Industry Response to Sustainability

Bob DoliboisBob DoliboisANLA Executive Vice PresidentANLA Executive Vice President

l fl fSeeley ConferenceSeeley ConferenceJune 29, 2010June 29, 2010

Why You?

Perspective and Experience

ANLA: Grower → Distributor →ANLA: Grower → Distributor →Landscape & Retail → MaintenanceLandscape & Retail → MaintenanceLandscape & Retail → MaintenanceLandscape & Retail → Maintenance

ANLA Focus: Chlorophyll in the entire ANLA Focus: Chlorophyll in the entire supply chain regardless of landscape plant supply chain regardless of landscape plant typetype

Sustainability: A strategic initiative since Sustainability: A strategic initiative since 2007200720072007

What is the industry’s response to y penvironmental issues facing us?

“Wh t’ ll th f ?”“What’s all the fuss?”

“We ARE the Green Industry”We ARE the Green Industry

“We are the Original Environmentalists ”Original Environmentalists…

“I don’t have time for all this. It’s spring ”It’s spring.”

“We ARE the Green Industry”

Google Search: 330,000, 000 sites in .41 Google Search: 330,000, 000 sites in .41 secondssecondsCorporate listings on Page One:Corporate listings on Page One:

Cisco SystemsCisco SystemsCisco SystemsCisco SystemsProctor & GambleProctor & GambleCSXCSXDeloitteDeloitte

“We ARE the Green Industry”

Wikipedia definition: “green industry”Wikipedia definition: “green industry”Pacific Green Industry (Fiji)Pacific Green Industry (Fiji)Pacific Green Industry (Fiji)Pacific Green Industry (Fiji)Green paper on postal service (UK)Green paper on postal service (UK)L tb kL tb k Rik fö b dRik fö b d (S d )(S d )LantbrukarnasLantbrukarnas RiksförbundRiksförbund (Sweden)(Sweden)Bowling Green, KentuckyBowling Green, Kentucky

Conclusion: No definitionConclusion: No definition

“We ARE the Green Industry”

Wikipedia: “Green collar worker”Wikipedia: “Green collar worker”design, policy & technologydesign, policy & technologydesign, policy & technologydesign, policy & technologyconservation, consultants, engineersconservation, consultants, engineers

l i d l d tl i d l d tsolar, wind energy, lawyers, educatorssolar, wind energy, lawyers, educatorswind power farms, weatherize buildingswind power farms, weatherize buildingsNO mention of horticulture or landscape NO mention of horticulture or landscape or lawn/garden industryor lawn/garden industryg yg y

“Original Environmentalists”

Google: 11,100,000 sites in .52 secondsGoogle: 11,100,000 sites in .52 secondsGoogle definition: “…a person who isGoogle definition: “…a person who isGoogle definition: …a person who is Google definition: …a person who is concerned with protecting and preserving concerned with protecting and preserving the natural environment, for example bythe natural environment, for example bythe natural environment, for example by the natural environment, for example by preventing pollution.”preventing pollution.”Wikipedia: “ broad philosophy and socialWikipedia: “ broad philosophy and socialWikipedia: …broad philosophy and social Wikipedia: …broad philosophy and social movement”movement”P t l i “Th O i i l I t t”P t l i “Th O i i l I t t”Postal service: “The Original Internet”Postal service: “The Original Internet”

“Original Environmentalists”

Members of Board of Directors of leading Members of Board of Directors of leading environmentalist organizations: NRDC, environmentalist organizations: NRDC, g ,g ,Sierra Club, National Wildlife Federation, Sierra Club, National Wildlife Federation, The Nature Conservancy: 0The Nature Conservancy: 0yy

Members of Congress with industry Members of Congress with industry ffili ti 3 t f 535ffili ti 3 t f 535affiliation: 3 out of 535affiliation: 3 out of 535

“I don’t have time for all thisI don t have time for all this. It’s spring.”

Associations = SurrogatesAssociations = SurrogatesStaff doing government relations at federalStaff doing government relations at federalStaff doing government relations at federal Staff doing government relations at federal level fulltime: fourlevel fulltime: fourPolitical action committee $’s: less thanPolitical action committee $’s: less thanPolitical action committee $ s: less than Political action committee $ s: less than $250k$250kD il i i h l h fD il i i h l h fDaily investment in health reform: Daily investment in health reform: $1.25million$1.25millionChallenge: “The business of business”Challenge: “The business of business”

How about some good news?How about some good news?

The Good News

We are in a better place than manyWe are in a better place than manyLeaders in agricultural practices:Leaders in agricultural practices:Leaders in agricultural practices:Leaders in agricultural practices:

Water managementWater managementIPMIPMIPMIPM

Ostensibly in the “White Hat” group of Ostensibly in the “White Hat” group of industriesindustries

Going more sustainable…

Continuing many things we’re doing nowContinuing many things we’re doing now

Di ti i thi ’ d iDi ti i thi ’ d iDiscontinuing some things we’re doing nowDiscontinuing some things we’re doing now

Doing some things we do now, but doingDoing some things we do now, but doingg g , gg g , g

them differentlythem differently

Discovering new things that really workDiscovering new things that really work

Going more sustainableGoing more sustainable…makes good sense

Flat or declining marketFlat or declining market

The last frontier: Greening the urban settingThe last frontier: Greening the urban setting

WE HAVE NO CHOICEWE HAVE NO CHOICE

Implications: Plant productionLeaders in agriculture alreadyLeaders in agriculture already

Water recyclingWater recyclingIPMIPMIPMIPMRole of landscape plantsRole of landscape plants

Controversial issuesControversial issuesB&BB&BInvasive Invasive plants plants Pl tiPl tiPlasticPlasticLocalLocal--growngrownLaborLabor

Implications: Landscape

Role of landscapingRole of landscapingCooling and air scrubbingCooling and air scrubbingCooling and air scrubbingCooling and air scrubbingGreen roofs and buffersGreen roofs and buffersI t i l t iI t i l t iInterior plantscapingInterior plantscaping

Controversial issuesControversial issuesWater useWater useYardwasteYardwasteYardwasteYardwaste

Implications for Retailing

Appeal to customer baseAppeal to customer baseExperienceExperience--based retailingbased retailingExperienceExperience based retailingbased retailingAttractiveness of employmentAttractiveness of employmentC t i l iC t i l iControversial issuesControversial issues

Consumer use of pesticidesConsumer use of pesticidesPlant Plant palette/localpalette/local--growngrownPlastic recyclingPlastic recyclingPlastic recyclingPlastic recycling

Implications for Distribution

“All of the above”“All of the above”ReRe--engineering opportunitiesengineering opportunitiesControversial issuesControversial issues

Those pots and flatsThose pots and flatsSome other product linesSome other product linesSourcingSourcingMaterials handlingMaterials handling

Is there a payback?

Possible outcomes:Possible outcomes:Less impact on environmentLess impact on environmentppHigher employee productivity and Higher employee productivity and loyalty/retentionloyalty/retentiony yy yImproved image and a marketing Improved image and a marketing advantageadvantageggImproved financialsImproved financialsSatisfaction that you made a differenceSatisfaction that you made a differenceSatisfaction that you made a differenceSatisfaction that you made a difference

My turf groundcover:

Green industry response Green industry response to environmental to environmental issuesissuesImportance of Importance of consumer and legislator consumer and legislator perceptionsperceptions of our products & servicesof our products & servicesperceptionsperceptions of our products & servicesof our products & servicesIndustry efforts related to our Industry efforts related to our environmental environmental value propositionvalue propositionvalue propositionvalue proposition

We are“Ornamental”OrnamentalHorticulture

Definition: “Ornament”

1. “something that lends grace and beauty”1. “something that lends grace and beauty”

2. “one whose virtues or graces add luster to 2. “one whose virtues or graces add luster to a place or society”a place or society”p yp y

3. “an embellishment note 3. “an embellishment note not belonging to not belonging to h i lh i l h l d ”h l d ”the essentialthe essential harmony or melody”harmony or melody”

A Non-Essential

Canada: No pesticide use on ornamental Canada: No pesticide use on ornamental horticulture in the landscapehorticulture in the landscapeppMultiple U.S. Cities: Water restrictions for Multiple U.S. Cities: Water restrictions for nonnon--essential purposes, including fountainsessential purposes, including fountainsnonnon essential purposes, including fountains essential purposes, including fountains and landscapesand landscapesWood byWood by products for use as biomass fuelproducts for use as biomass fuelWood byWood by--products for use as biomass fuel products for use as biomass fuel instead of container mix and “decorative” instead of container mix and “decorative” mulchmulchmulchmulch

Not only non-essential…

NonNon--NativeNativeNonNon--native = Invasivenative = InvasiveNonNon native Invasivenative InvasiveOrnamental horticulture Ornamental horticulture ≠ ≠ agricultureagricultureDi ti ti b t b i lt dDi ti ti b t b i lt dDistinctions between urban agriculture and Distinctions between urban agriculture and rural agriculture (i.e., rural development)rural agriculture (i.e., rural development)Potential exemptions: Potential exemptions: agag tax status and tax status and assorted credits, like energy & assorted credits, like energy & environmentalenvironmental

Has no value…

Can’t get insurance for itCan’t get insurance for itAfter thought in home buildingAfter thought in home buildingAfter thought in home buildingAfter thought in home buildingNot an appraisal componentNot an appraisal componentI i ibl i i l b l h tI i ibl i i l b l h tInvisible on municipal balance sheetInvisible on municipal balance sheetMiniscule component of transportation Miniscule component of transportation infrastructureinfrastructureOh, for the days of Walt and Lady Bird!Oh, for the days of Walt and Lady Bird!y yy y

Conclusion:

There are fewer consumers toThere are fewer consumers toThere are fewer consumers to There are fewer consumers to help us and more influencers help us and more influencers

t h tt h tto hurt usto hurt us

My turf groundcover:

Green industry response Green industry response to environmental to environmental issuesissuesImportance of Importance of consumer and legislator consumer and legislator perceptionsperceptions of our products & servicesof our products & servicesperceptionsperceptions of our products & servicesof our products & servicesIndustry efforts related to our Industry efforts related to our environmental environmental value propositionvalue propositionvalue propositionvalue proposition

Industry efforts

Sustainable Sites InitiativeSustainable Sites InitiativeUse of plastics in pots and traysUse of plastics in pots and traysUse of plastics in pots and traysUse of plastics in pots and traysMonetizing the value of landscapingMonetizing the value of landscaping

E i llE i llEconomicallyEconomicallyEnvironmentallyEnvironmentally

Biggest challenge: The business of doing Biggest challenge: The business of doing businessbusiness

Plastic Pot Initiatives

ReRe--engineer: Poultry feather potsengineer: Poultry feather potsReRe--cycle:cycle:ReRe cycle: cycle:

Curbside: Resin formulationCurbside: Resin formulationI d t / t hiI d t / t hiIndustry programs/partnershipsIndustry programs/partnerships

ReRe--use:use:StandardizationStandardizationSanitizationSanitizationSanitizationSanitization

Valuing the Landscape:Valuing the Landscape: Economically

Landscaping: increases in value over timeLandscaping: increases in value over timeChallenge: Assessing monetary value ofChallenge: Assessing monetary value ofChallenge: Assessing monetary value of Challenge: Assessing monetary value of installed plant materialinstalled plant materialSolution: Data base of plant price pointsSolution: Data base of plant price pointsSolution: Data base of plant price pointsSolution: Data base of plant price pointsInsurance initiative is underway, but far to Insurance initiative is underway, but far to gogo

Valuing the Landscape:Valuing the Landscape:Environmentally

National green associations collaborating on National green associations collaborating on research and information research and information Defining the monetary value of “ecosystem Defining the monetary value of “ecosystem services” of installed landscapesservices” of installed landscapesservices of installed landscapesservices of installed landscapesBest argument for access to water for the Best argument for access to water for the installed landscape!installed landscape!installed landscape!installed landscape!

The Business of Doing Business

ANLA and SAF collaboration/OFA SupportANLA and SAF collaboration/OFA SupportIndustry Lighthouse ProgramIndustry Lighthouse ProgramIndustry Lighthouse ProgramIndustry Lighthouse ProgramNew collaboration for ANLA Knowledge New collaboration for ANLA Knowledge Center at:Center at: www anla orgwww anla orgCenter at: Center at: www.anla.orgwww.anla.orgGet engaged yourselfGet engaged yourself

Getting engaged

Community activity includes influencing Community activity includes influencing the communitythe communityyyCar wash people Car wash people Know your issues and your legislatorKnow your issues and your legislatorKnow your issues and your legislatorKnow your issues and your legislatorTour your businessTour your businessWork a campaignWork a campaign

Be an environmentalist!Be an environmentalist!

Questions?Questions? Comments?

Gripes?Praises?Praises?Beefs?Joys?