business of sustainability

Guy BigwoodMCI Group Sustainability Director

Oct 11

The Business of SustainabilityRisks, Opportunities, Innovation

The premier dedicated global

community for sustainability

education, research, policy and

standards for the meetings and event

industry

I’m past-president

Our mission is to transformthe global meetings industry through

sustainability

World is changingSustainability is one of the defining issues of our time

the world is going

green

Sustainability is here to stay..$5.7 TrillionLow carbon and environmental servicesand products market in 2015 (18% growth in 4 years)

Paradigm

SHIFTin how people select, buy and organise meetings and events

the Paradigm Shift is and will effect everyone

VENUES

HOTELS

CITIES

CORPORATES

SUPPLY CHAIN

GOVERNMENTS

INSTITUTIONS

Smart businesses and destinations are

SEIZINGthis opportunity

So how do you convert and position

a destination to become a

“green leader”

VISION

“The question of reaching sustainability is not about if we will have enough energy, enough food, or other tangible resources …

The question is:

will there be enough leadersin time?”

Dr. Karl Henrik Robèrt, Founder The Natural Step

Forget

GREENThink

SUSTAINABILITY

HOLISTIC SUSTAINABILITY

IntegratedBalancedStrategicApproach

Holistic sustainability

PEOPLE

PLANET

PROFIT

Environment

AntiCorruption

Poverty

LabourRights

HumanRights

Growth

HealthSafety

WINNING SUSTAINABILITY

Sustainability is a business strategy that creates long-term value by

Embracing the opportunitiesand managing the risk

with economic, environmental and social developments

Source: PWC – SAM yearbook

24-oct.-11 19

INNOVATION!

RISKS!

OPPORTUNITY

RISKS! Physical

Regulatory

Reputation

What happens when supply drops and demand increases?

287chemical

substancesin a new born babies blood

2050100005 000 bef. JC10 000 bef. JC

5 million250 million in 1

1 billion in 1800

3 billion in 1960

5 billion in 1987

7 billion in 2011

2 billion in 1930

9 billion in 2050

The world

populationis increasing

ASustainable

Future

Current Reality

Living beyond the limits of earth´s system

Source:The Natural Step

Sustainable Supply

Sustainable Demand

SO WHY DO WE PERMIT THIS?

RISKS

!

Physical

Regulatory

Reputation

Hard and Soft Regulation

31

Taiwan Achievements

Waste recycling rate

Per capita garbage collection volume R

ecyc

ling

rate

(%

)

per

capi

ta g

arba

ge c

olle

ctio

n (k

g)

Year1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Hard Regulation

Carbon Disclosure Project (CDP)evaluates performance of businesses on behalf of 551 institutional investors representing over

$71 Trillion in investment capital

RISKS

!

Physical

Regulatory

Reputation

73% of buyers

would reject a destination with a poor environmental record

IMEX Annual Survey of Buyers

Generation Y81%

Employees want to join a company that makes a difference

Attracting New Staff

24-oct.-11 37

INNOVATION!

MINIMIZE RISKS!

What are theOPPORTUNITIES

These buyers and many more are organising

Sustainable Meetings

Saved 600.000€through sustainabilityprogram

Saved €637.000 through sustainabilityprogram

These buyers and many more are

organising Sustainable Meetings

These buyers and many more are organising

Sustainable Meetings

Savings2007 - $152,6502008 - $320,7022009 - $858,6382010 - $16,204

Marriot New York Marquis New Energy Management System

saves 18% of energy $800.000 a year

2.3Year ROI

Beyond the business case?GMIC Award Winner: DoubleTree Portland

Source: US GBC

5-15%Price Premium for Certified green property sales and rentalsLocum Destination Review and Green Business Review

Exploit NewOpportunities

Sustainability is here to stay..$5.7 TrillionLow carbon and environmental servicesand products market in 2015 (18% growth in 4 years)

Developing Opportunities

47

Building the niche: Over 60 Events organised since 2007

Do your clients ask for sustainability ?

80% of buyers

have taken environmental results into account when organising an event

IMEX Annual Survey of Buyers

Changing habits ..

76% of EMEA meeting planners report that CSR will be a focus

for their organizations (63% in U.S) FutureWatch 2010

But we have not

seenanything yet

But we have not seen anything yet: all these companies are creating

sustainable products

They will be increasingly “sustaining” their

events

Comparing and analysing vendors

MCI Case Study

All events, venues and destinations will be assessedfor sustainability and safety risks

Many smart destinations have already seized the sustainability

opportunity

WHAT ARE SMART DESTINATIONS DOING

TO BE SUSTAINABLE?

STRATEGICPLANNING

FRAMEWORK

TOOLS

EDUCATION

MARKETING

MEASUREMENT

STAKEHOLDER ENGAGEMENT

CERTIFICATION

Learning from others, cutting, pasting, adapting

MCI Sustainable Destination Management Framework

Using theOlympics to brand

London as a sustainablemeetings

destinations

Comprehensive planner toolkit

Melbourne: Citywide measurement project

CopenhagenCapital of Sustainable Meetings

UNIDOS POR UN COMPROMISO

Eventos más sostenibles... unidos por un compromiso Climbing the mountain of sustainability needs

teamworkSUSTAINABILITY

EVALUATION

EDUCATION

COLLABORATION

COMMUNICATION

LEADERSHIP

THE ENDalmost

Minimize

RISK!

MAXIMIZEOPPORTUNITY!

www.esnep2008.com

Sustainability is now about betterperformance. Smarter Business

Trendy, sexy, cool, efficient, healthier, safer

Sustainable Destinations

Are healthy placesWith healthy peopleThat create healthy businessesThat thive…..

LessConversationMoreAction.com

Guy.bigwood@mci-group.com

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