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Welcome to MOSS News Views and Events for June 2010.

If you can not read this page, click here to go direct to the web version.

There is no doubt the images on this month's newsletter is what we all dreaming about right now. A clean, green, renewable world with pristine beaches and clear skies! Whether we live in the southern states and are worn down by nonstop rain and bitterly cold winds that winter is delivering, or whether you are a BP executive wishing this was still what the Gulf of Mexico looked like, rather than the oil and sludge that is killing the lives and livelihoods of so many.

It's now become apparent that BP cut corners to save a million dollars here and a few hours or a few days there and BP chief executive Tony Hayward admits the oil spill in the Gulf of Mexico was preventable.

"I believe that all accidents are preventable," Mr Hayward told a House Energy and Commerce Subcommittee on Oversight and Investigations in response to a question from a legislator in Washington. US legislators berated Mr Hayward at a hostile congressional hearing on Thursday, accusing him of evasion and ducking responsibility for the worst oil spill in US history.

To add insult to injury, a spoof website recreates BP's corporate internet site and liberally covers it with a virtual oil slick.

When will we learn to be truly responsible? The trashing of BP's reputation demonstrates a key truth for business leaders. If you are not a socially responsible company, you will be punished. As Warren Buffett famously said, "It takes 20 years to build a reputation and five minutes to ruin it."

Many believe what has exacerbated the feeling against BP is they so overtly positioned themselves as a green company. The whole repositioning a few years ago from British Petroleum to Beyond Petroleum now appears to be image-changing, rather than culture changing.  First it was quietly reducing its investment in renewable energy to a negligible percentage of sales and profits. Most recently it was a 50 MILLION USD advertising campaign to gloss over the mistakes after the disaster struck. It's no wonder their reputation is in tatters and they have been kicked of the Dow Jones Sustainability Index.
You would have thought 760 safety violations over the last three years was a trigger for BP to take extra caution (as opposed to just one for ExxonMobil who learnt from their mistakes some years back) but saving money appeared to be more important.

David Jones, global chief executive of ad agency Havas says we are entering the third decade of CSR. The 1990s were the age of image when, for example, BP dropped its old name, British Petroleum. The second decade from 2000 to 2010 was the age of advantage, where companies such as Whole Foods made ethical behaviour a point of competitive difference. The new decade is about the age of damage.

In the era of online social media, where the public has so much access to information and can share it and comment on it, consumers punish those businesses that don't live up to expectations. Companies must demonstrate transparency, authenticity and speed - all qualities that BP has lacked in the eyes of the broader community.

There is no question the most successful businesses over the next decade or so are going to be the most socially and environmentally responsible.

Over the past few years MOSS has worked diligently to either develop new tools or find tools that will help minimise risk and build healthier more profitable and robust companies. We all know companies must lead from the top and accountability can't just be skin deep. It must permeate through the whole organisation. Some of these tools used independently or in tandem, can really help improve overall company performance and we look forward over the coming weeks and months to sharing these all in more detail. For now, you'll find them listed in our new brochure.

I'm about to go immerse myself in the image of this month's newsletter as I fly out to Hamilton Island before heading North to Townsville, Mission Beach, The Daintree, Cape Tribulation and Cobbold Gorge. My sister who lives in the north turns 50 so it's a great excuse to take a well deserved midyear break. I also get to go see my mum who recently had a heart attack, who's now awaiting open heart surgery. So I hope you can bear with me if communication over the next two weeks is a bit slower than normal.

May it be a good end of financially year for you all and may you all enjoy a little warmth even if it's under a warm dooner as you sit up in the early morning watching the world cup!

Anne-Maree Huxley
MOSS Founder & CEO

MOSS : News

It seems that businesses who incorporate social and environmental factors into their core business are able to respond faster and have bounced back from the financial crisis quicker. More...

Chinese wages rise and for good reason! At least ten employees at factories owned by Taiwan's Foxconn have killed themselves since January. They complained of long hours and low pay. Foxconn makes Apple iPhones and iPads and electronics for other companies. Foxconn has agreed to double basic pay to nearly three hundred dollars a month. Action was taken after Family members of Foxconn workers protest outside a company center in Shenzhen in May. Read more...

As the
Global compact celebrates 10 years Business leaders and Government join forces to promote world largest Corporate Citizenship initiative. Australia has held its inaugural Annual Meeting of the UN Global Compact Network Australia. Read all about it

  7th Corporate Responsibility Index results announced. The big winners were Energy Australia, ABC, Country Energy, PriceWaterhouseCoopers, New Zealand Post Group and Western Power. More...

MOSS CEO recognised in 2010 ABC Carbon 50 list of notable and influential people in Australia for the environment and climate change action and awareness. Read the full list

Carbon Neutral Printing on offer at no extra charge. From July 1st, Focus Press , Australia's leading environmental printer will offer all customers the opportunity to fully offset the carbon emissions from their printing projects at no additional cost. And by fully offset they mean the entire life cycle. Click here to learn how you can take advantage of this offer.

They have also produced The Little Book of Carbon and Print to help you choose a way to make a positive impact on the environment with your print decisions.

Well done Focus Press!

Darwin tops sustainable cities index. Darwin and Brisbane have beaten other capitals, but no Australian city has done well in the Australian Conservation Foundations first sustainable cities ranking. Australia's major cities consistently rate among the most liveable, but liveability is not the same as sustainability. Australians use more water and energy and own more cars per person than the citizens of almost any other developed country. Read the full report

UN Environment Day Awards highlights innovation and best practice in environmental management. Awards were presented across 14 categories to individuals, schools, community groups, businesses and local governments, highlighting top environmental initiatives and programs from across Australia. Some of the winners include The Kimberley Toad Busters who took out the Community Award for its "Cane Toad Control" project, an initiative which has mobilised the community with volunteers clocking up more than a million hours working to stop the progress of cane toads towards the Kimberley; and the Northern Gulf Resource Management Group's "Carpentaria Ghost Net Programme" for it's Excellence in Marine and Coastal Management impressing judges with its support of the indigenous communities who are finding local solutions to tackle the negative effects of fishing net debris on native marine life. Download details on all the awards here.

AUSTRALIAS chief scientist Professor Penny Sackett has backed a group of eminent international scientists calling for urgent action on climate change suggesting governments everywhere needed to show more leadership on climate change action.  She went on to say delaying the ETS will cost Australia dearly...

MTV and Red Cross fight discrimination. MTV Australia and Australian Red Cross have partnered to develop an on-air campaign to fight discrimination and to mark Refugee Week. View it here.

The world's first CO2 mineral carbonation plant is set to be built, in a joint venture between Canberra's GreenMag Group and the University of Newcastle. The science of mineral carbonation is well-established at lab scale and already used widely in processes such as carbonating water. The question is whether it can be scaled up to make it economically viable and environmentally acceptable. Read on...

 
MOSS : Views

Values produce organisational value. It's not the words that make a difference; it's the conversation. Frequent discussion about organizational values can be engaging and empowering. Rosabeth Moss Kanter gives ten essential ingredients that make values work to produce organizational value.

Everyone agrees that culture is the hardest thing to change, whether it's ethics in the financial system or the eating habits of individuals. That's because change is not a decision like appointing a new CEO, nor is it an event like winning an election. Change is an ongoing campaign. Even in a hierarchy, top officials can declare a new policy or restructure, but they can't change behaviour without a campaign to win hearts and minds. If culture change is difficult within a company, it is even harder in looser systems such as communities and countries. Heres 5 tips for leading campaigns for change...

Smart ICT presents the case for a future-oriented ICT industry to respond quickly to the challenge of sustainability. Explore how corporations can reduce their environmental impact and become more socially responsible, while maintaining or even improving financial bottom lines. Hear an assortment of views from global specialists...

A green brand doesn't automatically make a green or sustainable company. Still, the more businesses employ green marketing, the faster it will become industry standard - and the higher the pressure for a company to live up to its promises. Marc Gunther (GreenBiz) takes a critical look behind some of the greenest brands.

The Pressure is on for manufacturers and retailers. Australian Food and Grocery Council survey says 93 per cent of people agree that manufacturer and retailer efforts to reduce the environmental impact of products was "very important". Thirty-six per cent of Australian shoppers are prepared to pay more for "green" products and around 85 per cent of shoppers are worried about the impact of food and groceries on the environment. Read the full report...

Not for profits must change what they report. For years outputs have been a favorite of the nonprofit sector, i.e. 500 kids went through our after-school program, 1,000 meals were served in our kitchen. But outputs don't demonstrate social impact, or a change to a problem. Outcomes do, which is what investors increasingly will want to see. Read on...

MOSS : Reports

ClimateWorks Australia release Low Carbon Growth Plan for Australia. This report provides the first comprehensive economy-wide blueprint for how Australia can achieve an ambitious reduction in greenhouse gas emissions, whilst also building a growing low-carbon economy. It identifies 54 separate opportunities - across all sectors - that together can achieve a reduction in emissions of 249 MtCO2e (million tonnes of carbon dioxide equivalent), or 25% below 2000 levels. This target is achievable using technologies available today, and at cost of just A$185 per household in 2020. download the Report here.

PwC's Appetite for Change report examines attitudes in the international business community towards environmental regulation, legislation and taxes. In almost 700 interviews, conducted in 15 countries, executives shared their perspectives on : the impact of climate change; the government's role in protecting the environment; which environmental policy tools they prefer and why; and the ingredients necessary for a global climate change deal. More...

The Green Race is On. It is only in the past five years that thoughtful companies have begun to understand the vast opportunities of moving toward a sustainable world, and that science has made clear the global catastrophes inherent in un-sustainable development. The 2010 World Business Council for Sustainable Development annual review is available here.

CSIRO has released its report Our Future World. The authors predict 5 megatrends: More from less; A personal touch; Divergent demographics; On the move; i World. Slightly more worrying megashocks (risks) were identified. Read more...

WWF and RSA publish Emerging Risk Report on the Marine Environment. To mark World Ocean Day, WWF and RSA have launched their first joint Emerging Risk Report to highlight the challenges and opportunities of marine risk. As our global population is growing, so too is the demand on marine resources whether for fishing, resource extraction, or simply as a result of increased transportation. All these factors are placing the marine environment under ever-growing pressure and have the potential to radically alter already fragile ecosystems. By identifying these risks and how they interact, businesses can not only effectively manage the risks facing their business but capitalise on new opportunities and contribute to a sustainable long-term solution. Download...

Corporate Sustainability Reports. This newsletter features an array of recent reports and although we usually only feature local companies or companies that have operations in Australia, this month we have opted to include and start with a report by UK based retailer Marks & Spencer, because of the leadership stance they have taken in a sector where Australia lags.

Marks & Spencer publishes its third annual progress update on its 100 Plan A commitments - 2010 How We Do Business Report. This is the company's seventh annual sustainability report. http://www.reportalert.info/ra/profiles/MandS/2010/?ID=31070. The Report features the handing over of leadership on Plan A to new Chief Executive Marc Bolland and shows that:

- 62 of the company's original 100 Plan A commitments launched in 2007 have now been achieved and generated a re-invested profit of 50m.
- Total carbon emissions have been cut by 8% and 20% per sq ft of sales floor.
- Store energy efficiency has been improved by 19%.
- Emissions from store refrigeration systems have been reduced by 18% and 28% per sq ft of sales floor.
- Recycling rates for operational waste have increased to 53%, hitting 88% by the end of the financial year.
- M&S Food packaging has been reduced by 20% and General Merchandise by 36%.
- 72% of wood materials and 62% of wild fish used by M&S were from sustainable sources.
- M&S was the largest UK retailer of Fairtrade certified cotton clothing in 2009.
- Working with its suppliers, 10 Model Ethical Factories have been set-up.
- Employees and customers raised 2.8m for local charities through the M&S 125th Anniversary fundraising campaign.
- M&S launched more innovative healthy eating products including its Simply Fuller Longer range.

From 2011 onwards, the company intends to report against its revised Plan A commitments with 80 new targets, launched in March 2010.

Chevron Corporation released its 2009 Corporate Responsibility Report, The Value of Partnership, at http://www.reportalert.info/ra/profiles/Chevron/2010/?ID=30688. The report highlights Chevron's 2009 activities include investing $144 million in communities around the world, adopting a human rights policy, and completing major energy efficiency projects.

AXA strives to make a positive contribution to society by leveraging its skills, resources, and risk expertise to build a safer and more sustainable world refer: http://www.reportalert.info/ra/profiles/Axa/2010/?ID=30945.

Coca-Cola Enterprises the world's largest marketer, distributor and producer of Coca-Cola products, has published its fifth company-wide Corporate Responsibility and Sustainability (CRS) report, Clear on Our Commitments: Our Journey to 2020. This report details progress to "Commitment 2020," a set of goals in five strategic CRS focus areas that it has committed to achieving by the year 2020. Refer: http://www.reportalert.info/ra/profiles/CCEnterprises/2010/?ID=31127

ExxonMobil has published its 2009 Corporate Citizenship Report-Addressing the Sustainability Challenge, detailing actions to improve environmental, economic, and social performance. The report is available at http://www.reportalert.info/ra/profiles/Exxon/2010/?ID=30941. Maybe BP can learn a thing or two from their competitors. Last year there were Zero spills from ExxonMobil owned and operated marine vessels.

Royal Dutch Shell plc has released its Sustainability Report for 2009 at http://www.reportalert.info/ra/profiles/Shell/2010/?ID=30678 The Report describes how the company is meeting energy demand through technology and innovation applied in the right way: with respect for communities and the environment. The Report also includes an interview with Chief Executive Officer Peter Voser that discusses how sustainability is now closer to the core of Shell's business plans and decisions, and for the fifth year, an independent External Review Committee has reviewed and assessed the Report's balance, completeness and responsiveness. The Committee's assessment is included in the Report.

Ford Motor Company has published its 11th annual non-financial report, entitled Blueprint for Sustainability - The Future at Work, at http://www.reportalert.info/ra/profiles/Ford/2010/?ID=31114 Despite the continued economic slump of 2009, which included the bankruptcies of two domestic competitors, Ford reports that it has remained 'deeply committed' to its sustainability strategy, to making positive contributions to society, and to reducing the environmental impact of its products while improving the company's economic viability. It provides updates on the key material issues of climate change, mobility, vehicle safety, human rights and sustaining Ford, and focuses on the mid-2009 to early 2010 timeframe.

Motorola has published its 2009 Corporate Responsibility Report, highlighting actions the company has taken on social, accountability and environmental initiatives to innovate for a smarter world. Review the full report or download a report summary at http://www.reportalert.info/ra/profiles/Motorola/2010/?ID=30448

Vodafone Group plc has published its 2009/10 Sustainability Report online at:
http://www.reportalert.info/ra/profiles/Vodafone/2010/?ID=31018 The report outlines how Vodafone, one of the world's largest mobile communications companies by revenue, has performed on the environmental and social issues most material to its business. It also details the company's efforts to address sustainability opportunities and challenges across its base of more than 341 million proportionate customers, spanning both developed and developing countries across its 24 local markets.

MOSS : EVENTS
MOSS Q3 and Q4 event details will be released soon. Join our online workshop series with international experts from across the globe and our 2010 Sustainability Series.

We're also going to host another business delegation to the UNFCCC in December to Cancun Mexico. Perhaps you want to join the thousands of business leaders and sustainability thought leaders who attend the hundreds of side events that make up COP 16. More on that as the program advances!

In the interim, join MOSS as we deliver workshops and key note addresses at the CIPSA Special Interest Forum - Sustainable Procurement in Melbourne and the 2010 HORTITUDE Horticulture NZs annual Conference in Auckland. We will also run some demonstrations of the Sustainability Challenge in Auckland.

Alternatively let us design a workshop or training program specifically for your organisation. We cover beginners through to advanced from the shop floor through to the board and or executive team. Email us at events@moss.org.au for more information.

Other Events

Carbon, Sustainability and Your Business Seminar presented by Carbon Neutral
Tuesday 20 July 9am - noon
L2 RACV City Club, 501 Bourke Street, Melbourne
MOSS members only $80.00 Non member $100
Download the full details here.

Global Reporting Initiative (GRI) Sustainability Reporting Process workshops
Sydney: 19th/20th August
Melbourne: 23rd/24th September
Sydney: 14th/15th October

Guest speakers include Melissa Clarkson, Manager, Sustainability and Climate Change, Transurban, for Melbourne's September workshop. Other guest speakers will be announced shortly. The two day workshop provides a practical overview of the GRI sustainability reporting framework (world's best practice) and how to put together a sustainability report using the GRI's five phase process.
Download the brochure here.
Download the registration form here.

That's it for this month.  Although we are on holiday we will address all urgent matters.  For anything else, we'll get back to you on our return July 7th.  Until then - all the best from the MOSS News Views and Events Team.



About MOSS: Models of Success and Sustainability (MOSS) is an Australian based industry body for individuals, corporations, governments and not-for-profit organisations interested in Corporate Social Responsibility (CSR) and Sustainability. It fosters responsible business practices across the Asia Pacific region through education, training, networking, tools and advice - driving sustainability and competitive business success. For more information refer: www.moss.org.au

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