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Sustainability is a journey not a destination

Mike Parsons and Mary RoseIEED, Lancaster University Management

School13 April 2011

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Introduction

1. Sustainability, rising costs and survival

2. An integrated sustainability diagram showing 3Es illustrated through conference

3. Measurement tools an important step on sustainability journey

4. Measurement, waste and cost reduction

5. Education and training is vital for 3 ‘E’s success - Would an outdoor media sustainability award help?

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The Journey of Environmental Concern

Stage 1 Protection of the Natural World and the National Park

1868 John Muir first visited Yosemite 1890 Yosemite National Park1892 Sierra Club 1949 Aldo Leopold, the American conservationist, followed   Muir’s lead to discuss “the land ethic” 1960s the Sierra Club vote against focus entirely on environmental issues. The ‘no’ vote resulted in the founding of…... 1969 Friends of the Earth

 

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The Journey of Environmental Concern

Stage 2 Fears of Ecological Destruction• 1962 Rachel Carson The

Silent Spring dangers of agricultural pesticides our survival is linked to the viability of ecosystems.

 •  1970 awareness led to the

first ‘Earth Day’ 20 million people to enthusiastic and peaceful rallies throughout the USA.

 

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The Journey of Environmental Concern

Stage 3 First steps towards international sustainability UN initiatives • 1972 Stockholm, United Nations

Conference on Human Environment first step toward the ‘sustainability revolution’

• 1983 - creation in 1983 of the World Commission on Environment and Development.  Headed by Gro Harlem Brundtland former Prime Minister of Norway.

• Call for long-term environmental strategy for achieving sustainable development by the year 2000 and beyond.

 

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The Journey of Environmental Concern

• 1992, UN conference on Environment and Development :

the ‘Earth Summit ‘in Rio de Janeiro Brazil.  • 27  principles of the Rio

declaration which “made it plain that we can no longer think of environment and    economic and social development as isolated fields.”

• 1996 Forum for the Future founded - non governmental funded by 'partners'

 

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Sustainability Defined

         · The memorable quote from the Brundtland report defined as sustainable development as:

         · “development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”

          · How to apply and when?take the UK wind farms boom, are we compromising the ability of the next generation to access wilderness?

 

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Pressures facing the Outdoor Industry 2011Asia Manufacturing - big cost increases for 2012, 10/20/30% plus larger batch sizes.

Retail - “we are being asked for orders (mainly garments) even before Friedrichshafen. Our estimates then are poor based on incomplete information. Is this a sustainability issue”?

Product quality:  complaints that brands are not listening to product quality feedback - next season's merchandise ordered before feedback rec'd 

Brands are too far removed from manufacturing  chasing the next low cost country are neglecting process innovation.  (Perceptions of a Sri Lanka clothing supplier ( The Textile Institute World Conference November 2010)

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Pressures Facing the Outdoor Industry

The dangers and threats of 'push' manufacturing

Toyota took over as world leader in cars because they used ‘pull systems’ not 'push' as didGM/Chrysler. So beware!

(Opinion) Outdoor industry is very open to a (new) strong process innovator in the market place.

How do 'push' and 'pull' companies differ?In a 'push' company, stocks are what is not selling, true tomorrow if not today. In a 'pull' system company, orders are only replacing whats been sold, not pre-commiting to what might be sold.   

 

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How important is sustainability in this context?How important is Sustainability in this context ? Stuart Rose, past CEO of Marks and Spencer :  'You can be a sustainable business and a profitable business'  

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The Sustainability Revolution as a paradigm shift 

• More than environment • Solving root cause of problems not just symptoms- ie

environmental impact

We are here using the Brundtland 3 ’E’s as simplest and customising for this conference for clarity. 

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The 3 'E' s of Sustainability.

Economy, Environment, Equity

The 3 ‘E’ s  + education  

1. Economy meaning  (ie in a business) the financial sustainability = P&L accounts and B/S. Embracing your company infrastructure, distribution systems, services and production facilities.   

2. Environment, both inside your facilities, your suppliers and the wilderness environment.

3. Equity meaning fairness aka ‘CSR’ Corporate social responsibility and treatment of employees and suppliers employees.  

Education for companies, between companies, within companies and of consumers a key to a ‘holistic’ approach to sustainability.

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3 Es Diagram 1Economy

Company infrastructure M&S speaker - its about survival  Castle Climbing Centre

Education needs Education needs

Company products or services Product margins

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3 Es Diagram 2Economy Environment

Company infrastructure M&S speaker - its about survival  Castle Climbing Centre

Climate change/Carbon footprint Eco guides to ski resorts &mountain gear WRAP - the UK’s Sustainable challenge, government reaction or lead? Clothing Roadmap

Education needs Education needs Education needs

Company products or services Product margins Nike Environmental Design Tool EOG Eco Index

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3 Es Diagram 3Economy Environment Ethics

Company infrastructure

M&S speaker - its about survival  Castle Climbing Centre

Climate change/Carbon footprint Eco guides to ski resorts &mountain gear WRAP - the UK’s Sustainable challenge, government reaction or lead? Clothing Roadmap

How employees are treated how suppliers treat employees

External measures Fair Wear FoundationMade-By

Education needs Education needs Education needs Education needs

Company products or services

Product margins Nike Environmental Design Tool EOG Eco Index

Nike Environmental Design Tool EOG Eco Index

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From subjectivity to measurement

Measures carbon footprint :  infrastructure + products + product life cycle

How Bad are Bananas?     

Nike Environmental Apparel Design Tool - free

EOG Eco Index tool - free 

EOG SIGNS - free (Sustainability International Guide for Norms and Standards) a web based tool giving summaries of regulations, standards, legislation and labels for outdoor sector

 

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Linking into Corporate Social ResponsibilityFair Wear Foundation = CSR Our mission is to improve labour conditions in the garment industry. international verification initiative dedicated to enhancing workers’ lives

6 OD companies are FWF members: Schöffel,  Odlo (CH), Mammut (CH), Jack Wolfskin (DE),                                             Transa (CH)  Vaude (DE)

substantial costs here for FWF plus internal costs. 

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Beyond CSR

Made-By http://www.made-by.org/  ( website quotes)

Made-By  “In essence, MADE-BY’s mission is to redefine quality. Up to now, quality has been perceived as product quality....... The demand of the future is to add a social and environmental quality to this; a new three-dimensional understanding of what quality is about. 

NB their ranking1-5 ( 5 being worse)  cotton and wool are  both 5.   

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Our challenge for today

      Andy Airey of George Fisher of 2010 Innov_ex - Yet again you produced an excellent event….in 2011 who can you find that will be able to explain how business can take practical actions that will minimise their environmental impact and help us understand what a sustainable business within the outdoor trade actually looks like?1. one which is making visible efforts to inform and educate both staff and customers.2. making a clear commitment to the journey by having measures taken (via free tools)

 and taking the first actions along the journey3. one which avoids single issue ‘what good boys we are’ type statements and makes

transparent everything being done and just as important, not done.  

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What are consumer perceptions compared with outdoor industry ? 1. cotton, leather, wool  = green  but shockingly bad2. anything ‘poly’ means oil = bad3. in reality recycled PET Polyester is one of best answers.  

Measure show a divergence between popular and measures by EOG/Nike/Made-ByA cause for concern ?

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Closing the gap? 

Lucy Siegle, a Guardian journalist  suggests to readers in article on household furnishings  - ‘ask the retailer why a product is better’ (for the environment)

Are we in the OD industry ready for this? The case for a outdoor media sustainability award to build understanding of sustainability within the outdoor industry and more broadly.As consumers start to ask more question in store where is the training? 

Are suppliers doing this? Are retailers finding their own answers?