The Verdant 360 Blog

I guess difficult is a bit of an understatement.

The economic numbers are fairly staggering and the length and the breath of the downturn still unclear. The recent job loss data, consumer demand and GDP reports leave no doubt that we are experiencing the most difficult business environment in most of our lifetimes.(Check out this articles from the Wall Street Journal Economy Dives as Goods Pile Up)

As business leaders are fighting to keep their companies afloat it may seem hard to think about sustainability as a business priority. The unfortunate reality is that for many businesses the immediate reaction to falling profit margins is to cut jobs. But I would suggest that now is the time to create a new reality. By embracing sustainability as a core business value, businesses will become more efficient, reducing if not eliminating the need to cut expenses by slashing their workforces.

It may seem counter intuitive, but it is not.  I believe that part of the reason (and why I object to the term green) is that the “green” messaging has been communicated in such a way that  “greening” implies an additional expense without recognizing the inherent financial benefits of reduced energy expenses, more efficient application of technology, waste reduction, and cost benefits from recycling.

Two areas that can help clarify the value of sustainable business development are ISO 14001 and carbon management.

1)    ISO 14001-ISO 14001 grew out of ISO 9600, which helped define lean manufacturing and the Six Sigma approach to manufacturing. At its core ISO 14001 is about utilizing resources efficiently and creating processes and documentation to ensure that businesses operate as effectively and efficiently and consequently as profitably as possible.

2)    Carbon Management-Carbon Management is one of the most talked about yet most widely misunderstood aspects of sustainability and one I will devote an entire upcoming blog post to. The key aspect I want to present here, however, is that every unit of carbon has a corresponding dollar value. If you track and manage your carbon usage you can create carbon reduction programs to reduce the money you spend in this area. Carbon offsets and carbon tax not withstanding, understanding and managing carbon should be a key element of financial modeling for any business.

The economy will recover and business will recover but we will be faced with a different world when we emerge from this recession. China and India will emerge as even stronger competitors, we will still be faced with dramatic environmental challenges and the way we borrow money and fund our businesses will be dramatically different. All the more reason business will need to be more more efficient and more sustainable.

-FR

Sustainability Carbon Footprint, ISO 14001, Sustainability

Welcome to The Verdant 360 Blog. As we move forward with a new administration, we are presented with the positive potential of a new approach toward environmental leadership. Not withstanding the enormous financial challenges presented by the recent mortgage and wall street debacles, we need to address the dramatic environmental impact we are having on the earth. If the new administration follows through on the promise they have shown through the campaign, we may finally have an administration that supports environmental initiatives and direct investment in sustainability solutions.

For business leaders this means that we potentially have national leadership that recognizes that sustainable business practices are critically important to the future success of our economy and our society. Business leaders are now challenged to implement sustainability solutions in a very difficult economic environment. Across every aspect of their supply chain they are presented with rising costs and stagnant or diminishing revenue streams.

I believe that the best sustainability plans can be effective, because at it’s core, sustainability is about the efficient allocation of resources and technology. By implementing efficient process and  technology while raising employee awareness, we will inherently reduce waste, lower our carbon footprint, maximize energy usage and ideally improve bottom line performance.

I refrain from using the term “green” as much as possible when discussing supply chain sustainability. To me, it has become  such a marketing buzzword that it obscures the business potential of supply chain sustainability. To many of the operational managers that I speak to, “greening” their businesses implies additional cost but very rarely speaks about the supply efficiencies that business can  gain from a well thought out sustainability plan. And yet, there are many examples of businesses have demonstrated that sustainability provides them with a competitive advantage. You will learn about some of those businesses in this blog.

This blog is for businesses and about businesses. It will focus on process, technology, standards and the importance of execution in the development and implementation of sustainability plans. We will  discuss Carbon Footprint, Chain of Custody, ISO 14000/14001, alternative energy solutions and Corporate Social Responsibility. I will highlight business that have successfully implemented sustainability plans and talk to the leaders that have implemented them. I welcome comment and feedback from all areas of business leadership.

In  1993, the poet Maya Angelou closed her inaugural poem, “On the Pulse of Morning” with the following stanzas:

Here on the pulse of this new day
You may have the grace to look up and out
And into your sister’s eyes, into
Your brother’s face, your country
And say simply
Very simply
With hope
Good morning.

To all of you, I say “Good Morning.”

-FR

Sustainability Carbon Footprint, Chain of Custody, Corporate Social Responsibility, ISO 14001