efcd3f4d

Reclaiming the Heart of Organisational Strategy

Sun, 07 Dec 2025 14:15:25 GMT

In an age where “purpose” has lost its meaning, it’s time to rediscover the forces that make organisations truly resilient by reclaiming what lies at the core of strategic development.

It starts with remembering why we exist, what drives us forward, and the future we dare to imagine. Then, we must activate the power of this “ Strategic Triad ” for the benefit of the whole ecosystem that sustains the organisation.

This process will ground us and enable us – organisations and individuals – to thrive through today’s complex and unpredictable times.

Over recent years, purpose has been dissected, redefined, and overused to the point that its meaning feels diluted into slogans and taglines.

But over the past two decades of working with organisations across industries, I've learned this: purpose is the quiet, steady force that holds organisations together through change, but only when understood in its duality:

Purpose as the reason for existing
Purpose as the determination to become, to go further, to persist. The engine behind resilience.

That’s when it becomes a true transformational anchor.

However, for the yin of purpose – in its duality – to become this anchor, it must be paired with its yang: the force that delivers clarity and direction: Vision .

The Strategic Triad

If purpose provides meaning, and determination is the engine behind resilience, then vision helps build momentum.

It's the spark that ignites hearts and minds to go beyond what once seemed possible. It's the compass that keeps organisations aligned when everything shifts.

When leaders clearly define their purpose, show unwavering determination and articulate a compelling vision – while inviting everyone along for the journey – that’s when the magic happens.

A clear example of the Strategic Triad can be seen in President Kennedy’s 1962 moon-shot speech:

Purpose: advancing knowledge for the benefit of all.
Determination: choosing the hard path because it matters.
Vision: a future of innovation, new industries, shared progress, and the possibility of peace.

Regardless of politics, the speech united millions behind a common ambition and helped propel the mission that reached the moon. It remains a rare moment where purpose, determination, and vision were fully aligned and lived through the space programme.

Source: Full speech

Beyond Statements

The real value, then, isn't in crafting perfect statements - although they must be true to the core and strong enough to move mountains.

It lies in the mindset change that happens while going through the process of answering fundamental questions, such as:

What needs are we here to meet?
What change do we want to lead?
What world do we want to live in?

In an era of climate emergency, AI disruption, and polarisation, these existential questions matter more than ever. They ground us when everything else is shifting.

Seeing the Whole Picture

Answering these questions means stepping back to see the bigger picture.

The resulting answers form the basis of a solid and coherent Strategic Triad.

This clarity enables leaders to:

Rise above immediate challenges
Rediscover how their actions contribute to greater balance
Find innovative ways to redefine and overcome today's hurdles

In our interconnected world, every decision we make ripples across economic, social, and environmental systems. Seeing the whole picture means recognising that success is interdependent. The organisations that will thrive in the decades ahead will see themselves as living systems: adaptive, learning, and evolving in harmony with the world they inhabit – like regenerative businesses that design for renewal, not extraction.

However, only when the organisational culture is aligned with this Strategic Triad, trusts it and learns to develop a strong sense of belonging, will this translate into long-term positive impact, resilience, and prosperity.

This is when purpose is truly activated : when the Strategic Triad is placed in service and for the benefit of the whole ecosystem.

Where to Begin

So how do we move from concept to practice?

Every journey begins with your people. With how they understand, interpret, and embody the Strategic Triad.

To bring it to life, leaders must return to the basics:

Revisit the Triad:

Does it still feel alive?
Can our teams connect with it?
Can they act upon it daily?

Listen and Align:

The Triad cannot be imposed. It must grow through constant inclusion, dialogue, and shared ownership.

As the alignment becomes visible in daily actions, trust follows: from people, stakeholders, and communities alike.

When the Triad is activated daily, strategy gains clarity, culture becomes cohesive, and innovation flows naturally.

This is when it begins to deliver tangible benefits: values-aligned talent gravitates towards you, resilience becomes second nature and complexity gives way to coherence.

Building Ecosystems of Influence

We are not only shaping organisations; through activating the Triad we are shaping ecosystems of influence, responsibility, and possibility.

When the Strategic Triad is lived through a culture of shared values and behaviours, we move from sustaining to enabling, from surviving to thriving, from defining to delivering impact.

In a time when trust and belonging are scarce, reclaiming the heart of organisational strategy – rediscovering our reason for existing, regaining our determination, and redefining a clear direction – may be the most courageous strategic act of all.

Circular Consulting: Who Does it Apply To?

Thu, 10 Oct 2024 07:32:10 GMT

Does Circularity Apply to Service Based Businesses?

Circularity is defined by the EU as a method to increase a product's lifespan, increase value, reduce waste, lower emissions while providing alternative methods of consumption, such a repair and rental. Which does read that it would only apply to businesses that manufacture goods. Except it doesn’t. It applies to every person and every business on the planet. (https://www.europarl.europa.eu/topics/en/article/20151201STO05603/circular-economy-definition-importance-and-benefits) .

And the reason that is does is because we are first and foremost consumers of things. We as individuals and businesses consume goods, energy, technology, food, water and human resources. So it applies to all of us.

Hilariously, if you put into Google “what do service based businesses need the most to operate” or “what resources do service based businesses need”, you will confronted with a range of other services you need, such as legal and IT! But if we were to really think about what a service business needs the most to operate; it would be energy. It would be very hard to operate as a service business just within walking distance of your home while only using a pen and paper (which also consumes energy). So circularity starts with looking at what we use every day, and working out how to make it last longer. Think out with Apple iPhones and in with SmartMan (an easy to repair phone manufacturer). And that is your low hanging fruit to engage with circularity. And it’ll save you money long term. Win win.

For service based businesses travel makes up a much larger part of the carbon footprint than manufacturers of goods. PwC’s travel makes up 53% of their carbon footprint. And they only report on their Scope 1 and 2 travel, not their Scope 3 which is how their consultants get to the office they’re based out of when they aren’t traveling to clients. To try and reduce their footprint in this area PwC have implemented a virtual first strategy, which not only applies to client meetings but also their training strategies. Moving 5000 people over to virtual training instead of in person. Less travel not only means reduced emissions, but also reduced business spend.

But that is not all. If you compared a $1,000 spend at each of the big consulting firms; BCG, Deloitte, Bain, Accenture and McKinsey you will be able to see how much carbon is created for that spend. Deloitte comes out with 13.72 kg CO2e while McKinsey comes out highest at 21.00 kg CO2e (numbers provided by https://bend.green/ ). And its these sort of numbers that will start becoming more important to clients as they aim to reduce their Scope 3 emissions in line with the EU’s Corporate Sustainability Reporting Directive as well as several US state legislations. Reporting measures which will only come thicker and faster as we get closer to 2050.

State of Biodiversity in the UK

Tue, 23 Apr 2024 09:02:00 GMT

What Have We Done to Mother Nature?

Across the world, humans have encroached upon and reduced the spaces that nature requires to thrive, a trend particularly evident in the UK.

The UK, mirroring many other nations globally, has witnessed a significant decline in biodiversity.

Over the last 50 years our biodiversity has declined as follows:-

Within the UK the abundance of 753 terrestrial and freshwater species has on average fallen by 19%
The UK distributions of 4,979 invertebrate species have on average decreased by 13%
Within the UK the distributions of 54% of flowering plant species and 59% of bryophytes (mosses and liverworts) have decreased
In 2023, 10,008 species were assessed using Red List criteria of these 2% (151 species) are now extinct in Great Britain and a further 16% (almost 1,500 species) are now threatened with extinction
The abundance of 13 species of seabird has fallen by an average of 24% since 1986

(all data from the State of Nature Report 2023)

These trends are a continuation of substantial alterations to the UK's natural environment spanning centuries. Consequently, the UK now ranks among the most depleted countries in terms of its natural resources.

Living in a nature-depleted country carries significant adverse effects, including implications for human health and the direct expenses associated with adapting to the loss and degradation of ecosystem services. For instance, pollinating insects play a vital role in UK agriculture, valued at millions of pounds, yet their dwindling populations pose a threat to food production.

Recent years have witnessed severe flooding in the UK, attributed to development in flood-prone areas compounded by the effects of climate change. The costs of permitting ongoing degradation and rectifying resultant damage are substantial, making it far more economically prudent to prevent damage proactively. Moreover, where damage has already occurred, restoring nature can often prove less costly in the long run than perpetuating degradation.

The primary reasons behind these declines are evident, as are numerous methods to mitigate their impacts and assist struggling species.

Over the past 50 years there has been significant and ongoing changes in land management practices for agriculture and when coupled with the effects of climate change, they are the most substantial influences on wildlife on land and in freshwater habitats.

Meanwhile, unsustainable fishing practices, climate change, and marine development represent the primary pressures on nature in marine and coastal ecosystems.

There is a growing acknowledgment of the value of nature, including its pivotal role in addressing climate change, among both the public and policymakers. With greater knowledge we have improved our monitoring of environmental changes, providing us with an unprecedented understanding of the state of nature. However, despite advancements in ecosystem restoration, species conservation efforts, and transitioning toward nature-friendly land and sea use, the overall condition of the UK's natural environment continues to deteriorate.

Over the forthcoming weeks we will look at ways we can enhance nature and perhaps address the degradation.

Why I’m applying for B Corp Certification

Sat, 16 Mar 2024 10:07:05 GMT

Soleil Marketing's B Corp Journey (part 1)

This post was originally written by Maria Soleil in March 2022 however it is still relevant today.

I’m in my second year of business and I’m starting the challenging process of applying for B Corp Certification.

I’m also doing it as a sole trader, which isn’t particularly common.

If you don’t already know, B Corps are (in B Lab’s own words):

“businesses that meet the highest standards of verified social and environmental performance, public transparency, and legal accountability to balance profit and purpose”

It’s disappointing that this commitment to social and environmental performance, transparency and legal accountability isn’t already standard practice in business, but here we are.

There are only 782 certified B Corps in the UK at the time of writing, but there are thousands of businesses going through the certification process. There’s a backlog of businesses applying, which reflects the growth of the purpose-driven movement in the last couple of years.

I was massively inspired ever since I came across the B Corp movement almost two years ago, and now is the right time to take Soleil Marketing through the process.

How does B Corp certification work?

To qualify for B Corp status, a business needs to score at least 80 points out of 200 in a performance assessment covering these five topics:

Governance
Workers
Community
Environment
Customers

You first have to complete a B Impact Assessment which scores you against each area. Then you need to work through each area making sure you can evidence any claims you make. You also have to update your company articles, among other things, to ensure the ‘legal accountability’ aspect I mentioned above.

Depending on the size of your business, having your application reviewed and then receiving certification can take months or even years.

And this is just the beginning of the journey - every three years you have to recertify to make sure you’re still worthy of the B Corp badge.

Why I’m doing it now

There are several reasons why I made the choice to do this now:

As Soleil Marketing is still relatively young, it’s the ideal time to get the right formal structures and processes in place to ensure I’m operating in a way that aligns to my personal values and what the planet needs. I’m setting the foundations for future business growth.

I’m already doing a lot of what B Lab requires. I donate a percentage of my time and turnover to causes which make a difference, I’m tracking the carbon footprint of my business and creating a reduction plan; I also indirectly make a positive impact on people and planet through my client work with social enterprises, charities, non-profits and purpose-driven companies.

It strengthens my influence on other business owners and helps spread the message that we need to prioritise all stakeholders. I believe the profit-driven business model needs a shake up in the UK and globally, which is also a reason why I support the Better Business Act. Business needs to change, universally.

I want to show my commitment to doing better business for planet and people, I want to be held to account, and having independent verification is the best way to do this.

Where am I in the certification process?

My current score is 94.9 out of 200. I’m working my way through building the evidence for the score. I’ve got a RAG report of things I need to do, such as tracking details about my suppliers, improving data transparency, creating formal feedback processes for clients, creating a theory of change for my services and much more.

In April I will re-do the assessment based on the 2021-22 tax year. After that, I will apply for certification, which should take a few months.

It’s important to not that I'm not doing this alone - I’m working with Andy Hawkins from Business on Purpose to go through the journey.

I’ve learnt a lot by going through this process, and I’m only about one third of the way through. There is still a lot to do and a lot more to learn. Certification is by no means a dead cert as well - I have to put in the work.

What to expect in Part 2 of this blog?

Maria has now completed her journey and part 2 will cover the lessons she has learnt and also what effect being a B Corps has had on her business journey.

Maria Soleil

mariasoleil@sustainologyuk.com

Maria is an award-winning qualified marketing and communications consultant who helps purpose-driven businesses increase turnover and brand awareness.

She has 10 years of experience in marcomms roles across a variety of sectors including social housing, B2B multinational construction,travel,

social enterprise, charities and healthcare.

She holds a mini MBA in Marketing from Marketing Week and is Carbon Literacy Accredited.

A member of the Better Business Network, she also mentors underrepresented business owners and is a volunteer for her local wildlife trust.

Greenwashing - Don't Be A Dick

Thu, 15 Feb 2024 12:54:07 GMT

Tash Morgan-Etty in Conversation with Sam Cande of Responsible Futures on the subject of greenwashing

This month Sam Cande invited Tash to discuss greenwashing and greenhusing in the light of recent regulatory changes in the EU. Watch Tash in action below.

Intro to the Planetary Boundaries & Why Business Should Care About Them

Mon, 01 May 2023 08:42:07 GMT

Introducing the Planetary Boundaries

Planetary boundaries refer to the critical limits of Earth's environmental systems that should not be surpassed if humanity wants to maintain a stable and safe operating space for the planet.

The concept of planetary boundaries was first proposed by a group of scientists led by Johan Rockström in 2009. Since then, it has gained widespread recognition as a framework for understanding and addressing the major environmental challenges that we face today.

The Nine Planetary Boundaries

There are nine planetary boundaries that have been identified so far, which are as follows:

Climate change - The boundary for climate change is set at 350 parts per million (ppm) of carbon dioxide (CO2) in the atmosphere. As of 2021, the concentration of CO2 in the atmosphere is around 416 ppm.

Biodiversity loss - The loss of biodiversity is a major concern, with scientists estimating that the Earth is currently experiencing a mass extinction event. The planetary boundary for biodiversity loss is set at a rate of 10 extinctions per million species per year.

Ocean acidification - The acidity of the ocean has increased by around 30% since the Industrial Revolution, and the planetary boundary for ocean acidification is set at a pH level of 7.75.

Stratospheric ozone depletion - The use of chlorofluorocarbons (CFCs) and other ozone-depleting substances has caused a thinning of the Earth's protective ozone layer. The planetary boundary for stratospheric ozone depletion is set at 276 Dobson units, which is the level before the appearance of the ozone hole.

Nitrogen and phosphorus cycles - The excessive use of nitrogen and phosphorus in agriculture has caused eutrophication, which leads to the growth of harmful algae and dead zones in the oceans. The planetary boundary for these cycles is set at 35 million tonnes of nitrogen and 11 million tonnes of phosphorus per year.

Land use change - The conversion of natural ecosystems into cropland, pasture, and urban areas has a significant impact on the environment. The planetary boundary for land use change is set at a rate of 15% of the Earth's land surface.

Freshwater use - The excessive use of freshwater resources for agriculture, industry, and domestic purposes has led to water scarcity and depletion of aquifers. The planetary boundary for freshwater use is set at 4,000 km3 per year.

Atmospheric aerosol loading - The release of particles into the atmosphere from human activities such as burning fossil fuels and biomass has an impact on climate and human health. The planetary boundary for atmospheric aerosol loading is set at a level of 35 Tg of aerosols per year.

Chemical pollution - The release of chemicals into the environment has a significant impact on human health and the environment. The planetary boundary for chemical pollution is set at a level that does not cause adverse effects on the environment and human health.

Significance of Planetary Boundaries

The planetary boundaries framework provides a way of understanding the complex interactions between human activities and the environment. By identifying the critical thresholds beyond which the Earth's systems could become unstable, the planetary boundaries framework highlights the need for urgent action to address the major environmental challenges we face today.

The planetary boundaries concept is increasingly being used by governments, businesses, and organizations to guide decision-making and policy development. For example, the United Nations Sustainable Development Goals (SDGs) include targets that are closely aligned with the planetary boundaries framework.

Why are the Planetary Boundaries important for business?

Firstly, planetary boundaries represent a significant risk to business. The degradation of natural systems such as air, water, and soil can have severe consequences for companies that rely on these resources. For example, water scarcity can lead to a reduction in crop yields, which can affect the food and beverage industry. Similarly, climate change can cause supply chain disruptions due to extreme weather events, which can impact the transportation and logistics sectors. In addition, biodiversity loss can have far-reaching consequences for industries such as pharmaceuticals, which rely on natural compounds found in plants and animals. Therefore, businesses that fail to recognize and mitigate these risks may face significant financial losses in the long run.

Secondly, planetary boundaries represent an opportunity for business. Companies that operate within the limits of planetary boundaries can create competitive advantages by reducing their exposure to environmental risks and tapping into new markets for sustainable products and services. For example, companies that adopt renewable energy sources can reduce their dependence on fossil fuels, which not only reduces their carbon footprint but also creates cost savings. Similarly, companies that prioritize sustainable sourcing of raw materials can differentiate themselves from competitors and appeal to environmentally conscious consumers. Furthermore, businesses that develop innovative solutions to address environmental challenges can benefit from new revenue streams and partnerships with governments and NGOs.

Thirdly, planetary boundaries are becoming increasingly relevant to consumers and investors. As more people become aware of the environmental consequences of human activities, they are demanding that companies take responsibility for their environmental impacts. This is reflected in the rise of eco-labels, such as Fairtrade and Rainforest Alliance, which provide consumers with information about the environmental and social impacts of products. Similarly, investors are increasingly scrutinizing companies' environmental performance, and many are now integrating environmental, social, and governance (ESG) criteria into their investment decisions. Therefore, businesses that fail to address their environmental impacts risk losing customers and investors who are looking for sustainable and responsible companies to support.

Fourthly, planetary boundaries are becoming increasingly important from a regulatory perspective. Governments around the world are introducing policies and regulations to limit environmental impacts and encourage sustainable business practices. For example, the EU has introduced the Circular Economy Package, which aims to promote a more sustainable use of resources across the entire value chain. Similarly, the UK has set a target to reach net-zero greenhouse gas emissions by 2050, which has significant implications for businesses operating in the country. Therefore, companies that fail to comply with these regulations risk facing fines, reputational damage, and even legal action.

Finally, addressing planetary boundaries is essential for the long-term viability of businesses. As the world becomes more environmentally conscious, companies that fail to recognize and address their environmental impacts risk losing their license to operate. In addition, the consequences of exceeding planetary boundaries, such as climate change and biodiversity loss, could have severe consequences for the global economy as a whole. Therefore, businesses that take a proactive approach to addressing planetary boundaries are not only protecting their bottom line but also contributing to the long-term sustainability of the planet and society as a whole.

In conclusion, planetary boundaries represent a significant challenge and opportunity for business. Failing to recognize and mitigate the risks associated with exceeding these boundaries could result in significant financial losses, reputational damage, and regulatory sanctions. However, businesses that operate within the limits of planetary boundaries can create competitive advantages, tap into new markets, and contribute to planetary prosperity and wellbeing.

How to Communicate Your Impact Brand

Tue, 31 Jan 2023 14:00:22 GMT

How to communicate your impact brand

�� Old way

⚡️ Expensive creative productions

⚡️ Chasing advertising trends and awards

⚡️ Cumbersome approval process and lengthy red tape.

⚡️ Beautiful images, weak stor ytelling

⚡️ Chasing big numbers, likes and views

⚡️ Advertising campaigns with short shelf life

⚡️ Working with agencies with big overheads

⚡️ Founders and C-Suite not involved in communication strategy and execution

⚡️ Hard selling and lack of care for real needs of customers

✅ New way

⚡️ Working towards meaningful long term impact rather than YouTube views, instagram likes and short term victories

⚡️ Working with creative agencies aligned with company values and mission

⚡️ Less red tapes and more streamlined approval process

⚡️ Agile creative teams with experience in films and storytelling and not just design

⚡️ Working with people and agencies who care about impact brand and connect with values and mission

⚡️ Embracing the power of storytelling

⚡️ Budget going towards creativity, production and measurable outcomes

⚡️ Communication strategy to inspire people and customers to make positive change

⚡️ Sharing founder’s story and purpose.

Feel you could add more? Then contact us as we are always willing to learn.

What is the true definition of purpose-driven business?

Sun, 22 Jan 2023 11:04:28 GMT

What is the true definition of purpose-driven business?

The original blog was published here by Maria Soleil

Purpose-led, purpose-driven, brand purpose, purpose marketing: these are the corporate phrases of 2022. The word purpose is now used so much in a business context, it's almost in danger of becoming a cliché.

What does 'purpose-driven' actually mean? Here we attempt to state its true definition, using credible sources and examples of businesses who are leading the way.

Defining purpose-driven business

The Cambridge Dictionary defines purpose as: (Noun) ‘Why you do something or why something exists.’

A lot businesses will say they exist to make money, but that is the definition of business ('the activity of buying and selling goods and services').

A lot of brands will take it one stage further and say their core purpose is to improve the lives of their customers. For example, the world's number one tourism business, TUI Group, says: "we create unforgettable moments for customers across the world and make their dreams come true."

Purpose-driven businesses take the meaning of purpose to the next level. Their focus is on benefitting wider social or environmental causes, not just on making money by wowing consumers.

The most succinct definition we have come across is by Professor Colin Mayer. He says a purpose-driven business is one that aspires “to produce profitable solutions to the problems of people and planet, and not to profit from producing problems for people or planet.”

A perfect illustration of Mayer's definition is outdoor clothing and equipment brand Patagonia . Widely cited as a shining light in the purpose driven business movement, their mission statement says: "We're in business to save our home planet." They explain how they do this through their core values .

Patagonia lives and breathes its purpose every day. From how they source their materials, to how they recruit and retain staff, spend their profits and to how they run marketing campaigns.

To be an authentic purpose-driven business, you have to structure your business from the ground up to make a positive impact in every aspect. Paying lip service to purpose (purpose-washing) is not the way forward.

“Purpose is about losing yourself— in something bigger than you. It is about wanting to make a difference and do for others—to help, to give, to serve. It is the legacy you are going to leave behind.”

— Hayley Leibson

Similar terms for purpose-driven

You'll see lots of terms used which all broadly derive from the same concept - that is businesses who want to reduce their negative impact on the world, and increase their positive impact. Some of these terms have specific definitions, so I’d recommend following the links to learn more details.

For-benefit
Conscious capitalism
Business for good
Regenerative business
Sustainable marketing
Ethical business

Types of purpose-driven businesses

B Corps

The B Corp movement started in 2006 after three US businessmen - Jay Coen Gilbert, Bart Houlahan and Andrew Kassoy - set up B Lab to make it easier for mission-driven companies to protect and improve their positive impact over time.

Certified B Corporations are businesses that "meet the highest standards of verified social and environmental performance, public transparency, and legal accountability to balance profit and purpose". The B Corp governance philosophy that means all stakeholders have to be considered when directors and CEOs make decisions, as well as many other requirements.

Five years ago, there were 1700 certified B Corps in 50 countries. Now, there are more than 4,000 in over 70 countries, with thousands more in the application process. This group includes some of the world's most famous brands such as Ben & Jerry's, Innocent Drinks and Patagonia.

It's no surprise that the number of companies interested in gaining B Corp Certification has surged in the last 2 years. With the major reset that came with the start of the pandemic in 2020, more and more businesses are realising that they can't wait any longer to turn their focus to positive impact, over profit.

Social enterprises (including CICs)

A social enterprise is defined by the UK Government as “a business with primarily social objectives whose surpluses are principally reinvested for that purpose in the business or in the community, rather than being driven by the need to maximise profit for shareholders and owners".

Their core purpose is about pursuing a social or environmental mission, and it is estimated that in the UK alone there are more than 70,000 social enterprises, contributing over £24 billion to our economy.

The Co-op and Big Issue are two household name social enterprises who do an extensive amount of good work to benefit society.

Charities

Charities share the values of social enterprises, because they have purpose and impact at heart.

The way they are funded determines their legal status. If they're only funded by donations and grants, they would have to change their business model to apply for legal definition as a social enterprise. If they sell goods and services - for example, housing associations - the process is easier.

With more than 185,000 charities in the UK, it's no surprise that they contribute a significant amount of value to the economy and society, both directly and indirectly.

Ethical businesses

Ethical businesses have no legal definition, but aim to reduce their impact as much as possible on the environment or society. Soleil Marketing is run in this way, with the extra intention of making an indirect positive impact by helping purpose-driven businesses.

Purpose-driven business vs. purpose-driven marketing

These two terms often get used interchangeably. I'll visit this topic in more detail in another blog, but as I’ve shown above, purpose-driven business is about how you structure and run your business from the ground up. Purpose-driven marketing is about how you use purpose to sell your products. This article is a good starting point to understand the importance of knowing the difference.

“Purpose-driven companies witness higher market share gains and grow on average three times faster than their competitors, all the while achieving higher employee and customer satisfaction. ”

— Jim Stengel Co., 2019

How To Avoid A Greenwashing Nightmare: A Basic Guide for Good Brands.

Sun, 15 Jan 2023 09:48:33 GMT

Greenwashing creates challenges for eco-conscious consumers, genuinely green brands, and ethical marketers alike. And our planet ultimately bears the brunt of the damage it causes. So, what can good businesses do to avoid it?

Original blog by Tash Morgan-Etty can be found here The below is a slightly updated version.

Over the last couple of years UK craft beer company, BrewDog, has come under fire from the media and the sustainability community at large after a group of 60 former BrewDog employees signed a detailed open letter claiming that they had been bullied and “treated like objects”. At the same time, they accused the company’s founders of chasing vanity projects like brewing an environmentally friendly beer with glacier water, 50% of which they say was discarded. This is in stark contrast to the firm’s marketing messages which constantly reiterate its commitment to equality, climate action, and other ethical values.

The company’s less than desirable reaction was to try and rally (or is that coerce?) current employees together to sign a response letter before issuing a formal remorseful PR response. They have since decided to have an independent party review their company culture and HR practices. However, in the eyes of many, the damage has already been done… The company’s golden reputation for operating sustainably and ethically is forever tarnished by its alleged inappropriate and unethical approach as an employer.

We usually think of greenwashing as a company’s intentional actions to exploit eco-conscious consumers by gaining eco-kudos without actually doing the work. But, as in BrewDog’s case, there’s often more to it than that.

Greenwashing can actually be quite complex and nuanced.

But you’re a good business operating ethically and sustainably. You’d never dream of doing anything dodgy, right? So why should greenwashing concern you?

There are two main business-related reasons:

1) As BrewDog has learned, it’s surprisingly easy to unintentionally fall into the greenwashing trap.

2) Greenwashing affects your customers’ perception of all brands, including yours.

So, how can honest ecopreneurs and green businesses avoid being labelled with this shady practice while also effectively marketing their message, encouraging brand loyalty, and growing sales?

The TL;DR is be authentic and transparent in your marketing.

Naturally, there’s a lot more to it than that. But, first, it's essential to understand why greenwashing is not a black and white matter.

What is Greenwashing in Marketing?

Off the back of their landmark complaint against BP’s advertising in 2019, Environmental lawyers ClientEarth worked with environmental investigators DeSmog to examine some of the world's biggest fossil fuel companies and uncover the truth behind their marketing. Their Greenwashing Files, published in April 2021, reveal rampant greenwashing and line these companies up for mass public scrutiny and significant reputational damage.

Maybe it’s mean, but we have to admit that part of us finds it pretty satisfying whenever corporate behemoths are caught waist-deep in slimy greenwashing claims.

Of course, like you, we’d rather they didn’t do it at all.

Fortunately, outright lies about environmental performance in a company’s marketing aren’t all that common. TerraChoice dubbed this overt lying the “sin of fibbing”. According to their research, it happens in less than 1% of greenwashing cases.

Most of the time, greenwashing isn’t an intentional communication strategy used to con unsuspecting stakeholders with “corporate disinformation” about the company’s practices or the benefits of their product or service. It’s also not necessarily about covering up bad environmental systems with claims about positive, eco-friendly performance.

Studies show that the majority of companies that greenwash are guilty of less obvious forms of it. And there is actually a wide range of misleading tactics that can be classified under the “greenwash” label.

It’s worth understanding what these are because it can be easy to make the same mistakes.

Here are just a few examples:

When a business puts more resources into its sustainable marketing than its actual eco-friendly practices.
When a business is inspired to use greenwashing marketing tactics by other companies without realising the dangers.
When organisations don't make explicit green statements, but they do suggest eco-friendliness by using visual cues like leafy green imagery, craft paper packaging, or fake certification labels.
When a company aligns itself with green organisations or causes without doing anything to change its own procedures or products.
When a business’s sustainability values operate in a silo, separate from its corporate or HR values, e.g. BrewDog’s case.
When a business takes the credit in their marketing for following standard environmental legislation.
When an organisation is doing excellent environmental work but is funded by ‘dirty money’, e.g. big oil.
When companies manipulate data for internal communications or reporting, e.g. to meet emission restrictions (here's looking at you, Volkswagen).

Then there are also situations when greenwashing isn’t deliberate at all. Sometimes it might not necessarily have been introduced by the company itself and may not even benefit the business or harm the environment. For example, greenwashing accusations may stem from the public’s unrealistic expectations of the brand or from a miscommunication by the media. In these cases, the business hasn’t done anything to mislead its audience on purpose and probably couldn’t be held responsible for the greenwash. Nonetheless, their reputation could be badly affected.

Sounds like a PR nightmare! And nobody wants to be in that boat, right?

No worries, we’ve got you covered with some solid suggestions on how to avoid greenwashing misconceptions below.

But before we dig into those, it's critical to understand how various stakeholders perceive greenwashing and what the knock-on effects can be for your brand.

How Does Greenwashing Affect the Consumer?

In a survey of consumers across 20 countries in July 2020, 72% said that companies behaving sustainably was more important to them since COVID-19.

Roughly 70% also stated that reducing their own impact on the environment had become more important since the Virus outbreak. More importantly, their positive intentions are followed by a willingness to take action. 46% of shoppers said they plan to change their behaviour and buy more from sustainable or eco-friendly brands.

This is fab news for sustainable brands and our planet, but it also means an increase in other businesses tapping into the eco-conscious market by jumping on the greenwashing bandwagon.

Sadly, but for good reason, this is fuelling high levels of scepticism among consumers and investors towards all brands’ eco-friendly claims. In fact, the recent Quilter Investors 2021 Global Outlook report revealed that greenwashing is a primary concern for 44% of ESG investors.

As a result, genuinely fair businesses are having to work at least twice as hard to gain the market's trust. Frustrating, or what!?

As public concerns over environmental concerns increase, the pressure on companies to take positive and visible action to support our environment is probably going to increase. Unfortunately, as a result, many more will be tempted to big-up their eco-efforts by greenwashing. The credibility of sustainable business, in general, is likely to be further damaged as a result.

Some consumers may even be put off buying eco-friendly items altogether as they simply can’t be bothered or don’t have the time to run their own due diligence on every single green product or service they purchase.

Can’t say we blame them, really.

But it doesn't end there. Other organisations are keeping a watchful eye on greenwashing developments. Ensuring that you keep on their good side is essential too.

Other Sceptical Stakeholders

Government, independent regulators, the media, NGOs, and protest groups are keeping an increasingly watchful eye over the environmental sustainability practices of businesses, both large and small.

And if they catch a whiff of anything even remotely greenwash related you could have a very serious reputational crisis on your hands.

Watch Dogs

With digital monitoring, gone are the days when businesses could get away with a few white lies or dusting dirty deals under the carpet. Now, companies are watched more closely than ever, and operational level considerations are expected to meet government standards for ethics and transparency, especially around greenhouse gas emissions.

In addition, the Competitions and Markets Authority (CMA) issued the Green Claims Code in 2022. The CMA is rigorusly policing the code and has taken action against some leading fashion brands in 2022.

And government aren't the only watchdogs.

Independent regulators like the National Advertising Division (USA) and the Advertising Standards Authority (UK) keep a sharp eye on companies’ public messaging. Truth in Advertising’s list of brands being investigated by the NAD and ASA for greenwashing in April 2021 gives a good indication of how serious they are about monitoring communications.

The standards of these authorities vary by location and are being updated regularly. So it's well worth setting a reminder for every quarter to fully understand what you need to comply with and how you need to comply.

The Media

Marketing has less influence over the media than it had in the past, but the media still provide a valuable feedback loop for companies on public perception. And, of course, if that perception is negative, newsrooms will pick that up and run with it. So, it’s important to keep an eye on trends in your sector across all media (not just social media).

NGOs and Pressure Groups

In the interests of their cause and their followers, these organisations also monitor whether companies “walk the talk” or not. They tend to look for discrepancies between the impact of your products and services, what you’re investing in, whichever environmental initiative you are committed to supporting, and what you’re communicating to your stakeholders. Extinction Rebellion’s recent attacks on major global banks are a prime example of the actions collectives are prepared to take to be heard.

Greenwashing is in The Eye of The Beholder

Some see the protest actions of organisations like Extinction Rebellion, Greenpeace and PETA as excessive, in bad taste, and problematic for those who could have otherwise been allies to their causes.

So, where’s the disconnect? Why does one person react to greenwashing by smashing a bank ’s windows and another simply stop using the banks’ services?

Simple. It’s all down to perspective. Everyone has a different idea of what greenwashing means and what they should do about it.

To better understand the different notions of greenwashing your audiences might have, it's helpful to consider BSR and Futerra’s 2009 cognitive model for how stakeholders decide whether a claim is greenwash or not. According to them, people combine all of the following factors to figure this out for themselves.

Core Message

What has the company actually done? How is it better for the environment?

Viewer’s Criteria for Environmental Responsibility

What does the viewer consider to be responsible? Is it about generating zero waste, having a comprehensive climate change strategy, or developing only products that tackle sustainability issues?

Viewer’s Level of Trust in Corporations

Does the viewer tend to trust corporate messages in the first place? Does the viewer trust your company? Does the viewer want to believe or disbelieve the claim?

Company Reputation

Does your company already have a reputation of being responsible? If not, the viewer may assume you are greenwashing unless proven otherwise.

Business Environment

What’s going on in the wider environment and media? Have there been recent negative corporate incidents, particularly in your industry? Is trust in business high or low?

Tone

Is the claim factual, providing context, and supported by measurable data? Is the message humble or self-aggrandising? People are often sceptical of boasting and lofty claims.

Understanding and Preventing Greenwash: A Business Guide, Horiuchi et al., BSR & Futerra, 2009

With sustainabilit y high on the global agenda and audiences becoming a lot more educated about the environmental impact of products and services, the lens your audience views your brand through is more critical than ever.

Simply stating that your brand is “eco-friendly” is highly likely to fall short of the expectations of even the most recent eco-conscious converts. And, even if you are operating ethically and proactively working to support the natural world, you could still face fierce scrutiny from fanatics.

So, what can you do to gain your stakeholders’ trust, strengthen your brand, increase your impact, and prevent greenwashing accusations?

How to Avoid Greenwashing in Your Marketing Efforts

First, a Little Love for the Newbies

We’ve established that greenwashing means different things to different stakeholders. This is also true for business leaders.

An experienced sustainability consultant, for example, would have a different perspective on greenwashing compared to a small business owner who is only just starting to pivot from using mainstream practices and move towards operating with eco-sensitivity.

So, a few of the tips below might seem, to some, to be stating the obvious. I’m including them anyway.

Together they provide a helpful checklist for all green business leaders. But, more importantly, we need as many businesses as possible to join us on the journey towards environmental stability and recovery. And everybody has to start somewhere.

So, if you’re new to this greenwashing malarkey, welcome! We are stronger together. Let’s do this…

Liar, Liar, Pants on Fire

First up: tell the truth.

Obvious? Well, not always.

It's vital to make 100% sure that your marketing team is clear on what promises they’re allowed to make on behalf of your products and services and what might constitute a false claim. This is especially important if you’re working with a third-party marketing agency that may or may not have the relevant green marketing experience in your industry or with your niche product.

Exaggerating what your business does for the planet can bite you in the bum quicker than you can say “bye-bye investors”. Making irrelevant, outright false, or unsubstantiated claims about your brand will get you into trouble even faster.

Put together a simple “yes/no” checklist if needs be. The extra effort could save you a lot of stress in the long run.

It’s About the Journey, Not the Destination

Effective sustainability isn’t achieved overnight. Consumers and other stakeholders are happy to accept that as long as you share your journey with them.

Don't pretend to be perfect from the start, and you will have their support. Even when things go wrong, or a mistake is made.

Also, communicating the areas you’ve identified for improvement, your commitment to improving them, and your process as it happens, allows you to adjust your green goals and strategies according to consumer and public feedback.

Know Your Audience

Have you taken the time to engage stakeholders for feedback on your environmental performance, your green marketing, and how these relate to the rest of your business?

It might be tempting to charge ahead and skip this step, but you could be losing a lot of value if you do.

Genuinely listening to the expectations your staff, suppliers, customers, NGOs, and the community have of your environmental and ethical impact, and the accuracy of your marketing messaging, allows you to make the necessary adjustments to avoid landing your brand in hot water. It also goes a long way in building trust and credibility.

I think it’s safe to say BrewDog’s CEO James Watt has learnt this lesson the hard way.

Is Your Sustainability in a Silo?

As we’ve seen with BrewDog, greenwashing allegations can stem from a lack of alignment between your green marketing and other functions within your company.

By disrespecting their employees while crowing about their BCorp status (now since ended) and buying a forest in Scotland, BrewDog’s leadership has failed to see the contradiction between their eco-friendly agenda and their toxic company culture.

If there are any inconsistencies between the impact of your green initiatives and any other internal procedures or public policy positions, then it’s time to encourage cross-departmental collaboration and bring all aspects of your company in line with your green messaging.

Trade-Offs Aren’t Cool

Corporate advertising giant WPP recently came under fire by the Clean Creatives campaign for claims it was committing to going "beyond the required carbon reductions outlined in the Paris Agreement." Their statement seems noble enough until you realise that WPP's key clients include some of the world's largest fossil fuel companies. So, irrespective of how far WPP goes to reduce its carbon footprint, the agency’s efforts pale into insignificance in the face of the millions of tons of carbon its clients are emitting annually.

Their case is extreme, but if your company has any hidden interests (however large, small, or unintended) in unsustainable practices, these trade-offs are likely to result in finger-pointing and greenwashing complaints.

So, do your homework. Know every aspect of your supply chain and production, including those of partners and suppliers, and triple-check the source of any investment or income you receive. If any of these are in conflict with what you’re communicating, then you’ll hopefully have the opportunity to correct it before it’s too late.

Impact is Everything

Understand your business’s impact. By measuring your energy consumption, waste emissions, and other environmental factors, you’ll not only be able to work towards improving them, but you’ll be able to communicate your progress accurately and honestly. This is part of sharing your journey (described above) and goes a long way to building trust among all stakeholders.

Being unsure about what your impact is can lead to telling half-truths about it. And greenwashing studies have shown that half-truths can cause just as much reputational damage as telling outright lies.

Only honest, accurate, and impact-driven green behaviour has the positive effects on brand reputation we all want.

Embrace Transparency

“Companies who do not understand sustainability and transparency will be left behind, and the ones who do will take over.” - Mikael Eydt, Beyond Leather

Do you publicly reject unethical and unsustainable practices like animal testing, sweatshop-based production, and the destruction of ecological resources for raw materials? Then you should also be prepared to share the relevant internal business records that reflect your avoidance of these practices.

Why? Conscious consumers want to trust you. To do that, they need to be sure the products and services they buy from you aren't harming other people, animals, or the environment, and that they are fulfilling the promises you've made.

By making it easy for them to understand and check your green claims, you make it easy for them to make a quick buying decision.

Also, it's not enough to run one campaign dedicated to sustainability and then go quiet. By consistently communicating open and honest information in easily digestible formats, you’ll engage your audience and grow their trust in your brand.

In a recent interview with Vegconomist, CEO and Co-founder of the Danish start-up Beyond Leather, Mikael Eydt, explained how the company plans to integrate transparency into all development and production aspects of their apple-waste-based sustainable leather alternative "Leap". To them, transparency means publishing all of the ingredients they use, where they originate from, and where they’re produced. They also plan to publish a full life cycle analysis that indicates areas for improvement and how they’ll tackle those. Hopefully, if Beyond Leather achieves this, it will put added pressure on the fashion industry to turn over a transparent leaf.

Rock Your Data

If you’re advertising your product as compostable, biodegradable, or eco-friendly in any other way, can you provide data to prove this?

Having data that verifies your impact is one of the best ways to avoid greenwashing complaints.

Your marketing team will thank you because it makes communicating the green advantages of your product or service effectively so much easier. Your PR team will love you for it because if the validity of your claims is ever questioned, they’ll have solid evidence to back you up with.

There’s no point in sharing your data if your audience doesn’t understand its significance, though. So, to ensure that your numbers are communicated clearly, it’s well worth investing in formats like animated explainer videos or infographics and combining them with simple jargon-free copywriting that’s easily understood.

Add Third-Party Proof

Credible third-party certifications can make choosing eco-friendly and ethical products and services quicker and easier for the consumer. They act as a verification of your sustainability claims, improve your brand’s trustworthiness, and allow you to learn from the certifier’s evaluations of your business practices.

But! Credibility is key.

In 2015 Water and Sanitation Health (WASH) sued the Rainforest Alliance for misrepresenting how earth-friendly its certified products actually are. This case highlights how careful we have to be when trusting certified labels, both as consumers and businesses. So, please take the time to research your chosen third-party authority and make sure they aren’t in any danger of committing greenwashing blunders themselves. Their mistakes have the potential to reflect poorly on your brand.

A reputable certification option designed specifically for small busine sses, social enterprises, and charities in the UK, is the Responsible Business Standard . It’s been developed by the Organisation for Responsible Businesses (of which we are proud members) and validates good social and environmental practices supported by a solid business foundation. The full certification standa rd works to drive best practice internally, and act an indication to external audiences that the company is doing its best to solve societal challenges. But best of all, the RBS certification process avoids mind-boggling jargon and a “one-size-fits-all” approach. This makes it ideal for all organisations, even micro businesses with no employees.

Other options for third party proof points are consumer reviews, testimonials, or case studies. If your loyal fans can provide enthusiastic feedback on the quality of your green products, it will go a long way in building the respect and trust of your audience towards your brand. An experienced copywriter can help you capture convincing case studies that are not scripted and come across as genuine and organic.

Fake Labels and Pretty Pictures

Brands, large and small, are marketing their products with fake green guarantees and organic-inspired packaging. They’re using “sustainably sourced” labels and “recyclable” badges that look like third-party certifications but that are made up. Numerous companies are also, quite literally, washing their products green with pretty banana-leaf pictures, brown kraft paper wrapping, and whisps of rough twine.

Why? Because it works. Or it used to anyway.

Consumers are cottoning on to this fakery, and many won't stand for it much longer. So be ready to show your stakeholders proof of any green claim you make on your packaging or elsewhere in your marketing.

And we ’ll challenge you to go one better: consider creating product and packaging designs that don’t follow eco-friendly conventions. Mast Chocolate’s recent new Met Collection , for example, proves that sustainable packaging doesn’t have to look crunchy to be cool!

“Humility Is the Surest Sign of Strength”

Nobody likes a self-righteous braggart.

The same applies to companies that brag incessantly about their green credentials or exaggerate to make it sound as if they’re solely responsible for saving the planet. Consumers, the media, and other stakeholders are often automatically suspicious of brands that do this.

On the other hand, they tend to favour and support businesses with honest green messaging and a down-to-earth tone in their copywriting.

By confidently telling the story of your impact as honestly and transparently as possible, you show that your brand is trustworthy, even if it isn’t perfectly sustainable just yet.

Positivity is Powerful

Eco-anger, eco-depression and eco-anxiety are on the rise. According t o a survey published in 2020 by researchers at Yale University , over 40% of Americans felt “disgusted” or “helpless” about climate change.

So, using fear and guilt tactics to sell your service or product is not only likely to be off-putting but can also be misconstrued as irresponsible towards peoples' mental health . On the other hand, using a positive tone and focussing on empowering your audience to take steps towards living a sustainable future is far more likely to encourage the proactive mindset we all need to tackle our climate and biodiversity emergencies.

Be Specific

As they say, “assumption is the mother of all f@%k-ups.” Allowing your audience to make assumptions about your environmental impact can easily lead to accusations of unsustainable behaviour.

The best way to avoid this is to be specific by:

Avoiding vague language, generalised terms, or green buzzwords.
Making absolutely sure you’re able to back up your claims with clear evidence.
Using marketing and communication providers who have a clear understanding of sustainable terminology so that they don’t unintentionally send out false claims on your behalf.

Facts Not Fluff

OK, so here’s our word-nerd soapbox moment… Crowbarring every conceivable green buzzword into your copywriting is NOT going to do your brand any favours! To make an intelligent buying decision, consumers need facts, not fluff.

Yes, market your product’s environmentally friendly features, but make sure there’s also room to tell your brand’s story in a relevant and relatable way. Relevant to your audience, that is.

Highlight the benefits of your product that will mean the most to them and that solve their problems. Share your sustainability journey with progress updates on your blog or social media. Provide exceptional value through useful information that will help them live more sustainably and improve their lives. This could be in the form of a monthly newsletter or a downloadable digital resource.

Ultimately, these strategies will build far stronger trust and loyalty for your brand long-term than obsessing over the latest vegan keyword ever will.

Last Words

Of course, the biggest problem isn’t that greenwashing misleads goodhearted consumers or that it wastes marketing airtime. It ultimately has serious implications for our planet, with environmental problems either stagnating or getting worse.

With this in mind, and as consumers rapidly become more eco-savvy, honesty, accountability, and transparency will become standard success metrics for all companies’ marketing. Not just the intentionally sustainable ones.

In the meantime, businesses claiming to be eco-friendly and ethical are first in the firing line when it comes to greenwashing accusations. However, following the tips outlined above can help in safeguarding your business’s credibility.

So, let’s recap:

Tell the truth. Avoid lying in any form.
Share your journey. You don’t have to be perfect from day dot.
Know your audience and their expectations.
Integrate sustainability across your business’s functions.
Eliminate hidden trade-offs.
Understand your business’s impact.
Embrace transparency.
Rock your data.
Add third-party proof.
Don’t use fake labels and think beyond predictable green packaging.
Bragging is off-putting. Rather be humble.
Avoid fearmongering and try to be positive wherever possible.
Be specific.
Use facts, not fluff. Try not to use ubiquitous green buzzwords.
Use an eco-conscious marketeer.

Using green marketing suppliers, copywriters included, who understand how to clearly communicate the impact of your sustainability efforts is a very smart investment. This takes a lot of the headache out of ensuring that consumers and other stakeholders understand your messaging and eco-credentials and won’t feel the need to question them.

Wamt to hear more?

Click on the button below

Scope 4 Emissions : Justified or An Invitation to Greenwash?

gavin@romulus-advisory.co.uk (Gavin Lendon) — Sun, 27 Feb 2022 10:13:07 GMT

What Are Scope 4 Emissions?

People are only just beginning to come to terms with scopes 1, 2 and 3 of the GHG Protocol and yet there is a growing volume of opinion about introducing Scope 4 emissions into calculations. So what is this new concept?

Basically it is an attempt to measure avoided emissions. As far back as 2013 the GHG Protocol defined avoided emissions as

"avoided emissions as emission reductions which occur outside of a product’s lifecycle or value chain, but as a result of the use of the product."

Prominent examples include low-temperature detergents, platforms that removed the need for travel by simulating guest / visitor experiences and teleconferencing services.

The Rise of Scope 4

During the pandemic and the growth of hybrid working, these emissions came to the fore. The growth of home working and the related growth of platforms that faciliated such remote working e.g. Zoom, Slack and Microsoft Teams removed the need for the office commute. The consequence of these platforms and methods of working have had sinificant impacts on emissions. Should there be a recognition of this emissions saving?

From the perspective of Zoom, Slack etc their product range has resulted in the saving so should they derive some recognition?

Defining Scope 4 & the Temptation to Greenwash

While a product innovation is likely to increase the inventor’s emissions during the time it is being developed through potentially the need to develop infrastructure for example a server farm or a new manufacturing plant or factory, there is likely to be a larger volume of emissions avoided during the usage phase due to the increased efficiency of the product.

Therefore , if we penalise companies that temporarily increase emissions to develop high-efficiency products, they’ll be less inclined to innovate, even though the emissions avoided in the long term could be greater than those generated during the development phase.

Thus we are faced with a dilemma. How can companies be encouraged to disclose these innovations without being penalised with higher emissons against those companies that make unjustified claims that are in effect greenwashing?

A few suggestion from the GHG Protocol to avoid greenwashing include:

Account for every stage of the product’s life cycle
Consider changes in consumer behaviour
Don’t confuse market size with impact

Combining these statements with the recent guidance on greenwashing from the Competition and Markets Authority (CMA) within their code gives a fairly robust set of principles that can guide what scope 4 claims can be made.

Homeworking and it's Emissions Impact

During t he COVID-19 pandemic, there were many headlines and satellite images covering the reduction in pollution and GHG emissions as a result of the lockdowns imposed and the consequential reduction in travel. Commuting reduced significantly and employees work ed from home, among other things.

However, through the progression of the pandemic, there w as increasing interest in the emissions associated with hybrid working and working from home. S ome parties are arguing that such working fits under the definition of scope 4 .

This is a new territory for organisations as the overwhelming majority of organisations were primarily working within a communal office.

Thus, they were only required to collect data in one place and add to that the commuting element . W ith hybrid working it becomes much more complex, as in order to calculate a truly reflective carbon footprint, organisations must gather data from each employee’s household.

To capture the scope 4 emissions a comparison would need to be undertaken between the emissions resulting from hybrid working as compared to the office working norm. If the office facility is still used by some staff has their been a reduction in emissions at all?

This is an extremely complex area and is definitely a grey area unless some slear directives have been issued by the organisation involved.

It's All About Data

Ultimately, the discussion is dependent on the ability to measure the data involved. Unless a demonstrable saving as a function of the process introduced is available then whether scope 4 can be measured is conjecture. For tech platforms that can demonstrably demonstrate emissions savings then scope 4 is a relaistic approach likewise for the manufacture of products that increase efficiency of emissions e.g. low temperature washing detergents.

Without such demonstrable links to emssions savings then at this satge there are substntial risks assoiated with greenwashing that may be too significant for organisations to ignore.

How to Avoid Greenwashing While Travelling

gavin@romulus-advisory.co.uk (Gavin Lendon) — Tue, 08 Feb 2022 13:33:54 GMT

How to Recognise Greenwashing Whilst Travelling and How to Avoid It

It is ironic that travel gave rise to the phrase "greenwashing" that is so contraversial and yet consumers within the industry are barely aware of it. The phrase came from unscrupulous venue owners persuading guests to not getting their towels washed to save precious resources implying power and water when actually it was the venues bank balance that was being preserved.

The great Juliet Kinsman wrote an absolutely brilliant piece on this for Conde Nast and this blog is merely a signpost for that article which you can find here

Hospitality venues have got a lot to learn on the subject of greenwashing and sustainability in general. The race is on as their consumers are rapidly educating themselves. That fact coupled with the CMA guidance on greenwashing means that venue owners cannot be carefree about environemntal claims anymore.

Fo advice on understanding the issues around greenwashing and the CMA guidance please get in touch.

Why is a Enviromental, Social and Governance (“ESG’) Strategy Right For My Business

gavin@romulus-advisory.co.uk (Gavin Lendon) — Mon, 17 Jan 2022 08:54:50 GMT

WHY IS A ENVIRONMENTAL, SOCIAL AND GOVERNANCE (“ESG’) STRATEGY RIGHT FOR MY BUSINESS?

The COVID-19 pandemic has made corporations review their role in society, and how their business impacts upon the environment and community. Environmental, social, and governance (ESG) issues distil this responsibility into definable elements.

WHAT IS ESG?

Investopedia defines ESG as follows: - “Environmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. Environmental criteria consider how a company performs as a steward of nature. Social criteria examine how it manages relationships with employees, suppliers, customers, and the communities where it operates. Governance deals with a company’s leadership, executive pay, audits, internal controls, and shareholder rights.”

Environmental criteria include carbon emissions, and hence demonstrates how a company is proceeding toward net zero which has become an essential piece of corporate strategy.

Social criteria include how a company treats its employees and how it interfaces with its wider community. This has become increasingly visible, especially with the role of social media, specifically the relationship with its’ former employees. A positive ESG work environment makes employees and potentially ex-employees advocates for the organisation

Finally, governance is a means to effective decision-making showing investors there is a strong, sustainable ethos and governance.

BENEFITS TO THE BUSINESS?

Trust leads to Turnover Growth

A strong ESG position develops stakeholder trust in an organisation. This is seen by many as its purpose, where an organisation integrates well within its wider community, and cares about its environmental impacts. As more people trust an organisation, this feeds through to increased sales through brand association and brand loyalty.

Purpose leads to Cost Reduction

A greater focus on ESG allows organisations to consider their internal processes more deeply, increasing efficiency and reduces waste, particularly environmental harmful waste. Greater cost efficiency inevitably leads to greater profitability.

The outstanding example in this regard is 3M who launched “Pollution Prevention Pays” (3Ps) program, in 1975. To date this has generated $2.2 billion in savings [link to evidence].

Stronger ESG Leads to Increased Productivity

Stronger ESG leads to better staff retention, as well as attracting a higher calibre of employee. These employees are naturally more motivated and thus drive greater productivity and output.

As an example, when Unilever launched its 10-year Sustainable Living Plan in 2010 it became the third most popular destination for graduates behind Apple and Google. [link to data]. Unilever proceeded to outperform its rivals over the next decade through its leadership role.

Many organisations report that their sustainability web pages are the most frequently viewed after the About Us section on their websites.

Greater Return on Investment

By using ESG within project appraisals, investment can be made on a more purpose driven basis. This has proven to return greater yields on investments ensuring modern day investors can identify a strongly driven organisations and place a premium on investing.

Staying Ahead of Legal Change

By adopting an ESG approach to strategy and management, organisations are likely to be ahead of the curve for legal change. For example, in the UK most ESG driven companies will have replaced their vehicle fleets well in advance of the ban on the sale of petrol and diesel vehicles scheduled for 2030. This foresight means the legal change, which used to be disruptive for companies, now equates to a seamless change-over for ESG driven companies.

FURTHER ACTION

Please don’t hesitate to get in touch so we can discuss your requirements. No matter the size of your organisation, we can help frame how you can adopt an ESG framework to grow and nurture your business.

Does Your Venue Need a Sustainble Tourism Accreditation

gavin@romulus-advisory.co.uk (Gavin Lendon) — Sat, 11 Dec 2021 11:15:42 GMT

The Growth In Sustainable or Green Tourism

With the rise in awareness of sustainability issues in the general public, there has been a siginificant growth in the demand for sustainable travel.

The 2021 Sustainable Travel Report by Booking.com indicates that this growth has been heightened as a function of the pandemic. 61% of global travellers say that the pandemic has made them want to travel more sustainably in the future. This combined with the figure of 83% who think that sustainable travel is now vital just indicates the direction that the market is heading.

The conclusions drawn by Booking.com is that this is now the tipping point for the travel industry with 72% of global travellers saying that people have to act NOW to save the planet. Travellers are already adopting more sustainable regimes in terms of recycling and food waste for example.

So with this backdrop in terms of venues target market what shifts have occurred on the supply side?

While 81% of travelers say they want to stay in a sustainable accommodation in the upcoming year - which is a notable increase from 62% in 2016, when Booking.com first conducted its sustainable travel research and up 7% from 74% in 2020, just prior to the pandemic - barriers still remain.

One of these is the lack of sustainable options available for travellers. In fact, when looking just at the 40% of global travelers that said they have not stayed in a sustainable property in the past year, 36% said they didn’t even know that they existed, 32% said they couldn’t find any options where they were traveling and 31% said that they didn’t know how to find them.

Against this, is the fact that many venues are failing to publicise their sustainability credentials. Only 1/3 of venues communicate the sustainability measures they have undertaken. To further make matters worse the majority of this communication is taking place at check in (59%) whereas sustainability considerations are a priority at the point of booking. This is creating a serious mismatch.

Bridging the Information Gap

To try and resolve this Booking.com started displaying over 30 certifications officially approved by the Global Sustainable Tourism Council (GSTC), Green Tourism and the EU Ecolabel, as well as multiple hotel chain sustainability programs.

To try and encourage oprators to be more sustainable, Booking.com began encouraging operators to update their sustainability information. From this global roll-out, hundreds of thousands of properties had already started to share at least some of their sustainability information with Booking.com.

Time for Universal Recognition

Despite the efforts made there remained some confusion over the proliferation of sustainability accreditations. This meant that to bring the some standardisation to the process Booking.com have introduced a Travel Sustainable badge, which they argue is "a credible, globally relevant sustainability measure that will provide highly coveted information to all over the world, looking to make more sustainable travel choices."

The Booking.com idea supports a less cluttered view of accreditation and allows multiple systems to be globally recognised witha single badge. This is made clear by Booking.com.

“Building a truly sustainable travel industry will take time, coordination, and concerted effort, but progress is possible through continued innovation, partner support, and industry collaboration,” said Marianne Gybels, Director of Sustainability at Booking.com. “With our Travel Sustainable badge and program, we are recognizing the sustainability efforts of a broader range of properties around the world in a credible and transparent way for consumers. In addition to encouraging properties to strive towards achieving the Travel Sustainable badge, we believe it’s important to demonstrate that there is a spectrum for sustainability and that there is value in showcasing the growing number of properties that are at various stages on their individual sustainability journeys."

Where Booking.com have led expect others to follow. This is an important milestone for both sustainability and the travel industry as the global recognition of the Badge will give a degree of conformity to sustainability accreditation.

How Do Venues Get This Badge?

So how do operators achieve this badge? Per Booking.com "The badge is available to any kind of property that has implemented a combination of sustainable practices that meet the requisite impact threshold for their destination. Designed to be applicable to a wide range of property types, from apartments, B&Bs, and holiday homes to hotels, resorts, and even treehouses, and adaptable to local realities and considerations, the initiative is a first of its kind in the industry."

Translated that means venues who have met the required threshold include those with a broad range of existing certifications and labels, for example, those officially approved by the Global Sustainable Tourism Council (GSTC), Green Tourism and the EU Ecolabel.

Whilst achieving certification with these bodies is not necessarily easy it does now open a route to recognition.As highlighted above Booking.com are currently recognising a number of schemes, whilst this may change over time. Given that their press releases have been done in conjunction with the Global Sustainable Tourism Council it would seem logical that their criteria are the ones to adopt especially as the EU Eco Label is unlikely to be applicable to the UK post Brexit.

The other option is to consider the Green Tourism accreditation that at present is alos included within the Badge scheme.

At Sustainology UK we can guide you through the applicable criteria and assist you in obtaining accreditation under these schemes. Please simply contact us for more information.

The Circular Economy in Travel and Tourism

gavin@romulus-advisory.co.uk (Gavin Lendon) — Tue, 16 Nov 2021 14:34:05 GMT

The Growth of Sustainable Tourism

In June 2021 Booking.com published their annual report on Sustainable Tourism ( https://globalnews.booking.com/bookingcoms-2021-sustainable-travel-report-affirms-potential-watershed-moment-for-industry-and-consumers / ). The key highlights were as follows.

The pandemic has significantly affected attitudes to travel with with almost two thirds (61%), of the travellers sampled, commenting that the pandemic has influenced them to want to travel more sustainably in the future.

This increase in the desire for more sustainable tourism is significant and it is only likely to increase post COP26. It does indicate a permanent shift within the industry and that there will be no more business as usual. This is further emphasised by the survey finding that almost half (49%) of the travellers surveyed still believe that in 2021, there aren’t enough sustainable travel options available.

Travellers priorities were on waste reduction and the conservation of energy witha significant number looking to sustainable travel options whilst at a venue i.e. walking and cycling in preference to taxi and hire cars.

What is perhaps more disturbing from a guest services perspective is that 53% admitting they get annoyed if somewhere they are staying stops them from being sustainable.

Indications are that sustainable tourism is becoming increasingly more important. The survey found that 81% of travelers say they want to stay in a sustainable accommodation in the upcoming year (an increase from 74% in 2020 and 61% pre-pandemic).

Despite this increase in desire, there is a frustration in that 40% of these travellers had not stayed in a sustainable venue in the past 12 months. Of this 40% highlighted within the survey, 36% of these travellers said they didn’t even know that sustainable venues existed, 32% of these travellers said they couldn’t find any sustainable options where they were traveling and 31% said that they didn’t know how to find them.

In fact, the survey found that 49% of travelers still believe that in 2021, there simply aren’t enough sustainable travel options available.

The Sustainability Challenge From UK Operators

Further evidence from a survey undertaken by BRITA Professional indicates that operators are somewhat in the dark about how to bcome more sustainable.

The research commissioned by BRITA looked into how operators feel about sustainability. Their findings reveals that 37% of hospitality firms admit they lack knowledge and confidence when it comes to running their businesses in a more sustainable way.

Calculating a venue’s carbon footprint can be a minefield for operators and involves the gathering of emissions data from a range of sources including areas such as operations, logistics and production.

Unsurprisingly, 75% of operators say that the pandemic has slowed their drive towards sustainability despite 80% of operators recognising that sustainability is important to their customers (as outlined by the Booking.com survey).

Communicating Change

As highlighted by the Booking.com survey, the travel and tourism industry is doing itself no favours in terms of communicating the work they are doing. Only 1/3 of venues communicate the sustainability measures they have undertaken. To further make matters worse the majority of this communication is taking place at check in (59%) whereas sustainability considerations are a priority at the point of booking.

All this indicates that a significant overhaul in how venues communicate their sustainability measures needs to be undertaken.

One great example of a venue that puts sustainability front and centre of their communications is Crofters of Arran ( https://croftersarran.co m ) which while strictly not a hotel venue it is at the forefront of a new wave of venues. By fully integrating sustainability into their strategy it has informed all aspects of the business and has led to transformational change allowing them to integrate sustainability and to develop new products and services as a consequence.

A Sustainable Future

So what can venues do about increasing their sustainability credentials?

Calculating carbon footprint whilst initially looking problematic can be, with the right guidance, an educational process.

A simple review of the business activities and how the way the venues are run will enable you to highlight potential areas for change and improvement.

Consideration of how the venue interacts with its local natural and social environment will also highlight additional areas of potential change.

Consideration of waste and resource usage should be considered. With that in mind consider switching to a more circular model of operation. Consider some of the findings of this report on th e Circular Economy within Travel and Tourism ( https://circulareconomy.europa.eu/platform/sites/default/files/circular-economy-in-travel-and-tourism.pdf)

COP26 A Last Hope?

gavin@romulus-advisory.co.uk (Gavin Lendon) — Mon, 11 Oct 2021 08:57:51 GMT

COP 26 A LAST HOPE?

What is COP 26?

Unless you have been a virtual hermit you would know that the world leaders are coming to Glasgow, UK in the first two weeks of November. This is a chance for world leaders to meet and discuss Climate Change and make commitments to address the scale of the problem the planet is facing.

The word ‘COP’ stands for ‘Conference of the Parties’. In the climate change sphere, ‘the Parties’ are the governments which have signed the UN Framework Convention of Climate Change (UNFCCC). The COP brings these signatory governments together anually to discuss how to jointly address climate change and to commit to pledges to address the warming of the planet . Whilst it is too late to prevent the planet from heating we can still with positive action reduce the rate of change.

The conferences are attended by world leaders, ministers, and negotiators but also by representatives from civil society, business, international organizations, and the media. It also attracts a large number of climate change groups & activists.

The COP is hosted by a different country each year and the first such meeting – ‘COP1’ – took place in Berlin, Germany in 1995.

The Challenges of COP 26

There is a lot of tension bubbling under the surface between the international parties which creates a number of challenges. Some of these are captured below as well as other climate related issues.

Climate Fair Shares - responsibilities and action

Historically there has been a lot of tension between the "developed" world and the "developing" world. This centres around questions of equity, historic responsibility and capability to act. There has been a lot of dispute over the gap between commitments made and results achieved.

A number of organisations combined to form the Civil Society Review to publish a series of reports assessing global climate action under the Paris Agreement through a ‘Fair Shares’ p erspective .

The ‘Fair Shares’ analysis is based up on the science of remaining carbon budgets and the principles that underpin COP. Perhaps unsurprisingly, between the signing of the Paris Accord in 2015 the " rich er" historical polluters in the Northern Hemisphere are not doing anywhere near their Fair Share of climate action, in terms of emissions reductions and climate finance. Mea while many Southern Hemisphere countries have committed to and delivered their undertaking their Fair Share – or more – of acti on

For example, the 2015 Civil Society Equity Review found that Russia’s pledge was a zero contribution of its fair share, Japan’s was a 10th, the USA’s was a fifth and the EU’s was just over one fifth of its fair share; meanwhile China, India, Indonesia, Kenya and the Marshall Islands’ pledges all meet or exceed their fair share.

Some would argus that the fair shares for the Northern Hemisphere may have been more difficult to achieve however as there is no sanction for missing any of these targets bar international disapproval then perhaps the targets without consequences are lines in the sand.

Is There a Desire to Hit Targets?

The Paris Summit in 2015 agreed to work to limiting the increase in global temperature to 1.5 degrees. We are woefully off course to meet that. We are already experiencing a number of unusual weather effects such as the heat dome on the west coast of Canada and the US, floods in Europe, wildfires in Australia and life threatening temperatures in numerous countries including Pakistan and various Afican countries.

We have already seen the potential effects which will only get worse and yet the pladges made at Paris fall short of achieving the 1.5 degrees limitation on temperature.

Thus COP 26 will be a real test of resolve for the biggest polluters (the US, China, the EU and India) to make commitments that are in the interests of everyone but may restrict their "economic growth" as they undertake the necessary structural changes required to implement these changes.

In addition, will Amazonian countries be offered payments to reduce the deforrestion of the worlds largest rainforest? Will that be enough to reduce Brazil's expansion of agricultural land?

Climate Finance Pledges

At COP15 in Copenhagen, the richer northern hemisphere pledged manoey to their southern hemisphere counterparts so that they would be able to meet their climate obligations. The logic being that the northern countries bore a greater responsibility for the creation of the problem.

Unfortunately of the commitments made only a fraction have been delivered.

This will be a real bone of contention at COP 26. There is a sense of mistrust over who is prepared to do what in respect of climate change and a recognition that actions speak louder than words for Western politicians.

At COP26 we will now be at a stage where the southern countries look to the north for loss and compensation payments for the land that has been irrevocably lost.

Out for Sustainability - How Purpose is Uniting the Social Agenda

gavin@romulus-advisory.co.uk (Gavin Lendon) — Tue, 17 Aug 2021 10:46:23 GMT

Social Purpose is Uniting Businesses and Causes

With the growth in internet transparency & the need for business to be seen as purpose driven there is limited scope for mistakes in terms of corporate marketing.

Supporting a cause is now a widely accepted methodology for businesses to male statements about purpose. This started with companies wanting to make a difference but became more mainstream with the requirements of ESG (Environmental, Social and Governance) reporting.

This has led to more businesses becoming more purpose led but in a sense it has also allowed causes to become more integrated.

One of the best examples is that of LGBT+ rights and Climate Change. Out For Sustainability is a great example of this. This is the leading climate change and sustainability group within the US LGBT+ community.

Whilst the LGBT+ community has enough challenges of its own in combating prejudice and gaining equal rights this group recognises the need to achieve sustainability. With campaigns such as Greener Pride they are acting within the community to furtherthe sustainability agenda.

Recognising that the LGBT+ populace is a vulnerable community and that climate change affects the more vulnerable to a greater degree, Out for Sustainability raises awareness of climate change issues and seeks to help resolve them.

One area of vulnerability is homelessness and the LGBT+ community is disproprionately more likely to be homeless than the wider community. Given the recent Heat Dome in the NW of the USA, the exposure of the homeless to temperature extremes was an indication of how Out for Sustainability needs to promote its message.

For a greater review of their work see this article in Ecowatch

Within the UK there is a need to support causes and for purpose driven businesses the integration of social issues allows business to support issues more easily.

How The IPCC Report Demonstrates The Need For Purpose Led Businesses

gavin@romulus-advisory.co.uk (Gavin Lendon) — Mon, 16 Aug 2021 08:31:07 GMT

The Creation of Opportunity for the Purpose Led Business

On the 9th August the Intergovernmental Panel on Climate Change (“IPCC”) delivered its most hard hitting report on the causes of climate change and the potential effects going forward. Whilst the report repeated warnings from previous reports the language changed and it was definitive in that climate change is being driven by humans.

The report was published in advance of COP 26 in Glasgow. Despite the dire content of the report, it is unlikely that COP26 will deliver anything near what is required for life on the planet to have any chance of a relatively normal existence going forward.

Governments work to short term goals and simply seek re-election if they are democracies or pursue their own objectives if they are planned economies. The level of trust in politicians is low and so trusting them to solve the impending crisis is not a universally held view.

So, without a political lead who can be trusted to do the right thing?

This is where the purpose led business comes into its own. Recently, brands have become visibly more active in social issues notably Black Lives Matter and LGBT+ rights.

The Rise of The Social Issue & The Business Dilemma

In the US, since the murder of George Floyd, Corporate America has been forced to tread a tightrope. American society is shifting with the two parties presenting starkly different views of the world.

With the Senate evenly split decisions and compromise is the exception rather than the rule. The inability of political leaders to show leadership has left a power vacuum in terms of social issues.

In the UK, the drift of one of the parties to the right, combined with voter empowerment following Brexit has shifted the UK political spectrum. Since 2016 however society has moved on.

Attempts by the political class to move with the times has resulted in some embarrassing out of touch moments. Notably, Priti Patel being unable to read the room following the racial abuse of 3 members of the English national football team & Boris Johnson appearing to ignore isolation rules when pinged by NHS Test and Trace.

The inability of the political systems in the US and UK to keep pace with the social changes currently at play has enabled socially savvy businesses to make statements that reflect the views of the majority of the population and in effect steer the social agenda.

The Political Void On Climate Change Becomes an Opportunity for Purpose Led Businesses

All these events and the trend for distrust of politicians in general has led to the business community making stands on social issues that suggest that businesses are active with renewed purpose.

As seems likely that little progress is going to be made internationally at COP26 it seems that there is a great void for the business community to step into in terms of showing leadership in the areas of sustainability and climate change.

For the more socially attuned businesses this void will create significant opportunities to demonstrate social leadership and create brand identity / customer loyalty. Through recognising the cliamte issues raised by the IPCC businesses can act more swiftly and decisively than political leaders and can thus demonstrate leadership.

By taking the leadersip role, businesses may also be able to steer the legislative agenda and thus keep ahead of any new laws that come into play.

The benefits of leading through a purpose driven agenda outweigh the costs as can be seen below.

The Benefits of Embracing the Challenge

By embracing sustainability as a social issue many businesses can demonstrate purpose through their actions and initiatives providing leadership at a time when the need for direction is critical.

The size of your business is irrelevant when demonstrating purpose. Effective communication of your purpose reinforced by your actions will clearly resonate with your customers and even your competitors. The biggest social issue we face is climate change and the IPCC report demonstrates the urgency with which it needs to be addressed. There is no greater purpose than this.

By ensuring your business embraces the challenge and works with purpose to address the issue however it possibly can it will be recognized by its customer base for standing for values and given the changes in customer demographics will be rewarded by greater customer loyalty and being a highly desired place to work.

One example of this is Unilever who outlined their 10 year plan to address sustainability over a decade ago and was at one point the 3rd most desired place to work at for millennials ranking behind Google and Apple.

State Your Purpose & Act Upon It

Recognizing the void creates an opportunity. As a business owner ask yourself how you can address this void and what does my business stand for?

Develop that purpose so you can develop a strategy that delivers upon it.

Communicate your purpose to stakeholders and set targets to demonstrating your progress in meeting your purpose.

Becoming Purpose Led Delivers More than Just Profits

The void that has been created by a lack of political leadership is allowing Businesses who act with P urpose and Drive to fulfill a role. They attract higher brand loyalty and deliver social good and have also generated higher returns than those businesses without purpose.

Customers, who are attracted to the purpose that the business defines, will have a higher level of loyalty.

So, define your purpose and deliver upon it.

The greatest challenge facing the planet right now is that of climate change and sustainability. Choose that as your purpose and society will be supporting your challenge.

How to Make Your Business More Sustainable

gavin@romulus-advisory.co.uk (Gavin Lendon) — Thu, 05 Aug 2021 09:15:36 GMT

How to Make Your Business More Sustainable - Intro

Today’s business trend is to become or be more sustainable, but entrepreneurs are unsure what that means or where to start.

For the small and medium sized business, the challenge of becoming more sustainable is very real. Today’s customers are looking for businesses to help them become more sustainable.

To achieve that they are willing to pay a premium and are willing to commit to a product, service, or brand.

In this post we will explain why sustainability is critically important to both your business and the future, and we will provide suggestions to help you start your sustainable journey.

What is Sustainability, and Why Does it Matter?

Sustainability is more than dealing with climate change, sustainable businesses have a purpose. Sustainability is often represented pictorially by three pillars being, in colloquial terms, People, Planet and Profit.

Thus, it encompasses how businesses interact with the environment, with their communities and deliver a return.

It is important that before you begin your sustainable journey that you understand and embrace the concept of “purpose”. Numerous surveys have indicated how the current generation of customers and particularly future generations will support purpose led businesses.

Where to Start?

Fundamentally, as Simon Sinek stated “Start with your Why?”. What do you and your business believe in? What is your passion?

That vision becomes your business purpose.

Business purpose is a concept that is rapidly becoming more common. From an external perspective it demonstrates that your business stands for something it believes in, going beyond profit and positively impacting the environment and society. This purpose flows through every aspect of the business.

Purpose-driven businesses are set up to deliver meaningfully and tangibly on their purpose. In other words, it is not enough for a business to simply set out why they exist. They must also have a clear plan on how they are going to live out their purpose in practice.

So, the business purpose is incorporated into the Vision or Mission statement of a business.

What is our baseline?

If the business is going to demonstrate success on its journey, then it should take the opportunity to determine where it is starting from.

A simple exercise to determine your business’s carbon footprint would be useful.
Combine that with assessing your utilities outputs e.g. water
An assessment of what impacts do you currently have on your community e.g. noise pollution or charitable donations.
A staff well-being survey would also be a constructive attempt to give a baseline.

All of these will contribute to giving a quantifiable base from which to start your journey from.

Sustainability Must Haves

Having plotted your Purpose there are a number of sustainability measures that are quick wins, but most people will assume have been introduced into your business’s operations already.

The paperless office – very few organisations use paper for internal communications and many organisations now send invoices by electronic format.
Considering moving company cars or vehicle fleets to electric vehicles to reduce your emissions.
Replacing light bulbs with LED lights
Motion sensors on lights or timers to reduce power usage including devices on standby
Office recycling programmes to manage recyclable materials such as cans, plastic bottles, cardboard and food waste
Review travel arrangements – would it better to operate on a hybrid system of half home based and half office based for yourself and your staff?
Consider Cycle to Work schemes

The list goes on but simple common-sense measures should not be hailed as great sustainability breakthroughs as they are now fairly commonplace.

Compare where you are with where you need to get to

After analysing your baseline, and ensuring you have already adopted the must haves, work out how big the gap is between where you are now and where you need to be to fulfil your purpose.

This gap analysis outlines the area that you need to work on.

The next step is to consider how to approach this gap and how best to overcome it.

Consider Your Current Operations and Implement Positive Changes

Look at your business through a purpose driven lens.

Are all your purchases necessary could you use rented or second hand alternatives?
If you are committed to reducing your wate to landfill consider ways to recycle, repai or reuse “waste”
Consider how your customers deal with your product or service. Upon completion do your customers dispose of it? Would it be beneficial if the product was returned to you for reuse and recycling?
How are products packaged? Are better more sustainable alternatives available?

It is important that during this phase you think outside the box.

Consider the impacts your processes have, for example if your company grows and harvests olives, your agriculture practices have an impact. Irrigation takes water from somewhere so who loses out? Are chemical fertilisers and pesticides used? Where do they eventually go? What is the impact of harvesting e.g. fuel use?

At the same time consider risk exposures, drought, or other extreme weather events – that are becoming increasingly frequent – might be a risk for your crop yields. This is an important short/medium-term impact/risk this organization needs to work on.

Review your supply chain and consider ways to improve on that. Reduce carbon mileage by prioritising local supply or ensuring deliveries are more efficient e.g. less frequent but with bigger quantities. Remember that creative solutions are the forerunner of innovation.

Is Sustainability a Journey Without A Destination?

Becoming a purpose driven organisation can appear daunting however if you want your business to make meaningful change and have a positive legacy then there will always be a better future to strive for.

A purpose led business becomes a business that sits comfortably within a cycle of continuous improvement. Businesses with purpose continue to grow and are more attractive to work for.

If you would like a faciltator or guide to help you with this journey, then please get in touch for a free chat. We would be more than happy to help.

How Can My Business be More Sustainable?

gavin@romulus-advisory.co.uk (Gavin Lendon) — Sun, 25 Jul 2021 08:50:08 GMT

How Can My Business Become More Sustainable? Part 1 - The Why?

Why do you want to become sustainable for? Is it to be part of the trend that you recognise? Is it because of a genuine interest in positively affecting climate change? Is it simply a feeling of guilt that you feel that you need to be doing something? Do you simply want to stay of the legislation that is forthcoming? Whatever the reason the best time to start was yesterday, such is the time constraint the planet is under however the next best time is today.

The recent extreme weather events in June and July 2021 have been a real wake up call to some and this article highlights the time for words is over and now actions have become ever more important. For those of you who don't consider climate change as a reason for becoming more sustainable then it's worth a read.

As well as saving the planet there are many good business reasons to become more sustainable and some of these are covered here

There are also softer issues with making the transition to a more sustainable approach with your business. The most important of these are connected to your health and well being. By making a change to a more sustainable business this represents a positive and meaningful change which in turn generates positive feelings.

How Can My Business Become More Sustainable? Part 2 - Where to Start?

Sustainability is an extremely complex area. It covers a broad spectrum of principles and not all of these are connected to the environment. The UN has specified 17 Sustainable Development Goals (" SDG ") to outline its objectives. These are reproduced below.

Because climate change is a global issue it can only be tackled by trying to balance up the planet so that people become more incentivised to act in sustainable ways. Developed Countries are responsible for 79% of carbon emissions so the emphasis is on us to address the issue.

Many businesses look at the SDG and initially want to focus on goals 7, 8, 11, 12, 13, 14, & 15. Over time and through dialogue it is apparent that only by addressing other goals can these be attained.

As a starting point businesses need to establish where they are. What impacts do they have on the planet, their community and this includes through their stakeholders, supply chains and customers? What messages do they share? What are their values and how are these communicated? What is your carbon footprint? What are your power and water usage statistics? What are your approaches to diversity and staff welfare?

This is by no means an easy exercise and may uncover some uncomfortable truths. This process may work better if it is facilitated by external parties.

How Can My Business Become More Sustainable? Part 3 - Beginning Your Journey

Once you have begun to understand your starting point and the potential size of the task in front of you, you need to contemplate your journey.

A simple approach of knowing where you are, assessing where you want to get to and then understanding how to get there may well be the most constructive approach to use. That sentence may be an over simplification of the process but in essence it captures the process involved.

One point worth making is that in terms of sustainability there is no finite destination for example Net Zero is a target that once reached needs to be maintained or superceded.

This is one aspect where your business may need to consider its mission and values for example B Corps require comapnies to legally enshrine in their articles that the company's objectives include people and planet as well as profit.

This triple bottom line approach will generate transformational change for many busineses and will heavily influence the corporate journey.

The journey itself is one of the main challenges as it may involve using GAP analysis to identify and address skill and resource shortfalls. In addition, there may be process reviews to ensure that more beneficial practice is adopted.

All of these ideas and concepts may well feature as part of the change to be undertaken.

No one said this would be easy!

The sustainable journey may well be a series of stepping stones to a greater goal or perhaps a wider journey that fundamentally transforms your business. It is dependent on what type of business you are.

As with any journey a tour guide will ease the task and if you are interested in considering a sustainable journey please do not hesitate to get in touch to arrnage a free call to discuss what you are seeking to achieve. Click here

Sustainability, a case of Infobesity? How to get relevant information in a sea of irrelevance

gavin@romulus-advisory.co.uk (Gavin Lendon) — Thu, 15 Jul 2021 13:49:40 GMT

Sustainability - Recognising the Relevant from the Rest

Popular interest in sustainability is increasing exponentially over time.

The relevance of the subject to our daily lives has increased the need to undertsnad the issue. Many businesses seek to become more sustainable but don't fully grasp what that means.

The internet shows that the use of the keyword 'sustainability' has increased to 135,000 mentions per month (it increased to 140,000 during the G7 summit). 'Global Warming' attracts 110,000 mentions per month and 'Climate Change' is even higher at 201,000 mentions per month.

In all likelihood, this volume will increase as we head closer to COP 26.

Keeping abreast of all this information would be a distractive process for your business and it is likely that you have better uses for your time.

That said there may be information may be of particular interest to your business hidden within this ocean of data. That one nugget of information may give you a competitive advantage over your competition. By the same token there is the element of FOMO where your competitor can find an edge through better research.

Trying to locate the s e relevant nuggets from the rest can be extremely frustrating given the volume of information. .It may not merit the cost of a dedicated internal resource of your business to simply conduct constant research. Thta presents a dilemma.

So how do you keep your business aware of relevant news and opinion on the sustainability subject matter that is relevant to you and your business sector without eating into your precious resource of time?

The simplest solution is to outsource the role. Sustainology UK offeres a Sustainability Awareness service which is available to all businesses. Simply tell us the subject matter you are interested in that relates to sustainability and we will curate content to enable you to simply review the most relevant pieces of data that is relavent to your business.

For a small monthly fee we will curate and provide relevant data to you based on the search criteria that you provide.

Enabling you to stay abreast of sustainability issues that are relevant to you without endless streaming and scrolling through pages and pages on the internet.

If this sounds like something your buisness will appreciate then find out more here and sign up to our Sustainability Awareness service.

G7 Progress or Talking Shop?

gavin@romulus-advisory.co.uk (Gavin Lendon) — Mon, 14 Jun 2021 08:39:15 GMT

What did we learn from the G7?

After a long weekend in Cornwall what did we learn from the G7 meeting in terms of measures to meet climate change? The dust has now settled and the official communique has been released.

The Green Marshall Plan?

The G7 committed to the introduction of mandatory climate change reporting in line with the recommendations of the global Taskforce on Climate-related Financial Disclosures.

What was missing was discussion over a detailed package to provide support for other less developed nations to meet their climate targets. Instead, t he G7 merely acknowleged a $100bn pa commitment to support and extended this further to 2025 .

Whilst at face value this sounds incredibly impressive, r esearch suggests that G7 governments were failing to deliver on the longstanding $100bn pledge.

Oxfam estimates the G7’s current commitments would deliver $36bn by 2025, of which less than $10bn would be for projects and initiatives on climate adaptation.

The G7 agreed on a new “Build Back Better for the World” scheme that has been likened to a climate version of America’s post-war Marshall Plan. How this is going to work in practice has yet to be seen.

So perhaps a more detailed Green Marshall plan is on ice until COP 26 in Glasgow.

Net Zero

The formalisation of the commitments made in Joe Biden's two day conference on climate was achieved. The countries also committed to major movement on restricting support for the coal industry and the need to work to phase out this form of energy. This was particularly tough for the Japanese who still generate 31% of their energy from coal. Notably Japan is second to China in the use of coal as an energy source and China were not represented at the G7.

The UK and other G7 countries have been criticised for not having the detail behind these net zero commitments. That said the official communique highlighted that these plans may well be publicicsed prior to COP 26 in November.

“We commit to submitting long-term strategies that set out concrete pathways to net-zero greenhouse emissions by 2050 as soon as possible, making utmost efforts to do so by COP26,” the communique states.

Hope for Biodiversity?

The linkage between climate change and the loss of biodiversity has been made.

T he G7 noted the importance of linking discussions set to take place at COP26 with the themes and findings of the impending Convention on Biological Diversity (CBD) summit.

Furthermore, the G7 formally agreed to a shared G7 Nature Compact. The Compat ties into key biodiversity-related works, including CBD discussions and the Dasgupta Review. It notably commits nations to supporting the target to conserve or protect at least 30% of global land and at least 30% of the global ocean by the end of the decade.

In addition, t he G7 has also committed to “strengthen their deployment and implementation” of nature-based solutions (NbS), recognising that they can deliver “significant multiple benefits for climate mitigation and adaptation, biodiversity, and people and thereby contributing to the achievement of various Sustainable Development Goals (SDGs)”.

The G7 whilst linking the discussions of biodiversity with the need to cut emissions, prioirtised the decarbonisation of the atmosphere.

What about other climate issues?

Whilst the progress on the above issues was constructive there remain some real big problems.

The larget of which is how to get China involved in the challenge? Amittedly, they did partake in the Biden conference earlier this year so have made some pledges. Their role at COP 26 will be pivotal if we are to tackle this challenge.

The G7 also made some commitments on supporting the UN SDG's without supporting these commitments with detailed proposals. Whilst this was disappointing COP 26 seems a better arena for such a discussion with its wider representatioon.

Going in to the summit some people were optimistic about detailed action plans on transport emissions. Whilst a general commitment that the G7 would “intensify efforts in enhancing the offer of more sustainable transport modes”, including encouraging phase-out of traditional passenger vehicles in favour of electric vehicles (EVs) before 2040, there were no such detailed plans for the aviation and maritime sectors.

Food Waste in Hospitality - Where does the Food Waste go?

gavin@romulus-advisory.co.uk (Gavin Lendon) — Sun, 23 May 2021 14:24:47 GMT

Your Waste Has Been Collected So Now What?

Previously, the blog talked about the scale of the problem of food waste.

Unless food waste is collected and recycled it will most likely end up in landfill sites. Once the re it is left to rot and decompose which releases methane, a damaging green house gas.

Some food waste is made up of things like peelings, cores and bones, but the majority is, or once was, perfectly good food.

Throwing away food is also a huge waste of the energy, water and packaging used in its production, transportation, and storage.

It is believed that if we all stopped wasting the food which could have been eaten, it would have the same CO2 impact as taking 1 in 4 cars off UK roads.

M ain Methods of Recycling Food Waste in the UK

In the UK there are a number of ways that food waste can be recycled however we will focus on two. Firstly, In Vessel Composting and secondly Anaerobic Digestion.

In Vessel Composting

In-vessel composting can process large amounts of waste and it can accommodate virtually any type of organic waste (e.g., meat, animal manure, biosolids, food scraps).

This method involves feeding organic materials into a drum, silo, concrete-lined trench, or similar equipment. This allows good control of the environmental conditions such as temperature, moisture, and airflow. As an example, Ohio University's compster is shown diagramtically below. The food waste enters the system and is forced through the process.

The material is mechanically turned or mixed to make sure the material is aerated. In Ohio University's model water is also added.

The size of the vessel can vary in size and capacity.

This method produces compost in 2-4 weeks. The material is then left outside to mature for a further 1-3 months with regular turning and checks to ensure quality before going on to be used as soil conditioner.

Advantages of Composting

Lower initial capital investment needed to start of composting facility than is needed for an Anaerobic Digestion Plant.
A slightly lower level of training is needed to run a composting plant the is required for an Anaerobic Digestion Plant.
It produces a solid output/ fertilizer only. For some this will be an advantage, but in general this digestate product is a neutral factor, neither positive or negative for composting.
It reduces odour below unprocessed waste odour levels. an example of this is the comparison between manure spreading and the same material spread after composting.
It is much less likely to cause environmental pollution than spreading untreated organic waste on land.
Provides for efficient resource recovery, and conservation of non renewable energy sources.

Disadvantages of Composting

If the composted materials contain waste types such as animal or food waste there is a risk that diseases (for example “foot and mouth”) may be spread in the compost.

In those circumstances, many countries (such as the UK and EU) the Animal By-products regulations must be complied with for all commercial compost sales/ spreading on land. Like anaerobic digestion, it is necessary to pasteurize the composted material to ensure that all infectious agents have been effectively removed.
Commercial composting companies ensure that they meet the relevant regulations by applying the PAS 100 code for Quality Compost.

This can be done by ensuring that it composts rapidly and raises its own temperature, through the heat produced during composting. The required hot temperature must be held constant for a stated minimum time period.

Ensuring that every batch self-sanitises itself this way requires very good operating practice. and detailed monitoring to demonstrate successful pasteurisation to the local environmental regulating body.
This disadvantage is the biggest disadvantage of composting!

Composting requires the input of quite large energy inputs to fuel and operate the equipment needed to aerate and turn the compost piles.

A naerobic Digestion

Anaerobic Digestion uses microorganisms to break down food waste, animal manure, slurries and energy crop s in the absence of oxygen, inside an enclosed system.

The biogas naturally created in the sealed tanks is used as a fuel in a CHP (combined heat and power) unit to generate ren ewable energy i.e. electricity and heat.

What’s left from the process is a nutrient rich biofertiliser which is pasteurised to kill any pathogens and then stored in large covered tanks ready to be applied twice a year on farmland in place of fossil fuel derived fertilisers.

Every tonne of food waste recycled by anaerobic digestion as an alternative to landfill prevents between 0.5 and 1.0 tonne of CO2 entering the atmosphere, one of the many benefits of anaerobic digestion.

Advantages of Anaerobic Digestion

It is a net energy-producing process which produces renewable energy in the form of biogas.
It sanitizes the feedstock/ waste which is put through it, as long as the temperature is held above a required temperature for a pre-defined time period (pasteurized).
It reduces odour below unprocessed waste odour levels. an example of this is the comparison between manure spreading and the same material spread after anaerobic digestion when it is known as “digestate”.
It is much less likely to cause environmental pollution than spreading untreated organic waste on land.
Provides for efficient resource recovery, and conservation of non renewable energy sources.
Lower sludge mass generation when used as a primary water treatment method compared to an aerobic system applied to the same contaminant concentration and flow.
The effect of the fertilizer is longer lasting than for untreated organic waste.

Disadvantages of Anaerobic Digestion

When carried out at a commercial scale on farms and at wastewater treatment works (WwTWs) it requires a high level of investment in large tanks and other process vessels.
If run inefficiently AD can cause an odour nuisance.
Does not convert as large a proportion of the carbon in the biomass to biogas as can be achieved using gasification.
It takes longer to start up the process due to the slow growth rate of the methane-producing organisms as compared to aerobic systems.
In some applications has higher buffer chemical dosing requirements for pH control to keep the pH for AD within the range of 6.5–8.
Nutrients removal is not as efficient as in aerobic treatment if is used as a water treatment process. Invariably a post treatment process will be necessary before any discharge to a watercourse. For such discharges, a secondary process stage will be needed such as membrane filtration, or even further aerobic treatment, in order to meet the river, ditch, or stream discharge consent requirements and protect the aqueous environment.

Conclusion

For the purposes of the planet if you get your food waste collected then whichever of the methods outlined is used, it is far superior than simply allowing your waste to be transferred to landfill and allowed to decompose and return methane to the atmosphere.

How Big A Problem Is Climate Change in Europe?

gavin@romulus-advisory.co.uk (Gavin Lendon) — Wed, 12 May 2021 14:15:02 GMT

European State of the Climate 2020

The Copernicus project released its' summary report in April '21 on the state of the European climate in 2020. Despite the global pandemic and the volume of lockdowns in Europe the situation remains grim.

You can see the vido summary here

The key messages are below:-

In 2020, the annual temperature for Europe was the highest on record; at least 0.4°C warmer than the next five warmest years, which all occurred during the last decade.
Winter in northeaster n Europe was nearly 1.9°C warmer than the previous record
2020 saw the largest number of sunshine hours since satellite records began in 1983.
In February 2020, a large area of Europe was affected by above-average precipitation from several heavy rainfall events. However, northern parts of western Europe experienced one of the driest springs of the last 40 years, in terms of both rainfall and soil moisture.
Storm Alex, in early October 2020, was the first storm of the 2020–21 European winter storm season. The storm brought unusually high levels of rainfall in a short period of time and broke many one-day precipitation records in the UK, northwestern France and in the southern Alps.

The race to reduce climate change is on.

We all need to do our bit.

Don't know where to start? Contact us for advice.

Food Waste in Hospitality The Scale of the Problem

gavin@romulus-advisory.co.uk (Gavin Lendon) — Wed, 12 May 2021 09:52:58 GMT

The Food Waste Issue

We are combining with Romulus Advisory to look at the problem of food waste in the Hospitality Industry.

What is the Scale of the Problem?

Hospitality disposes of £ 3.2 BILLION of food waste a year.

More alarmingly, 75% of that figure was fit to eat so the disposal was needless.

On average, 18% of the food purchased by the UK Hospitality and Food Service sector is being thrown away. It goes without saying that for every gram of food that ends up in the bin there is an environmental cost.

In terms of volume, it has been estimated that the UK Hospitality Industry wastes 1.1 million tonnes of food (this is still significantly lower than the 2011 figure of 2.87 million).

Despite many local councils now collecting food waste, UK households still waste 4.5m tonnes of food a year that could have been eaten, worth £14bn.

Needless to say, the problem is not unique to the UK and if food waste is considered a global context, then if food waste were a country, it would be the third largest emitter of greenhouse gases after China and the US.

In its report of 2011 Waste and Resources Action Programme (WRAP). found that.

• 40% of food that is wasted is carbohydrates, including potato, bread, pasta and rice. Reduced wastage in carbohydrates would have a significant impact on the total amount of food being wasted.

• The amount of food that is wasted each year in the UK is equivalent to 1.3 billion meals, or one in six of the 8 billion meals served each year.

• On average 21% of food waste arises from spoilage; 45% from food preparation and 34% from consumer plates.

• 1.3 million tonnes of packaging and 0.66 million tonnes of other ‘non-food’ wastes are also discarded, that includes items such as disposable kitchen paper and newspapers.

• 62% of packaging and other ‘non-food’ waste is recycled. The highest level of recycling is for glass and cardboard.

• 56% of packaging and other ‘non-food’ waste that is thrown away could have been readily recycled. In addition to this a further 130,000 tonnes of food waste is generated from the preparation of ready to serve food items and meals for the HaFS sector, at food manufacturing sites.

Since the 2011 report was written progress has been made for example the volume of food waste generated in the retail supply chain, the hospitality sector, and in homes stood at 9.5m tonnes in 2018, down from 10m tonnes in 2015 and 11.2m in 2007.

BUT in addition to the £3.2 billion of food waste disposed of by the hospitality sector, UK households still waste 4.5m tonnes of food a year that could have been eaten, worth £14bn.

This amounts to £700 for an average family with children.

Despite this progress – as well as the improvement in the sector domestic food waste has fallen by 6%, from 7.1m tonnes to 6.6m tonnes over three years – the volume of food still wasted equates to 10bn edible meals,

Conclusion

Despite the improvements made, there is still a long way to go. With the demographic of consumers changing with the new wave of customers being more environmentally attuned the problem of food waste is becoming acute.

Next Blog :- Where Does The Waste Go?

In the next blog we look at the way waste is disposed of and how much is recycled. Finally we will look at ways to further improve the situation.

Grow Circular! The Future is The Circular Economy

gavin@romulus-advisory.co.uk (Gavin Lendon) — Sun, 09 May 2021 10:06:11 GMT

The Circular is the Future, Otherwise We Are Finished

The growth of consumption has led to wealth and prosperity for the devloped parts of the world. This is a statement of fact. Whether the wealth generated from that has been evenly distribued is another story.

The boom in consumption has now led to a problem. That problem is two fold. Dwindling resources and the degradation of the planet.

Sustainability cuts to the chase of these issues. The rise in consumption has been dependent upon the linear economy. Better described as a "Take, Make, Waste" model. This would be absolutely perfect if the planet we live on had infinite resources and also the cpacity to handle infinite amounts of waste as set out below.

Unfortunately, as most of us know, that is not the case. Scarce resources have created social issues such as famine, perstilence and war.

The linear economy is basically unatural. As Mike Kensler said

"WASTE? HUMANS INVENTED IT. NATURE NEVER HEARD OF IT"

Waste generated by the linear economy produces waste in vast quantities and we have not yet created a solution to resolve a problem of our own creation.

Yet, going forward, there is a way to make the use of resources more effeicient. That is through the circular economy. The circular economy itself makes logical sense.

David Chenery from architects OSP points out that a building has a design life of usually 50 to 60 years. Whereas a restaurant within a building has an economic life of on average 3 years. Consequently, a restaurant could change hands between 16 and 20 times before the building reaches the end of its design life. Why then does each restaurant look to fit out differently on each change over? Unless some effort is made to recycle or reuse the internal fit out this process would result in a great deal of waste.

From that paragraph alone it can be seen that continuing on our current trajectory is somewhat futile.

So What is The Circular Economy?

The Ellen MacArthur Foundation defined it as foillows:-

"In a circular economy, economic activity builds and rebuilds overall system health. The concept recognises the importance of the economy needing to work effectively at all scales – for large and small businesses, for organisations and individuals, globally and locally.

It is based on three principles:

Design out waste and pollution

Keep products and materials in use

Regenerate natural systems "

This is a pretty straight forward definition and is visually represented below.

Can it Be Delivered?

The simple answer to that is that in certain places it already is. In the UK, the London Waste and Recycling Board (LWARB) has a circular economy programme which brings together £50m of investment to 2020, as well as setting up targeted demonstration projects, creating a collaboration hub, communicating circular economy benefits and inspiring policy development in the capital.

Holland aims to have a national circular economy in place by 2050.

What's In It For Me?

One of the pioneers of waste reduction, is the creator of the 3P program, Dr. Joseph Ling. The 3P program stands for Pullution Prevention Pays which was adopted by 3M in 1975. As of 2005, the aggregated results from the first year of each of the 5,600 3P projects since 1975 accounts for 2.2 billion pounds of pollutants prevented and $1 billion saved.

n 2013, a report was released entitled Towards the Circular Economy: Economic and Business Rationale for an Accelerated Transition. Using product case studies and economy-wide analysis, the report details the potential for significant benefits across the EU. It argues that a subset of the EU manufacturing sector could realize net materials cost savings worth up to $630 billion annually towards 2025.

Another report by WRAP and the Green Alliance (called "Employment and the circular economy: job creation in a more resource efficient Britain"), done in 2015 has examined different public policy scenarios to 2030. It estimates that, with no policy change, 200,000 new jobs will be created, reducing unemployment by 54,000. A more aggressive policy scenario could create 500,000 new jobs and permanently reduce unemployment by 102,000.

Whilst these reports are on a more macro scale, the overall sense is clear. By applying common sense, an element of innovation and above all a sense of purpose change can be made.

So What is Required & How You Can Get Involved?

There is a comprehensive guide to what is needed provided by the Ellen MacArthur Foundation here

Why Should Business Be more Sustainable? The Economic Case

gavin@romulus-advisory.co.uk (Gavin Lendon) — Fri, 07 May 2021 09:40:00 GMT

Show me the Money! The Business Case for Sustainability

Sustainability has for the last decade been associated with cost. In terms of construction and design achieving a high BREEAM rating involved a number of technologies (e.g. ground source heating) or design innovations (e.g. green rooves) that added to cost. The same could be said of other sectors as new green ideas began coming through.

Over time these innovations and technologies have become more efficient. These improvements combined with the adoption of new approaches have made sustainability a more attractive proposition.

Mindset Change

Challenging the norm leads to innovation. The recognition in the 1970's that their method of production was inefficient led to 3M introducing the 3P approach of "Pollution Prevention Pays" in 1973. By 2008, 25 years later, this has led 3M has achieving:

80 percent improvement in energy efficiency at their U.S. operations since 1973.
37 percent improvement in energy efficiency at their operations worldwide since 1998.
11 percent improvement in energy efficiency from 2005-2006.
A calculation made in 2010 suggested the value of these savings was $1.4 bn

This in effect was converting the linear economy into a more circular economy within 3M.

Benefits of Adopting a Sustainability Strategy

If that example from 3M was not powerful enough there are plenty more.

In 2019 the following commitments were made:

Amazon will be carbon neutral by 2040 and will buy 100,000 EVs.
Ikea added another €200 million to its investments in being carbon neutral by 2030.
German cement company Heidelberg pledged to create carbon neutral concrete by 2050.
Ingersoll Rand, owner of the big HVAC brands like Trane, pledged to reduce customer carbon footprint by 1 gigaton.
Kellogg Company will improve the lives of 3 billion people through a variety of efforts around food and nutrition and provide donations to feed 375 million people.

So why do these businesses have such bold sustainability strategies?

Large publicly traded businesses are pursuing sustainability in part because of the following:

Society’s expectations of business have changed. We expect companies to go further and do more. The concept of Corporate Social Responsibility has grown and now large corporates have devoted more attention to ESG (Environmental, Social and Governance) strategy

McKinsey found that consumers would pay a premium of 5% on average for a product with "green" credentials as against a similar non-green product which produced to the same standard. Indeed when Unilever produced a new cleaning product that used 80% less water, the product outperformed its market by 20%.

Social media has changed where people get trusted information about companies and products from. This form of media has developed a more intimate direct relationship between brands and their customers but allows information about brands to spread more easily. One area in particular focus is that brands are more conscious that influencers can highlight issues. Thus recognising that corporate sustainability performance is more under the spotlight.

McKinsey and Harvard have found that organizations paying attention to ESG are better managed. As a consequence, this too has been recognised by investors. Thus such a premium creates value for shareholders which in turn increases the longevity of management.

Many companies are voluntarily reporting on greenhouse gases and water as a function of the work by CDP Worldwide. Such disclosure is highly correlated with positive performance of those corporate stocks.

Employees have shown a preference for companies with strong sustainability values. Unilever having produced its Sustainable Living Plan in 2010 became the third most sought after employer on LinkedIn (behind Apple and Google). Highly motivated staff leads to increased productivity and associated economic benefits

Sustainability reporting has become the norm. The 2020 KPMG Survey of Sustainability Reporting found almost all (96%) of the world’s largest 250 companies (the G250) report on their sustainability performance. For the N100 –5,200 companies comprising the largest 100 firms in 52 countries – 80% do so.

Pressure is coming from the insurance industry with respect to companies that ignore sustainability as they fear the potential for climate-related litigation risks similar to the problems the industry experienced in association with asbestos.

Climate change activists have highlighted perceived inadequacies in ESG behaviour from large corporates. For example HSBC had windows smashed in 2021 for continuing to invest in companies that continue to degrade the planet. This negative publicity has a high impact on consumers who do not want to be associated with such brands.

Small to medium-sized businesses are pursuing sustainability in part because:

In many cases their customers demand it. Supply chains of Unilever are required to comply with sustainability targets and reporting. Toyota announced in April 2021 that it will review the industry associations it is part of to ensure they are compliant with the aims of the Paris Agreement, as part of a commitment to reach carbon neutrality by 2050. Other procurement bodies also require transparency of their supply chains for this and for similar issues.

79% of people are ,ore loyal to purpose-led brands according to respondents to a 2018 Cone / Porter Novelli Purpose Study

It creates niche markets for more sustainable companies to exploit. Smaller companies are more nimble and can rapidly exploit new niches in the market. In 2019, a Bill Gates-backed startup focused the sun’s rays to create heat of 1,000 degrees Celsius, hot enough for making cement, steel, glass, and more.

Sustainable alternatives are becoming cheaper as part of the production process. As the cost of building new solar and wind continued to fall, we reached a “coal crossover” point, as three-quarters of U.S. coal plants are more expensive to run than new renewables. In April 2019, the U.S. got more energy from renewables than coal for the first time, and low-carbon energy overtook fossils in a number of countries like the UK, Sweden, Denmark, Portugal, Nicaragua, and Costa Rica. In 2020, offshore wind powered 39% of UK homes.

Younger employees expect it. They represent a generation more attuned to the concerns associated with climate change and sustainability.

It brings meaning to work. A greater sense of purpose among staff can be generated by a strong sustainability message. A more motivated workforce is reflected in increased performance

Sustainability is Our Future

Consumers are changing as they become more sustainability concious. In 2019 in the US vegan offerings from Impossible and Beyond Meat quickly jumped from niche curiosities to featured players on the menus of Burger King, McDonald’s, Dunkin’ Donuts, Subway, White Castle, KFC, and Carl’s Jr.

Burger King credits the Impossible Whopper for its most successful quarter in four y ears.

The alternative protein trend is also global, with Hong Kong-based Omni Pork offering vegan substitutes across Asia. This shift is important because the conventional, industrial food and agriculture industries (including the cows) produce a quarter or more of global carbon emissions.

In response, the conventional f ood business is talking more about regenerative systems and specifically “regenerative agriculture.” These new methods of production pro mise to grow food and raise cattle while sequestering enormous quantities of carbon, which makes the soil richer and helps tackle climate change. President Biden even mentioned paying for "cover cropping" in his first address .

Sustainability is now at the forefront of thinking. COP26 is being held in Glasgow this year. Consumers are changing, governments are changing, corporates are changing and your competition is changing.

Are You?

What is Sustainability and Why Should I Bother?

gavin@romulus-advisory.co.uk (Gavin Lendon) — Fri, 07 May 2021 08:28:05 GMT

What is Sustainability?

There is no universally accepted definition of sustainability. The United Nations defines sustainable development as follows :-

“as development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”

Furthermore, the United Nations developed 12 Sustainable Development Goals. The 12 goals are highlighted in the image below.

Without trying to over complicate matters many view that sustainability is made up of three pillars: the economy, society, and the environment which when combined allow for sustainable development.

These principles are also informally known as profit, people and planet. Businesses have long referred to this as the ‘triple bottom line’, a term coined by John Elkington in “ Cannibals with Forks ”.

The three elements are now so interlinked that we can no longer think in terms of jobs or the environment, economic growth or environmental health, development or habitat.

The decisions of the present and the future have to be more inclusive and considered in terms of all 3 elements so more likely the “or” is replaced with “and”.

A company does not have a long term future where it is dependent on the exploitation of the environment or workers.

Realising the interconnectivity of the three elements means that you cannot favour one over the others for any sizable period as the equilibrium is broken.

By disrupting the equilibrium there is an economic, social and environmental cost.

For example, if you put toxic chemicals into the environment, fit sickens and weakens the ecosystem include humans which then has an economic impact for example a farmer using a pesticide lets the product infiltrate his soil and then run off to a local river affecting the river ecosystem and other farmers downstream. Another example is in Detroit where lasting social damage has been caused through ill health and contaminated water from a range of pollutants from chemical plants in the vicinity.

As Thomas Friedman found, the conflict in Syria didn’t come out of the ether. He discovered that the revolution was a lack of appropriate government reaction to an acute water shortage which was a result of climate change.

The Syrian conflict in turn destabilised the middle east as regional powers got sucked in on opposing sides and eventually had a detrimental effect on the world economy. ( Friedman, T. (18 May 2013) Without Water, Revolution. The New York Times Sunday Review )

It is so easy to forget that all actions have consequences even where those consequences were not initially known.

Size Matters – but only if it’s the Planet

Simply realizing there are these three realms (social, economic, environmental) and pursuing actions in each of them does not make you or your organization sustainable. Simply put a single organisation no matter what its size is a cog in the system that is the entire planet. Ultimately we need the planet to be sustainable.

That does not mean that an organisation should simply throw the towel in. A system can be changed if a sufficient number of cogs make the change. That is why it’s important to embrace sustainability because the growing trend within the system is toward sustainability, most visibly represented within demographics. In particular, younger consumers becoming more environmentally conscious which has led to the rise of globally recognised figures such as Greta Thunberg.

Sustainability is no longer a fringe issue. A business seeks to exist for the long term and hence needs to thrive in a changing environment. Those changes are now wedded to the physical environment and also the social impacts that business has.

Bob Willard, author of The Sustainability Advantage , encourages organizations to think of sustainability as a primary enabling strategy, not one more goal in a long list. Sustainability can unify and organize a wide spectrum of efforts, including seemingly disparate programmes for lean manufacturing, international labour issues and zero waste.

Integrating sustainability into strategy enables organisations to consider, capture and measure all material social and environmental impacts of the business. In so doing they can also assess their success in managing those impacts while succeeding economically.

No Longer A Choice. Why it Matters.

To be clear there is strong case for sustainability.

Despite a number of climate change deniers such as Donald Trump the evidence from science is overwhelming. Thus, the moral case for sustainability has been proven.

The economic case is rapidly becoming clear as the need to move from a linear economic model to a more circular one which reduces or reuses products is growing.

With the growth in consumer power of the millennials and Gen Z the social case is also accelerating.

Thus, sustainability is no longer a choice but it is an accepted and necessary part of our life.

In our next blog we will emphasise the business case for including sustainability within your business or organisation.

efcd3f4d

Reclaiming the Heart of Organisational Strategy

The Strategic Triad

Beyond Statements

Seeing the Whole Picture

Where to Begin

Building Ecosystems of Influence

Circular Consulting: Who Does it Apply To?

Does Circularity Apply to Service Based Businesses?

State of Biodiversity in the UK

What Have We Done to Mother Nature?

Why I’m applying for B Corp Certification

Soleil Marketing's B Corp Journey (part 1)

How does B Corp certification work?

Why I’m doing it now

Where am I in the certification process?

What to expect in Part 2 of this blog?

Maria Soleil

Greenwashing - Don't Be A Dick

Tash Morgan-Etty in Conversation with Sam Cande of Responsible Futures on the subject of greenwashing

Intro to the Planetary Boundaries & Why Business Should Care About Them

Introducing the Planetary Boundaries

The Nine Planetary Boundaries

Significance of Planetary Boundaries

Why are the Planetary Boundaries important for business?

How to Communicate Your Impact Brand

How to communicate your impact brand

What is the true definition of purpose-driven business?

What is the true definition of purpose-driven business?

Defining purpose-driven business

Similar terms for purpose-driven

Types of purpose-driven businesses

Purpose-driven business vs. purpose-driven marketing

How To Avoid A Greenwashing Nightmare: A Basic Guide for Good Brands.

Greenwashing creates challenges for eco-conscious consumers, genuinely green brands, and ethical marketers alike. And our planet ultimately bears the brunt of the damage it causes. So, what can good businesses do to avoid it?

What is Greenwashing in Marketing?

How Does Greenwashing Affect the Consumer?

Other Sceptical Stakeholders

Greenwashing is in The Eye of The Beholder

How to Avoid Greenwashing in Your Marketing Efforts

Liar, Liar, Pants on Fire

It’s About the Journey, Not the Destination

Know Your Audience

Is Your Sustainability in a Silo?

Trade-Offs Aren’t Cool

Impact is Everything

Embrace Transparency

Rock Your Data

Add Third-Party Proof

Fake Labels and Pretty Pictures

“Humility Is the Surest Sign of Strength”

Positivity is Powerful

Be Specific

Facts Not Fluff

Last Words

Scope 4 Emissions : Justified or An Invitation to Greenwash?

What Are Scope 4 Emissions?

The Rise of Scope 4

Defining Scope 4 & the Temptation to Greenwash

Homeworking and it's Emissions Impact

It's All About Data

How to Avoid Greenwashing While Travelling

How to Recognise Greenwashing Whilst Travelling and How to Avoid It

Why is a Enviromental, Social and Governance (“ESG’) Strategy Right For My Business

WHY IS A ENVIRONMENTAL, SOCIAL AND GOVERNANCE (“ESG’) STRATEGY RIGHT FOR MY BUSINESS?

WHAT IS ESG?

BENEFITS TO THE BUSINESS?

Trust leads to Turnover Growth

Purpose leads to Cost Reduction

Stronger ESG Leads to Increased Productivity

Greater Return on Investment

Staying Ahead of Legal Change

﻿ FURTHER ACTION

Does Your Venue Need a Sustainble Tourism Accreditation

The Growth In Sustainable or Green Tourism

Bridging the Information Gap

Time for Universal Recognition

How Do Venues Get This Badge?

The Circular Economy in Travel and Tourism

The Growth of Sustainable Tourism

FURTHER ACTION