Archive for the ‘Business’ Category

Hershey’s Goes Beyond Chocolate

Hershey's is extending its Corporate Social Responsibility efforts to include more than just chocolate.

The Pennsylvania based confection maker has been working with organizations such as the World Cocoa Foundation and the International Cocoa Initiative to help ensure that cocoa farmers are treated fairly and that the crop is grown responsibly. They also signed the Harkin-Engel Protocol in 2001 that called for the end of child labor on cocoa farms by 2005.

Now shareholders are asking for more and the company is responding. Hershey's recently announced that they will evaluate their entire supply chain to make sure their other ingredients, such as sugar, dairy, nuts, and their product packaging are manufactured and produced responsibly.

Hershey's is also working with Verite, a non-profit human rights organization, and non-profit Business for Social Responsibility, to develop a supplier code. This code is like a social and environmental auditing process for their vendors, which will be transparent and available on the company's website.

Now, I'm not a Hershey's girl myself, but when a corporation like Hershey's (the largest manufacturer of chocolate and candy in the US with annual revenues of $5 billion) asks their suppliers to step up, the amount of positive change that will come out if it is huge.

And FYI - as of October of 2006, Hershey's owns the organic chocolate label Dagoba.

Via WBCSD; PR NewsWire; Hershey's

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Delivery Transport Gets a Makeover

Transporting goods from point A to point B is necessary for the flow of commerce but can be heavy on CO2 emissions. Now with a little help from route-planning software trucking companies and other large delivery services can use less fuel, reduce overall emissions, and save money.

UPS has modified their package-flow technology to determine more efficient routes for delivery vehicles called Roadnet Transportation Suite. The suite can eliminate idle-heavy routes such as those including several left-hand turns.


Roadnet uses an underlying map database that can penalise or disable lefthand turns in the route planning process. The system is well suited to the delivery business because drivers can run circular routes, ending up where they started.

 

Using this technique, Roadnet customers generate surprising savings on fuel and emissions. Collectively, Roadnet clients save an estimated 54.4m gallons of fuel a year and can cut about 85,000 trucks and cars out of their logistics systems.

This technology will also help reduce the number of empty trucks on the road. After goods have been delivered vehicles return empty to their point of origin. Knowing which trucks can take on additional cargo and in what direction they're heading could create opportunities for shipping and delivery partnerships, cutting down the need for overall vehicles and the fuel and emissions associated with them.

Pepsi and Anheuser-Busch are two companies with large delivery fleets that are trying out the software. Other companies that have already made efforts to reduce business-wide emissions include FedEx, which has introduced a number of electric or hybrid vehicles into their delivery fleets.

Via World Business Council for Sustainable Development (WBCSD); UPS

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Guide to Sustainable Purchasing

Operating costs can comprise a substantial chunk of an annual budget whether it is a Fortune 500, a small non-profit, or government agency. From post-it notes and ball point pens, to employee uniforms, cleaning products, garbage bags and light bulbs, not to mention industry specific items like medical supplies, specialty ink and chemical products - the little things add up and can also have big environmental costs.

The Sustainability Purchasing Network in Vancouver, BC, has been working to help businesses and organizations make better decisions when buying these every day items since 2005. Just last November they released the Guide to the Business Case and Benefits of Sustainability Purchasing.

This free, downloadable, 62-page guide clearly lays out the benefits for sustainable buying decisions for goods and services. The guide uses a number of case studies and success stories of how businesses that made small changes actually made a big difference in cost savings for the company. For example:

When the Swedish Medical Centre in Seattle implemented their Supply Chain Management System, they focused on recyclability and reusability. Within a few years, the Centre had reduced their annual supply expenses from 23% to 17.2% of net revenues – for a $16 million USD annual saving.

Falconbridge Limited improved the light quality and energy use of the lighting system at its Primary Aluminum smelter in New Madrid, Missouri. Falconbridge installed high-efficiency lights and fixtures and reconfigured the lighting system, so that it was need-driven. Not only did the plant’s light quality improve, enhancing the workers’ environment, the plant also estimates annual savings of approximately $100,000 USD each year in energy and equipment costs.

The guide also includes a specific how-to section with tips and suggestions on where to start, and how to minimize the costs of making the switch to environmentally responsible purchasing decisions.

It's logical to think of purchasing decisions, especially if the company's mission statement or vision, deals with environmentally or socially responsible business practices. Utlimately, it makes sense for the bottom line. Evaluating sustainability purchasing should be considered for both capital and operating expenditures and should also involve the decsision to not buy - or simply, deciding when to reduce consumption or when a service or product is not necessary.

Download the Guide to the Business Case and Benefits of Sustainability Purchasing.

Via GreenBiz; Sustainability Purchasing Network

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Canadian CEOs Take Initiative to Curb Emissions

Canadian business leaders are stepping up efforts to reduce CO2 emissions.

The Canadian Council of Chief Executives (CCCE), a non-profit, non-partisan organization made up of CEOs from Canada's leading companies has begun an Environmental Leadership Initiative to get the nation on track for reducing greenhouse gas emissions, and promoting clean technologies for a sustainable future.

As part of this initiative the CCCE has appointed a Task Force of their CEO members from all industry sectors to develop a comprehensive and realistic plan for national emission reductions.

One of the Task Force Chairs, Richard B. Evans, President and CEO of Alcan is reported as saying:

Canadian businesses already have invested a great deal in making our operations and products more energy-efficient, developing new technologies to reduce emissions and costs, and shaping sustainable business models… we realize that we can and must do more as a business community. However, this must be part of a broader, more integrated set of policies and efforts at both the federal and provincial levels that involve all Canadians.

Critics of this coalition's efforts include the Sierra Club which took issue with the fact that one third of the Task Force represents the fossil fuel industry. The implication there being that they would be inclined to make any regulations less stringent or oppose any measures at making real changes.

While one third of this Task Force may well be from the fossil fuel industry, one can't ignore that this is a big industry that must come to the table in talks to reduce green house gas emissions. Of course all of the business leaders on the Task Force will have their own bottom lines in focus while moving forward, not just the fossil fuel industry. What should be taken away from this coalition is that these big businesses realize what is at stake. Although they are contributing to the GHG problem, they are taking a leading, voluntary role in shaping the future of mitigating climate change.

Via GlobeNet via The World Business Council for Sustainable Development

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IBM Scales Up Green

iIBM recently announced their latest venture, Big Green Innovations, in order to develop products and services to address environmental problems.

Some ideas in the works include creating a way to measure a company's carbon emissions throughout the entire supply chain; creating software to make electric grids more efficient; developing techniques to forecast water supply for cities; improving water purification and solar technologies. And this is in addition to environmental consulting - or evaluating business practices and operations to find ways to reduce water and energy consumption and waste generated.

Of course Big Green Innovations isn't all altruistic. There's big money in clean and green tech right now. Investors are putting their cash behind new technologies, and there's a growing demand for them from busisnesses and consumers. IBM realizes this and has found a way to make it work for their business.

The idea came about during a companywide brainstorming session called InnovationJam, a process geared to "identify new market opportunities and create real solutions that advance businesses, communities and society in meaningful ways". IBM pledged $100 million in development funding for the top ideas that come from the "jamming" session. Big Green Innovations is the latest.

Before you start to write this off as another green washing scheme, think again. IBM has been a corporate green leader for over 30 years - long before green became cool. IBM's approach to business is as a corporate steward. They see that environmentally and socially responsible business practices can be beneficial to the bottom line. This new venture only falls in line with their current corporate mantra:

By considering the environmental impact of their endeavors-and adopting clean technologies and environmentally sound practices - busniesses can have a profund affect on the planet not only without sacrificing revenue, but while improving it.

Via CNET; IBM

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The Who’s Who of Green Power Purchasers

What do Starbucks, Staples, IBM, Whole Foods and the U.S. Air Force have in common?

They're among the who's who of green power purchasers in the US.

The amount of electricity these mega-organizations need just to keep the lights on is huge, so it really makes a difference when they choose to purchase green power.

It helps reduce the need for power generated from coal fired power plants and nuclear facilities. It also increases the demand for alternative power sources, which means more investment into wind and solar technologies.

The Environmental Protection Agency (EPA) keeps a list of the top 25 green power purchasers and updates it quarterly. Although these companies do purchase a lot of green power (they are ranked by total kilowatt hours purchased), only six of the top 25 are actually buying enough to cover 100% of their entire electricity needs. But as the availability of alternative power supplies continue to increase, those numbers will more than likely also change to reflect that.

The top 25 as listed by the EPA:
1. Wells Fargo & Company (42%)
2. Whole Foods Market (100%)
3. U.S. Air Force (4%)
4. U.S. Environmental Protection Agency (100%)
5. Johnson & Johnson (30%)
6. Starbucks (25%)
7. DuPont Company (4%)
8. U.S. Department of Energy (3%)
9. Vail Resorts Inc. (100%)
10. HSBC North America (35%)
11. Cisco Systems Inc. (21%)
12. Staples (20%)
13. New York University (100%)
14. The World Bank Group (100%)
15. University of Pennsylvania (29%)
16. IBM Corporation (4%)
17. Carbonfund.org (N/A)
18. U.S. Department of Veterans Affairs (3%)
19. NatureWorks LLC (89%)
20. Sprint Nextel (47%)
21. Safeway Inc. (2%)
22. Pennsylvania State University (20%)
23. Kohl's Department Stores (8%)
24. Commonwealth of Pennsylvania (8%)
25. The Tower Companies (100%)

But it isn't just businesses that can buy green power: individuals can too. Check with your electricity provider to see if they have a green power plan you can opt in to.

Via the World Business Council on Sustainable Development (WBCSD)

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