Opportunities of Sustainability

Case Studies

Contents

Positive opportunities

Potential for accommodation providers

Consumer’s preferences are changing

Pressures from stakeholders

Case studies

Accommodation Case Study

• This case study at Strattons Hotel demonstrates the cost savings and

environmental benefits that can be achieved by hotels and catering

establishments through a commitment to eliminate, reduce, re-use and recycle

as much waste as possible.

• The benefits to Strattons Hotel of implementing a systematic approach to

resource efficiency include total cost savings of over £10,000/year, refillable

toiletry dispensers save nearly £2,000/year in purchase costs, water saving

initiatives reduce dependency on mains water, good housekeeping and laundry

policy saves £4,050/year, and over 98% of all waste is re-used or recycled.

• http://www.envirowise.gov.uk/uk/Our-Services/Video-Case-Studies/Strattons-

Hotel-Video-Case-Study.html

Risks or Opportunities?

Innovation

Productivity

Growth

Brand

Image

CompetitiveAdvantage

$aving$Revenue

Business Value

10 Market Forces10 Market Forces5 Mega-5 Mega-IssuesIssues

5 5 Demanding Demanding StakeholdeStakeholdersrs

Climate Climate ChangeChange

Green Green ConsumersConsumers

Pollution & Pollution & HealthHealth

Activist Activist ShareholderShareholderss

Globalization Globalization BacklashBacklash

Civil Civil Society / Society / NGOsNGOs

Energy Energy CrunchCrunch

Government Government RegulatorsRegulators

Erosion of Erosion of TrustTrust

Financial Financial SectorsSectors

Commercial risks

• Government intervention and influence:

• Supply chain:

• Disruptive change:

• Cost increases:

• Customer preferences:

Increased regulation and taxes (ETS, Waste, Water, Economic transformation). Focus on sustainable procurement

Trickle down effect from focus on sustainable procurement

Fast paced change in business environment

Resources and materials; waste; insurance; compliance

The consumer who cares. Market share. “Greenwash”

Copyright © BusinessLAB Ltd 2008

Commercial opportunities

• Product & Service:

• Competitive Advantage:

• Employee Loyalty and Trust:

• Cost savings:

• Customer loyalty / brand:

Increase innovation, reduce risk of obsolescence and adverse consequences

First movers in rapidly changing market. Increase shareholder value

Be recognised as an employer of choice. Greater bond to community

Redesigning energy, material flows and impacts especially in light of government legislation

Enhanced brand equity and reputation

Copyright © BusinessLAB Ltd 2008

Visitor Satisfaction Research

Environmental practices expected by international visitorsEnvironmental practices expected by international visitors

RecyclingRecycling

79%79%Conservation efforts Conservation efforts

72%72%Environmental Environmental enhancements enhancements

68%68%ACTIVITIESACTIVITIES

Fuel efficient Fuel efficient vehiclesvehicles

83%83%

Carbon emissions Carbon emissions limiters limiters

59%59%

RecyclingRecycling

54%54%TRANSPORTTRANSPORT

RecyclingRecycling

84%84%Energy conservation Energy conservation

72%72%Water conservation Water conservation

69%69%ACCOMMODATIACCOMMODATIONON

Customer preferences

• 42% NZBCSD members have deselected suppliers for sustainability (2007)

• Market for sustainable suppliers has grown from 6% to 32% between 2005 and 2007

• 27% of NZers (1.17m people) have purposely avoided companies on sustainability grounds (2007) (279,000 on week of survey!)

• 1.4 m NZers will pay premium for positive social / environmental benefit

• Sale of organic products growing at 10 – 20% p.a.

Source: Sustainable Business Council @ http://www.sustainablebc.org/v2/

New Zealand Organisations

NZ Business Council for Sustainable Development

Which certificaton system?

Case Study: Kapiti’s Paraoa Bakehouse

Source: Our Region

Paraoa Bakehouse: Successes

• Winners of the 2008 Sustainable Business Network’s National Awards

• Paraoa Bakehouse (makers of Purebread sold throughout New Zealand) sources bread ingredients from sustainable organic farming practices and has a strong commitment to waste minimisation – its weekly rubbish to landfill is the size of a netball!

• It constantly reviews packaging, is looking into renewable energy sources and donates unsold bread to the local foodbank, as well as using it for stuffing, breadcrumbs, croutons or animal feed.

• Robert says that most businesses can easily reduce their impact on the environment “It’s actually quite simple to be sustainable. You don’t need to be full-on or obsessed with it. Do little things and you’ll get on track as well.”

Judges comments from the National awards

• This business has a strong vision towards sustainability that has encouraged employees within the business to continuously look at the ways they can be involved in the overall process

• The Bakehouse has adopted cradle-to-cradle (soil-to-soil) practices to further increase their commitment to the life cycle of the product, with the waste becoming the ingredient for new product lines or nutrients for animals or the soil

• They have strong local community relationships, e.g they donate bread to local food banks and contribute financially to a local music club and other charities

Judges comments from the National awards

• They are aware of the local and global risks an challenges (including world grain shortages, transportation and energy use) within their industry and are looking at renewable energy options such as building a new premise closer to their markets to diversify their products

• This business is well set up for future growth and they will become leaders of the sustainable business space here in New Zealand.

• Case study available from http://www.sustainable.org.nz/cms/uploads/Paraoa

%20Bakehouse.pdf

Vision

“To achieve icon status and to

be recognised as the premier

mountain in Australasia. It will

be known for its vast and

varied terrain, fast and efficient

lift capacity, superb facilities,

service and commitment to the

environment”

Treble Cone Investments Ltd.

Main actions completed

• Recycling for guests and staff

• Reduction of energy usage

• Reduction of fuel usage

• Car pool and pick up for staff at A&P show grounds to leave car parks for locals

• Car pooling and introduction of two hitching post in Wanaka

Outcomes of actions

• Positive feed back from customers regarding the introduction of recycling

• 11% energy saving

• 15% fuel savings

• Increase of an average of one person per vehicle arriving on the mountain

• You can see the Treble Cone comment on their sustainability initiatives at http://www.treblecone.com/MountainInfo/sustainability.asp

Source: http://www.treblecone.com/MountainInfo/sustainability.asp