CSR Visions for the future Oslo, November 14, 2012 Idar Kreutzer, CEO, Finance Norway
A global market in transition
Business as usual is not an option Today and BAU: The world is on an unsustainable track Vision 2050: Around nine billion people live well, and within the limits of the planet Source: World Business Council for Sustainable Development, Vision 2050
The pathway to Vision 2050
Source: World Business Council for Sustainable Development, Vision Redefining strategic framework for business Increasing complexity of risk Changing consumer behavior Business Evolving framework conditions Rising cost of capital Fluctuating prices and availability of raw materials ”Those companies that wait to be forced into action or who see it solely in terms of reputation management or CSR, will do too little too late and may not even survive.” Paul Polman, CEO Unilever
Significant needs for investments Expected investment needs for urban infrastructure up to 2030 (US$ billions) Systems planning Infrastruture Water Technology Buildings Finance Many opportunities... Source: Booz Allen Hamilton, 2007
’ Must haves’ for 2020 Political Economic SocialTechnological Leadership and legislation New success measures and pricing to incorporate externalities Awareness, incentives and access Efficiency, innovation and proliferation
It should happen…
Powerhouse - constructing Norway’s first energy positive building ”If you want to succeed, you need restrictions that make things difficult. Limitations make you think.” Partnerships
Hydro takes a leading position in redesigning production Kg CO 2 e / Kg aluminum Source: Hydro. Average specific emissions from Hydro’s Norwegian smelters KWh / Kg aluminum Lower emissions -70% Lower energy use
It is not just about the tools…
Active disengagement Culture eats strategy for breakfast! …it is about leadership and culture
Ownership Acceptance Understanding Knowledge How do you implement a successful change process?
Leadership for sustainability Sustainability is the single biggest business opportunity of the 21st century The most important thing I have learned since becoming CEO is context. It’s how your company fits with the world and how you respond to it. Jeff Immelt, CEO The General Electric Company Harold Lee Scott, Jr, former CEO Wal-Mart