Vol. 5 No 3 – May/June 2014

CR Insider: Investigating Motivations at Sustainable Brands

Investigating Motivations at Sustainable Brands

By Bill Hatton


Why are you here?


No, why are you really here?


No, why are you really really here?


At the June 2-6 Sustainable Brands conference in San Diego, speaker Rich Fernandez encouraged the thousand-plus-person audience to dig into their motivations for being there. Once you know your motivations, it’s easier to figure out your goals. (Rich is VP of learning and development at a leadership and wellness consultant firm, Search Inside Yourself Institute. They do leadership training, specifically, mindfulness and emotional intelligence training.)


The exercise went like this: You breathe quietly, and then you ask yourself why you are here, and you answer it … then you dig deeper, and ask yourself if there is another reason. And repeat.

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CEO’s Letter: The stubborn facts about the 100 Best Corporate Citizens List

CEO’s Letter: The stubborn facts about the 100 Best Corporate Citizens List
Elliot H. Clark, CEO

“Facts are stubborn things; and whatever may be our wishes, our inclinations, or the dictates of our passion, they cannot alter the state of facts and evidence.”
– John Adams

In 1770, as the passions of the revolution were boiling over in the colony of Massachusetts, the Boston Massacre set off a renewed outcry by the uninformed citizens of Boston for the hanging of five British regulars. John Adams, a noted advocate for colonial rights, surprisingly took the case and demonstrated the circumstances of the firing were justifiable given the FACTS. His defense included the statement above. You see, the outcry of the uninformed, is a most dangerous situation. In today’s world, placing a microphone or a keyboard in front of someone for whom facts are not “stubborn” things can lead to the grossest misperceptions.

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Editor’s Note: Results, Rules, and Identity

Editor’s Note: Results, Rules, and Identity
Bill Hatton
Editorial Director

In this issue’s CEO interview, Pernod Ricard CEO Bryan Fry starts out noting what many CEOs and CR/sustainability professionals we’ve talked to have said: Corporate Responsibility is something integral to the company, not something external. Like most discussions of responsibility, Fry’s commentary is rooted in ethical discussions that have been going on for a long time.

As we know, over the centuries, history’s big thinkers have done a lot of heavy lifting for us with their thinking about duty, responsibility, and right/wrong. In general, these centuries of discussions boil ethical decisions down to one of three options:

1. Results. In ethical terms, it’s good if it ends well. When people try to justify doing good because it improves results, they’re speaking in utilitarian terms.

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From Where I Sit

From Where I Sit

Jim Murren
CEO and Chairman
MGM Resorts International

MGM Resorts International has held a long standing commitment to the philosophy of social responsibility – a reflection of the fundamental integrity that informs our business conduct and our relationships with our employees, our guests, our communities and our planet Earth.

Several years ago, we recognized that we have a vast ability to maximize shareholder value and make a positive impact on our world...."Inspiring Our World."

As parallel to our goal to excel financially in an ethical and responsible manner, we believed we can make a unique contribution to impacting some of the societal challenges that confront us all. We believed – and still do -- that social responsibility is one of the boldest new frontiers, and an area where we can make a lasting impact.

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Paper Firm Saves Tigers…

... and orangutans, elephants—and a million hectares of rainforest

By Allie Williams

Asia Pulp and Paper (APP) is a trade name for a group of pulp and paper manufacturing companies in Indonesia and China. The APP Group of companies is one of the world’s largest producers of products that meet the growing global demand for tissue, packaging and paper.

“The paper industry, traditionally staid, is in transition,” says Ian Lifshitz, director of sustainability & stakeholder relations, at APP. “The industry is working to meet growing demand for paper products, especially in emerging markets, while also having to address increased challenges posed by climate change, and the environmental, social and governance (ESG) principles related to forestry products. Increasingly, customers, the public and NGOs demand ever increasing evidence of compliance in all three areas from the industry.

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Walking the Line

Pernod Ricard’s Bryan Fry is growing a customer base – while promoting responsible consumption

By Elliot Clark

Bryan Fry is president and CEO of Pernod Ricard USA. He ascended to the top job in 2012 after serving three years as chairman and CEO of Pernod Ricard Brazil. Fry started with Pernod Ricard in 1995 in Australia, where he worked his way from grower liaison officer to global marketing manager. Bryan recently sat down with CR Magazine’s CEO Elliot Clark to discuss Pernod Ricard’s corporate responsibility strategies; in particular, how to educate customers about responsible use of their products, and how that forms a sustain- ability strategy.

Elliot Clark: How has social responsibility and corporate responsibility at Pernod Ricard evolved during your tenure at the company?

Bryan Fry: To a certain extent it has, and to a certain extent it hasn’t.

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Who’s Who in Sustainability Education

Leading CSR course offerings to consider

By The Editors

The question in the marketplace has turned from why conduct socially responsible business to how to conduct socially responsible business. To meet this new educational need, an increasing number of schools are integrating social responsibility courses and degrees into their business programs.

These educational offerings range from singular courses on business ethics to entire MBA programs dedicated to sustainability. Each year these options have multiplied in number and many believe in value, and the current possibilities are plentiful. This list provides a provisional-level index of some of the ethics and CR programs at schools across the country.

Click here to view the list.

Smarter Electric Usage

New energy-efficiency technologies that save cash (and carbon)


By Bill Hatton

Climate change stirs up passionate disagreement—one side insists that the “debate is over” and that there’s no doubt that mankind’s activities are warming the earth. Another side insists the scientific debate continues.

The good news: All sides agree that saving energy (and reducing associated costs and greenhouse gas emissions) is a good thing. And when it comes to saving energy, there’s more good news: New Smart Grid energy-efficiency technologies continue to advance, and offer real savings for companies–while also winning good corporate citizenship points with employees, communities, and customers.

To help facilitate adoption of Smart Grid technologies, the U.S. Department of Energy has been offering grants to utility companies large and small. Here are some of the latest examples of how utilities are deploying Smart Grid Tech to help companies save energy:

1.

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Stretch goals for reducing energy costs

What we did to improve three straight years

By Sharon Nolen

Eastman has always focused on sustainability and efficient operations, even before a defined sustainability strategy or target goals were set in place. We have a long history of energy efficiency improvements and extensive deployment of combined heat and power.

More than 90 percent of our production occurs at sites using combined heat and power, a well-established best practice. In comparison, 29 percent of the electricity in the chemical industry is generated in this efficient manner and only 15 percent for industry in general. However, several years ago, Eastman executives saw the need to make greater investments in sustainably-focused initiatives, including energy efficiency. In 2010, Eastman’s leadership set an aspirational goal of 25 percent improvement in energy intensity in 10 years, with a baseline of 2008.

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Can you manage supplier impacts?

New ways some organizations are finding effective


By Mike Wallace

Supply chains are increasingly being seen as the low hanging fruit of sustainability. That’s why most of the largest companies in the world are already enhancing their Supplier Codes of Conduct (SCOC) and sharing amazing stories about how they have required all their suppliers to “do something” with regard to sustainability. While this is all great news for our mutual sustainability efforts as a whole, there are tremendous inefficiencies that are being uncovered in supply chains and a new recognition of where one can achieve the most impact.

When the idea of sustainability first came about, it was mostly focused on a company’s direct impacts and their efforts to manage these impacts. But over the last five years or so, the discussion has evolved from direct impacts to indirect impacts – more specifically, supply chain impacts.

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