Henkel CEO Carsten Knobel is doubling down on sustainability ambitions unlike its rivals

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As the German Bundesliga kicked off, Henkel CEO Carsten Knobel was heartbroken to see his favorite teams, Hertha Berlin and Fortuna Düsseldorf, relegated to the second-tier league.

Knowing how to deal with the ups and downs of his favorite football clubs is a skill that comes in handy for Knobel in business too. Henkel, a family-controlled, DAX-listed company, has had its share of ups and downs since the company veteran took over as chief executive in early 2020. After the initial shock of COVID, came a pandemic high and low in its share price, followed by a steady past two years.

In business, like in sports, you need a steady hand at the top, and a well-oiled and motivated team to make it all happen. Knobel told me last month that he benefits from both. His chairwoman, Simone Bagel-Trah, is a member of the same family that founded the company over 140 years ago. He can talk to her at any time of the day.

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Guided by the company’s purpose to be “pioneers at heart, for the good of generations”, Henkel is undergoing a true transformation. Like its rivals, Henkel wants to have “purposeful growth”, and have a positive impact on society, Knobel said. But when rivals toned down their ambitions recently, Henkel doubled down on them. It now wants to be climate-neutral by 2030 and exited its operations in Russia even when other companies demurred. “We should act and not only talk,” Knobel said. “You have to be able to put [your purpose] into reality.”

This interview has been edited for brevity.


Down to business

Fortune: What is the single most important project you are working on with your company?

Carsten Knobel: Today, we face many developments that we need to keep an eye on. From wars and military conflicts, in Ukraine and the Middle East for example, to the rise of protectionism and the effects of climate change with a lot more severe weather conditions across the globe. Whatever the news, my first thought is always: Can this in any way affect the safety and wellbeing of our 50,000 employees around the world and is there anything we can do about it?

Henkel's CEO on ground, with colleagues.

What is the single most important project you are working on with your company? 

Since I took over as CEO in 2020, it has been the continuous transformation of our company and the successful implementation of our growth agenda. I have been with this company for over 25 years, so I have a clear view of our strengths and weaknesses and where we can take Henkel in the future. Driving this change, together with my management team, is at the heart of my job.