My initial challenge this year for my Organizational Leadership class is to brave the world of sustainable operations. How does one successfully integrate sustainability into an organization's operations? What are the key entry points? What are the challenges of implementation? Generally, business sustainability entails the incorporation of social equity, economic efficiency and environmental performance, into a company's operational practices. The myriad of ways to which you can begin to achieve this is the subject of my post today.
Whats been done
When a company decides to ‘integrate sustainability’ into their operations there is usually a degree of overwhelming panic that follows - where do we start? I’ve been reading about what some companies have done to formalize the process and choose specific areas where they want to excel. Here are some ways companies are integrating sustainability into their operations:
- Certifications- by purchasing ‘sustainably certified products’ or operating out of a ‘green certified’ building or being certified as a ‘sustainable company’ can help a company prioritize their sustainability efforts. Using certifications allows companies to support a standard of products or buildings that meet a desired level of sustainability. Here are three examples of certification that incorporate sustainability in different ways.
- USDA Organic label - Lets say a grocery company’s sustainability goals include reducing the amount of pesticide laden food they carry and supporting patron’s health and eating habits. One policy that they could incorporate would be carrying more organically certified food. Using a certifying body would allow them to meet their operational goals without having to do a lot of the research and audit work involved in the certifying body.
- LEED certification - If a company prioritizes their working environment as a way to support sustainability, LEED certified buildings are an easy way for them to meet a standard without having to figure everything out related to green building environments.
- B-corp Certification - Because of the performance requirements of this certification, a certified B-corp can send a message to patrons and meet their own internal sustainability practices and goals. This certification is more of a holistic method to operational sustainability by setting internal standards around social, economic and environmental impact. This certification allows companies to communicate a clear commitment to sustainability to patrons and employees alike.
- Measurement and Reporting - Another way companies can integrate sustainability practices is by selecting key performance indicators or areas that relate to their overarching sustainability goals. The Global Reporting Initiative is perhaps the best example of this on a large scale. They offer a standardized reporting method that tracks performance in several key business operational areas. This can help organizations understand where they are at currently and where they could grow in the future. It helps an organization leverage opportunities for growth in sustainability that perhaps they were unaware of before they began to report.
- Targeted strategies - Some companies have a clear focus when it comes to sustainability. They choose a specific issue, target area or goal and work to achieve it through operations. For example, several textile companies have committed to the 0ZDHC initiative or Zero Discharge of Hazardous Chemicals by 2020. This single initiative changes how companies are operating in several departments including their supply chain, manufacturing process and purchasing decision matrix. With one initiative in mind they are able to go through department by department and make the necessary changes to their operational plan so as to achieve their final goal.
The Challenges moving forward
Obviously there are many ways to get from point A to point B. After reviewing some of our current methods I couldn’t help but wonder - Are we capturing the whole picture? All of these sustainable initiatives may work to support the specific organizations operational goals but how are they contributing to the societies which they serve? How do we best balance between the opportunity for collective action and maximizing our effectiveness by focusing on specific organizational goals?