Master’s Week: CEOs Putting On the "Green" Jacket

This week marks the 76th playing of the Masters Golf Tournament, in which the winner is honored with a ceremonial Green Jacket symbolizing the golfer's entry into the exclusive club of champions.

In today’s business world, CEOs are putting on their own Green Jacket and entering a club of distinguished businesses committed to business sustainability. These companies represent growing eco awareness in board rooms around the world for the value in a “green jacket” mentality.

Leading corporations are embracing the concept of business sustainability and its link to economic success and competitive advantage:

•    According to a 2005 KPMG survey, 68% of Fortune 250 companies now publicly report on their social and environmental initiatives as well as their financial performance.

•    According to McKinsey and Company, more than 90% of chief executives are doing more now than they did five years ago to incorporate environmental, social, and governance issues into their companies’ strategies and operations.

•    According to PricewaterhouseCoopers' 6th annual Global CEO Survey: 79% of CEOs agreed that sustainability is vital to the profitability of any company, an increase from 69% the year before; and 71% of CEOs said they would sacrifice short-term profitability in exchange for long-term shareholder value when implementing a sustainability program.

Companies recognize that a failure to meet sustainability obligations may actually lead to declining market share and loss of talent in their companies. This has placed business sustainability to the top of the agenda in many executive meetings, with topics directly affecting the future of the business.

•    Creating New Markets: CEOs across all industries realize the economic value of incorporating sustainability concepts into product development and marketing. Focusing on customer’s eco awareness and shifting preferences is creating new market segments and opportunity for business growth.

•    Providing Greater Transparency: Executives recognize that transparency and accountability is no longer limited to a company’s financials. Corporate sustainability plans are providing company disclosure on regulatory compliance and risks.

•    Meeting Stakeholder Needs: Investors are expecting more from companies. Business sustainability is now being integrated into traditional investment evaluation process, and this is having real impact on company financials. Company success and sustainability are becoming more closely linked.

Today’s business environment is changing and leading companies are responding. Recognizing the need for change and taking action can get a business on the right track. At Taiga Company, our professional consulting works with clients ready to put on the Green Jacket.

Comments for Master’s Week: CEOs Putting On the "Green" Jacket

Friday, April 10, 2009 by Sara F.:: For most small businesses, going green probably means taking small steps initially, which can be supplemented once the first steps prove their economic value. Here are a few easy steps to begin the going green process: * Commit to turning off all lights, computers, and other users of electricity at the end of each work day and when not in use-- it costs 9 cents an hour to leave a computer on * Replace your incandescent light bulbs with compact fluorescent light bulbs * Lower your thermostat by a few degrees in the winter and raise your thermostat by a few degrees in the summer For more helpful green tips, visit www.wbsonline.com.
Monday, April 13, 2009 by Tim Albinson:: You’re right: The role of the CEO should not be underestimated. Several studies have shown that the businesses that are emerging as sustainability leaders have CEOs who are fully engaged and committed to green, and even broader CSR, initiatives. Tim www.2sustain.com