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Instituto Ethos: June 2006

Instituto Ethos: June 2006. THE SOCIALLY RESPONSIBLE COMPANY Challenges, Dilemmas and Conflicts. Introduction Challenges Dilemmas Conflicts Top-down, bottom-up. Menu. 1 Introduction. Director & Chief Entrepreneur - SustainAbility (Chairman, 1996-2006) Chair Environment Foundation

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Instituto Ethos: June 2006

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  1. Instituto Ethos: June 2006 THE SOCIALLY RESPONSIBLE COMPANY Challenges, Dilemmas and Conflicts

  2. Introduction Challenges Dilemmas Conflicts Top-down, bottom-up Menu

  3. 1 Introduction

  4. Director & Chief Entrepreneur - SustainAbility (Chairman, 1996-2006) Chair Environment Foundation ECGD Advisory Council Advisory Boards/Councils - B&HRRC, DJSI (3M), Ethos, RSA, WWF, Zouk

  5. Founded 1987 Team Core Team ~25 Nationalities 11 Council 12 Faculty 60> Mission To inspire and support innovation that creates tomorrow’s value

  6. 2 Challenges

  7. Reputational risk > competitive advantage Corporate citizenship Corporate responsibility Corporate social responsibility Eco-efficiency, eco-effectiveness Fair trade Human rights Sustainable development (e.g. triple bottom line) Clients, partners, languages

  8. A.G. Lafley: $100m donations—new focus on children Environment: resources, water (cool-water washing), waste Social: health, hygiene (PUR), education Economic: shareholder value, employment, taxes, fees and contributions

  9. 4Bs of ‘Blended Value’

  10. 4Bs of ‘Blended Value’

  11. 4Bs of ‘Blended Value’

  12. 4Bs of ‘Blended Value’

  13. Lee Scott: ‘We should view the environment as Katrina in slow motion’ Old: Energy efficiency, waste New: Renewables, roofspace, sustainable fish Easy wins 1-3 years projects ‘Game Changers’

  14. Fourth Wave - Creativity - Innovation - Enterprise - Scale

  15. 3 Dilemmas

  16. 2002-2006 2000: climate change 2005: poverty, climate, global governance … 2006: SD in China and India, financial crises, pandemics in globalized economy …

  17. Green CEO Stakeholders’ 3 priorities SUVs, BoldMoves Junk bond status? Challengers …

  18. 4 Conflicts

  19. Andrew Liveris 2015 Sustainability Goals: Sustainable Chemistry Products Designed to Solve World Challenges 4 MDGs: Water Food Housing Personal health and safety

  20. Chad Holliday: board issue Blind spots (e.g. CFCs) ‘Sustainable Growth’, e.g. oil > cellulose (biotech) But … PFOA, Ti02 … Evolution of human rights, e.g. ‘bodily trespass’

  21. Amazon, Google, etc ‘Greentech’, $100 million, $100,000 KPCB ‘Green Innovation’ prize 3 megatrends 1: energy security 2: megacities 3: abrupt climate change

  22. 5 Next Steps

  23. Top-down, bottom-up 1 CFOs, Entrepreneurs, Investment Bankers, VCs  CEOs, Investor Relations, Boards (e.g. NEDs)  Process and Product Design, Marketing (TQM)  Environment Managers, Project Planners  Public Relations, Legal Advisors

  24. Our ‘Wave 4’ Strategy Financial markets Implementation Emerging economies 3-year Skoll Program Globalization 2015 Global Reporters 2006 Millennium Development Goals Bottom-up

  25. www.sustainability.com www.johnelkington.com elkington@sustainability.com

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