Month <span class=December 2015" src="/wp-content/uploads/2014/04/cropped-office-building-secondary-1.jpg">

Month December 2015

Sustainability Consulting Round Up: Best of our blog for 2015

The SSC Team December 31, 2015 Tags: , , , Strategic Sustainability Consulting No comments

Each month, we highlight some of our more popular content on the SSC blog.

To wrap up 2015, here's a round-up of our most popular blog posts published this past year. These are the articles that received the most attention from our online audience. Check them out!

  1. 4 Reasons Why Corporate Sustainability Reporting Might be a Waste of Time
  2. 8 Steps to Becoming a Better Sustainability Consultant
  3. 6 Ways to Gain Support for your New Sustainability Project
  4. 5 Habits that Might be Stunting Your Sustainability Leadership
  5. 7 Ways to Get Attention for Your Sustainability Plan

If you like an article, please consider sharing it online via your favorite social media platform. Helping us grow our audience is the #1 way you can show your support for the work that we do.

Happy New Year! 

Don’t get caught – Create a calendar to manage sustainability deadlines

The SSC Team December 29, 2015 Tags: , , , Strategic Sustainability Consulting No comments

Another new year is fast approaching. Soon it will be time to start looking back on last year's sustainability performance, assessing, reporting, and making plans. But now is the time for looking forward, and the time for making those New Year's resolutions. Here's one: work smarter in 2016. Check out this post from the SSC archives with one smart idea. 

In March 2012, 29 companies got caught shirking their sustainability commitments. Could you be next?

In this 3-minute video, SSC President Jennifer Woofter explains the challenge of managing corporate sustainability obligations, and an easy solution for keeping abreast of all the sustainability deadlines that loom throughout the year.

If you'd like help cataloging your company's sustainability obligations into an effective project management format that will keep you ahead of the deadline, please contact Strategic Sustainability Consulting today. One of our sustainability consultants will walk you through the options that will work best for your situation.

Trying to win sustainability consulting work? Referrals, referrals, referrals

The SSC Team December 24, 2015 Tags: , , , , Strategic Sustainability Consulting No comments

Earlier this year we wrote about how to broaden your professional network in the small world of sustainability consulting. As you build your peer relationships, you might be thinking you’re ready to start approaching clients.

Maybe not.

A recent article in Harvard Business Review pushes back on the idea of a direct approach.

“Persuasion researchers know that decision-makers will often place their faith less in what is being said, and more in who is saying it,” said Steve Martin, an consultant and expert in persuasion research.

Essentially, having someone else toot your horn is the ideal way to win over someone who doesn’t know or is skeptical of your expertise and value.

It truly pays to ask for client testimonials on LinkedIn, use case study examples, provide references, and in some extreme cases, have someone else approach a decision maker on your behalf before you make a direct pitch.

When you finally do make the direct pitch, list references and high-value contacts and clients up front in your proposals.

“Avoid making the mistake of squirreling away you and your team’s credentials towards the end of an already full document. Instead, make sure they are prominently positioned up front,” said Martin.

What if you don’t have any real on-the-job experience yet? Martin says all hope is not lost. Craft your referral statements in terms of your potential – ask a trusted mentor to write about your bright future, sharp mind, and potential for being one of the best sustainability consultants in the field.

Ready to hone your consulting skills and build your sustainability network? Check out our junior consultant training programs.

Growing Your Sustainability Consulting Business: Making the Business Case for Hiring YOU

The SSC Team December 22, 2015 Tags: , , , , , Strategic Sustainability Consulting No comments

Check out this blog from the SSC archives. 

This just in: Nearly 80 percent of global CEOs affirmed in a recent survey  that sustainability has become a part of corporate operations (survey conducted by Accenture and the United Nations Global Compact of 800 global CEOs).

This is great news! As sustainability continues to move mainstream, there should be plenty of new clients crawling out of the FSC-certified woodwork in the coming years.

But that doesn’t mean that getting work is going to be easy. According to a different survey done in partnership with the MIT Sloan School of Management and the Boston Consulting Group just last year, many companies had “not developed a business case for sustainability” and are investing many of their sustainability dollars in maintaining regulatory compliance.

What? That doesn’t make sense, does it?

It sort of does from a business-logic perspective. First, basic environmental protection laws help ensure regulators are pushing companies to clean up or be fined. Second, PR and marketing teams are spending sustainability dollars, as “going green” can help increase sales and reputational value. Then, as some efficiency cost-savings become apparent, the operations team moves in. These elements separately can all be counted toward “sustainability investment,” but that doesn’t mean the company is strategically tackling its move into sustainability by developing a true “business case.”

Why not? According to Gil Friend, founder and CEO of Natural Logic, most people are still “seeing ‘sustainability’ only as a cost, not an investment.” So, naturally they are only doing the obvious low-cost, high return on investment (ROI) sustainability things. This can be especially true for small- to medium-sized enterprises without any real knowledge of sustainability or the resources to tackle the issue strategically (i.e. your potential clients. Hint, hint.).

So the path is clear. Now that you know everything there is to know (See Part 1) about your prospective client, it’s time to develop a tailored “business case for sustainability” that will help you win business by opening client’s eyes to the opportunity that a real sustainability strategy provides. 

In Part 3 of this series, we discuss how to communicate the business case to your prospective client in terms that they will understand (read: shareholder value), but for now let’s just find the business case.

Don’t even think about hugging trees or saving rainforests. According to David Bent, head of business strategies at Forum for the Future, a nonprofit sustainable development organization based in the UK, “the ‘societal case’ does not automatically make a business case.” Yes, there is a lot of societal pressure to address social and environmental problems, but that doesn’t mean that the societal case is going to sell sustainability to a client. Generally, you should focus on what will help the client be a better, more profitable business, and present the societal and environmental benefits as icing on the sustainability cake (unless you’re really lucky and land a socially conscious client!).

Use what you know about the prospective client and pick what you think the strongest business case or cases are. The best news here is that the Forum for the Future has done the hard work for us. In early January, the organization created a table combining key elements of the most commonly used business cases for sustainability. The table, called Pathways to Value, will help you identify how to make direct links between the business strategy of the prospective client and sustainability initiative that will tie in with the client’s strategic goals. To access the chart, click here or type in http://www.forumforthefuture.org/projects/pathways-to-value.

For example, if your prospective client is in a highly regulated industry, like mining, and you learned from research that they’ve just won a contract to open a mine in an area with a large Native American population, they would have a high risk of damaging their reputation, high regulatory costs, and concerns about the license to operate. Hence, you should focus your sustainability pitch heavily on “risk reduction” elements. Yes, the company may also benefit from staff motivation and retention programs, but the biggest payoff in investing in sustainability is probably the area with the strongest business case. And the strongest business case is going to be most interesting to the client; therefore, you should concentrate your pitch on that business case.

By pitching the right product to the client, you will probably have a better chance of earning their business (and, hopefully, when your programs maximize ROI, you’ll look like a genius).

Once you have identified the key business case or cases, it is time to prepare your presentation. In order to make sure you get the most out of every minute of face time, make sure you are speaking to your client in a language that he or she understands. For more about being on the same page, check out Growing your sustainability consultancy business, Part 3: Speak your client’s language.

Enjoyed this blog post? You might want to consider the Strategic Sustainability Masterclass Series. For more information, visit our online training section.

Parent company of Puma provides detailed look at its Environmental Profit & Loss methodology

The SSC Team December 17, 2015 Tags: , , , , , , , , , , , Strategic Sustainability Consulting No comments

This summer, Kering, the parent company of the clothing and footwear manufacturer, Puma, not only published its EP&L, the environmental footprint of the company’s operations translated into monetary values, it published the entire methodology as an open-source tool for others to use.

The EP&L analyses the impact of Kering’s supply chain from raw materials to retail outlets and reports the impact in monetary terms.

In an article about Kering’s decision to open-source the methodology, the company’s CEO said, “Our EP&L has already served as an effective internal catalyst to drive us towards a more sustainable business model. I am convinced that an EP&L, and corporate natural capital accounting more broadly, are essential to enable companies to acknowledge the true cost on nature of doing business.”

From making the business case for sustainability to assessing carbon asset risk in monetary terms, and finally to reporting environmental results using natural capital accounting, more and more companies are moving toward currency as a way to plan, assess, and evaluate environmental performance.

This move makes sense, considering we live in the age of global capitalism.

Kering’s EP&L, along with World Bank’s WAVES initiative, the World Business Council for Sustainable Development’s Valuation Guide, the Natural Capital Coalition, and others, provide strategies to implement natural capital accounting into the sustainability reporting process.

If your company is interested in producing a sustainability report using principles of natural capital accounting, let us know! And check out our analysis of how Puma stacks up to other athletic apparel companies.

Moody’s releases assessment of environmental risk by sector

The SSC Team December 15, 2015 Tags: , , , , Strategic Sustainability Consulting No comments

Moody’s, the bond credit rating agency, recently published two new reports, their global assessment of how environmental risks affect credit ratings and a report that shows how these risks vary across industry sectors (registration required to view).

It’s great to have both reports published because one can see how Moody’s approaches the data and then the results of applying their assessment standards.

Essentially, the agency looked at direct environmental impacts AND consequences of regulatory/policy impacts, crunched those numbers with materiality and timing projections, and, voila – they’ve published a risk profile by industry of 86 global sectors.

The highest risk sectors are projected to hold more than $2 trillion in debt with material credit exposure to environmental risk.

Which sectors are at the highest level of risk? Of course, coal is up there on the top, but some of the others are bound to surprise you.

Check out Moody’s assessments and let us know if you see any surprises on the high-risk list.

If your organization is looking to assess its own climate risk, or perform a materiality assessment to help prioritize sustainability efforts, contact us today.

How to earn respect as a sustainability leader

The SSC Team December 10, 2015 Tags: , , , , Strategic Sustainability Consulting No comments

When trying to lead a sustainability program from the inside, you may find that getting internal buy-in from your peers, managers and executives is the toughest part of the job. This is especially true when sustainability and CSR don’t get a lot of respect as a corporate priority.

Consider the situation from nay-sayers perspectives, though, and you can begin to see why sustainability (and you) aren’t favorites at work:

  • The CFO may be thinking: why was sustainability “forced” on my, and why does it always seem to be spending more money than it saves?
  • The COO may be thinking: have CSR programs really delivered anything meaningful to the company, or is it just a feel-good initiative that’s taking people away from their “real” jobs?
  • Department heads may be thinking: Do sustainability people do anything except for harp about recycling all the time?
  • The Director of Communications may be thinking: I just want to tell a good story. Why do the sustainability managers always want to bring up our weaknesses?

The industry, the corporate culture, the history of the company’s performance, the physical location, and many other factors may contribute to how your co-workers, subordinates, and leadership view the role of the sustainability leader.

In a recent article in the Harvard Business Review, Jim Whitehurst, the CEO of Red Hat, a security software company, gives some solid advice about earning respect inside a corporate culture.

Sustainability leaders may want to pay special attention to Whitehurst’s advice.

  • Show passion for the purpose of your organization and constantly drive interest in it. Even though you may have a TON of ideas on how your company can quickly change and make significant environmental gains, you should frame those ideas and the positive change they can create in language that speaks to the purpose of the organization itself. If internal stakeholders see sustainability programs as strengthening the business as a whole, and not just some ancillary reporting department, they will begin to respect sustainability’s role in the organization.
  • Demonstrate confidence. You may be asking employees who are not under your direct supervision to make changes to purchasing habits, reporting protocols, and behavior. You need to ask them with respect and confidence. Conveying confidence for a program that is supported up the chain-of-command will help establish you – and the programs you are implementing – will encourage others to follow your lead.
  • Engage your people. One of the biggest complaints about sustainability may stem from the top-down approach to change. Of course, you’re gathering the data, interpreting the reports, and making recommendations – but those who have to change because of a recommendation may come to see your role as an arbitrary rule imposer. As you look at programs and policies that affect department function or employee behavior, ask for input, ideas, and thoughts about how to implement change. You may get some great ideas from unexpected places.
  • Don’t be a know-it-all. You may know a bit about sustainability, but you probably don’t know a lot about the detailed work of the different functional areas in your company. By showing passion for shared company goals and values, being confident in your own role, and engaging people in different areas of the company, you will begin to build a positive reputation. But, you may also misstep. By “owning up” as Whitehurst says, you should frankly address when something doesn’t go as planned and help the team build a work-around together.

Managing sustainability is a difficult role in many corporate systems as sustainability is not a supervisory, but more of an advisory, department. This makes it even more important to earn respect with internal stakeholders. By doing so, you will really see the full effects of sustainability programs and help integrate sustainability into the fabric of the company’s culture.

Working on a tough sustainability project where internal stakeholders are pushing back? Let us know in the comments.

TED Talks Sustainability: Harish Manwani, COO – Unilever: Profit is not always the point

The SSC Team December 8, 2015 Tags: , , , Strategic Sustainability Consulting No comments

Nothing inspires us like a good TED talk, and here’s one of our favorites. Enjoy it!

About the Speaker: Harish Manwani joined global consumer products corporation Unilever as a management trainee in 1976; he is now the company's chief operating officer.

About the Talk: Capitalism has delivered some amazing things to society, but also some devastating ones as well. Although we may think that capitalism, and corporations, are all about the bottom dollar, Manwani argues that corporations can, and must, include the “fourth G” in measuring success: growth that is sustainable

Straight talk with the CEO to get better sustainability results

The SSC Team December 3, 2015 Tags: , , , Strategic Sustainability Consulting No comments

Sustainability decisions and reports are data-heavy. And not only that, sustainability data may be unfamiliar to many, including your own CEO.

One of the worst things a sustainability executive or sustainability consultant can do is jargon-speak and data-overload when presenting to corporate leadership.

“Too many executives overestimate the CEO’s understanding of, and desire for, detailed functional data. Many of the best CEOs are generalists who lack deep expertise in most functional areas,” writes Joel Trammell for Entrepreneur.

Remember that the CEO, and in many cases other executives, are relying on you – either as an consultant or as the in-house expert – to analyze the functional data and deliver your expert opinion on that data.

Here are Trammell’s three tips for turning down the data noise and turning up the sustainability signal to get better results:

  1. Keep the big picture in mind. Deliver “concise insight” into how a sustainability program is tracking on goals and how those goals are supporting the company’s overarching goals. Drop the details, and focus on impact.
  2. Focus on the future. When talking about a new sustainability program or report, focus on how the results of the report are going to affect the company’s future performance. Asking for an expensive LCA? Don’t dwell on the cost of the actual LCA assessment, instead frame the ask around how the LCA will “identify risk.” And, by identifying risk the LCA will give guidance on mitigating it, and the result will be long-term, low-risk operations in a more sustainable marketplace. Win!
  3. Ask for support when you need it. “Only the CEO can mitigate conflicts between departments and allocate resources where they are most needed,” said Trammell. This is especially important for sustainability executives, as we are trusted with advising and changing how other departments operate. Not everyone likes change. If you are feeling push back from purchasing on the new sustainable purchasing processes, directly provide guidance on how the CEO can proactively remove barriers in purchasing so he or she can see the positive results you promised from the program (Note: Don’t tattle. Keep it professional with clear action steps from the CEO).

By focusing on the big picture, the future, and framing how your role is working with and for other departments, you can keep your communication with the CEO focused and relevant.

Are you looking to pitch to company executives, but need to translate sustainability performance in a language that the C-suite understands? Let us know!  

Ask a Sustainability Consultant: What is Sustainability?

The SSC Team December 1, 2015 Tags: , , , , Strategic Sustainability Consulting No comments

Enjoy this post from the SCC archives. 

We have been providing sustainability consulting services to organizations worldwide for more than a decade. But, we still find that the sustainability journey is just beginning for many. Here is a post from our archives helping define sustainability. Although the videos are oldies-but-goodies, we still see the value in these straightforward explanations. 

HOW DO YOU DEFINE SUSTAINABILITY?

The answer is not always simple.  Some people think sustainability is a destination, some people think sustainability is a journey (we think it's a little bit of both).  Some people like lofty definitions, like these three: 

Meeting the needs of the present generation without compromising the ability of future generations to meet their own needs.  (Brundtland Commission)

The possibility that human and other forms of life on earth will flourish forever. (John Ehrenfeld, Professor Emeritus. MIT"

Enough - for all - forever. (African Delegate to Johannesburg (Rio+10))

We like those definitions as a rallying call to inspire people to think broadly about sustainability.  But they aren't very helpful when it comes to actually putting sustainability into action.  

For that reason, we love The Natural Step's Framework for Strategic Sustainable Development.  It is based on a scientific consensus about how our world is unsustainable, and then provides four principles that eliminate those causes of unsustainability.  This video is a quick overview:

That's the concept of sustainability that we use here at Strategic Sustainability Consulting.  But it can still be kind of vague -- difficult to put into specific operation in part because a single organization operating within society cannot, on its own, do all of the things necessary to move society toward sustainability.  That's where sustainability strategy comes in.

This video is from Tim Nash of Strategic Sustainable Investments, who is a fellow alumni of the Strategic Sustainability graduate program at Blekinge Institute of Technology in Karlskrona, Sweden (where SSC president Jennifer Woofter also graduated).  It expounds on The Natural Step Framework, and explain how strategy becomes part of the process:

So that's it.  THAT is how we define sustainability.  We believe that these four system conditions provide the foundation upon which we create a sustainable society.  And an organization operating within our current unsustainable world must create a strategy to navigate through that funnel to maximize the value it delivers while minimizing the risk of hitting the "walls of the funnel".

Agree?  Disagree?  Let us know in the comments.