---
id: "entity-loreal"
type: "entity"
source_timestamps: ["§ Smart Trade-Offs"]
tags: ["cosmetics", "sustainability"]
related: ["concept-smart-trade-offs"]
entityType: "organization"
canonicalName: "L’Oréal"
aliases: ["L'Oreal", "LOreal"]
sources: ["tail2"]
sourceVaultSlug: "hbr-seg-tail2"
originDay: 2
articleStem: "hbr-tail-129-ai-supplier-negotiations"
sourceUrl: "https://hbr.org/2025/07/how-ai-is-reshaping-supplier-negotiations"
sourceTitle: "How AI Is Reshaping Supplier Negotiations"
---
# L’Oréal

**L’Oréal** is a global cosmetics company cited for using **generative AI in procurement** to negotiate sourcing deals for **key cosmetic ingredients that balance cost against sustainability** — the flagship example of [[concept-smart-trade-offs]].

**Enrichment note:** L’Oréal publicly uses AI across marketing, product R&D, supply chain, and sustainability, and emphasizes sustainable sourcing. However, **direct evidence of generative AI specifically negotiating ingredient deals on a cost-vs-sustainability basis is limited** in open sources — treat the implementation as illustrative. The underlying multi-objective-optimization concept is well grounded in MCDA/MCDM literature.

**Related:** [[concept-smart-trade-offs]]