ORGANIZATIONAL CHANGE -
Four years after launching its corporate responsibility strategy, Travel with Purpose, Hilton Worldwide says its investments in global partnerships and sustainability programs is not only driving positive social impact, but also supporting long-term business success. Hilton discusses its strategy and provides updates on its global impact in its fourth annual corporate responsibility report.Travel with Purpose was designed to examine global issues where Hilton can make an impact while simultaneously contributing to its future success:
THE NEXT ECONOMY -
More than 60 environmental leaders and organizations have signed The Carbon Levy Project declaration, calling for a tax on fossil fuel extraction that would help pay for damages caused by climate change. The declaration states that fossil fuel companies are accountable for around 70 percent of present day global warming and should be held accountable for the resulting costs to the countries most affected. Signatories include author Naomi Klein, 350.org’s Bill McKibben, and Greenpeace’s Kumi Naidoo.
CHEMISTRY, MATERIALS & PACKAGING -
Dairy methane digesters are among the most cost-effective investments California can make to reduce greenhouse gas emissions and help achieve its climate change prevention goals, according to a new study by Ramboll Environ.The study examines how cap and trade auction proceeds are being invested by the California Air Resources Board.
COLLABORATION -
As evidenced by the unprecedented private-sector engagement in COP21 earlier this month, businesses globally get that they need to innovate (and improve!) their products, services and business models to combat climate change, resource scarcity and unpredictable futures. Aside from the alignment of 195 nations on a climate-action agreement, what did all the talk at COP21 amount to from a business perspective? A lot of initiatives that push forward change and collaboration. But is it all smoke and mirrors, and toothless pledges, or is there real action brewing?
CLEANTECH -
Trucost and TruValue Labs have announced a partnership to provide investors with enhanced, real-time, environmental, social and governance (ESG) data.
The market for responsible finance has grown rapidly over the past 20 years, driven by awareness of the risks and opportunities of climate change. There is a growing divestment movement among investors wanting to reduce exposure to polluting, carbon-intensive business activities. But investors need good quality, up-to-date ESG data to engage with companies and inform investment decisions.
PRODUCT, SERVICE & DESIGN INNOVATION -
Amidst the bustle of COP21, Indonesian forests have received some pretty good news. After weeks of devastating fires, APRIL Group and Asia Pulp and Paper (APP), two of the world’s largest pulp and paper companies, have made strong reforestation commitments.
PRODUCT, SERVICE & DESIGN INNOVATION -
The United Kingdom wastes more food than any other European country; a 2014 House of Lords report estimated 15 million tonnes of food per year are wasted in the UK, at a cost of £5 billion, and the Waste and Resources Action Programme (WRAP) has estimated the average UK household with children spends £700 per year on food that could be eaten but is thrown away.
SUPPLY CHAIN -
The international climate negotiations currently underway in Paris at COP21 are focused on commitments by national and subnational governments to gradually reduce emissions, primarily from direct downstream sources — things like power plants, energy-intensive manufacturing and vehicles. Meanwhile, upstream emissions typically are ignored.
CLEANTECH -
“We need innovation that gives us energy that’s cheaper than today’s hydrocarbon energy, that has zero CO2 emissions, and that’s as reliable as today’s overall energy system. And when you put all those requirements together, we need an energy miracle,” Bill Gates recently told The Atlantic.
SUPPLY CHAIN -
Discussion, collaboration and commitment necessary for long-term forest protectionThis week marks a critical moment for climate change. World leaders are gathering in Paris at the COP21 climate negotiations to discuss the role forests play within the broader climate debate. Their charge is to agree on a shared vision for industries, governments, civil society and consumers to halt and reverse the demise of the world’s natural forests.
BEHAVIOR CHANGE -
Ahead of the UN 2015 Paris Climate Conference (COP21), Morgan Stanley and Wells Fargo became the latest major banks to pledge to eliminate their support for the coal industry in favor of reducing carbon pollution associated with the industry.Morgan Stanley said that it “recognizes that climate change poses significant risks to the global economy and that reducing carbon emissions is critical to our success in addressing the challenges presented by a changing climate.”
PRODUCT, SERVICE & DESIGN INNOVATION -
Apparel brand TOMS, the poster child of the one-for-one business model, is taking its support for fellow purpose-driven businesses to the next level. The newly launched TOMS Social Entrepreneurship Fund is investing in up-and-coming startups that can make a difference.
COLLABORATION -
A majority of business leaders say that a long term agreement at the UN climate summit (COP21) in Paris is critical to supporting private sector investment in low carbon solutions, according to a global study by the United Nations Global Compact and Accenture.The UN Global Compact-Accenture CEO Study report, Special Edition: A Call to Climate Action, also reveals that executives see action on climate change as an opportunity for growth and innovation that will be essential to securing competitive advantage in their industries.
NEW METRICS -
Construction machinery and equipment giant Caterpillar recently hosted the first major national summit on infrastructure restoration, with the clarion call that investing in nature is smart business. As a major player in the manufacturing industry, Caterpillar reached the conclusion that moving beyond technical principles and establishing a broad coalition of stakeholders is required to bring the restoration conversation mainstream.
CLEANTECH -
On Monday, The Goldman Sachs Group released its ambitious new Environmental Policy Framework, which includes bold targets and initiatives related to climate-change mitigation, adaptation, risk management, and operational impact. The company reports it is on schedule to be the first U.S. investment bank to be carbon neutral across its operations and business travel by the end of 2015, and has already invested $37 billion in clean energy since setting its $40 billion capital deployment goal in 2012.
PRESS RELEASE -
NatureBank is at the intersection of finance and natural assets, producing long term, sustainable returns.Oct. 20, 2015, Vancouver, BC – In response to growing demand for sustainable commodities including cocoa, carbon and timber, Vancouver, BC-based company Offsetters Climate Solutions has formed NatureBank Asset Management, through a merger with Forest Finest Consulting, a German sustainable commodities company.
COLLABORATION -
Canada’s most populous province has become a leader in the social enterprise sector in North America, with over 10,000 social enterprises in operation employing an estimated 160,000 people. Ontario’s government has leant considerable support to the sector, directly and indirectly, to make this happen.To learn more about how and why, I spoke with Minister Brad Duguid of the Ontario Ministry of Economic Development, Employment and Infrastructure.
SUPPLY CHAIN -
Coca-Cola, Dow and Nestlé are among the 10 companies testing the new draft of the Natural Capital Protocol against specific business applications.The Protocol will provide decision-making support to businesses in their risk-management processes, exploration of new revenue streams, and in product and value chain innovation. It is a product of the Natural Capital Coalition, a global platform that brings together the different initiatives and organizations working in natural capital under a common vision of a world where business conserves and enhances natural capital.
NEW METRICS -
The final morning’s plenaries at New Metrics ‘15 started with a warm welcome and call from MC Paul Herman of HIP Investor to be energized and ready to focus in on sustainability investing.Herman started with a reminder that 84 percent of the market value of the S&P is intangible and completely missing from the balance sheet. Connecting returns to business efforts around sustainability efforts and performance is a door to finding this value. These absent “knowable but ignored factors” include people as an asset, natural resource efficiency; governance, board diversity and inclusion; and transparency.
NEW METRICS -
The green bond market is growing exponentially, having seen $36 billion issued in 2015 from only $11billion issued in 2013. It remains a fledgling market, yet with continued investor demand and issuers embracing a ‘new green market,’ the future looks bright – according to a panel on the final afternoon at New Metrics ’15.