SabMiller has also invested heavily in water conservation, including $6 million to improve equipment at a facility in Tanzania affected by deteriorating water quality. Eco-Libris (Newark, Deleware) is a carbon offset program. The company tracks food miles, uses LED lighting, delivers pizza by bicycle or electric car, captures the heat from pizza ovens to heat the water, composts waste, and is exploring alternative fuel use to heat the pizza ovens. Alaffias relationship with the Cooperative brings income to and empowers communities in Togo. In addition, restroom construction used recycled tiles and granite, and low flush toilets and showerheads were installed. Higher Groundss Fair Trade Tours invites you to join them on a trip to partner farms and Fair Trade collaborators. Yet executives are often reluctant to place sustainability core to their companys business strategy in the mistaken belief that the costs outweigh the benefits. Sapphires used in Brilliant Earth jewelry are sourced from Australia or Malawi following Fair Trade principles. The winery has been 100% solar-powered since 2005, and the Hospitality Center and administrative offices are in a LEED-certified building. Supply chains today extend around the world, and are vulnerable to natural disasters and civil conflict. Michel Porter and Mark Kramer pioneered the idea of creating shared value, arguing that businesses can generate economic value by identifying and addressing social problems that intersect with their business. The mobile cart can be moved to any location, such as a park or festival, to provide public telephone service for consumers. Employees are proud to work there and feel part of a broader effort. All locations have been retrofitted with energy-efficient lighting, and the main site has installed a tankless water heater. Todays consumers expect more transparency, honesty, and tangible global impact from companies and can choose from a raft of sustainable, competitively priced, high quality products. Other eco-friendly efforts include photosynthesis curing, use of water-based paints, remodeling with recycled and reclaimed windows and doors, and use of local suppliers. Furthermore, the company uses wind energy in all facilities. All clothing is made from 100% recycled materials, primarily wool and tweed. Companies are skeptical about consumer interest in sustainable products especially where willingness-to-pay is concerned. Companies are also experiencing risks in their manufacturing due to resource depletion particularly water. CCI also works to incorporate sustainable conservation agricultural practices and the protection of wildlife. Immaculate Baking Company (Hendersonville, North Carolina) bakes delicious gourmet all-natural and organic baked cookies and organic ready-to-bake cookie dough. baabaaZuZu (Lake Leelanau, Michigan) makes clothing from items that would otherwise be discarded. TOMS Shoes are sold online and in retail locations around the world with the promise that for each pair purchased, TOMS will give one pair to a child in need in Argentina, South Africa, and other locations around the world. networkrail Boutique Mix (Washington, DC) is a fashion boutique offering An International Ethnik Chik Kollection of unique items from around the world. Pinehurst Inn composts food and garden waste, recycles, avoids chemical treatments on lawn and gardens, serves locally grown organic food and organic coffees and teas, and has converted their vehicle (the Grease Car) to run on recycled grease. You will also find a scholarship application for environmentally minded students preparing to enroll in college for the first time. The company operates Habana Works, Inc., a nonprofit offering free sustainability-related workshops through various programs such as Habana Labs and Urban Studio Brooklyn. Izzys Ice Cream Caf (St. Paul, Minnesota) makes homemade ice cream using local ingredients, when possible, such as local maple syrup and dairy and cream from local and family-owned farms. Now that you are familiar with the concept of sustainable business and how it impacts every aspect of the business, we are delighted to turn to real case examples of sustainable business practices. Zambian beekeepers who register with the company cooperative gain access to free training on sustainable beekeeping, agriculture, and forestry practices; free education for literacy, mathematics, and small-business skills; free beekeeping supplies; and farmers are under no obligation to sell solely to the company, fostering further economic growth of the region. In the manufacturing process, the company recaptures over 80% of the water used. That conventional wisdom has now reversed. The company recycles, composts, uses biodiesel in delivery trucks, and uses recycled paper. Great Lakes Brewing Company (Cleveland, Ohio) is a microbrewery focused on the triple bottom line. An alternative to other auto and travel clubs, the Better World Club provides emergency roadside assistance, travel planning services (auto, flight, and hotel), maps, trip routing services, partnership discounts, and auto insurance. Shoes are produced in Argentina and China following fair labor practices while creating minimal environmental impact. The company offers to make paper from anything you desire, except live trees. Research is finding that 21st century employees are focusing more on mission, purpose, and work-life balance. Within the supply chain, IceStone encourages suppliers to improve sustainability standards. Unlike traditional forms of business risk, social and environmental risks manifest themselves over a longer term, often affect the business on many dimensions, and are largely outside the organizations control. In the first ever Fair Trade deal with a plantation, Fair Trade Sports sources rubber from the Frocester Plantation in Sri Lanka and from the New Ambadi Rubber Estate. The entire process uses only a fraction of the typical energy used for recycling. By the end of 2014, they had improved fuel efficiency approximately 87% compared to the 2005 baseline. Boulevard Bread sells only 100% Fair Trade and organic coffee, uses earth-friendly cleaners, uses recycled paper products, and recycles glass, cardboard, aluminum, and plastics. IceStone (Brooklyn, New York) manufactures surfaces made from recycled glass and concrete. In addition, companies who embed sustainability in their core business strategy treat employees as critical stakeholders, just as important as shareholders. The paper products are handcrafted by artisans. Caracalla (Little Rock, Arkansas) is a salon and day spa with an aggressive recycling program that extends beyond the typical recycling of waste. The hotels koi pond uses filtered recycled water, and the facility installed Solatube lighting, solar panels, and a reflective roof coating. Boulevard Bread Company recently joined forces with other local restaurants to create the Green Restaurant Alliance to network and support area restaurants pursuing environmentally friendly operations. Through work individually and with GACE, Agbanga Karite Cooperative has provided more than 300 children with books, uniforms, and supplies for the 20042005 school year; paid the school enrollment fees for these children; donated desks and chairs to a local primary school in the village of Adjorogo; and donated and installed new school roofs on rural schools in central Togo. The company purchases carbon offsets for the business and is carbon neutral. One study estimated that companies experience an average internal rate of return of 27% to 80% on their low carbon investments. The company is pursuing zero waste. The company follows a triple bottom line approach (people, profit, and planet). BetterWorld Telecom is striving for a paperless operation. Folk art also adorns all cookie packaging. Book lovers and reading aficionados everywhere can buy an offset for every book they read. Another program of Habana Works is the Urban Studio Brooklyn, an architectural design and build program that recently launched the Fishmobile, a human-powered mobile fishing clinic and wetlab. The most recent Habana Labs project is the Offgrid Outlet, a motorized, sun-following solar panel. Ten percent of the proceeds from Peace Cereal sponsor the annual International Peace Prayer Day gathering. IceStones mission also provides living wages, health benefits, education programs, and life skill training to employees, including free English as a Second Language classes, all of which are tracked in the social audit with third-party verification. The disposable dinnerware products are durable, naturally biodegrade in 2 months, and can be used in the microwave, oven, and refrigerator. A portion of profits is donated to elephant welfare and conservation programs. Additionally, companies with superior environmental performance experienced lower cost of debt by 40-45 basis points. And the company also composts waste to create fertilizer to grow herbs and vegetables for menu items. Investors are paying attention. Because Sustainable Business is Good Business.. Indigenous Designs also partners with nongovernmental organizations and others to help provide training, educational materials, and equipment to the artisans. Redesigning products to meet environmental standards or social needs offers new business opportunities. pricy natural cleaning products that did not work). Flyknit reduces waste by 80% compared with regular cut and sew footwear. In the agriculture, food, and beverage sector, the impacts of climate change have the potential to alter growing conditions and seasons, increase pests and disease, and decrease crop yields. Studies show that firms with greater corporate responsibility performance can reduce average turnover over time by 25-50%. business sustainable practices conservation resource corporate doing solicit employees additional Little Rock Green Garage (Little Rock, Arkansas) is attempting to embrace environmental sustainability through all aspects of its operations and seeks to become one of the countrys first green auto repair facilities. IceStones donation program provides free or discounted material to projects that share similar social and environmental goals, with Habitat for Humanity receiving annual donations. SunNight Solar is home to the extremely popular BoGo Light program. Disruptions in the supply chain may affect production processes that depend on unpriced natural capital assets such as biodiversity, groundwater, clean air, and climate. The Pinehurst Inn also purchases carbon offsets for the business as well as offsets for 50% of customers travel to the inn. In addition, the salon gives back to the community and local charities. Moreover, investors are now able to track the high performers on ESG (environmental, social and governance factors) and are correlating better financial performance with better ESG performance. Seventy-five percent of the menu is organic; the company only uses all-natural free-range chicken and organic beef, and it serves organic drinks. Habana Labs is dedicated to researching, developing, applying, and teaching the best technology related to ecology and sustainable energy. Habana Outpost is solar-powered; has both indoor and outdoor seating; uses compostable biodegradable plates, cups, and utensils; has tables made from recycled materials; operates a rainwater collection system to water plants and flush toilets; runs a human-powered bicycle-propelled juice blender; and composts and recycles waste. business sustainable proven Studies also suggest that companies with strong corporate responsibility reputations experience no meaningful declines in share price compared to their industry peers during crises versus firms with poor CSR reputations whose reputations declined by 2.4-3%; a market capitalization loss of $378M per firm.. The company uses biodegradable and compostable disposable utensils and cups made from corn or potato by-products. One study found that morale was 55% better in companies with strong sustainability programs, compared to those with poor ones, and employee loyalty was 38% better. sustainability Wal-Mart, for example, aimed to double fleet efficiency between 2005 and 2015 through better routing, truck loading, driver training, and advanced technologies. The finished dark chocolatecovered cacao goodies are packaged in recycled and reusable tins featuring the work of emerging artists. Net income was also significantly higher on certified cocoa farms than noncertified: $403 versus $113 USD per hectare. Hopworks Urban Brewery (Portland, Oregon) is a brewpub offering organic beer and restaurant menu items made from local ingredients. Through the Oromia Photo Project, Oromia Coffee Farmers Grower Union farmers activities are documented. These case examples showcase the wide array of approaches being used by businesses of varying sizes in various industries. While too numerous to list, here is a small sampling of what the company has accomplished. In addition to the financial benefits that accrue from increased competitive advantage and innovation as discussed earlier, companies are realizing significant cost savings through environmental sustainability-related operational efficiencies. In 2005, they launched a U.S. and European line of cold-water detergents that require 50% less energy than warm water washing. Greyston Bakery (Yonkers, New York) is an example of social entrepreneurship at its finest. Llamadas Pedaleadas (Managua, Nicaragua), or Pedaled Phone Calls, is a bicycle-pedaled mobile cart with public telephones on board. GEs Ecomagination division, for example, has generated $200 billion in sales since 2005. There are recycling bins throughout the property, and educational kiosks inform guests of the environmental attributes of the property. The Green Microgym (Portland, Oregon) is one of the few fitness facilities in the world operating partially on solar and human power. Massanellis Cleaners utilizes a completely environmentally friendly nontoxic, odorless cleaning process that has been thoroughly tested by the Environmental Protection Agency and causes neither short nor long-term health risks. Cleaning agents are 100% biodegradable and earth-friendly, and the perchloroethylene-free (perc-free) cleaning process is gentle not only on your clothing and textiles but also on the environment. 3M, for example, integrates sustainability into its innovation pipeline through its Pollution Prevention Pays program, which aims to proactively minimize waste and avoid pollution through product reformulation, equipment redesign, process modification, and waste recycling. Since making and freezing ice cream is an energy-intensive process, the ice cream parlor runs entirely on solar power. Pizza Fusion (Fort Lauderdale, Florida) is a pizza chain with a wide variety of organic, vegan, gluten-free, and lactose-free menu items. sustainability case business develop leadership others learn enlarge Galactic Pizza (Minneapolis, Minnesota) makes excellent pizza from local and organic ingredients. The company has a goal of net-zero energy usage. Caracalla supports the local economy by purchasing from local and organic suppliers, particularly other sustainable or green businesses, and buys in bulk to reduce packaging waste. The hotel is furnished with natural, organic, and recycled materials, has all-natural and organic landscaping, and uses green cleaning products. Fair Trade Sports (Bainbridge Island, Washington) is a sports ball and equipment distributor and manufacturer. On the company Web site, you will find an online calculator to determine the carbon emissions of your current mowing methods. Greenforce (San Francisco, California) offers residential and commercial cleaning services using environmentally friendly cleaning products and methods. Items are made from reclaimed wood and trees from rivers and lakes; flood, landslide, and volcanic debris; and construction sites. Nearly two-thirds of consumers across six international markets believe they have a responsibility to purchase products that are good for the environment and society 82% in emerging markets and 42% in developed markets. The product line consists of jackets, vests, hats, scarves, mittens, purses and bags, pins, and Christmas stockings. As part of edun LIVE, the company has created edun LIVE on campus,http://www.edunliveoncampus.com a partnership with Miami University of Ohio, to sell blank T-shirts to campus organizations with the goal to eventually expand to additional campuses. By recycling glass and concrete, IceStone saves hundreds of tons of glass from landfills each year. Far from feeling skittish about buying sustainable products, todays consumers perceive a higher level of product performance in products from sustainable companies and sustainability information has a significantly positive impact on consumers evaluation of a company, which translates into purchase intent. The company offsets its carbon emissions, and innovative mobile activism allows subscribers to stay on top of fast-moving and progressive issues and take action right from their phones. Plates, bowls, and cups are made from 100% renewable and compostable plant matter and water. Facing strict regulation on chemical release and competition from flowers from Africa, the Dutch flower industry developed a closed-loop system that grows flowers hydroponically in greenhouses, lowering risk of infestation and reducing the use of fertilizers and pesticides. scalability In addition, White Bear Racquet and Swim Club installed water-saving showerheads, restored outside land to its natural state (eliminating the need for watering, mowing, and fertilizing), reduced waste, began using local and organic foods, began using natural green cleaning products, and incorporated office furniture that is made from renewable or recycled materials and can all be recycled. If the battery runs low at the destination, he can drop the kickstand and start cycling in place. Through its nonprofit, Friends of TOMS, the public is invited to participate in Shoe Drops. Zambezi Organic Forest Honey helps local Zambian beekeepers access new markets for the organic honey that the Lunda people have been farming as a way of life for over 500 years. The company partners with nonprofits to support sustainable farming practices and environmental causes. The Good Project I is complete, and the company is now creating the Good Project II, which will also feature a community garden in the design. Executives can no longer afford to approach sustainability as a nice to have or as solid function separated from the real business.