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I so love this book. Please see my complimentary project at http://www.prweb.com/releases/2012/3/prweb9349879.htm Thank you for the work you do that benefits us all. ~Barbara

2 years ago Reply

I so love your book. Please see my complimentary project at http://www.prweb.com/releases/2012/3/prweb9349879.htm Thank you for the work you do that benefits us all. ~Barbara

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People Planet Profit Peter Fisk Introductory ChapterDocument Transcript

1. People, Planet Profit People, Planet, Profit How to embrace sustainability for innovation and businessgrowth Introductory chapter of the new book by Peter Fisk Published by Kogan Page in January 2010 ©Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

2. People, Planet Profit Contents “People Planet Profit” is a practical guide to engaging today’sconsumer in a world where social and environmental issues matter more. It explores how to embracesustainability in more creative ways, as a new source of competitive advantage and more sustainable,profitable growth. The book includes significant contributions from many of the world’s sustainablebusiness leaders – such as Nike’s Hannah Jones, Unilever’s Santiago Gowland, M&S’s Richard Gilles,Arup’s David Singleton, Yale’s Dan Esty, Fairtrade Foundation’s Harriet Lamb, and GenerationInvestment Management’s Colin le Duc. It explores new ways to embrace sustainability as innovation -evaluating the different strategies of the likes Adidas and Nike, M&S and Walmart, BP and Shell, CocaCola and Danone, with experts Diana Verde Nieto of Clownfish and Anthony Kleanthous from WWF,and concludes with diagnostics and toolkits for practical implementation. Introduction : People andPlanet and Profit Page 4 Part 1: Rethinking Business Page 12 • My World Chapter 1: Purpose beyond

People + Planet + Profit = Sustainable value creation ... How to embrace sustainability for innovation and profitablegrowth.

People Planet Profit Peter Fisk Introductory Chapterby Peter Fisk , keynote speaker, bestselling author, expert consultant at GeniusWorkson Nov 11, 2009

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Profits Page 15 • Making people’s lives better • Defining an inspiring purpose • Turning promises intoreality • Google and Microsoft © Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

3. People, Planet Profit Chapter 2: Strategies for Growth Page 28 • Finding markets with sustainablegrowth • Creating differentiation by doing good • New business models for a new world • Apple andNokia Chapter 3: Inspiring Leadership Page 41 • Leaders of the new business world • Leaders as thecatalysts of change • What it means personally • Patagonia and Timberland Part 2: Reconnecting BusinessPage 51 • My World Chapter 4: Conscience Consumers Page 53 • Enabling people to be good • The newconsumer agenda • Segmenting the conscience consumer • Coca-Cola and Danone Chapter 5: SustainableInnovation Page 65 • Social and environmental drivers of innovation • Innovating every aspect ofbusiness • The creative potential of social entrepreneurs • Amazon and eBay Chapter 6: Engagingconsumers Page 78 • Engaging people through enlightened dialogue • Building networks to do moretogether • The “good” consumer experience • Marks & Spencer and Wal-Mart Part 3: Releasing BusinessPage 90 • My World Chapter 7: Sustainable Operations Page 93 • Working better together • Goodsourcing, transporting and producing • The power of sustainable energy and technology • Adidas andNike Chapter 8: Delivering Performance Page 102 • Certification, labels and sustainable impacts •Linking sustainability to business results • Managing business performance and reputation • NewsCorporation and Time Warner Chapter 9: Transforming Business Page 112 © Copyright Peter Fisk 2009www.PeopleandPlanetandProfit.com

4. People, Planet Profit • Making sustainable change happen • Articulating the case for change •Managing the implementation • Ikea and Interface Chapter 10: Sustainable Futures Page 124 • Leading inthe new business world • Sustainable innovation and lifestyles • Business as a force for positive changePart 4: Resources Page 134 The People Planet Profit A to Z The People Planet Profit Blueprint ThePeople Planet Profit Directory The People Planet Profit Programme Authors and Contributors IndexPage 147 © Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

5. People, Planet Profit Introduction : People and Planet and Profit We live in a time of unprecedentedchange. In business we face challenges and opportunities that are more critical and complex than ever -where the consequences of failure are unimaginable, and the impact of our decisions are felt instantlyacross the planet. A fragile economy and a climate out of control, poverty across half the planet andscarcity of natural resources, the extinction of species a explosion in population, ethical dilemmas onevery corner, and low confidence and trust in business: symptoms of a changing world. Change is allaround us. The cries for help at the end of an industrial age, the shift in power towards the developingworld, from big to small, masses to niches, and the recognition that we can only sustain our livelihoodswith new thinking, new behaviours, and new balances. We know that the old short-term, sales andwealth-obsessed models of business are broken, and we are now beginning to feel the consequences. Westruggle to balance our priorities and ambitions - the pursuit of personal and business success, whilst alsoseeking to make the world a better place. Is it possible to do both? These are challenging times to leadand manage a business, even more difficult to create and sustain profitable growth. Rethink Social andenvironmental issues are more important than ever. For business, they represent some of the greatestopportunities to find new markets of profitable growth, more lasting and engaging sources of competitiveadvantage, and more effective ways to reduce cost and risk. Consumers no longer feel conflicted by theissues, but committed to supporting change. Doing good is no longer about sack cloth and frugality, itcan feel and taste good too. We realise that it is no longer a nice to have, but a must do. We realise that itis no longer a © Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

6. People, Planet Profit peripheral activity but fundamental to every aspect of how we do business, everyday, for everyone. People, Planet, Profit is about business opportunity, operational improvement andcompetitive advantage. It is a practical handbook for CEOs and business managers who are searching fornew ways to create value, to make sense of business in a rapidly shifting landscape, to deliver profitablegrowth whilst also doing “the right thing”. It is about • Profitable growth. Finding new ways to sustaingrowth in a world that is changing rapidly, and can seem threatening and uncertain. • Innovation.Positively connecting capitalism and environmentalism, realigning issues and incentives, and makingbusiness a force for good. • Competitive Advantage. Putting social and environmental impacts at theheart of your business, the basis of more engaging differentiation. • Leadership. Inspiring business to bethe creators of this new world - to rethink, reframe and reinvent your business for a better future. This isnot really a book about sustainability in itself, about the world’s problems, or about “being green”. The

last thing business needs is another dysfunctional strategy, more complex initiatives, and distraction.Social and environmental issues should be at the core of a business strategy, leveraged as the best sourcesof improving efficiency and driving innovation, working with partners in new ways whilst also finding amore lasting difference, and a better way to engage people. People, Planet, Profit is about inspiringleadership, more radical innovation and sustaining performance in the new business world. Can businessgrowth be good? Of course the world faces immense problems, so great that few organisations have thepower or scale to solve them. © Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

7. People, Planet Profit Business is unique in this sense. Through engaging brands and thoughtfulinnovation it can mobilise consumers to change behaviour in positive ways. By adapting the resources ituses, and the ways it works, it can make huge difference to the environment. It can be a powerful forceof positive change. There is no paradox or conflict, as some suggest. Business really can grow and begood. People, planet and profit are not alternative goals, or a compromise result. A positive impact onpeople and planet can be achieved whilst delivering profitable growth too. Indeed, a positive impact onpeople and planet is increasingly becoming the best source of profitable growth. Despite a rapidlyincreasing global population and carbon emissions that threaten the air we breathe – it is possible tocontinue to grow economically, and replenish the resources we use. Of course it is likely to be a differentsort of growth. It will be less about volume, more about profit; less materialistic production and moreabout supportive services, less self indulgent and more enabling people to live better lives. Whilst theimportance of social and environmental issues might seem obvious, they are not always seen as key tobusiness success. Indeed, waves of restrictive legislation and anti- capitalist lobbying can put them inconflict. This is because we haven’t seen the connections. However, as Ben Clarke from Kraft Foods says“Sustainability is now about profit ... it is the opportunity of the twenty-first century.” The business casefor “people and planet and profit” is based on both the profitable new opportunities of sustainablemarkets – embracing these issues within existing markets, and investing in new marketspaces such asrenewable energies - and also on the significant cost and risks likely to be incurred by unsustainablepractices in future. These growth opportunities are rapidly being embraced, the gold rush is on. Venturecapitalists and entrepreneurs are now firmly focused on sustainable markets. Similarly the costs and risksare already hitting balance sheets. Investors are penalising “dirty” companies for their vulnerable futurecashflows, and finance managers are calculating their liabilities. The consequences of not changing arenot just for the world we leave behind for our children, but more immediately through the liabilities ofincreasing financial penalties imposed by governments (for example, taxation on transport and industrialemissions), by supply chains, and ultimately by consumers (for example, the prohibitive cost of insurancein areas vulnerable to extreme weather). © Copyright Peter Fisk 2009www.PeopleandPlanetandProfit.com

8. People, Planet Profit Diagram 1: Sustainable agenda: how social and environmental issues have movedfrom the organisation fringes to core business. Sustainability is no longer an adjunct to business. It is nolonger a separate department, or even a team within the corporate affairs department concerned onlyabout compliance and reputation. It is no longer enough to have some worthy goals, a sustainabilitystrategy as an appendix to the business plan, or a sustainability report as an afterthought. CSR (corporatesocial responsibility) strategies were typically peripheral compensation for the damages already done,relieving the guilt of companies that couldn’t see the light. They were the clean caring icing on the bigdirty cake. They sought to protect superficial and increasingly fragile reputations. “People and planet andprofit” is much more than that. It is about moving the issues of sustainability from the fringes to theheart of business. It demands that business leaders rethink fundamental strategic questions – why weexist, where we should focus, how we are different, and why people will choose it, want to work for us,and invest in our business. People and Planet The social and environmental challenges are known andnumerous. But by rethinking they also represent some of the best opportunities for business. Considerjust some of them. As the global population mushrooms towards 9 million, cities like Beijing, LosAngeles and Mumbai will triple in size. © Copyright Peter Fisk 2009www.PeopleandPlanetandProfit.com

9. People, Planet Profit Whilst the global “middle class” is the fastest growing section of society, with itshigh aspirations and higher consumption, a billion people survive on less than $1 a day, 3 billion on lessthan $2 a day. 3 billion people have no access to clean water, 800 million are hungry, and 10 millionchildren die before they are five. Yet the “bottom of the pyramid” have dreams too, they seek better lives

and demand more. Together, they represent an estimated $5 trillion market. Diagram 2: World changing:250 years of population, economic and consumption growth, and the impacts on our environment(sources: WEF, WWF, New Scientist). Add to this, the environmental challenges. Every year we destroy44 million acres of forest, creating an increasing imbalance in the way nature produces and absorbscarbon dioxide. We lose 100 million acres of farmland, cutting down trees, diverting natural irrigation,and creating 15 million acres of new desert around the world. We emit 8 billion tonnes of carbon intoour atmosphere, only 3 billion tonnes of which can be reabsorbed. We use 160 billion tons more watereach year than is being replenished by rain, enough to require a 450,000 km convoy of trucks. As a resultof this damage 200 million people will become refugees due to flooding and drought if the climatewarms by 2-3 degrees by 2050. Or financially, insurance claims will increase by $320 billion due tostorms and floods, if carbon emissions continue to rise at present rates – making insurance premiums tooexpensive for most individuals or companies. The deforestation will reduce crop yields across Africa by33%, adding to the hunger. And a 5m rise in sea levels, caused by melting polar ice caps, will wipe outmany coastal areas, with consequences including a predicted 11% decline in China’s GDP. “In a worldwhere the ideology of free enterprise has no real challenges, why have free markets failed so manypeople?” questions Noble prize-winning economist Muhammad Yunus, arguing that “Instead theyexacerbate poverty, disease, pollution, corruption, crime and inequality”. © Copyright Peter Fisk 2009www.PeopleandPlanetandProfit.com

10. People, Planet Profit Challenges and Opportunity The challenges are complex and connected. Whilstwe seek to reverse climate change, conserve water and relieve poverty, we also care about issues such ashuman rights, fair trade and supporting our local communities. Whilst we seek to act more ethically andresponsibly, we also care about our own wellbeing and happiness. Green is not enough. It requires amore joined-up approach. It requires business to do more than improve, but to think differently, tochange its game. Maybe blue is a better colour. The new business world demands “blue sky” thinking,ideas that open up new “blue oceans” of opportunity, and redraw the blueprints for business practice. It isnot just about “reducing, recycling and reusing”, as the mantra goes. It is about rethinking. Climatechange is most effectively addressed by rethinking and redefining the resources we use, rather thanseeking to limit the damage by belatedly planting a few more trees. Similarly, in business it is not aboutproduct enhancements and campaigns that jump on the bandwagon. People quickly see through thegreenwash, demanding real transparency in return for trust. Business needs to address its economic, socialand environmental challenges holistically, and to understand how they can combine as positive forces increating a better world. © Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

11. People, Planet Profit Diagram 3: People and planet and profit: Economic growth is only sustainableif business activities are integrated with social and environmental priorities (source: GeniusWorks).“People and planet and profit” is a more connected approach to business. It demands systems thinking,seeing the bigger picture of why and how we work. It will require us to reject many of the conventionsand conveniences of business that created past success - taking new perspectives, finding new solutions,and even finding new measures of performance. It requires us to reconnect with consumers who have lostfaith, suppliers who feel beaten up, and sometimes even with competitors where together we can havemore impact. Inspired Leaders It demands the vision and courage of business leaders, and every manageracross the organisation, to release business from the shadows of a failing world, to realise a new spirit ofentrepreneurship and innovation through which we and others can prosper. Crisis is the prelude tochange. Whilst some see change as a threat, others seize the new opportunities. If we look to the East,perhaps to learn a new language as well as find new markets, we would find that the same character inChinese script represents both ideas, threat and opportunity. Welcome to the dawn of a new businessworld. It’s time to think and act differently. © Copyright Peter Fisk 2009www.PeopleandPlanetandProfit.com

12. People, Planet Profit The People Planet Profit Manifesto Leaders of business This is your wake-upcall. You’ve been living on borrowed time. Raping the natural world of its resources, and leaving a toxicmess in its place. These weather patterns are not freaks, they are the world you have created. Blinding theman on the street with your superficial innovations and image. What about the sweatshops, the emissions,the packaging, the greed? It doesn’t look good. Business, society and nature need to find a new way toco-exist. If you aren’t sustainable, you are irresponsible. It’s time to adapt or suffer the consequences.The business world is about to go through a rapid, fundamental change. What an opportunity, but also

what a threat. It’s time to rethink. Time to stop living in the past, and think of our future Business is nota machine, it’s a dynamic system – it lives, adapts and grows. You need to think again about what is acost and a risk, and what really creates value in the world today. But it will take a lot more thanreducing, recycling and reusing. It requires a fundamental rethink, radically and creatively. Rethink yourbusiness purpose and strategy. Rethink your processes and technologies. Rethink your markets andaudiences. Imagine that you are looking at a piece of impressionist art. Short term, too close, you areblinded by millions of dots, stand-back and you see a bigger vision. The environment is not acommodity, and people are not disposable. New legal codes and financial penalties will protect them. ©Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

13. People, Planet Profit But this is not just about compliance. It’s much more than CSR ... It goes to theheart of business. To why you exist. Where you focus, how you succeed. To connect business and theworld in new ways. People and planet and profit. Together, achieving more. Business is a societal good.It has a responsibility beyond itself. Brands and consumerism, profits and wealth can be incentives forchange. Available to anyone, the benefits shared by everyone. Be brave. Seek out ideas beyond yourcomfort zone. Create a new language of sustainability that transcends traditional disciplines Redefinestakeholders more broadly Everything is possible. Nothing is off limits. From nuclear energy to GMfoods, we need to rethink our prejudices too. Collaborate with your competitors, and even your fiercestcritics. Work with governments and activists to explore new solutions. Together we can do so muchmore. We need innovation to find new ways to overcome conflicting priorities, to make inspired choices,to find brilliant new balances. Sustainability is about creating a more lasting and fairer world. Where wecan work and play, laugh and smile. And our children will be able to too. Grow by putting our future atthe heart of your business. Grow better by being and doing good as a business. Be bold and brilliant. Bethe change. © Copyright Peter Fisk 2009 www.PeopleandPlanetandProfit.com

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