KQ Article

We often assume that each sustainability initiative has the same level of impact. A recycling program is just as good as a new roofing system, we reason, which is just as good as a new wastewater treatment system. There are hundreds of things you can do to go green, but that doesn't mean you implement the first five on the list. That wouldn't make business sense. What's needed is a plan at the right time to implement the project that is right for you, using the right tool to achieve the best outcome.

THE RIGHT TIME
Why should organizations invest in sustainability projects when basic business expenditures are largely frozen after a slew of layoffs and budget cutbacks? Also, can financial institutions discover new, low-hanging fruit in the burgeoning interest in corporate social responsibility (CSR) and sustainability?

Before the economic meltdown, most companies were exploring the idea of investing into short- and longterm sustainable initiatives for a variety of reasons, such as achieving compliance with regulations, keeping up with greening competitors and dabbling with going beyond compliance because it's "the right thing to do." Sounded great just twelve months ago. Now many companies wonder how they are going to pay the light bill instead of paying for a comprehensive re-lamping project.

It's not time to pull back on sustainability investments. Rather it's time to invest and spend smarter. The companies who come out of this economic recession are going to do so by capturing a diminishing consumer market — one that is cautious about how they spend their money, able to compare prices in an instant on the Web, and increasingly aware of the environmental impacts of their spending habits. To capture this market now, your company must become hyper-efficient with resources while continuing to prove positive outcomes of your sustainability practices.

THE RIGHT PROJECT
The green rush is in full swing, and sustainability initiatives are too important to freeze, especially when the expectations for greater compliance are increasing daily from consumers, buyers, investors, employees and other stakeholders. Many companies are taking another look at energy audits, because most of the initial cost savings can be garnered from inexpensive energy efficiency projects. Among the ten recommendations that you could do, look for the one project you should do, because you can harvest the cost savings to reinvest next year.

Here's the rub: Rather than folding these savings back into the budget soup never to be seen again, reinvest the savings into strategically selected projects that produce the greatest returns. When faced with a hundred things you can do to go green, shortterm savings on investment and achieving metrics beyond compliance become the relevant criteria to use.

THE RIGHT TOOL
In the rush to go green because of the pull of customer demand and the push of new compliance rules, many organizations leap before they think and spend energy, money and valuable time for green initiatives that may have nothing to do with their business, for which their customers could care less, and with outcomes that are not visible because they aren't measurable.

Try something else. Rather than deploying your green initiatives in a "spray and pray" method with hopes that something sticks with stakeholders and reclaims some of your cost, consider reflecting on a few questions first. These baby steps will prevent loss of time, money, and possibly even respect from employees, customers, buyers, and other stakeholders:

1. Reflect on the implications of sustainability. Take the time to explore the meaning and implications of what sustainability will signify in your sector and geographical region, especially in terms of availability of products and value to customers.
2. Plan ahead. Consider the budget and time of yourself and others, to ensure you don't run out of either funds or energy before you've had a chance to complete your project. Take the time to reflect, plan and ask advice from stakeholders to avoid an embarrassing or costly mistake, so that you can deploy green projects with confidence.
3. Implement at the level of ability. Instead of taking on all 100 things to go green, choose the right project, right time and with the right outcomes. Whether it's a company of one or thousands of employees, going green is fast becoming a competitive factor in strategic planning, and it's easy to fall into the trap of spray and pray — trying everything and hoping something sticks. Avoid this.

THE BEST OUTCOME
Obtaining buy-in from the bean counters is essential where sustainable vision meets practical financial planning. Moreover, for the financial community as a whole, going beyond compliance begins to give new meaning to achieving compliance for credit access and fairness.

The commitment to community and its economic, social, and environmental well-being is evolving: it's not just talk but a critical success factor for CSR and sustainability metrics to be part of a company's DNA. Each has measurable financial value that can contribute above the bottom line.

So strike while the iron is hot, and go about it the right way. It might take longer to implement a well-thought-out sustainability plan, but it allows the investments to be made in the first place, which is better than a no-go proposition.