The triple bottom line helps save the environment and the economy!
Friday, October 23, 2009
Sunday, August 9, 2009
Are Companies Really Becoming Greener?
Two-thirds of respondents to the Acceleration of ECO-Operation survey said their companies do not have scorecards to measure supplier sustainability, and do not have goals of supplier carbon neutrality. However, the respondents know there is “tremendous value” in using a scoring system. Seventy-one percent plan to achieve carbon neutrality in four years or less, despite not having it as a goal.
The Business Performance Management (BPM) Forum created the Acceleration of ECO-Operation program with E2open and the Global Renewable Energy and Environmental Network (GREEN). The program’s website defines Acceleration of ECO-Operation as a “new management mantra aimed at bringing business gain to the value chain through enhanced trading partner visibility, flexibility and new levels of verifiable sustainability across the entire demand and supply ecosystem of global corporations.”
“The Acceleration of ECO-Operation initiatives provide comprehensive confirmation supporting our observation that companies with hundreds or thousands of global suppliers need to do a much better job at seeing and measuring the levels of environmental compliance and efficiencies down to the second and third-tier level of supplier,” said Rich Becks, senior vice president at E2open. “Supply chain executives understand the benefits of better managing collaboration and sustainability in the value chain – now they just have to make it happen.”
The majority of respondents (90 percent) to the survey claimed their company’s management follows the principles of ECO-Operation which are enhanced trading partner visibility, flexibility, and new levels of verifiable sustainability across the entire demand and supply ecosystem.
Almost two-thirds of the respondents said their company does not have adequate visibility across their supply and value chain, and 20 percent use a single hosted platform to improve their visibility. Only 38 percent link eco initiatives with operational efficiency to a high degree, and about half to some extent. Forty-two percent do not think their company’s carbon and energy footprint includes their entire extended supply chain, and 55 percent think their customers would agree.
Although 76 percent said their customers have not asked them to measure or reveal their carbon footprint, two-thirds expect them to demand it in the coming year. The majority (85 percent) are involved in new programs that will increase operational efficiency, CSR, and cost-savings throughout their supply and demand chains.
The top initiatives to achieve better ECO-Operation practices, according to the survey, are environmental responsibility, better sustainability compliance, more efficient product manufacturing, and better customer responsiveness.
The biggest drivers for change in supply and demand chain operations this year are:
- Pressure to be more environmentally responsible and sustainable
- Troubled economy creating need to “tighten the belt”
- More competitive, price-sensitive market for goods
The most frequent challenges in synchronizing supply chain operations are:
- No single, universally accessible solution for visibility across the value chain
- Partners unwilling or unable to provide necessary information
- Don’t have access and visibility into second or third tier trading partners
The top three areas of the value chain process most valuable to measure in terms of environmental sustainability and responsibility are:
- Transportation and fuel consumption
- Product and waste recycling
- Packaging materials and processes
Saturday, August 8, 2009
Consumers Think Green Products Cost More
The 2009 Green Brands Survey involved consumers in seven countries: the U.S. U.K., China, Brazil, India, Germany, and France). The survey, released in July, revealed that consumers from all seven countries think green products are costlier than non-green ones, but they plan to spend more on green products in the next year. The research, conducted by Penn, Schoen & Berland Associates (PSB) with Landor Associates and Cohn & Wolfe, plus Esty Environmental Partners, showed that consumers in the U.K., France, and Brazil think their country is “on the wrong track” concerning the environment. However, consumers in the U.S., Germany, China, and India think their country is “going in the right direction.”
The survey highlighted the differences between consumers in developed and developing countries, as the following two examples show:
- Consumers in the U.S. U.K., Germany, and France share similar environmental beliefs and behaviors, while consumers in Brazil, India, and China have different views from the consumers in Western countries.
- The majority of consumers in India and Brazil are more concerned about the environment than the economy, but the majority of consumers in the U.S. are more concerned about the economy.
“With the global climate change discussion focused on what the major new economic powerhouses like China, India, and Brazil are willing to do to control their emissions, those three countries stood out in our polling as more interested in buying from environmentally friendly companies and more willing to spend more on green products,” said Scott Siff, executive vice president of PSB. “From a political perspective, this turns the assumptions about those countries on their heads, and from a business perspective it says the market for green branding and green products may be even bigger than generally thought.”
Over two-thirds of consumers in all countries (77 percent) think it is important that companies be "green." India and China have the highest percentage of consumers who value a companies "green-ness" with 87 percent in India and 98 percent in China. Consumers from all countries think reducing the amount of toxic or dangerous substances in its products and business processes is the most important step a company can take to demonstrate it is green.
“While reducing toxics heads the list of consumer priorities the data also show that the public holds companies accountable for good environmental behavior across the board,” said Dan Esty, chairman of Esty Environmental Partners. “Consumers expect companies to recycle, use energy efficiently, reduce packaging, and pursue green innovation. So to gain loyalty, a company’s environmental strategy must be comprehensive.”
The television and internet are the main sources of information about environmental issues in all countries. Past experiences with products influence consumers the most in France, Germany, and India. Recommendations from friends are most influential for consumers in the U.S. and China. Consumers in the U.K. and Brazil are influenced the most by editorial. Consumers in all countries think intellectuals or activists are the most credible spokespeople for environmental change.
The survey asked participants to rate a number of brands, and the results produced the top ten greenest companies list for each country. The top ten greenest companies list for the U.S. is as follows:
- Clorox Clean Works
- Burt’s Bees
- Tom’s of Maine
- S.C. Johnson & Son
- Toyota
- P&G
- Wal-Mart
- Ikea
- Disney
- Dove
Saturday, July 11, 2009
Business Execs Nudging World Leaders
Climate Savers program began in 1999. By 2010 Climate Savers companies will have reduced their carbon dioxide emissions by 50 million tons. According to a press release, the companies have cut their carbon emissions “while creating competitive advantage, increasing shareholder value, and in many cases, increasing their profitability.”
"By cutting carbon emissions by 15 percent we're experiencing positive development on net profits," Niels Petter Wright, CEO of Climate Saver member Elopak, said.
Dennis Jönsson, CEO Tetra Pak, said, “Call it clean. Call it green. Or simply call it jobs.”
“Reducing your carbon footprint is not only achievable, it’s inspiring,” said Thomas Storey, President of Fairmont.
“Climate responsibility is simple - it’s just good business sense”, said Simon Beresford-Wylie, CEO of Nokia Siemens Networks.
Friday, July 10, 2009
Food and Beverage Companies Use Recycled Plastic
In 2007, there was almost 6 billion lbs. of PET packaging waste, and only 23 percent was recycled, leaving 4.5 billion lbs. in landfills, according to the Environmental Protection Agency. Dr. Richard Thompson, author of a study on the effects of plastics on the environment and human health, said that the “current usage and disposal of plastics is not sustainable, is harmful to wildlife and potentially harmful to humans.”
Thompson added that the use of plastic production is “growing at around 9 per cent per annum.” The use of plastic in the first decade of this century is “likely to approach the quantity produced in the entire century that preceded.” Earthbound Farm and Naked Juice announced recently that it is packaging some of its products in 100 post-consumer recycled (PCR) content. Both companies use PET plastic, the most recycled plastic. The companies are the first food and beverage companies to use 100 percent PCR content.
Earthbound Farm converted plastic containers for its salads to 100 percent PCR plastic. The company estimates that its switch to PCR content will converse 424,000 million BTUs of energy and 68,307 gallons of watter, plus will reduce carbon emissions by 16,191 tons.
“We started farming organically because we were concerned about the personal and environmental health effects of farming with chemicals”, said Myra Goodman, co-founder and executive vice president of Earthbound Farm. “Organic farming has really positive effects, but we know we have to do more. More ecological packaging is an important next step; one we hope others will soon follow. “
“Our decision to switch to post-consumer recycled packaging is one of many steps we have taken on our long journey of challenging the industrial status quo,” said Chad Smith, manager of Earthbound Farm’s Sustainability Initiatives. “There are many opportunities to create a larger U.S. market for PCR materials, which is essential to reducing what we’re putting in landfills. We hope that other companies will see the value in adopting packaging solutions with PCR content and that consumers will make the decision to seek out PCR packaging when shopping. Working in tandem these steps will create the manufacturing demand needed for post consumer recycled materials,” he said.
“The transition to 100 percent post-consumer recycled bottles is a major milestone that we have worked hard to achieve. It’s important for the earth, and that’s important to our consumers,” said Mikel Durham, general manager of Naked Juice. “If you were plastic, wouldn’t you like to come back as a Naked Juice bottle? With the new Naked reNEWabottle, consumers can reduce, reuse, recycle…reincarnate!”
“Closing the loop on packaging is fundamental to a vision for more sustainable packaging,” said Anne Johnson, director of the Sustainable Packaging Coalition at GreenBlue. “Utilizing 100 percent recycled material in a juice bottle that can be collected and recycled yet again is a step in making this vision a reality. This innovation sends a signal to the market that there are end markets for materials if we recycle more.”
Monday, June 29, 2009
Senators to Introduce Legislation Banning Electronics Sales to Iran
Senators Charles Schumer (D-NY) and Lindsey Graham (R-SC) announced last Friday they will introduce legislation that would prohibit government contracts with any company selling technology to the Iranian regime which helps it monitor its citizens.
The Wall Street Journal reported last week that the Iranian government bought technology from Nokia Siemens Network, a joint venture of Nokia and Siemens, which enables them to monitor phone calls and internet activity.
“It is utterly outrageous that Western companies sell equipment that allows the Iranian government to spy on their citizens, prevent communications between citizens and thwart any type of uprising against the regime,” Schumer said in a press release. “This legislation is going to crack down on these companies so that we can do our part in preventing this regime from controlling the Iranian people.”
“Our proposal and legislation would weaken the Iranian regime’s ability to control the Internet,” Graham said. “The Internet has proven to be one of the strongest weapons in the hands of the Iranian people seeking freedom and trying to chart a new destiny for their country. Companies that provide technology to the Iranian regime to control the Internet must be forced to pay a heavy price. Our legislation is a constructive proposal that empowers the people of Iran and weakens the regime.”
Senators Schumer and Graham sent a letter to Secretary of State Hilary Clinton calling on her to “urge the European Union to restrict the sale of equipment and services to Iran that could be used to monitor, control, and suppress the private communications and free expression of the Iranian people.”
Related articles:
Why Companies Must Consider Human Rights
Saturday, June 27, 2009
Nestle Cookie Dough Scare Shows Need for More Regulation
The latest E. coli contamination is open us. Last year it was food with peanuts, and a few years ago it was spinach. Now it is cookie dough.
The Food and Drug Administration (FDA) posted a warning on its website on June 19 about Nestle's Toll House cookie dough possibly being contaminated with E. coli O157:H7. As a result, Nestle recalled 47 varieties if Toll House cookie dough 24 hours later. The Center for Disease Control (CDC) and the FDA are conducting a joint ongoing investigation.
The CDC reported that since June 25, 69 people have been infected with the E. coli strain in 29 states. Thirty-four people have been hospitalized, and nine developed the serious complication Hemolytic Uremic Syndrome (HUS).
William Keene, Oregon's chief epidemiologist, is certain the cookie dough is the source of the E. coli contamination. "Virtually everyone (who got ill) ate the same brand of cookie dough," he said. "I have absolute confidence in the conclusion."
The article sites a September 2006 visit by the FDA to Nestle's Danville, VA plant that refused to allow the inspector "to review consumer complaints or inspect its program designed to prevent food contamination." During the visit the inspector found dirty equipment and "three live ant-like insects" on a ledge. A year later, another FDA inspector wrote after a visit that plant officials would not allow the "firm's consumer complaint file" to be reviewed, would not allow photos to be taken, and refused "to sign affidavits or receipts," and refused "to provide specific information on interstate commerce." Legally companies do not have to allow access to such records.
In May, the House Energy and Commerce Committee approved the Food Safety Enhancement Act (HR 2749), which would give the FDA greater regulatory powers over the country's food supply and food providers. It would grant the FDA the authority to "regulate how crops are raised and harvested, to quarantine a geographic area, to make warrentless searches of business records, and establish a national food tracing system," according to the website, Open Congress. The bill would also impose a $500 annual registration fee on all food plants.
Wednesday, June 24, 2009
Why Companies Must Consider Human Rights
The recent uprisings by the Iranian people, and the subsequent brutal treatment by their government, is highlighting the necessity of business taking human rights into consideration before doing business with a government.
The Iranian government bought technology that is enabling them to monitor phone calls and internet traffic from Nokia Siemens Network, a joint venture of German based Siemens, and Finnish based Nokia Corp. Until now, the Iranian government has not fully used its capability to monitor its citizens until the recent uprising, according to an article in the Wall Street Journal yesterday.
"We didn't know they could do this much," said a network engineer in
Ben Roome, spokesperson for the joint venture, said, “If you sell networks, you also, intrinsically, sell the capability to intercept any communication that runs over them.”
When asked about selling equipment that helps the Iranian government spy on its people, Roome said Nokia Siemens “does have a choice about whether to do business in any country.” However, he said the company believes in “believe providing people, wherever they are, with the ability to communicate.”
According to the WSJ, the monitoring equipment sold to
Wednesday, June 17, 2009
Solar Powered Bus Shelters
Lighting bus shelters at night provides more safety for people. Powering the lights with solar energy saves money and carbon dioxide emissions. This week a Canadian college,
“Our goal is to provide a clean, affordable power source for bus shelters that will let transit companies run Internet-based scheduling updates,” said Adrian Kitai, a McMaster professor who guided the bus shelter project. “The solar technology can also be used to light up bus shelter signage and provide lighting for general safety.”
In 1996,
Last week,
Mayor Gavin Newsom said, “Transit shelters that use photovoltaics, LEDS, and WiFi are going to be standard in the future and I’m proud that
Tuesday, June 16, 2009
America Needs to Turn Green
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Renewable Energy is the Future
Visit msnbc.com for Breaking News, World News, and News about the Economy
Monday, June 15, 2009
New Technology Could Lower Solar Energy Cost
Research is currently being conducted to perfect the BIPVs. The Department of Energy’s Energy Efficiency and Renewable Energy Technology Commercialization Fund is providing funds for the project, which is estimated to cost $350,000. A commercial match is also needed. If the project is successful, solar panel manufacturing costs will be less than $1 per watt of power, a utility would charge customers 10 cents per kilowatt hour.
Mark Gross, a PNNL senior scientist, said, “There’s a lot of wasted space on rooftops that could actually be used to generate power. Flexible solar panels could easily become integrated into the architecture of commercial buildings and homes. Solar panels have had limited success because they’ve been difficult and expensive to install.”
Sustainable Packaging Market is Growing
Sustainable packaging is a growing market despite the down economy. Sustainable packaging will be 32 percent of total global packaging market by 2014, up from its current 21 percent, a study released last month by Pike Research said. Plastic based packaging will be fastest growing sector of the sustainable packaging market. It is currently 35 percent. Metal based will be more than 63 percent by 2014. Paper-based packaging is the largest sector with over 40 percent of market.
Food consumers want three things from food manufacturers: fresher ingredients, increased health benefits, and more environmentally friendly packaging, according to a new study by Ipsos Marketing. The study was based on an online survey of 23,000 consumers from 18 countries.
“We are seeing a global consumer movement toward heightened consciousness of health, wellness and environmental factors in their food purchasing decisions,” said David Pring, executive vice president of the global consumer goods division of Ipsos Marketing.
Pring continued, “These are key developments in the food market, and not just in
“The move toward sustainable packaging represents a broad-based effort by manufacturers, retailers, industry groups, and governments to promote the design of minimal packaging that can be easily reclaimed,” said managing director Clint Wheelock. “A tremendous amount of innovation is going into reducing energy requirements to manufacture packaging and using more recyclable and compostable materials, but there is still a long way to go.”
Sunday, June 14, 2009
What is a Conscious Consumer?
A conscious consumer "makes informed buying decisions that reduce their environmental impact," according to the non-profit organization, New Dream. In order to find out more about conscious consumers, New Dream conducted a survey of 2,271 of their affiliates. The survey asked questions about buying habits, lifestyle choices, and activism.
Eighty-seven percent of the respondents said they were making efforts to lead a more sustainable life. Of the 87 percent, 81 percent buy green household products, and 88 percent discontinued purchasing plastic water bottles. Seventy-eight percent have considered or have become a vegetarian, 90 percent drive less, 93 percent reduce utility use, and 87 percent conserve water.
Sixty-four percent of all respondents rated “living in accordance with their values” as a “very important” motivation for consumer decisions. Seventy percent said they had contacted politicians or agencies at least once in the last two years, only three percent said sustainability, health and justice never affected how they vote.
Researchers in
- Conscious consumers tend to understand their practices as expressive of political orientations and as political actions in themselves
- Many conscious consumers see the expansion of alternative and ethical options in the marketplace as a successful result of the efforts of conscious consumers like themselves
- Conscious consumers tend to see themselves as part of a broader network of citizens and not as atomized consumers in the marketplace
Consumers in 11 of the countries surveyed are more likely to keep the heating and cooling settings lower to save energy. Consumers are also more likely to wash laundry in cold water to save energy.
Friday, June 12, 2009
Better Climate Risk Disclosure Needed
- 76.3% of annual reports filed by S&P 500 companies in 2008 failed to include any mention of climate change
- Only 5.5% of annual reports filed by the S&P 500 in 2008 identified at least one risk posed by climate
- Less than 10% of S&P 500 companies in the financial sector discussed climate change 10K reports filed in 2008
- Only 3.2% of utilities sector companies failed to mention climate change in 10‐K reports filed in 2008
Thursday, June 11, 2009
FTC Cracking Down on Greenwashing
Sunday, June 7, 2009
Better Packaging Needed
Saturday, June 6, 2009
Friday, June 5, 2009
What is Hara’s Environmental and Energy Management Software?
Image from Flickr, by Jeremy Higgs
On Monday, the 18-month old company, Hara debuted their Environmental and Energy Management (EEM) software online. The EEM software identifies how efficient and eco-friendly a business, organization or government’s operations are with energy, water and waste.
Based in
According to the website, Crunchbase, EEM is made up of the following modules:
- Discover – Aggregate environmental record information from relevant data sources in order to provide a comprehensive view of resource consumption, greenhouse gas emissions, and environmental impact.
- Plan – Define strategies, optimize planning decisions, forecast reductions, identify objectives and metrics, and calculate timing and benefits for each initiative.
- Act – Manage the execution of environmental and energy programs, track results per initiative, and create an audit trail for any current or future regulatory requirements.
- Innovate – Implement the Hara methodology and leverage best practices for continuous improvements and business transformation.
Hara means “fresh green” in Sanskrit. Chatterjee said Hara’s vision is to “enable a post-carbon economy in which organizations can grow and profit without depleting the earth’s resources.” insight, good analysis, and good data,” said Jacob.
“We have the opportunity to write the encyclopedia of environmental efficiency, creating an unprecedented body of knowledge that will influence environmental impact reduction initiatives for years to come,” said Chatterjee. “We indicate how healthy a business is at consuming natural resources.”
“I'm not easily impressed," said Bryan Jacob, director of energy management and climate protection for Coca-Cola. However, after a presentation by Hara, he said to his boss, “I think we need to put this package into a test.”
Hara’s EEM software provides “effective environmental management requires good insight, good analysis, and good data,” said Jacob. “Hara goes beyond what so many other tools do. It helps calculate the inventory, establish the strategic targets, and has initiative-tracking features.”
“We're not finding a lot of resistance to the pricing,” said Nazre. “What is resonating with the customers the most is: how quickly will it pay for itself?”
Wednesday, June 3, 2009
Patagonia: A Sustainable Sportswear Company
- Used 100 percent light-colored concrete instead of asphalt in parking lot and driveways. LEED requires 30 percent to be certified.
- Uses 40 percent less water by installing water efficient toilets, waterless urinals, and bathroom faucets that automatically turn off. (LEED requires 30 percent.
- Fifty percent of the materials used to construct addition were manufactured within a 500 mile radius. LEED requires 20 percent.
- All the wood used was Forest Stewardship Council (FCS) certified. LEED requires 50 percent.
What is Open-Sourced Green Building?
Open-sourced green building sounds like an oxymoron. However, FreeGreen.com provides open-sourced green building designs. Started in April 2008, the year-old company opened up its website for architects to upload their designs and set the price for them.
A New York Times blog post characterized FreeGreen as a “service that offers what most developers won’t: green home plans to home-buyers.” The blog post also called it a "bottom up approach to innovation."
Every design on FreeGreen is created to reduce energy usage 30 to 50 percent of local building codes. “We made a ubiquitous decision in the way we handle the company,” said David Wax, co-founder and CEO. “We were not going to be the arbiters of green design. We don’t want a FreeGreen standard. That's not what we are. We are an information provider.”
The website is blunt about FreeGreen revenue source, “FreeGreen would not exist without paid placement from product manufacturers, and all product or service provider placements should be considered advertising.” Most of company’s revenues come from paid product placements in the free building designs.
The company is selective about the products they choose. The open sourced building designs that architects upload are also a revenue source. FreeGreen receives 20 percent of the sales revenue. Information is provided about every product listed in a plan, including its point ratings in the LEED-H, and NABH Green Building standards.
Friday, May 22, 2009
The Importance of Energy Efficiency
Energy use accounted for 82 percent of
The
The report calculated that the “cumulative electricity bill savings enabled by semiconductors” may be greater than $1.3 trillion through 2030, and reduce carbon emissions by 700 million metric tons. In 2006, the “entire family of semiconductor-enabled technologies” created net savings of about 775 billion kilowatt hours (KWh). If 1976 technologies were used now another 184 power plants would need to be built.
Overcoming barriers to energy efficiency
There are barriers to overcome in regards to increasing energy efficiency. One of the main barriers is the lack of knowledge about efficiency opportunities, according to Midwest Energy.
Another barrier is large upfront capital expenditures.
The stimulus funds for power companies
The American Recovery and Reinvestment (ARRA) provides billions of dollars in federal funding and tax incentives for power companies to increase energy efficiency. Power companies can improve their infrastructure and facilities, or deliver efficiency programs and energy savings to customers with ARRA funds.
In 2008, the State Energy Program (SEP) received $44 million. ARRA waived a 20 percent cost share for states, and waived the provision that had limited capital investments to 50 percent of SEP funds. The funds from SEP are given to state energy offices. Energy efficient projects are funded through SEP.
The Energy Independence and Security Act of 2007 authorized the Energy Efficiency and Conservation Block Grant (EECBG), whose main purpose is to improve energy efficiency. Previously unfunded, ARRA provided $3.2 billion for EECBG.
The Weatherization Assistance Program has been around since the 1970s. ARRA provided $5 billion for the program in order to meet President Obama’s campaign promise to weatherize a million homes a year.