Around the world, far-sighted companies are busy building unique business models that promote sustainability, provide distinct product differentiation and satiate the growing buyer appetite for responsible consumption.
A recent study across a sample of 12 S&P Global 100 companies by The Conference Board reports that between 2010 and 2013, revenues from sustainable products and services grew at six times the rate of overall revenues. Aggregate revenues from sustainable products and services climbed by 91 percent, while overall sales grew just 15 percent. These were just the beginning of the surprising benefits they found linked to environment-related efforts and innovation.
Kimberly-Clark's revenue from sustainable products shot up by a dramatic 296% while overall company revenue increased by less than 8%. Dow Chemical have a similar story with growth of 147% from sustainable products over the same period, when overall revenue during this time only inched up by 6%.
The same positive trend also was visible at six other companies who were part of the study group. These included world-leading brands such as General Electric, Philips, Siemens, Toshiba and Panasonic. The revenue share from sustainable products at Panasonic more than doubled from 10 percent in 2013 to 22 percent in 2014.
More than a matter of responsibility or reputation, sustainability has become a potentially lucrative business strategy for a broad range of companies. One motivation behind developing sustainable products and services is the opportunity to improve profitability.
Is your organisation netting anything like these returns? If so, tell us about it. If not, and if innovation and profitability are important to you and your organisation, perhaps it's time to investigate the principles, methodologies and technologies of The BLUE ECONOMY to support your growth. Events will be held across Australia in Aug and Sept.
On one hand there is significant innovation around the development of products and services, but it appears not all is yet perfected for many organisations when it comes to communicating their social and environmental impacts. A new global consumer study on CSR and Sustainability by Cone Communication says 65% of global consumers still find CSR and Sustainability messages confusing. It may be down from 71% in 2011 - but it's still a big issue.
Majority of consumers (88% to be precise) want companies to tell them what they are doing to operate responsibly. 87% say it's okay if a company is not perfect as long as it is honest about efforts with 86% saying if a company makes CSR commitments, it should be accountable for producing and communicating results. So it's clear, there is still more work ahead for companies to effectively communicate impacts on a shared and personal level.
Considering companies with engaged employees grow profits 3x faster and that highly engaged organisations have 87 percent less turnover - there's a significant business case to taking a day out to be inspired and to learn new tools to help support your CSR/Sustainability strategy and communications. Book an in-house workshop, or join one of our public events scheduled during the next two months as we share best practice global principles of how to communicate sustainability - as developed to be used by the UNFCCC, OECD, EU Commission, World Economic Forum and others.
|I look forward to inspiring and supporting your journey to a more sustainable future. |
Anne-Maree Huxley - Blue Economy Expert
Models of Success and Sustainability (MOSS) Founder and CEO
PS A Big thanks to Intern Echo Ching Yi from Baptist University in HK who's been with us for the last 8 weeks. We will miss you Echo. For others wishing to gain work experience in Sustainability, new places are now available. And rather than gain work experience, if you have expertise you'd like to share to support growth of the sustainability sector in Asia Pacific, we are keen to hear from you too!
|Mapping for Sustainable Enterprise and Livelihoods online program ready for those wanting better outcomes in stakeholder engagement and community collaboration. This new and highly innovative training program is like a Masterclass in development of sustainable community collaboration, while also growing your own venture. Community engagement is only half of the process - communities are not interested in 'being engaged' for someone else's benefit - learn how to engage communities and sustain collaboration in this 24 step training process. Learn more...|
|Consumer research identifies gaps to improve CSR and sustainability stakeholder communication and product innovation. Global consumers feel a personal accountability to address social and environmental issues and look to companies as partners in progress, according to findings from the 2015 Cone Communications/Ebiquity Global CSR Study. Near universal in their demands for companies to act responsibly, nine-in-10 consumers expect companies to do more than make a profit, but also operate responsibly to address social and environmental issues. Global consumers echo that high standard in their own lives and shopping behavior.|
|Natural Capital Draft Protocol Principles & Framework released. This long awaited framework, sets out a principle based approach which follows four stages and 10 logical steps. It will be piloted by the WBCSD in October then released for consultation in November. Read on...|
|Self service recycling kiosk by Rucoil combines artificial intelligence, robotics and automatic inspection that can evaluate, calculate and pay for the waste collection. The system collects and stores waste that can be recycled and turned into alternative bi-products such as bio-diesel, bio-energy, ethanol, glycerin, pharmaceutics bio-products, bio-plastics, lubricants, waxes and organic compost for agriculture. More...|
|Prawns found to be key in stopping the spread of deadly parasite in West Africa. Stanford researchers have found that freshwater prawns can serve as an effective natural solution in the battle against schistosomiasis a potentially deadly parasitic disease that infects roughly 230 million people. The prawns prey on parasite-infected snails, while providing a marketable, protein-rich food source. Because prawns cannot support schistosomiasis' complex life cycle, they do not transmit the disease themselves. This is a wonderful Blue Economy innovation.|
Sustainability and Conscious Capitalism VIEWS
|Alternatives to capitalism gaining new ground. In the face of worsening ecological and economic crises and continuing social deprivation, many are calling for a change to models of global development. The latest was Pope Francis in his Encyclical Laudato Si, then the Dalai Lama both explicit on the need to redefine progress. They are many diverse views and terms, but they express common fundamental values including solidarity, harmony, diversity and oneness within nature. More...|
|SustainAbility also call for consideration of new business models. The need for fundamental shifts in business practice, including in business models, both to drive necessary progress toward, and to unlock business value from sustainability. Such shifts are all the more urgent and relevant today, given slow progress on sustainable development broadly and accelerating innovation and disruption (both positive and negative) already playing out in many industries. More...|
|5 Critical Components to Advance a Sustainable Economy|
The UK election was fought largely on the issue of the economy. Fixing the economy and balancing the books is undoubtedly of great importance for the economy if it is done sustainably. It's a simple fact: the economy is a sub-system of our ecosystem. And yet, it has become commonplace to believe that the opposite is true - that the economy is the dominant system. More...
|Will you be part of the Groundswell? Demand for change is sweeping the world in a series of dramatic economic and social events - now Dr Paul Ray, the man who predicted it all, stakes his life's work on bringing about a change of eras in OCCUPY GROUNDSWELL - The Transmoderns - a feature length essay documentary drama. Discover how you can get involved.|
Master the Art of Communicating Sustainability. PERTH Aug 14 / SYDNEY Aug 21 / BRISBANE Sept 10
Stories drive change. Discover the keys to successful communication from leading sustainability managers and Hollywood superstars like Clooney and Bullock in this powerful, inspirational one day workshop. Get all the details here.
The Blue Economy is helping to doing better, smarter, more profitable Business. PERTH Aug 13 / SYD Aug 20 / ADEL Aug 28 / BRIS Sept 9
Discover new business models, innovation and sustainability in our Doing Better Business - one day workshop to introduce the Blue Economy which is set to generate 100m new jobs in the next 10 years all with zero waste - using what you have locally. CLICK HERE for full details and registration.
ZOOiD GRI Reporting Workshops
Workshops include: Global Reporting Initiative Sustainability Reporting Process; G4 Bridging Module; GRI Business Transparency Program and GRI Sustainability Reporting for SMEs. For full details and registration CLICK HERE
1st Annual Environmental Management Seminar BRISBANE Sept 8
If we are going to grow support for sustainability innovation - we all need to play our part - so please share our Winter Edition of MOSS News View and Events with your networks!