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The Knowledge Domain of The Knowledge Domain of SustainabilitySustainability

What we know What we know that we don’t knowthat we don’t know

that we know that we know

KMLF

25th July 2012

Leigh Baker

leigh.baker@balance3.com.au

The next wave:sustainability = opportunity

Our growing knowledge base:

Body of theory: How to do good business on a finite planet.

Body of evidence: Strategic, integrated sustainability is profitable.

Body of practice: Innovation practices for restorative/regenerative business.

A body of THEORY on sustainability as opportunity

From the 1990s on, a body of theory has been developing, grounded in core sciences like chemistry and biology. It includes:

The Natural StepNatural CapitalismBiomimicryCradle to Cradle

Shift our thinking:our mindsets and mental models

Infinite resources / Infinite capacity

Finite resources / Finite capacity

1-way (Mine/Make/Dump) Closed loop / Industrial ecology

Manageable systems/controllable processes

Complexity / Constant change

Products / Production Processes Service / Flow / Value

Big complex technology solutions Smart local and small

Our business / our 4 walls Our supply chain / whole system

Competition Co-operation

Cost / Expense / Compliance Opportunity / fun / value / profit

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Straightforward principlesStraightforward principles

1. Everything is a service

2. There are NO wastes

3. Design for total safety

4. Design for re-manufacture

5. Copy natural processes

6. Use MUCH less

7. Think small, local and smart

For example…

Car as service

Flexicar carshare (Melbourne & Sydney)

“drive your own car without owning one”

Local energy

Hepburn Wind – community owned local energy.

Turn a waste into a product

Close the Loop: Melbourne cartridge recycling

eWood® and pre-fab garden beds

Industrial plastics colorant

Re-manufactured felt tip pens

Design for re-manufacture

Connect supply and demand

Brightfarms USA: Operating greenhouses on top of supermarkets.

http://blog.brightfarms.com/BrightFarmsaimstoinstallgreenhousesontherooftopsofsupermarkets

Small smart local energy

Ridgeblade (UK) wind turbines

Local energy generation

And many, many more…

LinkedIn Regenerative Business Discussion

http://www.linkedin.com/groups/Regenerative-Business-3694844

A body of EVIDENCE:sustainability = opportunity

From the 1990s onwards, a growing body of evidence from the MAINSTREAM of business and government in Australia and around the world is proving that integrated, strategic sustainability is profitable (and fun).

There is no dilemma, there is no “problem” and there is no single magic wand.

The Woking story“In the late 1980s Woking Borough Council (WBC) was looking to make cost savings and identified its energy budget as an area where these savings could be made…” They started with energy efficient lighting and went on to deliver locally-generated combined heat & power (CHP).

“By 2004 the authority had reduced emissions of CO2 from within its own estate by 77.4% (142,013 tonnes) on 1990 levels…”

And:– Residents were paying the same price for power and heating as

they previously paid for heating.– As the council was providing the energy, they had a new income

stream.

(NOTE: Allan Jones [OBE] is now working in Sydney)

http://www.ideascentre.co.uk/download/file?ref=68

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The Interface StoryThe Interface StoryThe Interface StoryThe Interface StoryIn 1994, after 21 years in business, Interface Flooring made a “mid-course correction”. Their founder set them a new goal - to become the world’s first RESTORATIVE business.

They took a sledgehammer to conventional wisdom and turned their ideas about their business upside down.

As a result of this correction, from 1996 to 2008:- They cut GHG emissions by 71%- They avoided $405 million in costs- Powered 7 of their 10 factories with renewable energy.- Reduced their scrap sent to landfill by 78%

While:- Sales increased by two-thirds- Earnings doubled- They built a strong reputation in their market for a unique

product range.

They proved that: “Done right, sustainability doesn’t cost. It pays.”

Ontera AustraliaSydney carpet company Ontera has profited significantly from their sustainability strategy, and their five year results show they're making great progress "climbing Mount Sustainability". Some of their results so far include:

40 per cent reduction in electricity and gas use (per m2 finished) over five years. 25 per cent reduction in waste over five years. 40 per cent reduction in water consumption in five years

From a regenerative perspective, their loop-closing explorations are particularly interesting:

Diverting used carpet tile from landfill into local reuse and recycling initiatives: and Turning waste trim into an input to carpet underlay manufacture.

Body of PRACTICE

Rooted in business development and innovation adoption:

Begin with the end in mindBuild understandingSet BHAGsShop-floor led innovationMeasure and publicise performance (game it up)Reward achievement

The KM Challenge

We know the bulk of what we need to know to implement an exciting, rewarding, sustainable future:

Coherent theory;

Evidence that the theory works;

Implementation practices (the how of the how).

How do we mobilise what we know?

How can we take existing knowledge bases like…

Leadership and management

Innovation adoption

Business development

Marketing

Lean / TQM / Zero waste

Systems thinking

And add fascinating new fields of knowledge…

Life Cycle Analysis

Biomimicry

Industrial ecology

Clean Technology

And generate a fundamental shift….

Sustainability is an exciting business and career opportunity that’s just too

good to miss out on…