The Future of BusinessThe Future of Business

““This new industrial revolution will be driven by full This new industrial revolution will be driven by full integration of environmental concern into our integration of environmental concern into our economic life. Hence, it will involve the reshaping of economic life. Hence, it will involve the reshaping of our entire industrial system in which efficiency in our entire industrial system in which efficiency in the use of materials and energy and in recycling and the use of materials and energy and in recycling and disposing of waste will be the key to success in both disposing of waste will be the key to success in both environmental and economic terms.”environmental and economic terms.”

……Maurice Strong, former Secretary General UN Maurice Strong, former Secretary General UN Conference On Environment and Development; Conference On Environment and Development; Beyond Rio: A New Role for CanadaBeyond Rio: A New Role for Canada, Nov. 10, 1992, Nov. 10, 1992

The New Business EfficiencyThe New Business Efficiency

““Efficiency is one of the hallmarks of the well-run Efficiency is one of the hallmarks of the well-run business, and the gratuitous exploitation of natural business, and the gratuitous exploitation of natural resources is wildly inefficient.”resources is wildly inefficient.” Paul Hawken, Paul Hawken, The The Ecology of CommerceEcology of Commerce, 1993, 1993

““A strong economy depends upon a healthy A strong economy depends upon a healthy environment… Businesses that want to increase environment… Businesses that want to increase their competitive edge and survive into the next their competitive edge and survive into the next century, using natural resources must play by the century, using natural resources must play by the earth’s rulesearth’s rules” Amy Townsend, ” Amy Townsend, Greening Your Greening Your Company.. Inside and OutCompany.. Inside and Out, 1997, 1997

From Take-Make-Waste to Zero From Take-Make-Waste to Zero WasteWaste

1995– just 4% of companies responding to a survey 1995– just 4% of companies responding to a survey took environmental considerations seriously in their took environmental considerations seriously in their business decisionsbusiness decisions

1998 – Nearly 90% of businesses polled by Industry 1998 – Nearly 90% of businesses polled by Industry Week were seriously considering the environment in Week were seriously considering the environment in their business decisionstheir business decisions

2004– Environmentally proactive companies show a 2004– Environmentally proactive companies show a 4% higher rate of return on investment, a 9% higher 4% higher rate of return on investment, a 9% higher sales growth and nearly 17% higher operating income sales growth and nearly 17% higher operating income growth than other companies in their classgrowth than other companies in their class

From: Sustainable Development International Corp. Website, June 2005

Understanding the Green Business Understanding the Green Business MovementMovement

Going green is one step on the road to sustainable Going green is one step on the road to sustainable developmentdevelopment

For business, sustainable development means For business, sustainable development means “adopting business strategies and activities that meet “adopting business strategies and activities that meet the needs of an enterprise and its stakeholders today, the needs of an enterprise and its stakeholders today, while protecting, enhancing and sustaining the human while protecting, enhancing and sustaining the human and natural resources that will be needed in the and natural resources that will be needed in the future”future”

It highlights business’s dependence on human and It highlights business’s dependence on human and natural resources and emphasizes the necessity of natural resources and emphasizes the necessity of avoiding irreparable damage to these resourcesavoiding irreparable damage to these resources

Source: World Business Council for Sustainable DevelopmentSource: World Business Council for Sustainable Development

Reasons Why Businesses Go GreenReasons Why Businesses Go Green

Economic benefit – Reduction in raw material use Economic benefit – Reduction in raw material use Public perception – Negative response to the use Public perception – Negative response to the use

of pesticides of pesticides Regulatory compliance – Mandatory paper Regulatory compliance – Mandatory paper

recyclingrecycling Competitive advantage – Environmental TourismCompetitive advantage – Environmental Tourism Ecological values – Personal commitment of a Ecological values – Personal commitment of a

key leader to environmental issueskey leader to environmental issues

More Reasons Why Businesses More Reasons Why Businesses Go GreenGo Green

Stakeholder pressureStakeholder pressure Management initiative Management initiative Critical events – Loss of regular markets, Critical events – Loss of regular markets,

sudden increases in energy costssudden increases in energy costs Ethical concerns – Concern over the source of Ethical concerns – Concern over the source of

raw materialsraw materials Education and increased awareness of Education and increased awareness of

environmental issuesenvironmental issues

Green Business is Good BusinessGreen Business is Good Business

Green Business GoalsGreen Business Goals Minimizing wasteMinimizing waste Maximizing resource benefitsMaximizing resource benefits Conserving input materialsConserving input materials Reducing energy costsReducing energy costs Reducing negative environmental impactsReducing negative environmental impacts Operating in an environmentally efficient Operating in an environmentally efficient

wayway

How can Going Green help your How can Going Green help your business?business?

First Some Basic Business Facts:First Some Basic Business Facts: The revenue must exceed the expendituresThe revenue must exceed the expenditures Businesses are always looking for ways to Businesses are always looking for ways to

increase the difference between the twoincrease the difference between the two Conservation of input materials reduces costsConservation of input materials reduces costs Maximizing output for each resource unit used Maximizing output for each resource unit used

increases revenueincreases revenue

So, Going Green will help increase So, Going Green will help increase profits?profits?

Minimizing waste is always a good business Minimizing waste is always a good business practicepractice

Maximizing the quantity of saleable Maximizing the quantity of saleable commodities produced per resource unit will commodities produced per resource unit will increase revenueincrease revenue

Minimizing energy usage will help reduce Minimizing energy usage will help reduce overhead costsoverhead costs

Going Green opens new opportunitiesGoing Green opens new opportunities

New marketsNew markets New products and servicesNew products and services New approaches to operationsNew approaches to operations Access to special fundingAccess to special funding Innovative practices Innovative practices Reduced overheadReduced overhead Increased competitive advantageIncreased competitive advantage Access to capitalAccess to capital Reduced Liability and RiskReduced Liability and Risk

How other companies have benefitedHow other companies have benefited

Reduced energy costsReduced energy costs Reduced dumping feesReduced dumping fees Reduced licensing feesReduced licensing fees Higher productivity per unit of inputHigher productivity per unit of input Healthier, safer work environmentHealthier, safer work environment More attractive business premises – increased More attractive business premises – increased

on site customer trafficon site customer traffic Greater value attached to each product soldGreater value attached to each product sold

Sustainable Business Practices in Sustainable Business Practices in ActionAction

Reducing Waste– Happy HarryReducing Waste– Happy Harry Reducing energy usage– The Leonard Miller Reducing energy usage– The Leonard Miller

CenterCenter Recovering resources –Canadian Maritime Recovering resources –Canadian Maritime

EngineeringEngineering Developing By-Product Synergy– Florida Developing By-Product Synergy– Florida

Power and LightPower and Light Creating more with less Creating more with less –– St. Lawrence St. Lawrence

CorporationCorporation