A successful leadership style also aids in motivating staff, increasing production, and training them in their respective fields (Omonona, Olabanji, and Obamen, 2019). To realize success in a market that is highly competitive, one must master the art of effective leadership.
Unilever is one of the world’s most well-known consumer goods companies. Success and expansion in the global market have been accomplished by the firm during the past few decades. There are currently many countries in which this company is active, making it a prominent producer of consumer goods. It is also logical that Unilever has adopted a successful management and leadership approach. To remain competitive, Unilever must, however, adopt leadership and management strategies that foster organizational growth while also ensuring the company’s worldwide viability. According to Al Zuned (2017), key leadership styles must be addressed to conduct an in-depth analysis of a company. Challenges are to be expected when a company is spread across many nations and has a complicated organizational structure (Blagoycheva, Andreeva, and Yolova, 2019). Amidst an ever-increasing level of competition, the corporation must keep its global position and long-term viability in mind (Stacho et al., 2021). As a result, transformational leadership is Unilever’s most effective leadership style. In an organizational context, transformative leadership is considered to be one of the most favored leadership styles.
According to Alqatawenh (2018), transformational leadership is very successful in encouraging coworkers via open and honest communication. It is widely understood that good communication is a critical component in building a successful company culture. Consequently, efficient communication contributes to the process of including all workers in organizational decision-making and the smooth functioning of the company. To maintain a company’s development and expansion, effective communication between the company’s employees and management is a need (Stacho et al., 2019). Because of this, Unilever uses a transformative approach to stay relevant in the market.
Another option is to use a few democratic leadership styles. For example, the management of Unilever will be able to get feedback from its employees if the technique is implemented. As a result, a reliable channel for communication may be established automatically (Motter and Santos, 2017). Additionally, the method encourages workers to feel like they are a part of the company’s daily operations. As a consequence, there is more respect amongst people. The presence of these elements in a company suggests a positive working environment. That is what Olabanji and Obam (2019) argue that Unilever Company is currently facing stiff competition from their immediate competitors. Because of this, it is required to adhere to the most stringent levels of health and safety in all of its endeavors. In this way, worker safety may be improved, and efficiency can be increased. Furthermore, workers in firms that allow for democratic leadership are more satisfied with their work environments (Rizvi and Siddiqui, 2020). By instilling workers with a sense of security, the transformational leadership style of Unilever helps the company maintain high-quality safety standards.
In addition, a few democratic leadership techniques can be implemented by the company. The strategy will allow Unilever’s top brass to solicit feedback from the company’s workforce. As a result, a direct line of contact is opened up. As an added benefit, this approach gives workers a sense of ownership over the company’s operations. Because of this, there is an overall feeling of mutual respect. When these aspects are present in a workplace, it indicates that it is a healthy place to work. “Intense competition” is being faced by Unilever as mentioned by Omonona, Olabanji, and Obam (2019). As a result, it is required to maintain strict health and safety standards throughout all of its activities.
Use of Contingency Leadership Models
A manager’s suitability for a certain circumstance is crucial in the leadership context. According to Bachrach and Mullins (2019), a company’s leadership style cannot be the same in every context. Adapting its leadership style in different situations is essential if a company wants to be effective in the long run (Zhang, 2017). So many business leaders use a variety of contingency leadership styles to help them deal with a certain crisis successfully (Palali et al., 2021). These contingency models allow the leader to use components of all leadership styles to get the greatest possible results for their organization and workforce.
The path-goal concept is employed by Unilever’s leadership to address the needs of its people and the company as a whole. According to McNeil (2020), the path-goal theory assumes that a leader’s conduct is influenced by the satisfaction, dedication, and productivity of their workforce. Managers are tasked with helping their teams find the best paths to achieving their own goals as well as the company’s overall objectives. Leadership, according to this theory, should take on several forms depending on the circumstances. The leadership of Unilever is responsible for aiding followers in reaching their objectives and providing the necessary guidance and assistance to ensure that their aims are aligned with those of the company (Bryan, 2019). Path-goal theory suggests that leaders are adaptable and may adjust their strategies based on the situation.
In light of the findings of Cicchetti et al. (2018), it is clear that a strategy for mitigating and preventing workplace issues is needed. The organization’s overall success is not threatened by empowering people with the tools they need to deal with workplace issues. In addition to pointing people in the proper direction, good governance necessitates that leaders help their followers come up with their own set of objectives. Achievable goals are those that are both realistic and measurable. Giving employees a sense of recognition and gratitude is an important part of being a good manager (Hoogeboom et al., 2021). The organization’s success depends on the ability of its employees to grow and develop professionally, and this is essential to accomplishing that goal. Workers’ particular preferences and emotional well-being are taken into account and are at the center of decision-making in encounters with a supportive approach.
According to Vieira, Perin, and Sampaio (2018), employees are more likely to build bonds with the company and work more diligently if they feel appreciated and valued. In the context of Unilever’s adoption of safety and health, the path-goal theory is particularly advantageous since it underlines the need of establishing a good connection between the company’s management and its workers (Vieira, Perin, and Sampaio, 2018). Only if the workers are motivated by the senior management decisions towards their employees’ well-being, including safety and health measures, can this deep bond be developed. By implementing high safety requirements for its employees, Unilever aims to limit the number of occurrences. Unilever is better able to build long-term valuable relationships with its employees when they can have high job satisfaction.
Evaluation of the Impact of Ensuring Team Cohesiveness
When there are no accidents or fatalities, workers feel motivated in their work. Workers thrive in such an environment because they feel more fulfilled and more motivated to work. Safe working conditions are required by both employers and employees (Black et al., 2019). Unilever’s management team is committed to creating an environment that is safe, enjoyable, and motivating for all of its employees. According to Kao (2019), well-implemented safety measures, protect workers while also safeguarding production equipment. Workers at Unilever have a responsibility to ensure the safety of their coworkers. Unilever has a lot to gain from productive employees. Producing more items in less time is one way that productive employees might help reduce operational costs. Teamwork, productivity, and performance are all boosted by workplace safety. For Unilever to be successful, it needs top-notch employees. Whether the goal is to create new goods and services or a new system or process, individuals are bearing more of the burden than ever before. At Unilever, the ideal team combines individual strengths and talents to produce a high-performing whole with qualities that outperform even the most competent individual.
A variety of team structures, including different leadership styles, help employees better understand and perform their roles in the workplace. At Unilever, a culture of cooperation promotes performance and also plays an important role in adopting and maintaining safety and health. To protect both employees and the company, it is essential to ensure that the workplace is a safe and healthy environment. As Weaver et al. (2019) state, when people work in groups, they may use each other’s strengths and generate greater outcomes. Safety is a top priority for Unilever’s management, which wants to ensure the maximum level of employee satisfaction by implementing appropriate safety measures. For its industrious employees, Unilever also offers a comprehensive health care package. Increased profits for the company are a result of making employees feel valued by their employer. Working conditions may be greatly improved by improving the cohesion and structure of the team.
Legal and Quality Implication
According to the findings of Sorensen et al. (2018), Unilever’s commitment to health and safety originates from the top of the business. The responsibility for safety falls squarely on the shoulders of Unilever’s Executive Leadership Team (ULE). One of its top supply chain executives, Marc Engel, is a member of the ULE. ULE platform safety is a constant concern for him. The Board of Directors’ Committee on Corporate Social Responsibility places a strong priority on safety (Nguyen et al., 2017). There are regular interactions with safety officials and an evaluation of the safety performance scorecard at each board meeting.
As part of its global safety and health strategy, Unilever adheres to the OHSAS 18001 international standard. Their management solutions are based on these criteria. There are additional mandated standards and recommended practice suggestions for numerous aspects of safety and health at Unilever. All Unilever offices throughout the world have access to the same information via an intranet-based system. The company’s safety culture is improved as a result of this. All Unilever executives who supervise the team are obliged to take mandatory safety training as part of the company’s effort to foster a culture of safety.
Board members at the national level are also trained by Unilever through the Executive Leadership Workshop, a behavior-based safety curriculum that is both interactive and classroom-based. A robust integration procedure has been developed for newly acquired companies all across the globe. As part of the process of bringing a new firm into the Unilever fold, the company’s management must adhere to strict safety standards. There is also a need to initiate and assist in the implementation of new firms’ safety roadmaps (Wu et al., 2019). Most senior executives are now held responsible for the complete integration of the organization at the local level.
Before manufacturing workers begin their shifts, they are given safety instructions. In 2020, the company was aiming to reestablish plant leaders’ safety evaluations. By the year 2022, Unilever plans to provide SHE specialists with a new assessment tool. In 2019, Unilever formed a Fire Risk Safety Team (FRST) made up of safety, technical, and risk professionals, which is already in operation. Fire incidents have decreased by 40% since then, with only one category one (most severe) fire incident being recorded (Stacho et al., 2019). This has been made possible by complying with International Fire Code regulations, working with third-party vendors, and undertaking risk analyses.
All new non-factory employees at Unilever are expected to take mandatory safety training as part of their onboarding process. An “Action Required” notice is sent to every new hire, and training should be completed within 30 days of starting. Understanding and commitment to achieving Vision Zero are the goals of the behavior-based strategy (Morrissey et al., 2021). With a Health and Safety Policy in place as well as several Statutory Standards, Unilever has developed a comprehensive safety framework accepted by OHSAS 18001. There are additional Recommended Practice Guidelines that address specific health and safety issues that are backed by such standards (UAE, n.d). Everyone now has easy access to a wide range of standards and principles thanks to the internet.
According to Foreman et al. (2017), members of the Unilever Group Safety and Health Leadership Team, which includes senior safety and health professionals, meet to assist local SHE teams in their efforts. They are tasked with assisting the executive board by offering guidance on priority areas and assistance with quality improvement. They should also assess performance against goals and make recommendations for corrective measures and monitor high-profile cases to ensure that important lessons are communicated and appropriate procedures are implemented globally. In addition, Unilever has produced additional safety regulations, suggestions, and e-learning courses. Unilever also offers virtual training to help staff adapt to new technology, robotics, and automation.
Unilever is committed to its long-term development plan across all three departments, and last year it initiated a comprehensive evaluation of its present categories and brands in order to accelerate the speed of portfolio change (Foreman et al., 2017). According to our findings, Unilever may gain more strategic flexibility to create shareholder value by simplifying and streamlining its legal framework. This would allow the company to build its portfolio more quickly and exercise better control over its operations. One of Unilever’s legal frameworks is a dual-headed legal structure, according to the company’s most recent strategic study. Demergers such as those of Tea and Spreads are far more difficult to accomplish under the current regulatory framework than they would be under a sole parent framework. However, a sole parent structure would allow for the sale of Tea and spreads. According to the HSE (2021), COVID-19’s outbreak is expected to generate a business environment where flexibility and adaptability are essential.
In order to accomplish this goal, the Board considers that a merger with Unilever is the best option. Unilever PLC and Unilever NV will form a cross-border partnership to achieve this goal. Owners will get one identical Unilever PLC share for each Unilever NV to share they possess (Henderson and Nellemann, 2011). Stockholders’ fundamental economic interests will be unaffected by the present plans; while, shareholders will benefit for the first time from a sole parent company’s same constitution, ownership, dividends, management, and capital distribution arrangements. For the time being, the Board expects Unilever to be included in both the AEX and the FTSE UK Index Series. The shift to a sole parent legal framework will not affect Unilever’s large presence in the UK and the Netherlands. Consolidation would not affect operations, locations, activities, or staff levels in the United Kingdom or the Netherlands (Foreman et al., 2017). In the Netherlands and the United Kingdom, the manufacture and supply of Unilever products will not change as a result of the joint venture firm.
Conclusions and Recommendations
Various aspects of leadership, procedures and philosophies have been explored in this article to see how they affected Unilever’s adoption and execution of safety standards. As a means of bridging the gap between academic research, previous investigations have been done. In addition, the impact of team cohesion and composition on workplace safety is investigated. Unilever is improving the working conditions of its employees by providing them with better amenities that can be used to boost workplace safety at their place of employment. When health and safety procedures were not prioritized in the past at Unilever, unpleasant incidents occurred. There are now strict health and safety protocols in place to prevent any further incidences involving the death of its employees while doing their duties.
Using a transformational leadership strategy, Unilever aims to ensure that its employees feel empowered and valued in both decision-making and job selection. It strengthens the company-employee relationship while also boosting staff morale. According to the path-goal theory, leadership may change its style in response to the needs of different tasks and retain a tight grip over operational processes in order to get the necessary outputs from workers.
Implications and Recommendations
As revealed above, Unilever not only strives hard to ensure that its employees achieve high levels of quality products, but they are also concerned with the health and safety of their employees. The company has created a comprehensive health care plan for its employees. Several measures have been made to ensure the safety of the company’s workers, including establishing a work environment free of hazards and accidents (Yanar, Lay, and Smith, 2019). Since transformational leadership alone is insufficient to fulfill the changing needs of the company, there is a need to adopt multiple leadership styles. The implementation of health and safety requirements can also be improved by concentrating on diverse leadership styles at the same time.
It is also recommended to work in teams with other teams, as this will help to distribute the command structure and ensure that the teams are producing the desired outcomes. Additionally, it will enhance the company’s position as a quality and process leader in the global context. Manufacturing, management, quality control, and satisfaction of employees are all areas where Unilever thrives. Improving present ways of operation and introducing some new strategies to meet the ever-changing demands of a global company environment might help it perform even better and positively in all of its interest areas.
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