Unilever 2000 Annual Report Download - page 26

Unilever Annual Report & Accounts and Form 20-F 2000
24
Report of the Directors
Operating review - other information
Unilever's new organisation is designed to create an
enterprise culture. Our leaders must be role models in
this transformation. In selecting the top team for our new
divisional structure, we consciously chose individuals with
the right leadership skills to develop the business. These
appointments included the most talented employees
from Bestfoods.
To foster enterprise, and to retain the best people, our new
reward system is linked firmly to business performance and
includes a shares component. Indeed, share ownership is
being actively encouraged company-w ide, to bring
employee and shareholder interests closely together.
Our knowledge is what gives us our competitive advantage.
The technology of the internet is being used to great effect
to increase information sharing and to accelerate learning.
Best practice is becoming common practice.
We have greatly increased our emphasis on internal and
external communication. During the year, all employees
were fully briefed on the Path to Grow th strategy and
are regularly updated on its progress. There w as a major
initiative to improve the communications effectiveness
of our senior business leaders.
The realignment behind our biggest brands, w ithin tw o
dedicated divisions, offers great opportunities for growth,
career moves and personal development. As announced in
2000, the sharpened brand focus also involves a programme
of business disposals and redundancies. Our commitment to
pursue this programme in a fair and open manner is being
honoured and w ill continue to guide our actions.
Related party transactions
Other than those disclosed in these accounts, there were no
related party transactions that were material to the Group or
to the related parties concerned that require to be reported
in 2000 or the preceding two years. Transactions with
related parties are conducted in accordance with the
transfer pricing policies described on page 49 and consist
primarily of sales to joint ventures. These are disclosed on
the face of the profit and loss account on page 50.
Information concerning guarantees given by the Group is
stated in note 25 on page 69 and under ’M utual guarantee
of borrowings’ on page 114.
Intellectual property
We have a number of patents, and w e conduct some
of our operations under licences w hich are based on
patents or trademarks ow ned or controlled by others.
We are not dependent on any one patent or group of
patents. We protect our brands and technology in every
available way.
Description of our properties
We have interests in properties in most of the countries
where there are Unilever operations, how ever none is
material in the context of the Group as a whole. The
properties are used predominantly to house production and
distribution activities and as offices. There is a mixture of
leased and owned property throughout the Group. There
are no environmental issues affecting the properties w hich
would have a material impact upon the Group. See the
schedule of principal group companies and fixed investments
on page 101 and details of tangible fixed assets in note 10
on page 58.
Legal proceedings
We are not involved in any legal proceedings and do not
have any obligations under environmental legislation w hich
we expect to lead to a material loss. None of our directors
or officers are involved, in any way, in any material legal
proceedings against us.
People
year end in thousands 1996 1997 1998 1999 2000
Europe 10184827682
North America 31 23 23 22 39
Africa & M iddle East 64 58 57 48 46
Asia & Pacific 78 74 72 71 84
Latin America 30 30 31 29 44
Total 304 269 265 246 295