Friday, February 19, 2010

Corporate Social Responsibility and Small Business

"Corporate Social Responsibility (CSR) should underpin the actions of organizations and the MBA should adopt a stakeholder focus concerning all those affected by the actions of an organization, rather than just shareholder focus."  -"MBA's Adapting to Changing Focus", Jeanette Purcell, Chief Executive, Association of MBA's

"The issues we are addressing - from clean water, to safe food, to sustainable and vibrant cities, to smarter work, to empowered communities - are not a choice between business strategy and citizenship strategy.  They are both."  -IBM Corporate Social Responsibility Plan 2008

"What does being a good corporate citizen mean?  It means that we work hard to deliver attractive returns and exceptional value to our shareholders.  At the same time, it means that every day, in every one of our operations around the world, we strive to do our part to make the world a better place."  -TimeWarner Corporate Social Responsibility Plan

So, what does all this mean to the small or mid-size business?  You're not TimeWarner.  You're not IBM.  You're business plan doesn't include global domination.  You're happy to make a difference and do your part in your little corner of the community.

It means that, of all the organizations on the planet, YOU are in the greatest position to make a significant and meaningful impact on your community, on the people who work for you, and for your clients and customers.

Having a written Corporate Social Responsibility Plan is simply the way to keep track of it all and know if you're meeting your goals.

The problem is that many companies do tremendous good every day through great HR programs, or through philanthropic efforts, or through environmental stewardship, but they don't write any of it down nor do they share it with their clients and customers.  This, in my opinion, is the saddest part.  Don't you think your clients want to know the wonderful things you're doing?  It should make them proud that a portion of the money they paid you for goods/services went to help a local shelter, or assisted one of your employees during their time of need. 

People want to do business with people they like and trust.  You do business with your suppliers because you like and trust them.  What if you found out that the company that handled your pest control gave 10% of their profit last year to the American Lung Association?  What if your child has asthma?  Wouldn't you feel better about doing business with that vendor?  Good corporate social responsibility strengthens relationships and builds integrity and value.  And, at the same time, it benefits the community, the people, and the planet.

More and more companies are taking the time to put good deeds to paper and drafting their Corporate Social Responsibility Plans.  Included in those plans are goals, benchmarks for success, policies, and action items to meet the goals.  If you have 2 or 200 employees, you should have a plan.

As they say, A goal without a plan is just a wish. 

It's time more small and mid-size businesses step beyond wishing for good results.  It's time to make your wishes a reality with a good, well-thought out plan.

Here are a few things to consider when drafting your Corporate Social Responsibility Plan:
  • The Plan is all about your company.  If it doesn't mesh with your company's mission and vision, then don't do it.
  • Your Plan should include People - Profit - Planet solutions.  Include your HR plans, environmental stewardship, and community/philanthropic activity.
  • If your people aren't passionate about it, it probably won't work.  Find out what drives your employees and forge your CSR Plan around that.  If your employees love the holiday food drive, make it a formal part of your CSR Plan.  If your employees are nature lovers, get involved with conservation programs.
  • It's not a "from the top down" program.  Nor is it a "from the bottom up" program.  EVERYONE needs to be included.  Not just the boss and not just "Bill the Green Guy in Accounting". 
  • Write it down.  This is WRITTEN documentation of a firm's commitment to their employees, their community, the environment, and their financial sustainability with measureable goals and targets. As with all things worth doing, if it's not written down, it's probably not going to happen.
  • Someone needs to be in charge.  If everyone is responsible, then no one is responsible.  One person needs to take ownership and authority for the program.  And that person must have the authority to make decision and drive change.  It's great for the receptionist to be a part of the program, but if she's not authorized to tell the CFO that a policy needs changing, it won't happen.
  • Make the Plan known.  Your company deserves recognition for all of your good deeds.  Put it on the website, include it in proposals and in the company's annual report.  Post goals throughout the office.   Put out Press Releases when you surpass a goal. 
  • Reassess your progress.  Your CSR Plan is a living document.  Set a date on the calendar to review your progress and be ready to make changes and up the ante.  Be ready to re-set higher goals.
  • Celebrate your successes.  Include in company newsletters.  Do shout-outs at staff meetings.  Tell your clients. 
Start today.  Don't wait until you get an RFQ asking for your CSR Plan.  It'll be too late.  Ask for help.  Make it a priority.

Tuesday, February 2, 2010

Green Trends in North Florida

I had the honor of presenting to Jacksonville's Meninak Club on Monday, February 1st, on the state of the 'green' union.  The topic was Green Trends in North Florida and the response was really satisfying.  The members asked great questions that revealed interest and critique.  Those are the best kinds of questions.
Included here are some insights that were shared during the presentation and some facts that are relevant to where we are in North Florida. 

First, did you know that we have (as of today) 623 LEED Accredited Professionals in Jacksonville alone?  This time last year, we were at about 160. 

We have 20 LEED Certified projects, including 5 affordable houses and 2 City of Jacksonville buildings that achieved GOLD.  Wow.  (and Go, City of Jax!)  This time last year, we had about 6 total.

Time did not permit sharing the following quotes, but I think it's important to point out that the perception in the area is still a bit conflicted.  When asked how green building would affect individual organizations, the responses were all over the chart. 

From an engineer:  "That segment [green building] of our revenue has continued to grow very steadily over the last several years and we aren't seeing any change in that.  So this is not new to us.  We expect it will continue to be an increasing percentage of our business over the next year.  However, with 'green building' submarkets, we are seeing a significant increase in energy and performance work and commissioning, which we think is reflective of tightening operational budgets and Owner's desires to spend less money on operations and utilities"

From a design professional:  "We are currently working on a LEED registered project and we hope that in 2010 more business owners will look to sustainable design when considering building or renovating space.  Our firm has always been focused on sustainable design practices so our goal is to educate clients about sustainability and introduce them to the concept of sustainable design."

From a university facilities professional:  "We believe building green to be more costly and more time consuming per unit than previous non green building activity.  So, new green buildings for us will simply consume more budget and more time than we are used to - it will be an adjustment"

Interestingly, the University quoted does not have any certified buildings to date, but they are highly receptive to learning more about how to incorporate sustainability on their campus projects while keeping within the budget and schedule.  The experience of my colleagues in the area (and myself) is that the costs and schedule can (and should) be controlled when the team has the following:  passion, education, and experience.  This is true of any project, both institutional and otherwise.  I was thrilled to have such an 'unvarnished truth' response from the university.  Those are door openeners, not closers.

Upcoming trends were also covered, many of which are nation-wide, some of which may be regionally-specific.  Here's my take:
  • We will see a departure from using the phrase "green" and hearing more about "high performance" projects.  With more owners seeking out cost-saving strategies, the idea of high performance seems far more palatable.  And, with a savvy design and construction team, green strategies always find their place.

  • With stimulus dollars making their way through the pipeline, more green jobs will present themselves.  The solar energy market needs boots on roofs.  Consultants that have expertise in sustainability are opening their own businesses and making a profit where larger, less-movable companies are still stuck doing business the same old way. Vendors and suppliers are setting their sights on R&D that will provide greener solutions and energy savings. 

  • Retrofits and renovations are what's happening where new construction has stalled.  Anyone in construction already knows this is happening.  Weatherization programs funded by the government are getting homeowners talking about this, too.

  • Renewable energy will become more mainstream as education, supply and cost align.  There still seems to be a disconnect between these three components which is halting the mainstream buying public from stepping into the renewable energy world.  Most people understand that solar thermal hot water heaters are a 'no-brainer', but why doesn't everyone have one?  As the level of understanding tightens up with costs (and the availability of qualified contractors to install.  Read:  green jobs) I expect there will be more renewable energy in the 'burbs.

  • Consumers will drive supply and consequently drive decreased costs.  Duh.  I know.  Supply and Demand.  But, as consumers are asking for more recycled products or energy saving strategies, more suppliers are scrambling to meet their needs and want to be the most competitive with pricing.

  • Social Responsibility Planning will become the next step beyong green building.  Once your building is green, what do you do with your supply chain, your philanthropy efforts and procurement?  Many firms are writing their CSR programs, especially small businesss which are best positioned to make some significant impact on a national scale.  It's great that the Fortune 5's are measuring their impact, but what would happen it the massive number of small businesses do the same? 
Lastly, how can we improve the quality of our environment TODAY  Instead of listing a bunch of things you can do that everyone seems to already know about (like CFLs, aerated faucets, and rain barrels), we discussed bigger-picture concepts:

  • Remember that all decisions should be based on Triple Bottom Line decision-making that address People, Profit, Planet solutions.

  • Voice your concerns and then seek out information.  You read an article about solar energy not being the solution?  A neighbor wants PV panels on their house but the HOA said 'no'?  Find someone that can help with information and knowledge.  There are so many organizations that make it their business to help you (like USGBC, Sierra Club, NRDC, Green Team)...  seek them out and get your questions answered.

  • Write down your goals and create the benchmark for success.  You know that goals aren't real until they hit paper.  So, sit down with your team at the office, or your team at home, and create your plan for social responsibility.  Make it real and follow it throughout the year.  A year from now, you can celebrate your successes and plan for the next year's goals. 

  • Lastly, and in my opinion, most importantly, start with "THE ONE THING".  It takes a while to establish a habit and the best way to do so is with one step.  Choose one sustainable practice and commit to it.  Do it diligently.  Say no to water bottles.  Bring reusable bags to the store every time.  Choose the ONE THING and make it a habit. 
Thanks again to our friends at Meninak for inviting the green building perspective and for all the tremendous work they do in our region.  I hope my action items were well-received as this is a group of 'action' people.  They will make things happen! 

Speaking of which, have you started your "ONE THING" yet?  Get to it!

Thanks Jacksonville Magazine

A quick shout out to Jacksonville Magazine for featuring the Greener By Day blog in their February issue. 

http://www.jacksonvillemag.com/

They get a "green thumbs up" for including a full online version of their magazine on their website.  Bookmark it and keep up to date on what's going in in Jax.

Also, they have a sister magazine, 904, which gives the skinny on business happenings in North Florida.  Remarkably slick and reminds us that Jax is still pretty snazzy!

Thanks again, Jax Mag.