Strategic Sustainability Consulting

Strategic Sustainability Consulting

United We Understand: EcoPulse 2017 Special Report

The SSC Team August 9, 2018 Tags: , , , , , , , , , , Strategic Sustainability Consulting No comments

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White Paper: United We Understand
This special report released by GreenBiz earlier this year is centered around the idea that words have power. Are you choosing the ones that unify? Or the ones that divide?

In an age filled with divisive rhetoric, sustainability messaging can be a unifying force. Check out this report for ideas about how your company can create sustainability messages that help you connect with your consumer values.

 https://www.greenbiz.com/whitepaper/united-we-understand-eco-pulsetm-2017-special-report

5 Ways You can Promote Sustainability by Instilling Values In Your Organization

The SSC Team August 7, 2018 Tags: , , , , , , , , , Strategic Sustainability Consulting No comments
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It's a common problem in sustainability consulting: how do you get employees to pay attention to sustainability and integrate social and environmental considerations throughout their job responsibilities and daily behavior? New research in psychology has some insight, and we're diving in for a closer look at how focus on values and virtues can help drive organizational success.

In 5 Reasons You Need to Instill Values in Your Organization, Jessica Amortegui outlines the connection between good intentions and effective transformation in the workplace. "It is an old truism: employees do not turn to written statements on the company intranet for clues about how to behave--they look to each other," Amortegui writes. "If your goal is to intentionally shape the actions and interactions of employees, you know the importance of creating a 'values-based' culture. However, you also know how difficult it is to implement one."

She further adds: "For companies to truly close the chasm between their stated and lived values, they must enter the human psyche to extract excellence from the inside-out, not dictate it from outside-in. This requires organizations to pivot their approach: rather than get people to live the values, they should focus on the values that live in the people. This taps into the innate qualities that exist across mankind: human virtues."

There a lot more great information in the article (read it in its entirety here) with many helpful links to additional studies and research, but what caught our eye was how Amortegui's thinking could easily be applied to the sustainability work we do with clients. Below, we take excerpts from her list (in italics) and add our own commentary on how it applies to sustainability-oriented change management.

1. Virtues Are a Workplace Game Changer

Amortegui: Employees who feel welcome to express their authentic selves at work exhibit higher levels of organizational commitment, individual performance, and propensity to help others.

Just as Walmart found with their Personal Sustainability Projects, allowing employees to identify a sustainability-related behavior that was personally relevant and valuable was instrumental in creating corporate-wide momentum. Consider how you engage employees -- are you making it clear how "green" opportunities and expectations in the office allow them to bring their most authentic selves to the job?

2. Virtues Lead To Growth Of The Whole Person

Amortegui: The ideal company makes its best employees even better--and the least of them better than they ever thought they could be. Employees are not just looking for the best places to work. They want to join the best places to grow.  

Find ways to tie sustainability goals into personal growth opportunities. Whether it's allowing employees to practice a hands-on skill (how to build a rain barrel or the basics of composting), develop speaking skills (hosting brown-bag workshops on green topics), or engaging with senior managers (participating on the Green Team), make sure that you cultivate a clear link between the initiative itself and the opportunity it provides for participants.

3. Virtues Lead to Greater Onboarding Success

Amortegui: When companies emphasize newcomers' authentic best selves, versus an organizational identity, it contributes to greater customer satisfaction and employee retention after six months.

Start talking about the opportunities for employees to exhibit their personal values by contributing to the company's sustainability efforts from day one. Include an overview of your sustainability goals and strategy in new employee orientations.  Find out how their personal interests and virtues align with the organization and invite them to participate accordingly.

4. Virtues Improve Engagement

Amortegui: Two of the most important predictors of employee retention and satisfaction are reporting to use your top strengths at work and reporting that your manager recognizes your top strengths. 

The more that mid-level managers understand and communicate sustainability goals and priorities to their staff, the easier it will be for employees to "get" how their individual job responsibilities play into the larger picture of organizational sustainability. Provide the training and leadership needed to get managers to 1) understand, 2) communicate, and 3) recognize sustainability potential in their departments. 

5. Virtues Increase Self-Awareness

Amortegui: Organizations that realize this potent potential for human excellence will transcend their current cultures and create a greenhouse effect: shining brightness on what is best about their people while cultivating the conditions for any organizational value system to live, breathe, and flourish.

There is great knowledge within your workforce about the practical realities of achieving sustainability in the workplace, within your industry, and in your community. Companies that tap into that knowledge on a regular basis will find that they reap a myriad of rewards: enthusiasm, morale, expertise, and engagement. Why not take advantage of it!

Want to read more about employee engagement? Check out another article we wrote on the subject for 2degrees, Three Ways to Engage Non-Wired Employees.

Thanks to 2degrees for publishing a version of this article!

Sustainability Consulting Round-Up: Best of Our Blog from July 2018

The SSC Team August 2, 2018 Tags: , , , , , , , , , , , , Strategic Sustainability Consulting No comments
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We try to post a new blog at least once a week, just to share our insights into the world of sustainability strategy and what it takes to be a sustainability consultant or professional today. Here are our most-read posts from July.

 

Big Businesses Making Smarter Sustainable Choices

 

Motivate Your In-House Team to Meet Your Sustainability Goals

 

Why Standards Would Benefit the Green Finance Industry

 

Facility Managers: Putting Energy & Sustainability Practices to Work

  

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4 Root Causes of Unsustainability

The SSC Team July 31, 2018 Tags: , , , , , , , , , Strategic Sustainability Consulting No comments
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There are 4 reasons why we are unsustainable as a society and in this Alexandre Magnin examines the root causes of unsustainability based on based on science, cycles of nature and social issues.

https://sustainabilityillustrated.com/en/portfolio/4-root-causes-of-unsustainability/

Why Standards Would Benefit the Green Finance Industry

The SSC Team July 26, 2018 Tags: , , , , , , , , , , , , , , , Strategic Sustainability Consulting No comments
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It’s safe to say we all agree that green efforts in any industry should be applauded and the same is true when it comes to finance. But while a desire for green finance continues to grow worldwide, how can investors and issuers best identify and evaluate risk when the industry has no standards?

It’s clear that the industry is seeing major growth. In 2017 the issuance of labeled green bonds (PDF) jumped to nearly $160 billion and the self-labeled U.S. green bond market more than doubled, powered by a mix of municipalities, states and large corporations. But as these new and innovative financing options are being established, it seems increasingly important that some mandatory standards be created to guide those working in the industry.

Standards in the world of green finance would be beneficial for both investors and for issuers. For investors who are building their green portfolios and need assurances of best practice and reliable ways to monitor the quality of green instruments — regardless of which geographies or industries they invest in — a sense of best practices and who is meeting them would clearly help with decision making. When it comes to issuers, common standards would clarify options in terms of issuance while also ensuring that deals are being appropriately structured and reaching the right investors for each project.

Standardization also serves to enable innovation because it establishes a level playing field. While ING was first to issue a sustainability rating-linked loan, they have since observed that other banks have embraced different set-ups. Five years ago, Climate Bonds Initiative (CBI) and the International Capital Markets Association (ICMA) both set out to establish a voluntary set of guiding principles for participants.

The framework from both organizations was focused on the process that needed to be followed when issuing green bonds: how issuers should describe the allocation of proceeds to investors; how a second opinion should be obtained; and how they should set about reporting in a transparent way.

And as a way to help kick-start the market, these served as helpful principles that could reassure investors and facilitate the uptake of green bonds, without being overly prescriptive about the use of the finance.

But the market has greatly expanded since 2013 and questions related to the use of green bond proceeds — their so-called "content" — have inevitably arisen: Which projects will qualify in specific sectors? Where should the boundaries be set? Where should classifications lean towards green or social bonds?

While CBI and ICMA with the input of other banks and stakeholders have continuously refined their earlier standards, the fact that the principles remain voluntary means that issuers do not need to follow them. On the flip side, if the standards around the industry become too settled, it will be difficult for the market to support the wide range of investor who would like to participate.

Who are these investors? Well the green finance industry has groups coming from varying green backgrounds, including investors with dedicated mandates for green bonds, investors with diversified portfolios that include pockets of green, and investors who find green bonds attractive but don’t have a dedicated mandate in place.

Because of their varying levels of commitment to being green, the investors might have different standards. Those with a dedicated green mandate are going to put potential issuers under much higher scrutiny than others.

And this is where there is a fine line to maintain between what investors want and expect, and what issuers want and need. It’s simply a fact that different industries are moving at different speeds when it comes to sustainability and different industries will face distinct challenges along the way. Within the investor community, there are a range of perceptions about standards and the various investment opportunities available.

Chief executive of the Loan Market Association, Clare Dawson, summed up the need for green finance standards perfectly, "With any new market, establishing a general framework for the product such as the Green Loan Principles (GLPs), which we recently launched, is beneficial as it helps create a common understanding of what people are looking at. We will be seeking to develop the GLP further to accommodate a wider range of loan structures, including revolving credit facilities, to maximize the number of borrowers able to take out green loans."

While issuers and investors have managed admirably with a voluntary patchwork of existing guidelines this far, a fresh set of commonly adopted standards will be the key to allowing green markets to expand. If these standards put the emphasis on process over content, it should create better conditions for green markets to thrive in future. And that’s great news for everyone.

Motivate Your In-House Team to Meet Your Sustainability Goals

The SSC Team July 24, 2018 Tags: , , , , , , , , , , , Strategic Sustainability Consulting No comments
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Convincing employees to work hard and work well is a millennia-old management challenge. Hundreds of studies point to proven motivational tactics, such as goal setting, feedback, and incentives, but all of these tactics can (and will) backfire.

“Chances are that you (at least sometimes) are using the wrong tools under the wrong circumstances,” writes Juliana Schroeder, a behavioral economist and psychologist.

Using feedback effectively

  • Use positive feedback to enhance personal commitment. For example, if you’re ramping up the arduous data collection process that goes along with a complex, detailed life-cycle assessment, that’s when you want to use encouraging words. We can do this!
  • Use negative feedback when you’re nearing the finish line. So data collection starts off well with everyone ready to get going and get the project done, but you get into a lull midway as the engineers and logistics folks are tired of taking your calls, that’s when you might want to roll out some stern warnings about being a team player and calling your supervisor.

Goal Setting

“Typically, a shorter distance between you and your goal is more motivating than a longer one,” writes Schroeder. “It feels within reach, and it’s easier to feel that you’re making progress. This means people should set closer targets or sub-goals.”

Using the same example from above, don’t kick off your LCA talking about the mountains of data we shall climb, instead map out with a consultant who has experience with LCA reporting a reasonable set of milestones for data collection inside of various processes identified. And when you see a big knot to untangle, break it into smaller pieces and set goals based on achieving the sub-goals.

“Focusing on the least amount of distance—either from the start or from the end of your project— is more motivating,” said Schroeder.

This means, don’t look up when you’re at the bottom, and don’t look down when you’re at the top.

Focus on the middle stages

“Research has found that people are more likely to slack off or behave unethically around the middle of a project,” said Schroeder.

Take this into consideration when project planning. If your team can quickly identify what the onerous parts of the job will be, and take on those early wince folks will still be motivated to perform well. In the middle, focus on the low-hanging fruit, like collecting the utility or transportation data or info you can get from third party vendors. If big obstacles pop up in the middle, try and work around them and save them to the end to tap into the motivation folks feel right as a project is wrapping up.

Incentives

If your company has the structure to provide incentives, don’t hesitate to use them. But don't go overboard.

“People will work harder for incentives they can get sooner—even if they are smaller than those they would get after waiting longer. The lesson here is simple: To motivate people, use immediate incentives,” said Schroeder.

If a team has a goal, structure small incentives for the manager or team member that help validate the hard work put in. Consider an extra day off for completing the work on time or a group luncheon after every major milestone.

“People also seem to value intrinsic incentives more when they are in the middle of pursuing a goal than when they have not yet started,” said Schroeder.

When working on sustainability projects, help frame the work in terms of the intrinsic benefits to the team members, to the company, and to company strategy focused on reducing environmental impact. Ideally this will already be a part of the company’s strategic plan, but capitalize on the feeling that employees have when they can take pride in working on a project that goes beyond the bottom line.

Selecting motivational tools can be complicated, especially keeping them fresh and appealing to meet the changing needs of employees. But, if you haven’t yet taken a strategic look at motivation, now is a great time to start.

Need to launch a life-cycle assessment or carbon footprint in 2018? We can guide you through the process and help keep your team motivated along the way.

TED Talk: To Eliminate Waste, We Need to Rediscover Thrift

The SSC Team July 19, 2018 Tags: , , , , , , , , , , , , , Strategic Sustainability Consulting No comments
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Everyone loves a good TED Talk! Here’s one of our favorites

Andrew Dent is hitting all the right notes in this talk about reducing our waste creation. Dent believes there should be no such thing as throwing things away because no matter what it is — used take out containers, broken toys or an old pair of undies — it inevitably ends up in a landfill if we dump it. It’s time to get smarter about the way we make, and remake, products. Dent’s focus is centered on the idea of thrifting, basically avoiding the purchase of anything new. His talk also explores advances in material science, like electronics made of nanocellulose and enzymes, which can help make plastic infinitely recyclable.

Facility Managers: Putting Energy & Sustainability Practices to Work

The SSC Team July 17, 2018 Tags: , , , , , , , , , , , Strategic Sustainability Consulting No comments
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In this white paper from GreenBiz, you can learn more about how Facility Managers are prioritizing energy, water, and waste efficiency initiatives in response to current market conditions.

Key sustainability findings from surveyed facilities professionals and market insights on topics including: How Facility Professionals are Utilizing Energy Data to Drive Low/No Cost Efficiency Initiatives; The Role of Right-Sizing and Right-Streaming in Driving Toward Waste Reduction Goals; Go-to Strategies for Water Conservation and more.

 https://www.greenbiz.com/whitepaper/facility-managers-putting-energy-sustainability-practices-work

Big Businesses Making SMARTER Sustainable Choices

The SSC Team July 12, 2018 Tags: , , , , , , Strategic Sustainability Consulting No comments
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When it comes to sustainability, it doesn’t make a lot of sense to focus on making choices that benefit the community if you don’t actually care about the people in it. So the recent announcement by Hershey that it will be launching a Shared Goodness Program aiming to make a positive impact on people’s lives, while also meeting the demands of customers and investors, is admirable.

 

Here’s the thing, anyone can talk the talk, but when companies show that they can actually walk the walk it’s a call for other major corporations (and smaller businesses, too) to take note that focusing on people over profit can work.

 “[We] believe – and prove – that you can be a fierce competitor in the market while operating in a compassionate way…,” said Michele Buck, Hershey’s CEO. With the Shared Goodness Promise, the company pledges to be successful in a way that makes a positive difference.

This desire to improve sustainability isn’t simply driven by wanting to be a good corporate citizen, it is also inspired by other needs such changing consumer preferences in terms of help AND sustainable knowledge. Transparency toward supply chains, packaging and responsibly sourced ingredients are also motivating companies to adjust their methods. For example, Hershey is reimagining some of its core snacks while also working to use more sustainably sourced ingredients – such as cocoa, palm oil, sugar and coconut – and providing consumers with more information by utilizing QR codes on their packaging.

And Hershey is not alone. A recent post from GreenBiz highlighted the ways in which General Mills, McDonalds and Kering are also setting credible, courageous sustainability goals

 

Making bold choices when it comes to sustainability goals is not only a wise business strategy, but also a positive stewardship policy. And there are a lot of ways that businesses can move toward making more sustainable choices.

While many companies have been focused on establishing SMART goals (Specific, Measurable, Attainable, Relevant and Time-based), Jon Dettling the US Director for Quantis, believes that the corporate world should re-evaluate this process and instead creating SMARTER goals (Science-based, Moving the pack, Ambitious, Relevant, Timely, Earth-bound and Reaching out).

Dettling believes that meaningful sustainability goals shouldn’t be focused simply on the individual companies, but also all the partner organizations that they do work with. That means inspiring your suppliers and clients to make changes, too.

McDonald’s announced its first science-based target this year, covering restaurants, offices and supply chain. The commitment covers franchisees, which account for the bulk of McDonald’s-branded restaurants. Since McDonald’s doesn’t produce goods, they can only achieve these goals by working with supply chain partners.

General Mills’ Jeff Hanratty said, "It’s scary to share a goal with someone, and in the same sentence tell them you’re not sure how you’re going to achieve it. But this is science. We didn’t pull it out of the air, it’s what Mother Nature needs from us."

Scientific understanding and data evolve and can be relatively fluid, which means targets must be as too. McDonald’s Rachael Sherman agreed, noting that once people understand the concept, they are much more comfortable with shifting goals.

As big businesses start to embrace these sustainable movements and encourage their partner organizations to do the same, it’s a powerful opportunity to inspire other companies to make meaningful changes to the way they operate. It’s not just about saving money, it’s also about saving the world around us.

Do You Need Expensive Software for Environmental Reporting?

The SSC Team July 10, 2018 Tags: , , , , , Strategic Sustainability Consulting No comments
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According to a recent press release by the Environmental Business Journal (EBJ), the U.S. environmental industry grew 3.9% in 2014. Although the data will take another 10 months to come together for 2015, it’s fairly safe to say the sector saw growth again last year as the economy held steady.

EBJ reports on 14 business segments divided into three categories, all three categories showing upward trends in 2014.

The largest single growth area in 2014 was a double-digit gain in environmental software and information systems.

The industry has seen many environmental, health, safety and sustainability software vendors disappear as quickly as they appear, but every industry sees the tech start-up side get red hot, cool off, and heat up again.

With evolving needs, evolving science, and evolving technology capabilities, it is not at all surprising that many start-ups struggle in this field.

Complicating matters is the fact that many of the customers that a software company in the environmental software and information systems field would need to acquire aren’t fluent in what they actually need to purchase (or how to use it).

Environmental reporting and data management systems are a lot like complicated legal matters or the tax code: companies likely need a specialist, and we haven’t reached a tipping point in the business community where enough companies have specialists.

Companies might buy a software license from a promising start-up with good software, yet not know how to actually collect the appropriate data and end up not using the tool to its potential. By the time they’ve got the team in place and are ready to ramp up, the software tool they’ve purchased needs an expensive upgrade because of changes in the science, regulations, or standards of sustainability reporting. You can see how the CEO might balk on a second wave of investment when the first wasn’t a huge success.

It’s not that start-ups are struggling in a silo, it’s more likely that we just haven’t reached a critical mass of companies with the in-house resources that can gain maximum value from a well-built environmental software tool. Combine that with a standard of reporting that itself is a moving target, and it is really difficult to gain traction as a environmental software company.

If you know your company is ready to do begin sustainability reporting, but don’t have the in-house team to manage the software tools on the market, contact us. We work with leading software programs for tracking and reporting on environmental data, and help companies determine what might will for them.