The Business Sustainability Challenge The Business Sustainability Challenge ~ BSC 103 ~ The Sustainability “Playbook” Teams, Goals, Plans, & Budgets AGENDA 8:00 Welcome Back! Agenda, Introductions, Quick Recap BSC101 & 102 8:15 SCORE Experience Debriefing & Sounding Board Introduction of Willing, Ready and Able 9:00 Summary of SCORE Results Sustainability Jeopardy Sustainability Treasure Chest Walk and Talk 9:50 Break 10:00 10:45 The Sustainability Playbook: Teams, Goals, Plans Homework Assignment 11:00 Announcement! 11:20 Mini Team Meetings (start homework!) 11:40 Questions & Answers, Announcements, Evaluations 12:00 Adjourn Housekeeping • • • • Safety Cell Phones Breaks Evaluation Feedback – thank you! – Classroom Time Management – Size of Presentation Image/Text – Value of Handouts • Quick Recaps only please • Introductions Business Sustainability: • A proactive approach to ensure the long-term viability and integrity of the business by optimizing resource needs, reducing environmental, energy and social impacts, and managing resources without compromising profitability Social Environmental Economic SUSTAINBILITY The Curriculum: BSC 101 – 108 BSC 101 - Sustainability 101: the ROI of investing in the Triple Bottom Line BSC 102 - Sizing up your Footprint: Measuring & Managing Energy & Carbon BSC 103 - Green Teams, Goals, Plans, & Budgets: Creating a Playbook BSC 104 - Waste Not, Want Not: Greening Your Lean BSC 105 - Conservation Conversation: Energy, Water, Transportation BSC 106 - Greening the Stream: Sustainable Supply Chain Management BSC 107 - Sustainable Operations & Maintenance: Continuous Improvement BSC 108- Sustaining Sustainability: Communicate & Inspire Culture Change Review of BSC101 March 23rd, with instructor Maureen Hart • Introduction to Business Sustainability Challenge Program • Introduction to Sustainability – concepts, terms • Business Case for Sustainability • Introduction to SCORE (Sustainability Competency, Opportunities, Reporting and Evaluation) Assessment Process • Prepare for SCORE site assessment Review of BSC102 April 20th, with speakers Bob Wall of CCEF Marissa Westbrook of UI and Walt Tunnessen of EPA • Introduce Climate Change Initiatives in CT • Understanding the connection between energy management & carbon management • Understanding why and how to measure and manage your carbon footprint • Introduce *new* Energy Star Tool • Introduce Energy Star Challenge for Industry SCORE Assessments are DONE! Congratulations and Thank You to.. • Maureen Hart and Ed Hart of Sustainable Measures • All those who dedicated their time and insights to recruit and participate in the SCORE Assessment process. • Here to report back, is Maureen Hart The “Prize” Savings Sustainable Savings • Continuous Improvement Process • Holistic Approach • Energy Management Systems • Benchmarking and Targeting • Training and Knowledge Transfer • Sustainable Business Practices Years The “Do Nothing” Case Traditional Audit Approaches Business Sustainability Challenge Program Objectives • Improves the triple-bottom line of economic, environmental and social sustainability through responsible energy and carbon footprint management • Empowers businesses to change their behaviors and achieve deeper and longer-lasting savings • Provides access to resources and tools to help companies meet the challenge of becoming sustainable businesses Sustainable Business Practices • Ensure company’s long-term viability by – optimizing resource needs, – reducing environmental, energy and social impacts, and – managing resources without compromising profitability – working with suppliers, customers, employees and communities to find synergies (virtuous cycle) 21st Century Thinking Vibrant Society Strong Economy Healthy Environment Sustainable Production Evolution Sustainable Development and Sustainable Communities Upstream and Downstream/ Supply Chain and Life-cycle Local Effect (workers & community) Resource Use &Performance Compliance/ Conformance Based on Lowell Center for Sustainable Production Hierarchy of Sustainability Indicators The “Prize” Savings Sustainable Savings • Continuous Improvement Process • Holistic Approach • Energy Management Systems • Benchmarking and Targeting • Training and Knowledge Transfer • Sustainable Business Practices Years The “Do Nothing” Case Traditional Audit Approaches Sustainability Playbook for the 21st Century Business • • • • Who’s winning? Who’s losing? Who isn’t playing? Who doesn’t know there’s a game on? Profitability 21st Century Businesses Sustainability Profitability 21st Century Businesses Sustainability Profitability 21st Century Businesses Sustainability 21st Century Sustainability Playbook • Winning will require : –Wanting to win –Being ready to win –Having the ability to win • Which companies have what it takes to succeed? Goals for Using SCORE • Pilot Companies – self assessment – All functional areas, multiple staff levels – Initial introduction of sustainability concepts – Extent of integration into policies, programs, and practices – Identification of strengths, challenges, opportunities Goals for Using SCORE • Business Sustainability Challenge – Benchmark cohort starting point – Provide baseline for future cohorts – Better understanding of what makes companies successful – Identify additional resources/training needs – Identify key leverage points Scoring SCORE • What worked • What didn’t work – How could it be improved • What was learned • What more needs to be learned – Using SCORE for future cohorts SCORE – What worked • Initial baseline developed • Identification of – Key leverage points – Training Opportunities – Ways to scale up BSC program • Fostered dialogue within and between cohort companies What didn’t work • Preparation – need more info upfront – For the company - glossary, preliminary questions, intro to sustainability – From company – key characteristics of company, list of metrics and projects, company ownership/locations • Timing – fewer questions, shorter day, and larger groups • Balance between engaging staff and getting consistent results. What was learned • Management commitment is key • Correlation between sustainability and other programs (Lean, TQM, TPM) • Levels of ‘readiness’ to match ‘levels’ of BSC program • Disconnect between KPI metrics and sustainability progress measures • Concerns about CT economic ‘ecosystem’ What still needs to be learned? • How to create an effective network of CT companies working on sustainability • How to dance with the ‘800 lbs gorillas’ (regulators, municipalities, mil specs, FDA spec, FAA specs) Questions for you about SCORE • How did participating in the process benefit your or your company ? – what was learned? – what changed as a result? • What feedback did you get from the rest of the staff that participated? • Is it a useful tool for future BSC cohorts? – What changes would make it better? Are you ready to play? SCORE Report Structure EXECUTIVES Incubator Just starting Pilot efforts Ad hoc Initiative Integrated Embedded in systems Influencing others Responsible for all impacts Formal program Transitional structures Plans and reports SCORE Results--All Functions Rating (0-9) 0 3 You are here 1.5 1.4 Facilities 2.2 1.0 Human resources Office operations Purchasing 1.9 0.0 1.7 0.8 1.0 Environmental affairs 1.9 1.6 1.1 Marketing/PR 0.0 Sust Mgmt System Vision Strategy Communication/Educ. Commitment Implementation Transparency Reporting 1.0 2.0 3.0 Finance/Accounting 4.0 Sustainability director/coordinator 6 1.0 Top Management Function • Intro • ‘You are here’ scale • Charts (function overview and sector) • Kudos • Areas for Improvement • Next Steps • Resources • Charts for each function 2.1 2.0 0.8 0.5 1.3 Client Benchmark 9 What SCORE does • Focus on organizational practices • Structured the way organizations are structured • Makes it easy to assign accountability and responsibility • For each practice, shows a range of performance, from initial pilot efforts to ‘sustainable’ "This assessment was very valuable. It tells you where you are now but also gives you ideas of projects you should undertake to become sustainable. It was easy to use and a good reality check for how far we need to go.” —Administrative manager in a City SCORE Results by Function SCORE Results--All Functions Rating (0-9) 0 3 1.0 Top Management Purchasing 1.8 1.1 Human resources Office operations 0.4 0.3 1.0 1.9 2.1 0.7 Marketing/PR Sustainability director/coordinator Info/Comm Tech 2.0 1.5 Environmental affairs Finance/Accounting 2.1 0.9 Facilities 6 0.3 2.8 1.2 1.0 1.2 1.8 2.3 BSC 1st Cohort 2010 Benchmark Last Year (if available) 9 Functions Detail Functional Chart 1—By Item 0.0 Sust Mgmt System Vision EXECUTIVES Strategy Communication/Educ. Commitment Implementation Transparency Reporting Energy Waste Landscaping FACILITIES Transportation Construction Operations Janitorial Fleets Water Executive Education HUMAN RESOURCES Implementation Culture Training Perfomance Compensation Climate Commuting Volunteering 3.0 Rating 6.0 9.0 Functions (cont.) Function Chart 2—By Item OFFICE OPERATIONS 0.0 Supplies/Equipmt Energy Transportation Contract services Food Service Remodels ENVIRONMENTAL AFFAIRS PURCHASING Policy Audits Suppliers Contracting Reinforcement Sust Mgmt System Chemicals Water Natural Resources Air Emergency Response Role Haz Waste 3.0 Rating 6.0 9.0 Functions (cont.) Functional Chart 3—By Item INFO/COMM TECHNOLOGY SUSTAINABILITY DIRECTOR FINANCE/ACCOUNTING MARKETING/PUBLIC RELATIONS 0.0 Strategy Positioning Internal mkting Materials Outreach Stakeholders Incident response Analysis Reporting Investments Budgets Metrics Sust Mgmt System Vision Plan Metrics Reporting Role Data Center Equipment E-Waste Dematerialization Process Support Product Support 3.0 Rating 6.0 9.0 SCORE Results for the Sectors Manufacturing—Mission Related 0 1.69 Design Design for environment 2.03 Packaging 1.22 Supplier influence Lifecycle thinking 0.13 0.16 Operations 2.4 0.5 1.38 1.2 1.06 1.4 Transportation/distribution 0.91 Social impacts 2.4 1.87 Chemicals Waste Mgmt 2.5 1.16 1.2 Resource efficiency Product stewardship 3.2 0.8 Energy Climate change Rating 3 0.53 2.8 1.8 0.75 1.4 BSC 1st Cohort 2010 Benchmark 6 9 Stage of Development Incubator Initiative Integrated Just starting Pilot efforts Ad hoc Formal program Transitional structures Plans and reports Embedded in systems Influencing others Responsible for all impacts BSC Cohort 1 is here Cohort Kudos • Energy Efficiency Efforts Replacing/Eliminating Toxics Reducing Solid and Hazardous Waste E-waste disposal Volunteering Cohort Opportunities • Create a Formal Sustainability Plan • Green Purchasing and Greening the Office • Leverage Training & Human Resources • Communication, Marketing & PR • Senior Management Commitment Cohort Coordinating & Networking • Supplier and Customer Influence • Metrics & normalization issues – Job shops – Widgets • Communication, Marketing & PR Are you ready to win? The Business Sustainability Playbook Sustainability – do you see it more now? • What do you see? • Any silver bullets? • Any how-to’s? The Sustainability Playbook starts with you and ends with you! Setting the Stage Each intrapreneur’s situation and approach is different, yet common strategies: • Connected their project to their organization’s core business objectives and identified specific ways to create business value. • Gathered significant preliminary data by which to measure their progress. • Built a Team of Colleagues to help execute the work. The Business Case for Sustainability Teams • Cost Savings – Direct correlation between reducing costs and engaging employees • Attract/Retain Best Talent – Outlet for personal interests – Help raise morale – Improve loyalty (turnover is expensive!) • Strengthen Brand/Increase Market Share – Walk the Talk with employees and customers – Engaged employees will find more opportunities Connect with Business Objectives – Reducing waste, costs and environmental impact. – Increasing employee engagement, attraction, and retention. – Providing opportunities for employee professional development. – Furthering priorities of senior management. – Creating new business opportunities Gather Preliminary Data • Surveying coworkers – Find interest areas – Find potential team members – Build support for project ideas • Researching both internally and externally. – Read Company annual reports and other marketing and company communications – Talk with colleagues who were involved in similar efforts – Research competitor and industry best practices • Developing benchmarks – Track impact of projects Build a Team • • • • • • Start conversations and find allies Be credible Be inclusive But be strategic too! Recruit core leaders Build enthusiasm with kick-off events Team Composition • Strategic Perspective Teams – Team from across organization • Functional Specialization Teams – Concentrates on one key aspect • Diversity can be critical! – Different skill sets, departments/business units, genders, educational backgrounds, ages, lengths of service, etc. The Executive Sponsor • Commercial Orientation – The ability to focus and prioritize efforts that generate the most value for the organization over the business planning cycle. • Willingness to be part of the team – Own the goals and contribute perspective and skills. – Serve as dedicated interface for negative pushback at the top levels of management. Delivering Results Engage Stakeholders – Coworker Engagement • • • • • • Recruit Ambassadors Communicate Often Keep it Simple Recognize Contributors Address Complaints Be creative – Management Engagement • Reach out early and often • Focus on how to project adds value to management goals • Use traditional company templates or frameworks for ongoing progress reports • Recruit managers to communicate with other senior leaders – Leverage External Stakeholders and Resources Delivering Results • Assemble Resources – Funding • Make the business case that shows positive return on investment – Time constraints • Start small • Don’t neglect your regular job • Focus on “Low hanging fruit” Delivering Results Scale a Project into Company-wide Initiatives – Achieve quick wins • • • • Small projects with tangible outcomes Build recognition for contributions Build trust from peers Build capacity for team to achieve success – Build Team Capacity • Empower project team members to create change by long-term viability of projects – Build guiding templates and frameworks – Share information internally and externally References • Egon, Zehnder International. Sustainability Team Effectiveness; Making Change Happen, Part II, “The Team”. • Fleischer, Deborah (Green Impact). Green Teams; Engaging Employees in Sustainability. • NetImpact. Making Your Impact at Work; A Practical Guide to Changing the World from Inside Any Company. Ready to get started? To establish your business’... Sustainability Goals? Sustainability Team? Executive Sponsorship? Sustainability Budget? Sustainability Action Plan? …or have you already started? BSC103 Homework, Part I By Friday, May 28th: 1. Identify an Executive Sponsor to be part of the Sustainability Team, and have him or her read and sign the Pledge of Executive Sponsorship if you feel this has already been accomplished to the highest potential, please indicate so). – Email ([email protected]) or fax (860-665-3030) a copy to Naomi Walker. 2. Schedule a time to make a presentation to your current/potential Sustainability Team about the findings of your SCORE Report, between May 31 and June 18. 3. On Friday, May 28th, all companies will receive their SCORE Reports. Executive Sponsorship BSC103 Homework, Part II By Friday, June 18th: 1. Deliver a presentation to your colleagues, using the presentation provided to you by SCORE. Audiences may vary depending on company’s current knowledge of, and organization regarding BSC participation, or other sustainability initiatives. – If a Sustainability Team exists, consider presenting at your next meeting – If a team doesn’t exist yet, this could be a tool for recruiting team members, including your executive sponsor. – Program Administrator support and attendance is available, but not required. Contact for availability. BSC103 Homework, Part III 2. Collaborate with your Executive Sponsor and Sustainability Team, and establish and email the following aspects of your Sustainability “Playbook” 1. Sustainability Team Name 2. Sustainability Team Members (name, title, dept) 3. Sustainability Team Executive Sponsor (name, title, dept) 4. Chosen Sustainability Goals (Energy + (Water, Waste, Carbon)) • • • • 10% Reduction in Energy, and… 10% Reduction in Waste, or 10% Reduction in Carbon Emissions, or 10% Reduction in Water 5. Next 5 steps to achieve goals The BSC Grant Initiative Sustainability Projects Eligibility • Listed are the four Business Sustainability Challenge categories that companies pledged to work on during the pilot program period of March 2010 to March 2011. Projects applying for the BSCG must address one or more of those following goals: Awards up to $2,000: Reduction in Energy Use (results in electric and/or natural gas savings) Awards up to $1,000: Reduction in Waste Produced Reduction in Carbon Emissions Reduction in Water Use BSC 103 Wrap-Up • • • • • Questions? Announcements Evaluations Electronic versions will be emailed Next Class, BSC 104 on June 22nd!
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