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Saturday, October 29, 2011

Video: Future Supply Chain 2016

Friday, October 28, 2011

The Rise of Sustainable Supply Chains

After the recession of 2008 companies got leaner and part of this new way of doing business involves looking at inefficiencies throughout the value chain as a way to leverage cost and enhance savings. Lean efforts have been demonstrated to yield substantial environmental benefits (pollution prevention, waste reduction and reuse opportunities) as well as leverage compliance issues.

Although sustainable supply chains have been steadily growing, in 2010 we saw an explosion of activity. The growth of greener supply chains in 2010 included a much greater focus on monitoring, measurement and verification from a host of companies including Wal-Mart, IBM, Proctor and Gamble, Kaiser Permanente, Puma, Ford, Intel, Pepsi, Kimberly-Clark, Unilever, Johnson & Johnson, Dell, AT&T, P&G, and Herman Miller.

In addition to private enterprise, government agencies in the US (General Services Administration) and abroad (DEFRA in Britain) have set green standards and guidelines for federal procurement.

Major value chain concerns such as materials water and waste management, are part of a growing sustainability trend where companies are increasingly concerned with their suppliers' sustainability efforts.

Corporate social responsibility issues including addressing concerns for human rights, fair labor and sustainable development got a lot of attention from big companies like Nestle, Corporate Express, Danisco, Starbucks, Unilever and the apparel industry.

Companies are embracing transparency and collaboration in the supply chain in an effort to be truly sustainable. They are getting on board with supply chain sustainability because they can't afford to be viewed as laggards and because they recognize that there are very real benefits to being first movers with green technological innovation.

© 2011, Richard Matthews. All rights reserved.

Related Posts
Environmental Regulations Shaping Today's Sustainable Supply Chains
Sustainable Supply Chains and New Environmental Laws
Sustainable Supply Chain Integration
Introduction to (Sustainable) Supply Chain Management
The Three Tiers of Sustainability and Supply Chains
Sustainable Supply Chains are Profitable
Case Study Illustrates the Profitability of Sustainable Supply Chains
Collaboration in Sustainable Supply Chains
Sustainable Procurement Guidelines and Procedures
Sustainable Supply Chains
Puma's Sustainable Supply Chain
PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
Walmart and HP's Sustainable Supply Chains
Arizona State University and Green Supply Chains
IT Sector Should Leverage Their Supply Chains
Video: Future Supply Chain 2016
Video: Ten Steps To A Greener Supply Chain
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Thursday, October 27, 2011

Environmental Regulations Shaping Today's Sustainable Supply Chains

On Wednesday, August 31, 2011, Environmental Leader aired a webinar that included an update on RoHS2, REACH, Conflict Minerals, and other key issues driving sustainable sourcing and supply chain initiatives.

The summer of 2011 brought a wave of regulations. The REACH Committee composed of member state representatives kicked off June with a draft Commission Regulation to amend Annex XVII of REACH. In July, an amended RoHS Directive (or “RoHS2”) followed with its long-anticipated overhaul and new restrictions for electrical and electronic equipment (“EEE”). And July 21, 2011 marked the first anniversary of Dodd-Frank legislation and its controversial Conflict Minerals regulations.

RoHS/RoHS2, REACH, and conflict minerals are just a few of the key issues intensifying demands for product compliance and material disclosures. Meanwhile, conflict minerals joins a rising number of human rights concerns that transcend product lifecycles, sourcing and the supply chain. Passing the mid-point of 2011, The webinar explored what these and other issues such as take-back and waste laws have in store for producers, importers, and other stakeholders throughout electronics value chains.

The webinar covered:

The regulations including timelines, scope, marking requirements and exemptions, reporting, record-keeping, informational obligations, registration, compliance, enforcement, sourcing, product lifecycle, tracking and material disclosures.

Speakers included Rick Goss, VP of Environment and Sustainability at the Information Technology Industry Council (ITI), Paul Hagen, Principle at Beveridge & Diamond, and Scott Wilson, Sr. Content Strategist at IHS Inc.

© 2011, Richard Matthews. All rights reserved.

Related Posts
The Rise of Sustainable Supply Chains
Sustainable Supply Chains and New Environmental Laws
Sustainable Supply Chain Integration
Introduction to (Sustainable) Supply Chain Management
The Three Tiers of Sustainability and Supply Chains
Sustainable Supply Chains are Profitable
Case Study Illustrates the Profitability of Sustainable Supply Chains
Collaboration in Sustainable Supply Chains
Sustainable Procurement Guidelines and Procedures
Sustainable Supply Chains
Puma's Sustainable Supply Chain
PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
Walmart and HP's Sustainable Supply Chains
Arizona State University and Green Supply Chains
IT Sector Should Leverage Their Supply Chains
Video: Future Supply Chain 2016
Video: Ten Steps To A Greener Supply Chain
Video: Green Supply Chain

Sustainable Supply Chains and New Environmental Laws

Saturday, October 22, 2011

Video: Future Supply Chain 2016

Video: Ten Steps To A Greener Supply Chain

Video: Green Supply Chain

Friday, October 21, 2011

Sustainable Supply Chain Integration

An integrated sustainable supply chain, involves life-cycle management. That means considering all the steps of a manufacturing process, and all the links in the supply chain and value chain to the end of a product’s life and beyond (ie how it is disposed of).

Large corporations are realizing the importance accountability, transparency, ethical conduct, and respect for stakeholders’ interests, human rights, rule of law, and international norms of behavior in managing internal and external stakeholder expectations.

Sustainble supply chain integration is not only for large corporations it is also for SMEs. These same principles can be applied holistically throughout the entire supply/value chain.

Every product has a hidden human health, environmental and social impact along the entire supply chain. The challenge is to bring sustainable procurement into a central decision making role in line with organizational business goals.

A smart way to integrate involves testing innovative technologies as a way to reduce the product environmental footprint. Most importantly, integration involves promoting social responsibility throughout the entire supply chain; and stimulating demand for socially responsible goods and services.

Here are five basic points that contribute to sustainable supply chain integration:

In procurement and purchasing decisions, use criteria that select ethically and socially responsible products and companies;
Examine your value chain/supply chain and be sure that you are paying enough to enable your suppliers to fulfill their own responsibilities;
Promote broader adoption of social responsibility through networks of manufacturing associations and business sector colleagues;
Seek business to business and peer network support to collaboratively develop best methods and approaches, leverage resources and document benefits;
Treat suppliers and customers/consumers fairly and equitably.

Sustainable Supply Chain Conference: Supplier Social and Environmental Performance

On October 25 and 26, there will be a practical conference on how to drive supplier social & environmental performance and deliver profitable efficiency through supplier buy-in and engagement. This conference will address ways of engaging suppliers on your Social, Environmental, and other Sustainability priorities. These events have a proven track record, with 900+ executives attending previous supply chain conferences.

PRACTICAL INFORMATION:

Achieve better supplier engagement through improved internal alignment with cross-department and function teams

Enhance procurement metrics by mapping sustainability criteria against existing purchasing priorities

Galvanize how supply chain teams think about where to source and ways to incentivize suppliers

Overcome challenges associated with identifying suitable KPIs for supplier questionnaires and scorecards

Expert tips on securing supplier buy-in even when you are not their biggest customer

Powerful techniques to increase transparency and improve traceability of sourcing

SESSIONS:

Ensure your suppliers co-operate and commit – instead of just paying lip service
At this top-level event, leading practitioners will take you step-by-step from Preparation to Implementation. Hear about where to focus your efforts, what reward structure to put in place, how to develop better scorecards and questionnaires, and much more.

Equip your procurement team with crucial business tools and processes
Procurement teams used to base their decisions primarily on price, quality and time. So what about the practical and operational challenges that emerge when social and environmental priorities are factored in? The Conference will spell out how to integrate sustainability to meet overall purchasing targets, what incentives to put in place and much more besides.

For an in-depth insight about our workshops, plenary sessions and discussion have a look at the agenda.

SPEAKERS

Conference speakers have sustainability and procurement backgrounds that match the practical emphasis of the event. This is your chance to pick the brains of senior, hands-on executives from corporate sustainability leaders including The Walt Disney Company, Bombardier Aerospace, Alcatel-Lucent, Kraft Foods, Pacific Gas & Electricity, Intel, Johnson & Johnson, MeadWestvaco, Pepsico, IBM, Office Depot, Kimberly-Clark and others..

To help you benchmark from leading US and global companies, we have also recruited one of the most respected European leader in the field: Marks & Spencer. For this one session only, we will stage a live video presentation where their company’s Head of Sustainable Business will share his wisdom and experience. Extra Q&A time has been scheduled at the end of this session.

To register click here or get more information on the Conference Agenda, rates and lodging, email cora.ng@ethicalcorp.com or call 1 800 814 3459 today.

© 2011, Richard Matthews. All rights reserved.

Related Posts
The Rise of Sustainable Supply Chains
Environmental Regulations Shaping Today's Sustainable Supply Chains
Sustainable Supply Chains and New Environmental Laws
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Introduction to (Sustainable) Supply Chain Management
The Three Tiers of Sustainability and Supply Chains
Sustainable Supply Chains are Profitable
Case Study Illustrates the Profitability of Sustainable Supply Chains
Collaboration in Sustainable Supply Chains
Sustainable Procurement Guidelines and Procedures
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Puma's Sustainable Supply Chain
PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
Walmart and HP's Sustainable Supply Chains
Arizona State University and Green Supply Chains
IT Sector Should Leverage Their Supply Chains
Video: Future Supply Chain 2016
Video: Ten Steps To A Greener Supply Chain
Video: Green Supply Chain

Wednesday, October 19, 2011

Sustainable Procurement Guidelines and Procedures

Collaboration in Sustainable Supply Chains

One of the key requirements of successful sustainable supply chains is collaboration. Supply chain collaboration includes practices like sharing distribution to reduce waste. Research demonstrates that a collaborative sustainable supplier “network” outperforms a buyer-centric “mission control” supply chain, resulting in a steady supply over the long term, financial benefits to suppliers and quality assurance. Collaborative approaches to managing supply chain issues can increase efficiency and thereby save costs and increase profits.

Transportation is a significant component of the costs incurred by most supply chains. The role of transportation is even more significant in global supply chains. The success of sustainable supply chains is closely linked to the appropriate use of transportation. One of the ways collaboration can improve efficiency in supply chains is by ensuring that vehicles are not dispatched half-empty. By sharing transportation services, vehicles can increase the likelihood that they are always at or near capacity. Collaboration can help make company supply chains more efficient by ensuring that vehicle capacity is maximized according to regional shipping routes.

Information is at the center of virtually every aspect of business especially in today's dynamic uncertain and highly cooperative environment. Advances in information systems are driving more transparent organizational structures, more strategic alliances, increased emphasis on performance measurement and greater reliance on time-based strategies.

One of the components of the implementation of sustainable supply chain management is information sharing through two-way communication between partners within a supply chain.

The advancement of technology is changing the way companies do business. Companies must harness the power of technology to collaborate with their business partners as never before. A proper IT strategy integrated with a sustainable supply chain strategy can provide a powerful competitive advantage.

Many companies resist collaborative supply chain because they fear a loss of commercial control by working with others. However, in many cases, this fear is largely unwarranted.

By sharing risks across supply chain partners, companies may be able to improve their own performance in increasingly volatile and competitive global markets.

Collaboration throughout supply networks enhance efficiencies and optimize value.

© 2011, Richard Matthews. All rights reserved.

Related Posts
The Rise of Sustainable Supply Chains
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Sustainable Supply Chains and New Environmental Laws
Sustainable Supply Chain Integration
Introduction to (Sustainable) Supply Chain Management
The Three Tiers of Sustainability and Supply Chains
Sustainable Supply Chains are Profitable
Case Study Illustrates the Profitability of Sustainable Supply Chains
Sustainable Procurement Guidelines and Procedures
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Puma's Sustainable Supply Chain
PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
Walmart and HP's Sustainable Supply Chains
Arizona State University and Green Supply Chains
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Video: Future Supply Chain 2016
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Tuesday, October 18, 2011

The Three Tiers of Sustainability and Supply Chains

In 2008, The Future Laboratory produced a ranking system for the different levels of sustainability being achieved by organisations. This was called the Three Tiers of Sustainability:

Tier 1: The Basics of Sustainability

This is the firs level where companies employ simple measures such as switching lights and PCs off when left idle, recycling paper, and using greener forms of travel with the purpose of reducing the day-to-day carbon footprint. Some companies also employ self-service technologies such as centralised procurement and teleconferencing

Tier 2: Thinking Sustainably

This is the second level, where companies begin to realize the need to embed sustainability into supply chain operations. Companies tend to achieve this level when they assess their impact across a local range of operations. In terms of the supply chain, this could involve supplier management, product design, manufacturing rationalization, and distribution optimization.

Tier 3: The Science of Sustainability

The third tier involves balancing environmental, social, ethical and economic factors within a procurement and supply chain strategy. It uses auditing and benchmarks to provide a framework for governing sustainable supply chain operations. It considers agility, flexibility, and cost in the supply chain network. Moving towards this level means being driven by the current climate as well as pushing emerging regulations and standards at both an industry and governmental level.

Time and quality based competition eliminates of waste in the form of time, effort, defective units, and inventory in manufacturing distribution systems.

Two capabilities that are useful in a time and quality based competitive environment are agility and flexibility. With faster product innovations, decrease product life cycles, and rapid imitative competition, only firms that are agile and flexible will survive.

Agility is the agility to respond quickly to changes in the marketing environment. Agile firms are able to successfully market low-cost, high-quality products with short lead times in varying volumes that provide enhance value to customers through customize.

Flexibility is defined as the capability of changing from one task to another rapidly when changing conditions are defined ahead of time.

© 2011, Richard Matthews. All rights reserved.

Related Posts
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Case Study Illustrates the Profitability of Sustainable Supply Chains
Collaboration in Sustainable Supply Chains
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PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
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Video: Future Supply Chain 2016
Video: Ten Steps To A Greener Supply Chain
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Case Study Illustrates the Profitability of Sustainable Supply Chains

Research published in Supply Chain Management: An International Journal, shows that sustainable supply chains can be profitable. By focusing on personal relationships built on trust, a collaborative supplier network can outperform a buyer-centric “mission control” supply chain. According to this research, such a network results in a steady supply as well as financial benefits to suppliers and quality assurance.

A Cranfield School of Management case study by Alvarez, Pilbeam and Wilding, consulting used historical documents and conducting employee interviews. The profitability of a sustainable supply chain was illustrated by Nespresso, a division of Nestlé. In the 1990s the company was struggling to meet growing demand for high-quality coffee. It needed a sourcing strategy that improved conditions for subsistence farmers while ensuring a reliable supply of high-quality product over the long term.

In 2003, Nespresso created the AAA Sustainable Quality Program with just three initial partners: two coffee suppliers and an NGO. By 2007, the network had grown to include 14 partners in five countries, and Nespresso sales had reached 1.7 billion CHF (Swiss Francs) – compared to 445 million CHF in 2003.

Here are five keys to Nespresso’s supply chain success:

1. Dive In. Nespresso opted not to do extensive planning or budgeting in advance of the program launch. Instead, they experimented as they went and allocated resources from existing departments to the project.

2. Pick a Few Strategic Partners. Nespresso started with only three initial partners. One of those partners was an NGO, Rainforest Alliance, which possessed subject-matter expertise and conferred credibility on Nespresso’s activities.

3. Focus on Quality. Nespresso focused on generating premium coffee, not letting their sustainability efforts overshadow the need for high-quality product. Nespresso also paid a premium to their coffee growers.

4. Communicate Often. The supplier network partners interacted frequently – by phone, video conference, email and even face-to-face meetings in coffee producers’ countries.

5. Introduce Policies as You Grow. Initially, they relied on trust and personal relationships to keep the program moving. As its supplier network grew, Nespresso introduced formal governance mechanisms such as objective-setting sessions, contracts, guidelines, project reports, stakeholder forums and annual review meetings with suppliers.

© 2011, Richard Matthews. All rights reserved.

Related Posts
The Rise of Sustainable Supply Chains
Environmental Regulations Shaping Today's Sustainable Supply Chains
Sustainable Supply Chains and New Environmental Laws
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The Three Tiers of Sustainability and Supply Chains
Sustainable Supply Chains are Profitable
Collaboration in Sustainable Supply Chains
Sustainable Procurement Guidelines and Procedures
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Puma's Sustainable Supply Chain
PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
Walmart and HP's Sustainable Supply Chains
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Video: Future Supply Chain 2016
Video: Ten Steps To A Greener Supply Chain
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Sustainable Supply Chains are Profitable

Sustainable supply chains frequently translate to profitable supply chains. There is growing interest in sustainable supply chains that serve environmental and economic objectives. Growing consumer pressure for eco-friendly products are driving sustainable supply chains with smaller footprints. Sustainable supply chains also reduce costs through improvements in efficiency.

Sustainable supply chains involve procurement that maximizes net benefits for companies and the wider world. These companies incorporate extrinsic cost considerations into decisions alongside the conventional procurement criteria of price and quality. These environmental, economic and social consideration are also known as the “triple baseline”.

Dave Meyer, Sustainable Economic and Environmental Development Solutions (SEEDS) Global Alliance (Northwest Operations) and SVP of Greenbridge International, LLC., told a gathering of logistics and supply chain professionals that there is a bottom line angle to towing the green line.

Environmental, risk, and waste costs make supply chain sustainability a profitability issue.Sustainability in the supply chain is increasingly seen among high-level executives as essential to delivering long-term profitability and has replaced monetary cost, value, and speed as the dominant topic of discussion among purchasing and supply professionals.

Organizations are looking at supply chain sustainability as a new measure of profitable logistics management. One powerful tool to increase efficiency comes from integrating functional activities through information technology that reduce associated costs.

Green procurement is not only a tool with which to address climate change, but it offers the broader capacity to mitigate over-exploitation of any and all scarce resources.

Better methods of defining supply chain sustainability and benchmarking are making it easier to implement sustainable action plans. Companies increasingly recognize significant cost savings through green operations that include a more sustainable supply chain.

© 2011, Richard Matthews. All rights reserved.

Related Posts
The Rise of Sustainable Supply Chains
Environmental Regulations Shaping Today's Sustainable Supply Chains
Sustainable Supply Chains and New Environmental Laws
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Introduction to (Sustainable) Supply Chain Management
The Three Tiers of Sustainability and Supply Chains
Case Study Illustrates the Profitability of Sustainable Supply Chains
Collaboration in Sustainable Supply Chains
Sustainable Procurement Guidelines and Procedures
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Puma's Sustainable Supply Chain
PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
Walmart and HP's Sustainable Supply Chains
Arizona State University and Green Supply Chains
IT Sector Should Leverage Their Supply Chains
Video: Future Supply Chain 2016
Video: Ten Steps To A Greener Supply Chain
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Monday, October 17, 2011

Introduction to (Sustainable) Supply Chain Management

Supply Chain Management (SCM) is the systemic, strategic coordination of functions that seeks to improve long-term performance. A supply chain consists of all parties involved, directly or indirectly in fulfilling a customer request. The supply chain not only includes the manufacturer and the supplier but also transporters, warehouses, retailers, and customers themselves. Within each organization the supply chain includes all the functions involved in receiving and filling a customer request.

The objective of every supply chain is to maximize the overall value generated. The value a supply chain generates is the difference between what the final product is worth to the customer and the cost of supply chain incurs in filling the customer's request. For most commercial supply chains, value will be strongly correlated with supply chain profitability i.e. the difference between the revenue generated from the customer and the overall cost across the supply chain.

Supply Chain process: Cycle View and Push/Pull view.

1. Cycle View

The processes in a supply chain are divided into a series of cycle, each performed at the interface between two successive stages of a supply chain. Cycle view of Supply chain process includes: Customer order cycle - Replenishment cycle - Manufacturing cycle - Procurement cycle.

2. Push/ Pull view

The processes in a supply chain are divided into two categories depending on whether they are executed in response to a customer order or in anticipation of customer orders. Pull process are initiated by a customer order, whereas push process are initiated and performed in anticipation of customer orders.

Companies are enhancing their competitiveness with improvement initiatives, such as implementation of Just-in-Time (JIT) and Quick Responses (QR) inventory management policies, business reengineering, and supply chain management.

Supply chain management involves developing efficient and effective information systems that can inform strategic decisions. The supply chain information systems rely on either EDI (Electronic Data Interchange) or the Internet to transmit information within the supply chain. Information systems are essential to managing a supply chain.

© 2011, Richard Matthews. All rights reserved.

Related Posts
The Rise of Sustainable Supply Chains
Environmental Regulations Shaping Today's Sustainable Supply Chains
Sustainable Supply Chains and New Environmental Laws
Sustainable Supply Chain Integration
The Three Tiers of Sustainability and Supply Chains
Sustainable Supply Chains are Profitable
Case Study Illustrates the Profitability of Sustainable Supply Chains
Collaboration in Sustainable Supply Chains
Sustainable Procurement Guidelines and Procedures
Sustainable Supply Chains
Puma's Sustainable Supply Chain
PUMA's Comprehensive Sustainable Strategy Now Includes Environmental Accounting
The Sustainable Supply Chain Efforts of Interface Inc
Nike and H&M Bow to Greenpeace and Green their Supply Chains
Walmart and HP's Sustainable Supply Chains
Arizona State University and Green Supply Chains
IT Sector Should Leverage Their Supply Chains
Video: Future Supply Chain 2016
Video: Ten Steps To A Greener Supply Chain
Video: Green Supply Chain

Thursday, May 12, 2011

Is Capitalism Sustainable?

Business has created the environmental crisis and now the same capitalist system that was behind the industrial revolution, is beginning to play a vital role in solving the problems it created.

Despite the link between environmental practices and profitable, long-term business sustainability, many believe that capitalism itself is unsustainable. The Earth has finite resources, so their argument goes, but capitalism depends on ever expanding consumption. The truth is that dating back to the origins of our species, we have seen our use of resources evolve, from stone, to bronze and then iron. More recently we entered the information age which may prove to be the gateway to a more sustainable use of resources.

Although we should do everything we can to preserve finite resources, human ingenuity is infinite. In this way we are slowly moving away from finite fossil fuels to infinitely renewable fuels such as wind, wave and solar.

Market driven solutions can be incredibly powerful as they have the power to extend, promote and invest in sustainable innovation. Although new market based mechanisms like regulation, incentives and tradable permits are still a few years off, it is inevitable that the true cost of carbon will be made absolutely clear. As a tenant of the free market business should pay for the costs they incur.

Sustainability will continue because it is an unstoppable mega-trend that is destined to keep growing at even faster rates. With the rise of the green consumer, businesses want to cash-in on the steady and growing demand for green goods and services. Various partnerships are emerging to help in the development of sustainable best practices. One such arrangement involves the new partnerships between corporations and environmental organizations.

There are also other factors that make sustainability entirely consistent with capitalism. Renewable energy solutions are seen as a potent symbol of a new modernity. Numerous studies have shown that environment issues have a significant effect on workforce morale. A workforce seeing a forward-looking and responsible company is more likely to feel good about working for such a company and a happier workforce is a more productive workforce.

Increases to employee productivity and benefits to the brand are just two ways in which integrating sustainable practices serve a company's best interest. Avoiding public pressure and attracting customer loyalty are additional factors that add to the capitalist appeal of sustainability.

Factoring environmental considerations into economic equations makes sense and the profit motive is a powerful incentive. The marketplace is always looking for cleaner, cheaper, faster, more efficient and more effective solutions, and the market is better at identifying opportunities than most government planning. Although short sighted greed makes long term planning difficult, with the right long-term incentives it can be made to work.

The green market is now estimated to be worth $5.27 trillion (£3.2 trillion) worldwide and in the next couple of decades the clean energy market alone is expected to be worth more than$13 trillion. With that much at stake, businesses cannot afford to ignore the green market.

In the business environment of tomorrow, sustainable practices are a strategic priority. The Survey of America's Greenest Brands show that even companies with very poor environmental reputations can redeem themselves and go from environmental pariah to eco-superstar by incorporating sustainable practices.

If we are to make the changes within the time frames we have left we will have to make use of the mechanisms that are available to us today. We do not have time to reinvent our world. As Paul Hawkin once said, "business is the only mechanism on the planet today powerful enough to produce the chances necessary to reverse global environmental and social degradation."

With the appropriate incentives and disincentives we can integrate environmental and social issues into the economic equation. An economy based on fossil fuels can be replaced by a low carbon economy. Capitalism is our last best hope to manage the environmental crisis we are facing.

© 2011, Richard Matthews. All rights reserved.

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Wednesday, April 6, 2011

350.org and Business

Bill McKibben and 350.org have some ambitious plans to get the business community involved with efforts to reduce CO2 emissions. The business community is responsible for a large amount of the CO2 being pumped into the atmosphere, if we are to achieve necessary reductions business people have a critical role to play in shaping a more sustainable economy.

Many business people know that regulatory standards send clear market signals to investors and entrepreneurs about new opportunities. The current climate of uncertainty does not serve the business community. Numerous product innovations, clean energy investments and new service offerings will flow from a consistent EPA effort to regulate greenhouse emissions. As many states across America have demonstrated, policies that address greenhouse-gas emissions do not impair economic growth. To the contrary, they enhance it by attracting venture and institutional investors and new high technology and manufacturing companies.

In a conference call with Bill McKibben and the 350 team, The Green Market's Richard Matthews asked what 350.org is doing to help support the business community to combat climate change. Bill McKibben answered the question by saying, "it is really important to get businesses and business people involved that is why we are getting chambers of commerce involved." He went on to say, "capitalism is supposed to be innovative flexible and creative,[and] most business people are prepared to consider energy powered by the sun and the wind."

McKibben wants to get businesses to sign up to support efforts to combat climate change through a campaign that targets the US Chamber of Commerce. Rather than represent small businesses, the Chamber is actually a giant lobbying machine, spending more money to influence the political process than anyone else in Washington.

As indicated on the 350.org site, "The Chamber is controlled by big polluters, poisons politics with its dirty money and opposes every single effort to curb climate pollution."

As well known author and New York Times journalist Thomas Friedman said, "All shareholders should be asking CEOs why they still belong to the Chamber."

The Chamber has opposed every piece of legislation designed to slow the onset of global warming—in recent months it has tried to block the EPA from enforcing the Clean Air Act, arguing that global warming would be “on balance beneficial to humans” because fewer people would freeze to death and that in any event “populations can acclimatize to warmer climates via a range of range of behavioral, physiological, and technological adaptations.”

The US chamber of commerce spent 132 million dollars on lobbying in 2010. The Chamber gets more than half of its funding form 16 anonymous corporate donors. Of the companies that donated to the Chamber, $1 million came from the Fox Broadcasting Network. Fox host Glenn Beck urged his viewers to donate to the Chamber—and a US Chamber official called in to his program to thank him for his support.

Of the 32 million dollars the US Chamber of Commerce spent on the 2010 midterm election, 90 percent went to Republican candidates who are climate deniers.

Historically the Chamber has been on the wrong side of some major issues. They supported Joseph McCarthy in perpetuating the red scare, they also fought against American involvement in World War ll, civil rights, disabled rights and now clean air.

Local business chambers are increasingly at odds with the US Chamber. Local chambers of commerce have cut their ties in cities like Seattle, New York, and San Francisco as well as states like Florida, South Carolina, Missouri, Kansas, Colorado, Pennsylvania, New Hampshire and Washington.

More than a thousand businesses have also abandoned the Chamber, they include a wide range of companies from small businesses to international corporations like Apple, Nike, Microsoft, Levi-Strauss, Best Buy, and General Electric. For a map of businesses who are saying that the US Chamber of Commerce does not speak for them click here.

When Nike relinquished its position on the Chamber's board of directors it said, "We fundamentally disagree with the US Chamber of Commerce on climate change." When Apple resigned their position on the Chamber's board of directors they released the following statement, "Apple supports regulating greenhouse gases, it is frustrating to find that the Chamber at odds with us in that effort." Click here for a complete list of statements from those who disagree with the US Chamber of Commerce.

For more information read Bill McKibben’s Huffington Post piece on the US Chamber “The Gang That Couldn’t Lobby Straight”

Its time to develop a national movement and strong political voice for sustainability-minded companies. Responsible and sustainability minded companies can play a major role in making the argument that emasculated regulatory agencies, corporate oil and gas subsidies and tax cuts for millionaires will neither generate jobs nor foster a competitive economy. Join 350.org in standing with small business owners, local chambers of commerce and people all over the country. Sign up to the 350 campaign to say, "The US Chamber of Commerce Doesn't Speak For Me."

Become part of the American Sustainable Business Council to help build a more vibrant, just and sustainable American economy or join the many other organizations that are working at the national, state and local level.

To find out more about what businesses can do click here. You can also start or join a local team and recruit local businesses to declare, “The US Chamber Doesn’t Speak For Me.”

See the facebook page for The US Chamber of Commerce Doesn't Speak For Me and post the following Tweet on Twitter The US Chamber Doesn't Speak For Me http://t.co/i7jbw0v.

© 2011, Richard Matthews. All rights reserved.

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Fossil Fuel Calamities and Deadly Weather Underscore the Urgency of the 10/10/10 Event
Bill McKibben Goes to the White House
White House Agrees to Put Solar On It
McKibben Calls Extreme Weather Events Climate Disasters
Environmental Activism and Social Media
Letter of Thanks from Bill McKibben
Message of Thanks from the President of the Maldives
350.org Makes History with Day of Climate Change Action
350.org: International Day of Climate Change Action Events 350.org: International Day of Climate Action

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