jeffrey-swartz-timberlandTimberland is a pioneer in corporate sustainability, corporate social responsibility or however you describe a business that cares about people and planet as well as profits. I spoke with Jeffrey Swartz, CEO of Timberland, to find out what he’s learned from his experience. You can hear the full interview at Green Business Innovators. But I ended our conversation with more questions than answers. Swartz is not convinced that doing good translates directly into doing well…yet. I discussed with him how he is trying to change that by connecting with consumers.

Swartz has been with Timberland for over 20 years and has served as President and CEO since 1998. Timberland has grown from a $156 million company in 1989 to a $1.4 billion company in 2007.

At the same time, Swartz has built some of the most impressive and inspiring programs I’ve seen at a public company. Timberland employees put in 40 hours of public service hours each year through Timberland’s Path of Service program and annual Servapalooza. Timberland is committed to going carbon neutral by 2010. Timberland’s shoe boxes display nutrition information, which includes information about the manufacturing plant and the impact on the climate and community. And Timberland is starting a green index for all of its products. Just to name a few initiatives. (For more, see http://earthkeeper.com/blog)

But what is the business strategy behind all of these initiatives?

Continue reading on TriplePundit.com

Can a Business Do Well By Doing Good?

If you’ve ever contemplated this question, then we’d like to introduce you to the musings and insights of Jeffrey Swartz, CEO of Timberland. Under Jeff’s guidance, Timberland has grown from a $156 million company in 1989 to a $1.4 billion company in 2007.

In this interview, Jeff shares candid thoughts, successes and challenges of infusing a business with values – the values stemming from three generations of family leadership at Timberland. You’ll be inspired to re-think what impact it’s possible to achieve through your business.

INTERVIEW HIGHLIGHTS

  • Jeff Swartz expounds on “selling values” (Timberland) versus “selling sex” (other clothing retailers)
  • Timberland’s Facebook campaign which mobilized thousands to action
  • How Timberland creates positive impact in the communities and countries where its products are produced
  • Is Timberland is more like Bono or Al Gore in creating messages for consumers?

Read the transcript and listen to the audio of my interview with Jeff Swartz on Green Business Innovators.

Today’s Ceres Conference in San Francisco was host to a lively panel discussion on sustainability reporting. Paul Hilton, director of Advanced Equities Research at Calvert moderated a panel of speakers representing industry, accounting, data management and policy.

Sustainability disclosure has come a long way, and not surprisingly, has a long way to go yet.

Panelists represented the leading edge in reporting and discussed both what excites them and what needs to happen to push forward.

Hilton opened the panel with his top five trends promoting a better disclosure landscape:

  1. Movement towards mandatory disclosure
  2. Improvements in frameworks/tools for reporting
  3. Increased corporate interest in improved reporting
  4. Active ownership
  5. Mainstream investors demanding data

Beth Holzman, CSR strategy and reporting manager at Timberland, explained what’s happening at the leading edge of corporate reporting. Emil Efthimides, manager of the Environmental, Social and Governance Data Project at Bloomberg, discussed Bloomberg’s current work to organize the world of ESG data. Jonathan Jacoby, senior policy advisor for Oxfam America’s Private Sector Department brought a policy perspective, but unfortunately didn’t get much of a chance to speak. And the fourth panelist, Alan Willis, sustainability advisor for Canadian Institute of Chartered Accountants, made inroads to public forgiveness for the glaring missteps by some in his field.

What are the exciting developments in ESG disclosure? New reporting tools and mediums, more audiences, varying mediums to reach varying audiences, and imperative to demonstrate increased consumer relevance topped Holzman’s list of developments.

Willis described a recent CFA investor manual to help integrate ESG into accounting work, as well as clever user websites. “On the HP website you can create your own sustainability report by customizing the bits you want. There are traps and pitfalls of course, but I find this otherwise encouraging,” Willis explained. “What I’d like to see is better progress around sorting [that information] out — we are all over the map in terms of what companies are doing. The credibility of our numbers has a long way to go.”

Efthimides described how Bloomberg is continuing to revolutionize financial markets with transparency of information. “Now we are looking at the ESG world, scraping all data available and putting it together and making it all available,” Efthimides explained. “Eleven percent of assets under management are socially responsible.  Now the other 89 percent will get a chance to see that 11 percent. Maybe they’ll dabble in it or even request that information from companies. It will become a virtuous cycle.”

Continue reading on GreenBiz.com

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It is one thing to start a green by design eco-fashion company, and an entirely different thing to direct a ~$16B clothing retailer that employs 150,000 people to reduce its environmental impact and operate more sustainably. This is exactly the job of Kindley Walsh-Lawlor, Gap Inc’s Senior Director of Social Responsibility and Environmental Affairs. I got the chance to discuss with Kindley how she landed where she is, what Gap Inc’s brands (Gap, Old Navy, Banana Republic) are doing to “go green”, and the ins and outs of retail corporate social responsibility (CSR). Gap Inc is a social responsibility leader, having spent 12 years working on ethical sourcing and human rights. Kindley’s task involves incorporating environmental initiatives. As she puts it: “Are we leaders right now in the environment? The answer is no. I think, is it a goal? Yeah. …The key thing that’s so important to us is it’s about really making a positive impact versus just creating a great story.”

Having grown up on a farm in Vermont, Kindley is a self-described “old time hippie and long-time environmentalist.” Kindley’s background is in product design and she spent 15 years in small-scale production. Eleven years ago she started with Gap Inc, wanting to understand what it was like to have “brand names behind you.” During her first 9 years with the company, Kindley worked at Banana Republic and Gap which gave her a “great education on what the brands were up against…day-to-day especially as we dig deeper with the brands on operational sustainability opportunities to redesign product.” Kindley has been in her current CSR role just under 2 years.

In her current role, Kindley has helped organize Gap Inc’s efforts around an environmental strategy, referred to as the ECO-strategy: “E for energy, C for cotton or sustainable design, and O for output or waste… fundamentally the basics that we need to engage in as an apparel company.” This is a way to harness all the corporate initiatives and brand level grass roots efforts into one all encompassing strategy. They also put together a sustainable design toolkit, which they were able to utilize when Banana Republic first came to corporate and said “we want to go green.” Last spring, Banana came out with its green initiative under the tagline “Greener. One Step at a time.” And while that was just one step, Kindley hinted that another core Gap Inc brand has something up its sleeve. This unnamed brand has made sustainability “one of their five key pillars as to how they make all decisions in their business. So they’ve gone after it as a cultural shift to insure that’s about more than just pleasing the customer, more than just getting the right aesthetic in the store, more than just engaging employees, but also doing the right thing when they’re doing business.”

Going forward, a key component to success will be consistent brand communication. Kindley does not want Gap to fall heavily to either the social or the environmental side of things, but to tie these two fundamental pieces together and ensure Gap’s messaging is aligned. “A lot of companies [are] either about sustainability or they’re about social and ethical sourcing or social and human rights. And so what I want to do is ensure that whatever we’re doing is connected. I want to insure that whatever we’re messaging is connected, and I think that’s something that is a differentiator and hugely important for the company.”

The exciting part is that Kindley is working with the leverage of several brands and impact on a large scale – every small change has a huge impact. For example, Gap Inc switched to using post-consumer recycled paper for price tickets across all brands and “it saves so much paper as you look across how many units we buy every season, everyday, that are shipping around the world.” On the other hand, one of the difficulties of doing this sort of work is that “everyone wants to see your ROI on every initiative that you’re doing.” Kindley explained that they’ve come up with “really creative ways to be cost neutral.”

Gap Inc is in extremely capable hands with Kindley, and I look forward to seeing how she continues to drive environmental and social change in the industry. Overall, Kindley is looking for “that sea change in the industry that we can help propel” and to partner with other industry leaders like Nike and Patagonia to “help move mills to think differently, to help factories to think differently and ultimately for the product to be made differently.”
Read full transcript and listen to the audio of my interview here.

[Originally posted on TriplePundit]

I saw Joel Makower speak at San Francisco’s Commonwealth Club last week on the eve of the launch of his new book – Strategies for a Green Economy.    I did buy the book and look forward to reading it, but this will not be a review of the book.  During his conversation at the Club with BSR’s Aron Cramer, Makower touched on something that has been bothering me for a while now.

Take this random smattering of corporate environmental news I found just now in my inbox:

  • Sprint sets goal of 15% green house gas emissions reduction by 2017
  • New MacBooks eliminate certain harmful chemicals, waste less in their packaging
  • GE cuts energy use in warehouse by 29%

These are all good first steps.  But they are lacking something.  I don’t feel good hearing this.  Instead of rejoicing, I begin to wonder how bad it still is if a 15% reduction over the course of 9 years is worth a proud press release?  What are Sprint’s absolute emissions?  What could they do that would be good rather than less bad?  All three of these environmental claims and most that I see imply that companies are doing less bad.  Which begs the question – how much bad are they still doing?  I’ve had a nagging feeling that we are missing something in our environmental reporting and approach to CSR.

Makower articulated these same concerns last Wednesday.  He said that the future of sustainability may not be sustainability.  Today’s greening efforts center on doing less bad.   And that’s just the first step.  The next step involves actually restoring environments to their original state, and even perhaps giving back and adding value to surroundings.  For example, Coca-Cola has pledged to return as much water as it extracts.

I want to keep this short and sweet.  But what I would like to see as the future of corporate (and all) sustainability efforts involves carbon negative growth, planting 2 trees for every tree cut down, treating the environment like the home of a valued host – leaving things as good or better than when you first arrived.  Is that too much to ask?

[Originally published on Just Means' All Things Reconsidered Blog]

Royal Dutch Shell has quadrupled spending on renewable energy projects in order to meet goal of 50% less emissions by 2050. (Chron.com)

Apple has designed a way to make its new Macbookfrom a 2.5 pound brick of aluminum.  It also arrives with 41% less packaging, can be returned to Apple for recycling at the end of its life, and does not contain a host of bad substances (PVC, brominated flame retardents, mercury) that some other computers must use, otherwise they would not mention this.  (TreeHugger, Grist)

A fabulous New York Times article “Completely Unplugged, Fully Green” describes a half dozen people and families who are going to exceptional efforts to reduce their footprint – including one guy who admits using his own lawn as a toilet to save a flush once in a while.  (Thanks to Leah for the tip!)

Survey of S&P 100 companies by marketing agency imc2 reveals best practices for communicating corporate sustainability practices, which include stakeholder engagement, transparency and keeping sustainability close to core operations rather than a disjointed message. (GreenBiz.com)

Canon has developed a bio-based plastic, Ecodear, which is made from 25% plant derived materials, saving 20% of the CO2 emission associated with typical petroleum-based plascics. (Environmental Leader)

Nestle Waters is threatening to sue Miami-Dade County due to a radio ad that praises the county’s tap water as better than bottled, thereby damaging the reputation of bottled water, according to Nestle CEO.  Oh boy – someone is nervous about slowing sales. (Environmental Leader)

First Ecuador gives nature rights, now Switzerland is ensuring a scientists take a plant’s feelings into consideration when conducting genetic research.  (Wall Street Journal)

The Eiffel Tower is reducing its hourly 10 minute twinkle to 5 minutes to save energy.  (Reuters)