1. Framing the Business Approach to Sustainability: Some Studies
By William R. Blackburn
Lake County Green Conference
College of Lake County
Grayslake, IL
May 17, 2012
©2012 William Blackburn Consulting, Ltd.

2. Conference Board Study Participants
Alcan, acquired by Rio Tinto
Aveda part of Estee Lauder
Source: W. Blackburn, Frameworks for Integrating Citizenship and Sustainability, Report 1446, (2009), available at
©2012 William Blackburn Consulting, Ltd.

3. Top Reasons For Increased Focus on Sustainability by Companies (Source: 2007 Conference Board study of 18 major corporations. )
WHY?
Reputation, brand
Stakeholder pressure (esp. customers)
Reduce waste (and costs), increase productivity
Employee morale, motivation and recruitment
Peer pressure (competitors, high-visibility companies)
7% growth in natural food sales in Dec 09
No of sustainable product launches if 4 times faster in 2009 as last year---- (500) in Q1 is about same as for all of 2008.
©2012 William Blackburn Consulting, Ltd.

4. TCB Sustainability Framework Elements
Organization
Mission, Vision and Values
Goal Setting & Strat Planning
Deployment, Integration, Alignment & Accountability
Management Systems
Stakeholder Engagement
Partnerships with NGOs and Government
Supply Chain Programs
©2012 William Blackburn Consulting, Ltd

5. Source: W. Blackburn, Frameworks for Integrating Citizenship and Sustainability Report 1446, (2009), available at

6. Mission, Vision and Values
Policy
Bristol-Meyers Squibb Pledge
UN Global Compact (Al, CC, P)
Model Sustainability Policy (Conf. Bd. Report #EA 260—16 companies)
Broad areas of focus
Baxter’s 3 sustainability areas of focus
Coke’s Manifesto for Growth (“5Ps”)
JC Penney “CARES”
“Alcan 8” priorities
Hospira’s 5 sustainability areas of focus
Coke: people, portfolio, partners, planet, profit
JC Penney: community, associates, responsible sourcing, environment, sustainable products
©2012 William Blackburn Consulting, Ltd

7. Emerging Meaning of Sustainability from an Organizational View “The 2 Rs”
Values-driven management based on---
Respect: for people and other living things
Resources: the wise use of economic and natural resources
—for the purpose of sustaining and promoting the long-term well-being of the organization and society (including the environment).
©2012 William Blackburn Consulting, Ltd.

8. Defining Sustainability Obligations
and Issues for Action—Common Topics*
Governance (oversight structures and systems for legal and ethical compliance and risk control on below topics for organization and its supply chain)
Human Rights (civil rights, nondiscrimination, etc.)
Labor Practices (wages, working conditions, etc.)
Environmental Issues (pollution, energy and resource conservation, biodiversity, etc.)
Fair Operating Practices (anti-corruption, fair competition, etc.)
Consumer/customer Issues (fair marketing, consumer safety, product compliance, etc.)
Community Involvement & Development
Economic Viability of the Organization
*Based on the GRI reporting guidelines and ISO SR standard
©2012 William Blackburn Consulting, Ltd.

9. No. of Companies with Goals on Subject Per Conf Bd. Study (total=11)
Source: W. Blackburn, Frameworks for
Integrating Citizenship and Sustainability…,
Report 1446, (2009), available at

10. Management Systems EHS: ISO 14001 (Ab, H, FP) and OHSAS 18001
Mandatory certifications by Al, Bx
EHS and quality (P, CC)
EHS and security (DC)
EHS and product responsibility (BMS)
©2012 William Blackburn Consulting, Ltd

11. Majority Use Global Reporting Initiative (GRI) Sustainability Reporting Guidelines
©2012 William Blackburn Consulting, Ltd

12. Partnerships with NGOs and Government
Healthcare (Ab, BMS, P, Bx, H)
Water (CC, FP), climate change (Al, Bx, BMS)
Employee volunteerism (P, H, Av)
Education on relevant skills (Al, Bx, DC, FP)
EPA voluntary programs (Bx, BMS, P, JP)
Customer-oriented partnerships (JP, FP, H, BMS, Bx, CC)
Supplier-oriented partnerships (Av, CC)
Healthcare: AIDs programs
Volunteerism: P sponsors employees to assist NGOs in 30 countries
FP: works with colleges to prepare disadvantages people for jobs with utilities
EPA: Energy Star, Green Supplier Network, Climate Leaders, SmartWay Transport Partnership
Customer partnerships: JP After School Roundup, to fund after school programs for needy children
Supplier: Aveda gets natural ingredients from indigenous tribes; teams w/ NGOs and others to help make their communities sustainable
©2012 William Blackburn Consulting, Ltd

13. Supply Chain Programs Risk-based programs Approach
Requirements or guidelines (supplier codes of conduct by 8 of 11)
Evaluation process
Questionnaires (Bx, BMS); self assessments (DC, JP)
Expert site evaluations (BMS, Ab, CC, Av, JP, CC)
Communications and networking forums (Bx, JP) and CSR awards (JP)
Downstream collaboration (Av-spas, CC-bottlers)
Downstream: Aveda spas during Earth Month;
CC, bottlers council, standards, metrics, community programs , report
©2012 William Blackburn Consulting, Ltd

14. Putting It All Together
Visible top management support
Effective, operational or functional champion/leader
Good teamwork
Vision of what is to be achieved
Desire to continuously improve
Integration into plans, policies and procedures, practices and decision-making
Staying current on emerging issues
Connecting with internal and external stakeholders (employees, communities, customers, NGOs, governments)
©2012 William Blackburn Consulting, Ltd

15. The Sustainability Handbook—
The Complete Management Guide
to Achieving Social, Economic and
Environmental Responsibility
(See )
©2012 William Blackburn Consulting, Ltd.

16. Business Models for Sustainability Lake County Green Conference
Al Moody, Liberty Prairie Restorations (Libertyville)
Ron Meissen, Baxter Healthcare (Deerfield)
Bill Blackburn, William Blackburn Consulting (Long Grove)
Lake County Green Conference
College of Lake County
Grayslake, IL
May 17, 2012