Business and Sustainable Development

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Business and Sustainable Development Environmen
tal Managers Forum 15 July 2002 Jo Hume
NZBCSD Operations Manager
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Today

• Who are NZBCSD?
• What do we do?
• The business case for sustainable development

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Providing business leadership as a catalyst for
change toward sustainable development, and
promoting eco-efficiency, innovation and
responsible entrepreneurship.
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Sustainable Development Is about ensuring a
better quality of life for everyone, now and for
generations to come.

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• What is SD?
• SD is forms of progress that meet the needs of
  the present without compromising the ability of
  future generations to meet their needs.

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• SD encompasses three linked elements
• Economic/Profit
• Environmental/Planet
• Social/People

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Leadership Forum
February 2000
Sustainable New Zealand Scenario
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Sustainable New Zealand Scenario
ECONOMY
Knowledge-intensive Responsive Niche-focused Clust
ered
Kiwis are confident entrepreneurial
Wealth is created sustainably
SOCIETY
ENVIRONMENT
Proactive Educated Networked Diverse Caring
Stretch goals for Waste reduction Air and water
quality Energy efficiency Biodiversity Restoration
Everyone walks the talk
Leadership Strategic Framework Goals
Indicators Metrics
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Our Aims

• Business leadership
• Demonstrate best practice
• Policy development
• Global outreach

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Our Members

• 3M New Zealand Ltd
• BOC Gases NZ
• BP Oil NZ Ltd
• City Care Ltd
• Deloitte Touche Tohmatsu
• Fletcher Building Ltd
• Fonterra Co-operative Group Limited
• Hubbard Foods Ltd
• Interface Agencies
• Landcare Research
• Meridian Energy
• Mighty River Power Ltd
• Milburn New Zealand Ltd
• Minter Ellison Rudd Watts
• Money Matters NZ Ltd
• Morel Co
• Natural Gas Corporation
• NIWA
• Palliser Estate Wines of Martinborough Ltd

• PricewaterhouseCoopers
• Richmond Ltd
• Sanford Ltd
• Shell New Zealand Ltd
• Simpson Grierson
• Telecom New Zealand Ltd
• The Boston Consulting Group
• The Living Earth Company
• The Warehouse Group Ltd
• Toyota NZ Ltd
• Transfield Services (NZ) Limited
• Transpower
• Trust Power
• Urgent Couriers Ltd
• URS - NZ Ltd
• Vodafone NZ Ltd
• Waimangu Volcanic Valley
• Waste Management N.Z. Ltd
• Watercare Services Ltd

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• "Our company is focussed on the highest possible
  standards of performance. By that, we don't just
  mean financial performance. We also mean
  environmental and social performance. We see no
  contradiction between these three measures of
  performance. They are entirely complementary -
  and the companies that recognise that first, will
  deliver themselves a significant competitive
  advantage."
• Craig Norgate, CEO, Fonterra
• 8 April 2002

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• "We simply realize that environment is our most
  important asset, everything we do must aim to
  protect that asset. If we tamper with the soil or
  alter the climate we dont have a business"
• Richard Riddiford, MD, Palliser Estate Wines
• March 2002

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THE REGIONAL NETWORK - BCSDs and Partner
Organizations -
BCSD North Sea Region
Vernadsky Foundation Russia
BCSD Poland
EPE France
CGLI USA/Canada
BCSD Czech Republic
BCSD Mongolia
FE Spain
BCSD Austria
BCSD Croatia
FFA Spain
BCSD Latin America
CII India
BCSD Gulf of Mexico
APEQUE Algeria
BCSD Mexico
BCSD Taiwan
BCSD Honduras
BCSD Thailand
BCSD El Salvador
PBE Philippines
BCSD Venezuela
BCSD Malaysia
BCSD Costa Rica
BCSD Colombia
BCSD Indonesia
BCSD Brazil
EFZ Zimbabwe
WASIG W.Australia
BCA Australia
IEF South Africa
BCSD Argentina
BCSD New Zealand
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DEDICATED TO MAKING A DIFFERENCE
Examples of WBCSD Projects
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DEDICATED TO MAKING A DIFFERENCE
The Business Case for SDDoing Well by Doing
Good

• Performance of the Dow Jones Sustainability Index
  demonstrates the business case
• Reflecting stakeholders vision and values -
  Customers, Employees, Governments etc
• Taking the entrepreneurial position - looking to
  the next point on the business curve.

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DEDICATED TO MAKING A DIFFERENCE
The Business Case for SDDow Jones Sustainability
Index
Annualised return 15.8 over 5 years
Leaders in SD - top 10 of companies in 68
sectors and 21 countries
Annualised return 12.5 over 5 years
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Increasing Return and Reducing Risk

• Increased shareholder return with reduced risk
• Innovation and cost reduction
• Attracting and retaining employees
• Improving customer sales and loyalty
• Growing supplier commitment
• Strengthening community relations
• Maintain environmental eco-services

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Good Business Sense

• Use less of the stuff you must buy
• raw materials, energy
• Produce less of the stuff you can get fined or
  sued for
• waste, pollution

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DEDICATED TO MAKING A DIFFERENCE
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Current NZBCSD Projects

• Climate Change
• Sustainable Development Reporting
• Sustainable Consumption
• Successful Schools
• Youth Employment
• Zero Waste

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NZBCSD Project Structure
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NZBCSD Climate Change Business Opportunities
Project

• 32 separate business opportunities described
• 350 million pa worth of opportunities identified
  
• Equivalent to taking over 2 million average cars
  off the road

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NZBCSD Climate Change Business Opportunities
Project

• 6 business opportunity focus areas
• Provision of services
• Energy efficiency
• Wood waste to energy
• Climate friendly branding
• Clean Development Mechanism
• Ruminant efficiency

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The WarehouseEnergy Conservation

• Dedicated energy management team
• Store consumption dropped from 200-105 kWh/m2
  2.5 million savings a year
• Winner of the EECA Supreme Award for 2001

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Leadership Objective

• To lead NZ business into Sustainable Development
  Reporting (SDR).
• All NZBCSD member companies to produce a
  Sustainable Development Report within 3 years of
  becoming a member.ember

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successful business and school
partnerships making a difference for a
sustainable New Zealand
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how to use this guide

• Section One-Implementing the Vision
• Section Two- Partnerships
• Section Three- Facilitators

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NZBCSD Youth Employment Leadership Objective

• Lead NZ business in ensuring current employment
  or training for all young New Zealanders by 2005

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NZBCSD Zero WasteLeadership Objective
To lead NZ business towards zero waste by 2020.
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Value of our Clean Green Image Why this is a
valid opportunity/risk

• Increasing body of evidence
• MfE study Tourism, Organics, Dairy products
• Fonterra marketing/market research
• Demand for organics (77 export growth 1999-2000)
• FSC Kingfisher, The Warehouse
• Supply chain requirements Tescos, Sainsburys,
  Shell, Kingfisher
• Seafood Sustainable Seafood has premium
  potential
• Tourism research
• Wine Montana marketing
• British documentaries about dirty dairying
• German ads about apples
• Greenhouse friendly product uptake
• International access issues (eg growth hormones
  in meat)

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For more information visit our websites
nzbcsd.org.nz
wbcsd.org