Partnerships and the Sustainable Value Chain FMI Food Industry Sustainability Summit Kai Robertson World Wildlife Fund (WWF) June 17, 2008 “ We should all be concerned about the future because we will have to spend the rest of our lives there.” Charles F. Kettering WWF: A Trusted Global Brand Unaided recognition in the U.S. of 50% 60% awareness of WWF in Germany, France, & Spain Aided recognition in the U.S. of 80+% 85% strong likeability across Europe 8th most trusted brand in the U.S. 2nd most trusted brand in Europe The Global Marketplace Is Changing • Human population will grow 50 percent in next 50 years • Consumption will double by 2050 • Human footprint is already beyond carrying capacity of Earth • Critical habitats destroyed at alarming rates • Growing uncertainty in water and energy availability • Resource shortages, supply chain issues, climate variances • Heightened consumer attention • Businesses impacted Why Partner? Charles Darwin: “It is not the strongest species that survive, nor the most intelligent, but the ones who are most responsive to change.” Thinking Is Changing From Risk Management To Value Creation Corporate Social Responsibility Sustainability Public Relations Transparency Doing good Changes around the edges NGOs as threats Philanthropy Internal corporate focus Telling companies what they can’t do Doing well by doing good Changes to the core business NGOs as partners Cost of doing business Supply/value chain focus Helping companies figure out what to do Building a Sustainable Future THE ABILITY TO SUSTAIN WILL COME FROM CHANGING HOW WE THINK… 7 8 What Does Thinking Differently Look Like? Milk: Grass-fed? Or supplemental feed? From a water-scarce area? 208 liters per cup Lid Sugar: Beet or cane? Water Cup Energy Wrapper A Café Latté Sugar Milk Coffee 142.8 liters = 1 liter 9 Session Objectives Share examples of partnerships formed to create sustainable value chains Hear how and why they were established Learn about the challenges and value gained Elements of Partnership Mutual influence Quality relationship Co-creating something Different Types of Value Chain Partnerships A broad spectrum exists depending on goals and roles. 1.Sponsorship alliances Focus on financial investment, in-kind resource support 2.Supply chain/advocacy alliances Focus on a specific project 3.Strategic alliances Focus is multi-faceted Organizations develop shared strategy, set joint targets Benefits From Partnerships Development of new markets/products/services Media relations Financial benefits License to operate Complementary skills and contacts Internal Different Ways to Communicate Visible to Consumers Visible to Business Partners and Other Stakeholders WWF: Moving Markets Toward a More Sustainable Future WWF: A Broad Base Of Business Partners Our Goals Achieve meaningful advances in field-based conservation Transform the way that industries and companies interact with the environment Activate a global consumer movement Multi-Stakeholder Solutions—Roundtable Approach -- Soy, Palm Oil, Sugar, Farmed Fish, Others -Partner Companies The Problem WWF’s Solution Unsustainable agriculture practices Sector roundtables to agree on impacts, understand global performance, and draft standards A Strategic Partnership Approach WWF and The Coca-Cola Company: the results of partnership Plant Performance and Water Stewardship Climate Change and Energy Management Supply Chain Management Communications Watershed Conservation WWF and IKEA: the results of partnership Environmental Investments/Place-Based Projects Supply Chain Management: • Global Forest and Trade Network (GFTN) • Aquaculture Dialogues • Better Cotton Initiative • Roundtable on Sustainable Palm Oil
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