The Sustainability Perspective: What Do You See In The Future?

With talks concluding in Copenhagen and follow-up conversations expected to continue into the immediate future, the world has become increasing aware of the impacts of global emissions have on climate change. Despite varying views and beliefs, the long-term outcome of these discussions will almost certainly change the face business.

The rapid growth in global eco awareness is not likely to bump the two primary objectives atop most corporate agendas. Profitability and shareholder return still remain the ultimate drivers most business action; however, the growing understanding of business sustainability risk might be adding a new perspective for senior management.

Our sustainability consulting finds many organizations evaluating the cost and benefits of sustainable business changes. By managing and planning a company’s operations to reduce environmental and social impacts, companies not only mitigate future risk but position their organization to capture opportunity going forward.

To illustrate this view of the future from a sustainability perspective, let us take a simple example from our own professional consulting experience. In a recent discussion with a client, we learned that their business was feeling pressures from their primary customer to provide visibility into their sustainable business actions. Concerned about their future and the potential loss of revenue from a critical customer, the company sought advice on how to approach this business sustainability risk:

•    What is the likelihood the customer would drop the business if sustainable change was not implemented?
•    What would be the business impact of the loss of this key customer?
•    What would be the cost of meeting the customer’s basic requirements?
•    What could be the value opportunity of exceeding customer requirements?
•    What other customer relationships could be enhanced by sustainable business change?
•    What would be the potential for new customers and new markets as a sustainable business?

Sustainable business action is no longer a slogan, marketing campaign, or a feel-good business activity. Companies are beginning to see the true business risks and value opportunities of implementing sustainability concepts into their core business processes. For this client, the biggest risk and area of improvement came in addressing the expectations of the customer. For your company, sustainability may provide you with a different perspective of the future.