Integrating sustainability and strategy: 3 narratives for success 

Has Unilever “lost the plot”? 

Terry Smith believes so. The influential fund manager contends that Unilever’s management has veered off course. In a scathing letter to investors last year, Smith criticized the consumer goods giant for prioritizing the showcase of its sustainability credentials over fundamental business operations. “A company which feels it has to define the purpose of Hellmann’s mayonnaise has in our view clearly lost the plot,” the veteran stock-picker wrote.   

This critique goes beyond Unilever, raising critical questions about the intricate dance that companies must perform between profitability and social responsibility.  

Traditionally, business success was measured solely by profitability and legal compliance. However, a paradigm shift has occurred with the emergence of sustainability as a pivotal player in corporate strategy. Companies, including Unilever, are now faced with the challenge of integrating sustainability into their overarching…