Expenditures within the Henkel Group on research and development amounted to 391 million euros (adjusted for restructuring charges: 383 million euros) in the year under review, compared to 396 million euros (adjusted: 383 million euros) in 2009. This demonstrates Henkel’s continuing commitment to innovation as the most important driver of profitable growth. Related to sales, the R&D ratio was 2.6 percent (adjusted: 2.5 percent), compared to 2.9 percent (adjusted: 2.8 percent) in the previous year.
Our research and development expenditures were primarily aligned to polymers and surface modi- fication, areas of major significance for all three business sectors. Around 55 percent of our total R&D spend was on personnel expenses. Our research and expenditure costs were com- pletely expensed in the year under review – there were no development costs qualifying for capital- ization in accordance with International Financial Reporting Standards.
As an annual average, the number of employees working in research and development at our sites around the world was 2,665 (2009: 2,743), cor- responding to 6 percent of the total workforce. The main reasons for the decrease in employee numbers lay in the restructuring program initi- ated in 2008, and the associated dissolution of our Corporate Research division, coupled with the integration of the National Starch businesses. The departments of Corporate Research were integrat-
ed within the research units of our three operating business sectors in 2008, providing a closer market focus for the associated activities.
Key R&D figures
2006 2007 2008 2009 2010 R&D expenditures (million euros) 340 350 3771) 3831) 3831) R&D expenditures (in % of sales) 2.7 2.7 2.71) 2.81) 2.51) Employees (annual average) 2,800 2,794 2,942 2,743 2,665 1) Adjusted for restructuring charges.
The success of our research and development activities derives from the skills and capabili- ties of our highly qualified employees. Our teams comprise scientists, predominantly chemists, sup- ported by engineers and technologists; 18 percent of our R&D employees hold doctorates.
As part of our research and development strategy, we have further developed our “open innovation” approach which involves greater collaboration with and integration of university teams, research institutes, suppliers and customers in our in- novation processes. We have also increased the funds available for cooperation with such external partners. The following examples show the success that we have achieved through this concept: • In recognition of the innovative Re-New effect
in specialty detergent formulations, The Dow Chemical Company received our “Best Innova- tion Contributor Award 2010.” The associated polymer developed especially for this purpose actively promotes the shape retention of fabrics. • In cooperation with our partners in industry,
universities and research institutes, we have developed antibacterial silver molecules for our new Right Guard deodorants, innovative synergistic polymer combinations for Taft foam hair-hold mousse products, and stem cell tech- nology for our Diadermine Novagen anti-aging cosmetics.
• Collaborating with a major automobile manufac- turer and Tongji University in Shanghai, China, our business sector Adhesive Technologies has developed a new generation of structural adhesives for light-weight construction in the automotive field. R&D expenditures in million euros 2006 2007 2008 2009 2010 340 350 4291) 3961) 3911)
1) Includes restructuring charges of
52 million euros (2008), 13 million euros (2009), 8 million euros (2010). R&D expenditures by business sector 25 % Laundry & Home Care 16 % Cosmetics/Toiletries 59 % Adhesive Technologies
• As part of our strategy for Asia-Pacific, we have initiated major research activities with Japanese and Chinese universities and research institutes, involving for example projects for weight reduc- tion in vehicle production.
Our scientists have made key contributions to our corporate success in many areas. The following examples provide just a selection of major recent achievements:
Laundry & Home Care
• Development of specialty laundry detergent formulations with significantly improved color protection and rejuvenation in colored and black washes.
• Development of a modern and discreetly de- signed WC rim block with four active pearls for the functions: foam cleaning, limescale removal, protection against resoiling, and extra freshness. • Development of a new generation of hand-dish-
washing products with Power Crystals that you can feel, enabling the fast and effortless removal of stubborn grease residues and a higher product yield.
Cosmetics/Toiletries
• Development of the first ammonia-free, perma- nent mousse colorant.
• Development of innovative anti-perspirant tech- nologies with a five-fold effect: a patented power stripe and power gel technology offer particu- larly effective prevention of underarm wetness and neutralize odor-forming bacteria, thus helping prevent body odor for up to 48 hours. The patent-pending deo-active capsules provide additional protection under situations of stress and increased activity.
• Formulation of innovative styling products that guarantee volume for 48 hours without weighing down the hair, and the development of a powder which, when rubbed between the hands, trans- forms into a gloss-giving hair cream.
Adhesive Technologies
• Development of the first MDI (methylene diphenyl di-isocyanate)-reduced and therefore label-free polyurethane foam for consumers and craftsmen: Pattex Power PU Foam.
• Development of a new generation of Liofol Robust, a laminating adhesive that is easier and safer for customers to use thanks to more flex- ible and reduced curing times.
• Development of Terophon HDF, a new genera- tion of vibration-damping materials for the automotive industry offering very good sound insulation and reduced weight.
All these new products and developments exhibit an improved sustainability profile: lower energy consumption, use of renewable raw materials and reduced waste.
Each year we select a number of outstanding devel- opments for our Fritz Henkel Award for Innova- tion. In 2010, this accolade went to three inter- disciplinary project teams in recognition of their efforts in the realization and commercialization of the following concepts:
• Hygiene product range: The laundry detergent
Dixan Igiene e Purezza (hygiene and purity) marketed in Italy imparts freshness and purity to the wash, even at low temperatures. With more and more laundry being washed at temperatures of not more than 30 to 40 degrees Celsius, the addition of one dose of Persil hygiene rinse to the conventional laundry product is sufficient to remove 99.99 percent of all bacteria and germs. The new household cleaning products Bref/Dac Disinfectant offer superior, long-lasting disin- fection performance: they work immediately and continue to protect against bacteria in the household for up to 24 hours. The entire Hygiene product range delivers outstanding cleanliness both of the laundry and hard surfaces, while also contributing to our sustainability focal areas of health and safety, and energy and climate. • Syoss Color: Syoss Color offers long-lasting
color, gloss and gray coverage with professional Düsseldorf, Germany
Dublin, Ireland
Scottsdale, USA
Rocky Hill, USA
Shanghai, China Hamburg, Germany Irvine, USA Vienna, Austria Bridgewater, USA
quality at an affordable price for at-home ap- plications. The permanent colorant contains a high-performance formula with a color-inten- sive pigment blend, delivering a true, intensive and lustrous look. Syoss Color ensures that the pigment blend is sealed deep into the hair, to produce long-lasting, intensive colors. The color sealing conditioner with Nutri-Care Complex structures the hair after coloration from the inside out, generating a scintillating shine. • Loctite HF: Our halogen-free structural adhe-
sives are used by the most innovative manu- facturers of portable electronic devices. These unique adhesives create particularly strong, fast- curing and resistant bonds between a variety of materials. In addition to the patented halogen- free curing system, the flow behavior and reaction speed can also be tailored to individual requirements, ensuring reliable dosage applica- tion and curing even in the case of extremely thin adhesive films of 0.3 millimeters or less. We currently hold some 7,500 patents as protection for our technologies around the world. We also have around 5,000 patent applications pending, and own approximately 2,000 registered designs safeguarding our intellectual property.
Further information on our research and devel- opment activities can be found on our website
www.henkel.com/innovation