business sustainability
DESCRIPTION
Business SustainabilityTRANSCRIPT
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THE WORLD IN 2030?
Copyright Ecos Corporation © 2003
•Asia-Pacific population tops 5 billion (global 7.5 billion-plus)
•Two-thirds of global population living with “water stress”
•Global calorie demand doubles, but little scope for more cropland
•Increasingly severe climate change impacts being felt, however …
•Energy consumption up by 60 percent-plus on 2000 levels
The global sustainability equation
And the global business operating environment is increasingly complex
© Ecos Corporation 2003
0
5
10
15
20
25
30
1960 1970 1980 1990 1995 2000
Intern'l NGOs('000)
Source: The Economist. December 15. 1999.
26
32
36
34
38
40
40
47
47
45
49
48
52
69
59
62
55
57
57
57
50
Armed Forces
NGO's
Education System
UN UN
Religious Institutions
Police
Health System
Government
Press/Media
Trade Unions/Labour
Legal Systems
Global Companies
Large National Companies
Parliament/Congress
49
47
47
39
42
51 38
+43
+27
+26
+21
+19
+17
+17
+3
+2
+2
-2
-9
-10
-13
Little/no trust
A lot/some trust
100 0 100 Net Ratings *
*% trust minus % distrust = net rating
You run a big business … so why would we trust you to save us?
Source: World Economic Forum research Jan 2003
CHANGED OPERATING ENVIRONMENT FOR BUSINESS
Copyright Ecos Corporation © 2003
•Critical environmental and social issues are increasing in both severity and capacity to influence the global economy
•People, including customers, are concerned and expect companies to do better on key environmental and social issues
•Employees are increasingly concerned about the values of the companies they work for, and the social value of their work
•These shifts are creating competitive pressures in most industries to become more responsive to these issues and to improve performance in environmental and social areas.
But Sustainability can be confusing
© Ecos Corporation 2003
© Ecos Corporation 2003
PURSUING SUSTAINABLE GROWTH
Copyright Ecos Corporation © 2003
Social Purpose
+
Societal Value
+
Shareholder Value
+
Community Licence to Operate
=
Sustainable Growth
Economic losses doubling every 10 years
Costs of Global Disastersare Increasing
Source: Insurance Australia Group
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