01 Management by Impact iP&L
Committed to generating value for its entire chain, the Natura brand, is taking an innovative step in measuring the impacts generated by its business in the social, environmental and human spheres, by launching its integrated P&L, called iP&L.
We believe that the value of a company is connected to its capacity to contribute to the evolution of society. And, in order to collaborate with the broad change that the world needs, the first step is to measure our impacts.
The iP&L is an integrated management tool that allows us to account, in addition to financial results, the impact of corporate performance in the environmental, social, and human dimensions. The study’s results consider several other fronts of the company’s performance, such as carbon emission and offsetting, circularity, regeneration and conservation of biomes, and income generation for the network (and its impacts on health and welfare).
According to the model’s application, based on 2022 results, for every R$1 of Natura revenue, the brand generated a net return of R$2.7 in benefits for society.
Beyond sustainability, our impact vision innovates by promoting systemic regeneration
Objective
Expanding the concept of value generation beyond finances to support the transition to a regenerative economy
Pioneering
Natura was one of the first companies to measure and account fornatural, social, and human capital
Influence
The iP&L adds to a global movement and accelerates multi-capital accounting in the private investment sector
Impacts affect relationships between people and the environment
The methodology drives comprehensive actions for regenerating life that become part of the business
- Agroforestry production model used by extractive communities yields high-quality ingredients while preserving the forest
- Impacts in one sphere can a‑ect others, and estimating them requires considering long-term outcomes
- Providing Beauty Consultants with a living income helps improve their living conditions
The Connection Between Impacts, People and Environment
The trajectory of impacts involves inputs, activities, and products, interconnecting people, society, and the environment
Regeneration Beyond the Balance Sheet: A Holistic Strategy
Positive outcomes should not o‑set negative e‑ects, and this is part of the strategy that seeks to regenerate systems
The iP&L is a tool that expresses well-being/being well
The management instrument that promotes the integrity of financial results and the value generated in people’s lives
Social Impact and Sustainability
The management tool that promotes the integrity of the financial result and the value generated in people's lives
Business Benefit
The social return on each investment made can contribute to the increase of corporate value
How it returns to people
Training o‑erings for Beauty Consultants are an example of positive return on well-being
How it returns to nature
Partnership with Amazon communities allows optimization of resources use and deforestation reduction
05 How the iP&L works: method for estimating business impact value
The impact of the activity is categorized (such as income or water usage) and related to types of capital
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Resources and natural flows of an ecosystem (e.g., reforestation, water usage)
The quality and quantity of community relations, generated by investments and infrastructure, for example
Refers to individuals and their productive capacity, including income, health, education, and skills
Drivers (impact categories) are linked to indicators of health, well-being, and economic results
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Illustrate how activities affect both body and mind (e.g., feelings of satisfaction and confidence)
Expose how a driver impacts individuals or populations (such as cost variation or taxation)
Reflect on how economic changes (such as income) bring returns in well-being to society
06 How to use the iP&L to generate positive impact in your projects
You as an executive, investor, or organization can use the methodology to understand how your activities aect society and the planet
