I belong to a small group of people that I wish would grow to be much larger. What group is this? It is company CEOs who think they should know as much about the metrics of their company’s environmental footprint as other business measures such as revenue, overhead, and staffing. I think company Presidents and CEOs need to take this responsibility. That they don’t is an offshoot of the well-known concept of the “tragedy of the commons” – something that is shared in common (air, water, land, habitat, etc.) is not protected because no one takes responsibility.
It is my belief that understanding environmental impact is not only the responsible approach but it can also be good for business in the 21st century. In 2008, we decided that Environics Communications should become carbon neutral. We worked with the Pembina
Institute to audit our carbon footprint of our 120 people in offices across North America. It was a science driven approach that taught us how much carbon is generated by each of our actions, from air travel to printing to hosting a conference and more.
Once audited, we developed a plan for reductions and purchased gold standard offsets for the remainder. Our annual offset dollars now support clean energy projects in the developing world. This decision made us the first North American marketing agency to be carbon neutral.
The problem is that not enough companies are doing the same. True, it is gratifying to see the leadership of large organizations such as TD Bank, Bank of Montreal, Air Miles/LoyaltyOne and others. But environmentally conscious CEOs such as Ed Clark at TD or Bryan Pearson at LoyaltyOne are still rare. The forest products industry has made progress with the consensus around the Forest Stewardship Council certifications. Other companies operating in sectors regulated by environmental laws have made changes too, but often to stay within the law rather than exceed it.
Four years after our decision to go carbon neutral, I am not seeing enough similar action by other North American firms. It is more common in Europe to the credit of those companies. Despite this, evidence keeps mounting that climate change is irrefutable and the impact on our livelihood just as certain. It is barely newsworthy anymore to have another record breaking high temperature (as happened on June 20 in Ontario). While attending a recent environmental summit, the scientists present were in agreement that we are seeing what appears to be the early stages of the 6th mass extinction. From bats to bumble bees to songbirds, species that were taken for granted just a decade ago are showing dramatic declines.
I said earlier that environmental responsibility can be good for business. My research with clients and colleagues at Environics confirms that green practices can be a recruitment and retention strategy. More than one person who we have recruited said it was an important point of distinction. Similarly, when presenting to client prospects, I believe it is proof of our creativity and innovation to be first North American marketing agency to become carbon neutral.
Furthermore, I believe the adoption of green practices offers solid profit potential for many businesses as a way to create new products for sale. You can see this with more and more companies, from General Electric to The Home Depot and others. Circumstances are finally making it
profitable to be green, and that is one of the most powerful incentives the environmental movement has ever enjoyed.
Bruce MacLellan
Bruce MacLellan is the founding President and CEO of Environics Communications.
Summary: Five Steps to Becoming an Environmentally Conscious CEO
