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A Tale of Two Sustainability Reports

The SSC Team February 5, 2015 Tags: , , , , , , Strategic Sustainability Consulting No comments
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By: Alexandra Kueller

Imagine our excitement when we discovered that not one, but two of our clients in the food industry were releasing their sustainability reports on the same day. This got us thinking, How can comparing these two reports help our community? We discovered that the patterns and differences can be translated across industries to help you understand what makes a good sustainability report whether it is your first time or third.

Chicken of the Sea is the nation's leading producer of packaged seafood, producing tuna, salmon, shrimp and more, and they are published their third report. PureCircle is a producer of stevia and natural sweeteners for the global food and beverage market, and they just published their first report.

Below we explore the highlights of the two reports:

Chicken of the Sea

In their third year of reporting, Chicken of the Sea continued to make progress towards their 2020 sustainability goals (2012 baseline). Chicken of the Sea has five main focus areas for their 2020 goals:

  • Energy – reduce electricity and natural gas use by 20% each
  • Waste – reduce landfill waste by 30%
  • Water – reduce water use by 15%
  • Health & Safety – maintain/reduce safety incidents
  • Supply Chain – audit 90% of seafood procurement spend

In 2013, Chicken of the Sea saw major strides towards a lot of their goals, but there were three focus areas that really stood out: waste, water, and health & safety.

Chicken of the Sea made a concerted effort in 2013 to reduce waste that went into the landfill, and it paid off nicely: Chicken of the Sea saw a 27.8% reduction in waste. Not only did the waste focus area see a huge reduction, but so did the water focus area as well. With the goal of 15% reduction, Chicken of the Sea reduced water use by 12.8% by installing new water-saving technology. Finally, Chicken of the Sea saw a 40% lower incident rate than the previous year, staying on par with their goal.

PureCircle

Even though this is PureCircle’s first sustainability report, sustainability has been engrained in their business practices since the beginning. This past year, though, they wanted to increase their transparency. Their first report did an excellent job at outlining their environmental and social commitments, and how those commitments align with their 2020 Sustainability Intensity Goals.

On the environmental side, PureCircle has four main 2020 goals (against 2011 baseline):

  • Reduce carbon intensity across the product life cycle by 20%
  • Reduce energy intensity across the product life cycle by 20%
  • Reduce water intensity across the product life cycle by 20%
  • Eliminate waste across farming and processing operations with zero waste to landfill

So far, PureCircle is on course to meet all of their goals, with one goal (energy intensity) already exceeding the original goal by reducing intensity by 42%.

On the social side of PureCircle’s sustainability goals, the company hopes to:

  • Support 100,000 small-scale farmers with sustainable agriculture policies
  • Ensure 100% traceability from gate to individual farm

PureCircle is working and engaging with small-scale farmers on issues such as food security, biodiversity, waste reduction, and fertilizer application to help improve not only the stevia plants, but to enrich the lives of the farmers as well.

Curious about how a SSC sustainability report might look like? Check out our previous reports here!

4 Keys to Thinking about the Future of Sustainability

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

Here is a blog entry from last year that we thought would be worth another look. Enjoy!

At SSC, we often look to thought leaders and successful CEOs to give us inspiration and we are rarely disappointed in what we find.  In the Harvard Business Review article, Four Keys to Thinking About the Future, author Jeffrey Gedmin offers four ideas to help leaders see into the future. We thought his points below were great, and applied them to sustainability strategy and planning.

1. ENHANCE YOUR POWER OF OBSERVATION.

"For starters, be empirical and always be sure you’re working with the fullest data set possible when making judgments and discerning trends. Careful listening, a lost art in today’s culture of certitude and compulsive pontificating, can help us distinguish the signal from the noise."

Listen to your stakeholders -- both your supporters and your critics. Listen to the language they are using. Investigate their claims.  Ask them for clarification when you don't fully understand what they are saying, and make them be specific. You don't have to respond to every request or complaint that you get, but having an open mind will allow you to spot trends and notice opportunities you might otherwise miss.

2. APPRECIATE THE VALUE OF BEING (A LITTLE) ASOCIAL.

"I’m convinced that a company culture that encourages curiosity is vitally important... Curiosity keeps us learning and helps us, like the virtue of patience, to see the hidden, or understand the unexplained."

Don't put all your eggs in one basket -- experiment, pilot, and test sustainability initiatives in small increments. Find a risk level that's comfortable for you and play around a bit. Ask the question "why?"... a lot.  Find ways to help your colleagues get curious about sustainability and its impact on their job functions.

3. STUDY HISTORY.

"I think you study history to study human nature, the human condition, and human behavior. This is the realm of patterns, but also — frustratingly and fascinatingly — of infinite complexity and unpredictability."

Revisit the sustainability initiatives that failed or were rejected by management and ask some questions. What are the systemic factors that are keeping your sustainability strategy from reaching its full potential? What lessons from other departments and initiatives can inform your approach? Are there examples that you can draw on from other industries, or other parts of your supply chain? Sustainability challenges are rarely unique, and in most cases you can find answers (or parts of answers) if you look around and notice who's been in a similar situation before.

4. LEARN TO DEAL WITH AMBIGUITY.

"Whether it’s nature or nurture, most of us seem hard-wired to sort the world into simple binary choices. Alas, there’s often lots of grey out there."

What impact is climate change going to have on your business? How is a growing income disparity going to affect your market share? When will tighter regulation on your supply chain partners start impacting your pricing model? You will find that the true answer to these questions is, "I don't know." Sustainability is so complex that it is often impossible to accurately predict the future. So effective sustainability leaders must learn to successfully deal with ambiguity. Using systems thinking, applying sustainability principles ("reduce reliance on fossil fuels") rather than prescriptive rules ("install solar") will help sustainability leaders stay flexible and open to the best opportunities when they present themselves down the road.

Thanks to Environmental Leader for publishing a version of this article on their website!

SSC helps companies develop sustainability strategies that are relevant today, AND sets a course for the future. If you'd like some assistance creating or refining your sustainability roadmap, please contact us. We'd love to help.

5 Ways to Keep Your Sustainability Strategy on Track

The SSC Team January 20, 2015 Tags: , , Strategic Sustainability Consulting No comments

Be sure to check out this previously published blog entry for some inspiration to start off the new year right on track. Enjoy:

There is nothing more frustrating than seeing your company’s hard-fought sustainability strategy slip away as a result of competing priorities, disengaged employees, or an opaque bureaucracy. Don't let your efforts go to waste!  Incorporate as many of these ideas into your sustainability plan as you can to ensure that it continues to evolve and adapt (and even improve) long after the initial enthusiasm is over.

1. Frame sustainability in terms of business process and success.

The more you embed sustainability into the existing systems of your company, the more it will become business-as-usual, and thus harder to forget or ignore. If your company has a standard 3-year payback time for capital investments, then make sure your sustainability expenditures pay for themselves in less than 36 months. If your HR department has a skill categorization used for new hires, then make sure that sustainability aspects are added to the tool used by the HR managers. Make sustainability criteria part of the existing new vendor on-boarding process, rather than a separate questionnaire. And in each of these areas, make sure that you can clearly and concisely explain why sustainability adds business value. If you can't do that, you're going to have major trouble getting others on board.

2. Put sustainability into job descriptions. 

What does your sales team need to know about the company's sustainability goals? What kind of eco-design experience do product developers need? What do facilities managers need to know about LEED? What do customer service reps need to be able to explain to sustainability-minded buyers? In which sustainability reporting standards and green marketing guidelines should the marketing staff demonstrate competence? Go through each category of job descriptions--by both department and seniority level--and identify the hard and soft sustainability skills that are needed to execute and improve the company's sustainability strategy over time.

3. Put sustainability into work orders.

Embed sustainability into the way that your work gets done. Whether you call it work instructions, or a standard operating procedure--make sure that you make it explicitly clear who, where, when, why, and how sustainability should be incorporated into everyday tasks and periodic activities. But make sure that the instructions don't have sustainability jargon written all over them- instead, make it simple and clear so that the discrete components of a larger sustainability activity are broken down and inserted into the relevant business process.

4. Set corporate goals, but require business units to get involved.

Letting each department create its own sustainability strategy is like herding cats—it’s nearly impossible to get everyone headed in the same direction. Forcing business units to conform to a single set of corporate sustainability activities is also a recipe for disaster since it ignores the innate differences that appear across geographies, duties and responsibilities, and workforce demographics. Instead, opt for a hybrid approach: decide what sustainability means for the company as a whole. From there, develop three to five top sustainability goals--like reducing carbon emissions by 15 percent in five years. Then, let the individual business units create action plans to get there--using whatever means are most applicable to their unique situation. When business units take ownership over execution of the plan, they are much more likely to see it through to the end.

5. Institute a semi-annual sustainability presentation to the Board of Directors. 

Nothing creates a sense of accountability like standing before the highest governance body of your organization to report on your sustainability successes and failures. Particularly when you follow the rule #1 above (frame sustainability in terms of business success), your board will be eager to hear about how sustainability is reducing operating cost, mitigating risk, increasing revenue, opening up new markets, and improving staff recruitment and retention. Perhaps more than any other group, the Board will force you to answer the question, "what value does this bring to the company?"

If these aren't enough for you, consider adding these options as well:

  • Publish an annual sustainability report -- it's hard to step backwards once you've put yourself out there in terms of transparency and disclosure. And once you're committed to doing a report, you'll be motivated to keep it full of awesome stories, meaningful metrics, and a sense of momentum.
  • Incentivize sustainability performance -- make sure that your performance-based compensation structure (bonuses, stock awards, other perks) are linked to achieving sustainability goals. Make sure to include both short- and long-term sustainability goals, so that people are encouraged to see the big picture, rather than just the year-end goal posts.
  • Dedicate time and money to bringing in outside experts -- Outside perspective can be invaluable. Whether it's a sustainability consultant, a local government representative, or the leader of a national NGO, hearing from sustainability advocates can test your assumptions, reveal new possibilities, and validate your charted course. Get inspired, get challenged, and get re-committed!

What has your company done to keep the sustainability momentum alive and well? Share your comments below, or tell me on Twitter (@jenniferwoofter). And if you liked this article, please share it on your social media platform of choice!

Thanks to 2degrees for also publishing this article.  Read it here.