This post examines the importance of successfully communicating the importance of sustainability for the bottom line, in terms of risk mitigation, value opportunities and business benefits associated with sustainability to an organization’s CFO. The CFO is typically ultimately responsible for investor relations, facilities, purchasing, human resources, IT and have a large impact on all organizational resource allocation decision making in general, and CFOs can have a major impact on the ultimate success or failure of an organizations sustainability programs.
ISO 26000, the global Guidance on Social Responsibility was recently launched. Large to small organizations can strive to be ISO 26000-compliant, stay ahead of the curve and grab the “leader” advantage. Or conversely, companies can risk being a “laggard” and lose vital business opportunities.
Andrew Winston, founder of Winston Eco-Strategies, kicked of day two of the Sustainable Brands 2010 conference with an informative talk on how the difficult environmental, economic and supply challenges that business and industry face, have changed that game and how those challenges are presenting opportunities.
A recent study by A.T. Kearney indicates that firms with “true commitment to sustainability” outperform industry peers in the financial markets. Companies that embraced sustainability before it became in vogue, now have the competitive advantage. These companies increased production volume while reducing greenhouse gas emissions, decreasing water consumption, optimizing packaging volume.
An excerpt of the latest book by one of the author’s of Green to Gold, Andrew Wilson, is available for free download. The excerpt, titled “Green Cost Cutting: Five Ways to Get Lean Now”, includes the introduction of the book and the core chapter on getting lean. It offers an insightful preview of the full book, “Green Recovery: Get Lean, Get Smart, and Emerge from the Downturn on Top”, which lays out ways to get lean quickly, which can help companies survive today and preserve capital to invest in people and innovation and presents a plan that can prepare companies to emerge from the downturn in a much better competitive position.
By some measures 2009 has been the worst year in the young solar PV sectors history. In fact, global revenue for Photovoltaic (PV) panels is expected to drop by nearly 20 percent in 2009, as oversupply causes prices to crash by nearly fifty percent. Many of the weaker firms may not survive this shakeout and right now things do look very gloomy – even though by some other measures 2009 is not as bad as it may seem. For example more newly installed capacity (4.2 GW) is installed this year than any year – ever; however this is of little comfort to the many firms in this sector that are being buried under an avalanche of negative revenue. This article examines the short term outlook for the solar PV sector going forward, basing itself on market data from a recent iSuppli study.
In the September issue of Harvard Business Review, authors Ram Nidumolu, C.K. Prahalad, and M.R. Rangaswami provide a framework for adopting sustainable practices to bring about technological and organizational innovations that will ultimately yield top-line and bottom-line returns, providing a competitive advantage when the recession ends. They feel that sustainable companies will emerge from the recession ahead of their competitors, who will face difficulties trying to catch up.
