Session 1 CSR and Sustainable Business 2011 PV GS

2/23/2011
Center for Business and Technology Sustainable Business Leaders
Johnson County Community College February 25, 2011
B.O.N.G. llc a division of Alonzo Technology Solutions
Our approach
Sustainability is …
Innovation
Cost Savings
Differentiator
Talent Attractor
Managerial Quality
Corporate Strategy
Paul Hawken, The Ecology of Commerce, 1993
Content Copyrighted B.O.N.G. LLC 2011
JC ALONZO
President, Blue Ocean NOW Group
 Veteran business coach
 Develop and strengthen executive’s strategy skill sets
 Focus on strategies and initiative execution
 Certified Business Coach, Six Disciplines Methodologies
 Corporate Management
 P&L responsibility for revenues of $50 M per year
 Managed several hundred direct report personnel
 Community, Political Leader
 Co‐Chair, KCMO EMC 8 years
 Appointments to several commissions, boards and steering
committees
 Political activist experience in successful issue campaigns
 Entrepreneur
 Original class Co‐authored with 25 year practicing LEED
AP certified architect
BONG, llc Copyright 2011 1
2/23/2011
SBLS CERTIFICATE SERIES GOAL
 Business Leader Develop and write the initial steps of an
Certificate environmental sustainability plan that meets
Issued and maintained by the the strategy requirements of the business.
Center for Business and  Review the environmental landscape.
Technology
 Recognize the environmental issues most
important to similar business sectors
 Select a specific environmental factor for
business sector
 Determine tools to measure factor
 Develop the plan for environmental
sustainability
 Tie or map the plan into business strategy
blueoceanNOWgroup
10:09 AM Content Copyrighted B.O.N.G. LLC 2011
Student
Introductions What brings you here today?
10:09 AM
"Inaction on 1. What economic sector are you in?
climate is not 2. What size business? # or $
3. Does your company have environmental
an option.” policy or practices in place?
John W. Rowe,
Exelon Chairman and CEO
4. Do you have a favorite environmental group?
Are you an active member?
Exelon, one of the largest 5. What prompted you to sign up for this
U.S. electric utilities, won't course?
renew its U.S. Chamber of 6. What is the favorite thing you own?
Commerce membership in
a dispute over the
Chamber's position on
global warming.
New Trends and Expectations

10:09 AM
Why does
sustainability
planning makes
good business
sense?
1. Improves
customer value
and profitability
2. Provides better
access to capital
3. Drives innovation 1. 2. 3.
2/23/2011
The most important thing about Spaceship Earth ‐ an instruction book
didn't come with it.
R. Buckminster Fuller
Managing business
amid 360º change Entering the “6th wave”
10:09 AM
Whole System Awareness
A very delicate biosphere
Climate Change Opportunity
Power of Design
Applied Social Science
Social Justice and Terrorism
Good Governance
Water Crises
Energy Security
Bio‐Sciences and Engineering
Green Chemistry
Bio‐system Decline
Resource Depletion
Fructosification of OUR Food
Unintended Side Effects
From “Can” to “Should”
Flying The “Digital Cloud”
Digitally Augmented Life
Virtual Communities
Intelligence in Data Mining
Shifting Economic Dominance
Evolving Vulnerabilities
And New Strengths
Definition of Terms Some Jargon

10:09 AM
Sustainability –
environmental & business
Sustainable Development
Green and Greenwash
Corporate Social
Responsibility (CSR)
Environmental, Social and
Governance (ESG) Policies
Triple Bottom Line
Ecological Footprint
Carbon Footprint Analysis
Byproduct Synergy
Cradle to Cradle
Negawatt
Resource Productivity
2/23/2011
—John Muir
In ecosystems
In social relationships
In business planning and
economic systems
Take action and you will
 Serve the Green Consumer
They are not going away: more shelf space, more mind space, more
profit
 Save money now
More efficient fleet, facilities, process and IT = great ROI and more profit
 Save money permanently
Capital improvements including energy efficiency measures and
renewable energy systems
 Reduce Risk
Free your company from volatility of oil prices
Anticipate and embrace the march of regulation
 Get the best people
The battle for the best talent will get worse. The next generation
equates financial success and CSR
 Drive Innovation
Constraints are the mother of invention
 Build Managerial Intelligence
Build the company’s capacity to manage complexity and improve overall
performance
2/23/2011
Sustainability and
Business Opportunity
10:09 AM
Natural Capital:
Paul Hawken The Four Principles of Natural resources
Amory and Hunter Lovins and the ecological
Natural Capitalism:
Natural Capitalism systems that
provide vital life‐
The Next Industrial Revolution support services
A third industrial
William McDonough revolution, one with
the potential to
Cradle To Cradle: transform how goods
Remaking the Way We are made, cities are
Make Things built, and literally
everything is broken
Content Copyrighted B.O.N.G. LLC 2011 down and reused.
Sustainability and
Business Opportunity
10:09 AM
Amory Lovins
Winning the Oil
“Today we have a temporary aberration
Endgame: Innovation called “industrial capitalism”
for Profits, Jobs, and
Security
We are inadvertently liquidating our two
CEO of the Rocky most important sources of capital:
Mountain Institute
The natural world
Time Magazine’s Properly functioning societies
“Hero for the Planet”
DesignIntelligence “No sensible capitalist would do that.”
Top 5 Sustainability
Influencers, 2010
Peak Everything:
8 Things We Are Running Low On And Why
10:09 AM
1. Peak Corn
2. Peak Oil
3. Peak Dirt
4. Peak Gas
5. Peak Water
6. Peak Electricity
7. Peak Rice
8. Peak Metal
2/23/2011
10 Top
Environmental Issues
10:09 AM
1. Climate Change
2. Energy
3. Water
4. Biodiversity and Land Use
5. Chemicals, Toxics, and Heavy
Metals
6. Air Pollution
7. Waste Management
8. Ozone Layer Depletion
9. Oceans and Fisheries
10.Deforestation
HOW WOULD YOUR CAREER
IMPROVE IF YOU BECAME A
CHAMPION OF WHAT ARE THE BIG
SUSTAINABILITY? CHANGES OCCURRING IN
YOUR COMPANY AND
INDUSTRY RELATING TO ALL
THIS?
DOES YOUR COMPANY HAVE
ENOUGH ACTIONABLE
INFORMATION TO DRIVE
CHANGE?
Break 10 minutes
Please take a
moment to locate
this planet’s
emergency exits...
2/23/2011
A few examples
Global business
General Electric leading global solutions
Some companies have
put sustainability programs
on the chopping block
during the recession, but a
few influential
organizations are actually
expanding their
sustainability initiatives,
and using them as a tool for
innovation.
Their focus is not on
whether green should be a
part of their strategy during
a downturn, but on how
green will grow their
business and enhance their
corporate culture.
Global business
leading global solutions
Walmart Sustainable Value Networks
2/23/2011
Global business
“DuPont believes the
scientific understanding of
climate change is sufficient
to compel prompt,
effective actions to limit
emissions of greenhouse
gases.”
“In the late 1980s and
1990s, we realized that
mere compliance was not
sufficient, and that our
stakeholders expected
more from us. So we went
beyond regulatory
requirements made
voluntary commitments to
reduce the environmental
footprint of our facilities.”
www.dupont.com
DuPont Installs its Largest Solar Panel Array to Generate
Energy Needs at Research Facility
Global business
Every day, UPS
employees find new
ways to act
responsibly for the
benefit of the
company and the
communities where
we work. The new
UPS Sustainability
Report tells the story
of our impact today
and the programs we
have in place to
improve our
performance in the
future. Content Copyrighted B.O.N.G. LLC 2011
UPS Sustainability
2/23/2011
Portraits in Sustainable
Business Leadership
Muhtar Kent, Coca‐
Cola Company CEO
Coca‐Cola is involved
in several projects to
become more
sustainable. These
projects have cost
hundreds of millions of
dollars in research, but
are worth it, according
to Kent.
Business Leadership
Ray Anderson, CEO
of Interface Carpet:
TED talk during the
next break. Mount
Sustainability toward
Mission Zero
Business Leadership
Sierra Nevada
Brewery
The brewery has
almost taken itself
“off the grid” to
ensure survival and
protect itself against
power loss.
2/23/2011
An overview
Environmental
regulation
WHICH IS BETTER FOR BUSINESS AND THE ENVIRONMENT?
CARBON CAP AND TRADE CARBON TAX
New trends and
expectations New markets
CleanTech Business
Leveraging rapid
changes now in play
Developing
services and
products for the
“green consumer”
Engaged in
solutions to today’s
environmental
challenges
Green Branding
Telling your green
story
Establishing
community
connections
2/23/2011
New trends and
expectations
10:09 AM
New markets
CleanTech Business
Leveraging rapid
changes now in play
Developing services
and products for the
“green consumer”
Engaged in solutions
to today’s
environmental
challenges
Green Branding
Telling your green
story
Establishing
community
connections
$ Cleantech
10:09 AM
$ Venture Capital
10:09 AM
Energy Building HVAC
“Cleantech could be Efficiency

Lighting
Envelope
the largest area for Process Themal

Storage
Energy Hygric
venture capital Batteries
Capacity
Material Kinetic
investment within Infrastructure
five years if not Management Generation
sooner.” Waste Management
Mark Heesen, President of Renewable Energy Bio‐Mass
Hydro
the National Venture Green IT Tidal
Capital Association Bio‐Fuel
Transport
Solar
Wind
Environmental
Geothermal
Methane
Capture
Management
Manufacturing
Infrastructu
re
Education
2/23/2011
CLEARLY BUSINESSES NEED TO
FORM A COMPREHENSIVE
RESPONSE
WHO HOLDS THE COMPASS?
HOW SUCCESSFUL CAN A
COMPANY BE IF THEY DON’T
HAVE EXECUTIVE FOCUS?
I.E. HOW CRITICAL IS A
CORPORATE STRATEGIC
PLAN?
HOW EFFECTIVE IS FROM THE
BOTTOM‐UP?
Break 10 minutes
10:09 AM
“I think they are
on decline in the
biggest oil fields
in the world today
and I know what's
it like once you
turn the corner
and start
declining, it's a
tread mill that you
just can't keep up
with.”
T. Boone Pickens
10:09 AM
B.O.N.G. llc
2/23/2011
“… business that embodies transparency and
ethical behavior, respect for stakeholder
groups, and a commitment to add economic,
social and environmental value.”
— U.N. Global Compact/SustainAbility
$
PROPONENTS CRITICS
 “Business success will depend  “CSR distracts from the
upon a company’s ability to fundamental economic role of
adapt to the challenge of global
climate change and its related businesses.”
issues of energy, forests, water  It is nothing more than
and biodiversity. “ [BofA] superficial window‐dressing.
 Corporations benefit in multiple  It is an attempt to pre‐empt the
ways by operating with a role of governments as a
perspective broader and longer
than their own immediate, watchdog over powerful
short‐term profits. multinational corporations.
 Sustainability reports can be an  Who’s Sustainability Report
empowering source of should we believe?
information for consumers,
employees, investors,
researchers and communities.
$ Corporate Social Responsibility

Motivations and Strategies
10:09 AM
Brand Quality
Value Mgmt
Risk Mgmt
Market
“enforcement” ”
Voluntary
2/23/2011
Corporate
Social
Responsibility
$ CSR might remain difficult to quantify, but its value
could not be more tangible
Value to business?
How do you explain the Companies with strong CSR programs distinguish

growing involvement of themselves in the marketplace, establish strong
business in corporate bonds with clients, customers, employees, and policy
social responsibility makers, and provide unique opportunities for
activities?
leadership development.
10:09 AM
$
a.“Causes” (Cause-related marketing/“strategic philanthropy”)
Corporate b. Non-Governmental Organizations (NGOs)

c. Governments
Competitors
Social
Responsibility
Global Reporting Initiative
10:09 AM
The Global Reporting
Initiative (GRI) is a common
framework for
sustainability reporting.
The GRI vision is that
reporting on economic,
environmental and social
performance by all
organizations becomes as
routine and comparable
as financial reporting.
An international network
of thousands from
business, civil society, labor
and professional
institutions create the
content of the Reporting
Framework in a consensus‐
seeking process.
Corporate
Social
Responsibility
$ Socially Responsible Investing
10:09 AM
Dow Jones
Sustainability Indexes
‐ tracking the financial
performance of the
leading sustainability‐
driven companies
worldwide
NASDAQ OMX GRD
Global sustainability 50
Index
CRD Analytics
Breaking News!
2/23/2011
$ Key Factors Behind Robust Growth of
Socially Responsible Investing
Demand for social investing products and services
Institutional and individual investors (+26% since 2005)
Socially concerned high‐net‐worth clients, (+78%)
Individuals seeking SRI options in their retirement and college‐
savings plans and
“Mission‐driven” institutions such as foundations, endowments, labor
unions, and faith‐based investors
New products and fund styles
Exchange Traded Funds (ETFs) and alternative investment funds such
as social venture capital and double‐ and triple‐bottom‐line private
equity
Climate Change Risk
Institutional Investors Supporting Shareholder SRI Resolutions (+57%)
Divestment of Sudanese portfolios
Expanding Community Investing
$ Beware Greenwashing an informed

Green Consumer
The image part with relationship ID rId3 was not found in the file.
Greenwashing is a
danger to your business
The Sins of Greenwashing
1. Sin of the Hidden
Trade‐Off
2. Sin of No Proof
3. Sin of Vagueness
4. Sin of Irrelevance
5. Sin of Lesser of Two
Evils
6. Sin of Fibbing
CSR
$ A more perfect marketplace
Consumers are the “LOHAS is an acronym that stands for Lifestyles of Health

most important
stakeholder. They and Sustainability and describes a $226.8 billion (sic)
now have the data to U.S. marketplace for goods and services that appeal to
make more informed consumers who value health, the environment, social
decisions justice, personal development and sustainable living.”
— LOHAS Journal Online
Paradox:
“While 84% [of
consumers surveyed]
said CSR would
influence buying
decisions, only 5%
consistently buy
brands on ethical
grounds.”
— The Business Communicator/MORI
Research
10:09 AM
2/23/2011
$
Bright Green Talent
Finding the best
and the brightest
Green Collars
$
Green Dream Jobs @ $65,000 to $120,000
1.Bright Green Talent

2.Business for Social Responsibility Analyst – Sustainability, Portland
3.CareerBuilder’s goinggreenjobs.com Building Science Leader
4.Clean Edge for Clean Tech jobs
Consultant – Business Sustainability , Seattle
5.The Chronicle of Philanthropy - Career Network in
company gift, charity and fund raising programs Director of Green Sustainability Dallas
6.EcoEmploy.com Director of Sustainability
7.Environmentalcareer.com Energy and Sustainability Project Coordinator
8.Environmental Career Opportunities in Energy Program Director
conservation, education, policy, science & Manager ‐ Environmental Sustainability
engineering and more
Resource Efficiency Manager Fort Riley
9.Ethical Jobs Jobs and resumes in ethical fields -
Charities, Corporate Social Responsibility, Family & Sustainability Consultant
Children and other categories Sustainability Consultant‐Energy Management
10.Great Green Careers lists jobs in renewable Sustainability Integration Director
energy, the environment and sustainable building Sustainability (LEED) Manager,
11.GreenBiz.com Jobs Sustainability Program Director
12.Green Career Central a membership website that
Senior Sustainability Manager, China
provides expert career coaching and advice. There
is a green job board that is open to everyone as Climate Change Manager, London
source of green job and career openings.
13.Green Dream Jobs at Sustainablebusiness.com Expertise
fulfill society's needs while contributing to the well- external communications
being of all earth's inhabitants
Research
14.GreenEnergyJobsOnline.com
15.Greenjobs "One-stop" site where recruiters and Operations
job seekers can interact internal communications
16.GreenJobSearch.org Business mind with the environmentalist heart
17.Idealist.org A place to find dream job in the
nonprofit sector
Success
18.SustainableBusiness.com
19.Treehugger demonstrate cost reduction or
20.USGBC Career Center brand enhancement
DO YOU SEE A GREEN TECH DO YOU FEEL PRESSURE IN
BUSINESS OPPORTUNITY YOUR LIFE OR IN YOUR
COMPANY FOR GREEN DREAM
FOR YOUR COMPANY? JOBS?
2/23/2011
Reading:
Natural Capitalism by Hawkens, Lovins and Lovins http://www.natcap.org/
Green Biz – Business voice of the green economy: Green Biz
Adam Werbach’s death of environmentalism, 2005
Course Website References:
Example List of Sustainable Businesses
Glossary of Terms
Example Sustainable Business Plans
Assignments:
1. Calculate your family’s ecological footprint at http://www.myfootprint.org/
2. Briefly profile a company providing sustainable business leadership (max one
page). Priority recommendation 1) local business, 2) regional, 3) national
3. Identify the primary issues of a sustainable business plan for your industry
(bullet point list)
Due Date:
Email to Homework@blueoceannowgroup.com on or before March 4, 2011.
Books Noted:
 Hawken, Paul (1993). The Ecology of Commerce. Harper Business.
 Hawken, Paul; Amory Lovins, Hunter Lovins (1999). Natural Capitalism: Creating
the Next Industrial Revolution. Rocky Mountain Institute.
 Hargroves, K. and Smith M.H. (2005) The Natural Advantage of Nations: Business
Opportunities, Innovation and Governance in the 21st Century
 McDonough, William; Braungart, Michael (2002). Cradle to Cradle: Remaking the
Way We Make Things, North Point Press.
 Amory Lovins, Amory (2005). Winning the Oil Endgame: Innovation for Profits,
Jobs, and Security, Rocky Mountain Institute.
 Heinberg, Richard (2007). Peak Everything: Waking Up to the Century of Declines.
 Esty, Daniel C; Winston, Andrew S. (2006). Green To Gold, Yale University Press
Course Website References:
List of Sustainable Businesses (Not in order of discussion)
GE, Walmart, DuPont, UPS, Coca‐Cola Company, Interface Carpet, Sierra
Nevada Brewery, Exelon, IBM, KCPL,
SESSION ONE SESSION TWO
 Intro to the big picture, CSR Balanced Scorecard (BSC)
definitions, jargon, etc. discussion and the Sustainable
 Global business leadership Business Innovation Process
 New Expectations for
Sustainable Business: clean Embrace Compliance
tech, etc. Sustainable Options
Design Sustainably
 Corporate Social
Develop New Models
Responsibility (CSR) Question Status Quo … Again
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2/23/2011

New Trends and Expectations

Definition of Terms Some Jargon

Energy Building HVAC

“Cleantech could be Efficiency

the largest area for Process Themal

Mark Heesen, President of Renewable Energy Bio‐Mass

the National Venture Green IT Tidal

$ Corporate Social Responsibility

How do you explain the Companies with strong CSR programs distinguish

Corporate b. Non-Governmental Organizations (NGOs)

$ Beware Greenwashing an informed

Consumers are the “LOHAS is an acronym that stands for Lifestyles of Health

1.Bright Green Talent

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