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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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Henkel’s rank on the Fortune 500 Europe.
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?
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.
The rise of extremism and division in many countries around the world. Whether political or religious. It’s dangerous and harms us all.
Long-term trends Carsten’s most worried about.
Which long-term trend are you most bullish about for society and the economy at large? Which one makes you most worried?
First of all, I tend to be an optimist in general. I believe the fundamental understanding that we need to convert to a more sustainable way of living and consumption has huge potential and we should all work towards making that a reality. And what am I worried about? I would say the rise of extremism and division in many countries around the world. Whether political or religious. It’s dangerous and harms us all. If we want to tackle the challenges ahead of us, we need collaboration and trust, not division and hate.
If you were an economic policymaker, what would be your top priority?
As the CEO of a German blue-chip company, I would like to improve the competitiveness of our home country in a globalized business environment. This includes aspects such as stable and affordable energy for our industrial backbone, reducing bureaucracy and regulations, and investing in better education and physical and digital infrastructure. I see other countries advancing with smart policies and determination.
Being productive
What time do you get up, and what part of your morning routine sets you up for the day?
I am an early riser — usually around 6 a.m. I like to start the day with sports: running, indoor cycling, or a workout. I also like to be at my desk early to have some extra time and get things done before my meetings or travel schedule starts.
What time do you work until? Do you continue sending emails during the night and/or weekends?
That depends on whether there are any evening appointments. I usually try to leave the office around 7 p.m. However, as we work internationally, there are always emails, calls or video conferences that I handle later in the evening. I try to keep my weekends free from formal appointments or work as much as possible.
“How can completely different characters in a team be motivated in the best possible way to achieve the best performance?”
Carsten Knobel.
What apps or methods do you use to be more productive?
I follow quite a number of news-related apps but don’t use specific “productivity” apps. However, to prepare for meetings, I really appreciate succinct “pre-reads” and materials upfront, so we can get to the core of the issue without the need for lengthy introductions.
Who is on your “personal board”?
I am close with Simone Bagel-Trah the chairwoman of our Shareholders´ Committee. She brings together representatives from the Henkel family as well as very experienced, international top managers. All of them offer their experience, perspective, and feedback, which is so important in my role.
Getting personal
What book have you read, either recently or in the past, that has inspired you?
I recently read “Deep Purpose” by Harvard Professor Ranjay Gulati. The question of how to embed a deeper sense of purpose into our company had been on my mind for some time, also before I was appointed CEO. Which is why I called for a “purposeful growth agenda” in January 2020”. In hindsight, with all the crises and challenges, it was the right step. Colleagues from around the world have shared with me how important our purpose is to them and how it provides them with a sense of unity and guides decisions and actions – every day.
If you could ask your idol one question, who would it be, and what would you ask?
I cannot offer an idol, but a question in sport and in business, it is never individual performance that brings success—it is always the team that makes the difference. Leadership quality is the decisive criterion for success. So, my question would be: How can completely different characters in a team be motivated in the best possible way to achieve the best performance?
As a consumer, what is your favorite company and why?
Obviously all the consumer brands of Henkel are my top choice as a consumer, but Persil is my favorite. But suppose you challenge me to go beyond our own portfolio, given my home country. In that case, I am a great fan of German cars — the great engineering, the affection for detail, the performance, reliability, and quality as well as the constant flow of innovations that makes a Porsche, Mercedes or a BMW unique.
And to end on a lighter note: what was the last costume you wore?
It wasn’t really a costume, but the jersey of the German national soccer team. I wore it at a public viewing event that we held on our site for employees during the last European soccer championship in Germany. For a devoted soccer fan like me, the entire event was a great experience, it was great to see how fans from other countries supported their teams, peacefully and in a fantastic spirit.
CEO Agenda provides unique insights into how leaders think and lead, and what keeps them busy in a world of constant change. We look into the lives, minds and agendas of CEOs at the world’s most iconic companies. Dive into our other CEO Agenda profiles.
This article appears in the February/March 2025 Europe issue of Fortune.
