Partnerships and the Sustainable Value Chain

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
ƒ Share examples of partnerships formed to create
sustainable value chains
ƒ Hear how and why they were established
ƒ Learn about the challenges and value gained
Elements of Partnership
ƒ Mutual influence
ƒ Quality relationship
ƒ Co-creating something
Different Types of Value Chain Partnerships
A broad spectrum exists depending on goals and roles.
1.Sponsorship alliances
ƒ
Focus on financial investment, in-kind resource support
2.Supply chain/advocacy alliances
ƒ
Focus on a specific project
3.Strategic alliances
ƒ
Focus is multi-faceted
ƒ
Organizations develop shared strategy, set joint targets
Benefits From Partnerships
ƒ Development of new markets/products/services
ƒ Media relations
ƒ Financial benefits
ƒ License to operate
ƒ Complementary skills and contacts
ƒ Internal
Different Ways to Communicate
ƒ Visible to Consumers
ƒ Visible to Business Partners and Other Stakeholders
WWF: Moving Markets Toward a More Sustainable
Future
WWF: A Broad Base Of Business Partners
Our Goals
ƒ Achieve meaningful advances in field-based conservation
ƒ Transform the way that industries and companies interact
with the environment
ƒ 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