Does being carbon neutral help your business?

by Jacob JosephMarch 1st, 2008 | Editorial, Issue 5 March 2008

Three ways it can

Sceptics would argue the concept of being carbon neutral is a myth. An additional cost. A phase. A new buzzword. A marketing ploy. It’s time to wake up. Global warming is a reality. It affects each and every one of us and if we don’t act responsibly, there won’t be any winners – we all lose.

It’s true, turning your organisation carbon neutral calls for change in the way you run your business. Changes that will cost you money. At times, you might wonder if it’s all worth it? Here are three ways your business can benefit from taking the step:

EFFICIENCY By aligning your business on carbon zero fundamentals, you will be able to bring in greater efficiency and resource reduction. Cutting energy use over time, for example, leads to cutting costs. This could provide a fundamental advantage in your operations and products. Just look at Masdar City. No doubt developers will have to put up millions of dollars for the solar panels required to power the entire development, but in twenty years, it will be the cheapest city to run in the world. And check out Michelle Mills’ story on the SkySails cargo ship. Who would think something as simple as a kite could save gallons of fuel and millions of dollars?
MARKETING You can use your organisational changes and innovations in green products and services to offer customers a competitive advantage. If two 3PLs are offering two warehouses of exactly the same price, yet one follows green building standards, why wouldn’t a customer choose the more environmentally friendly option? In fact, the 3PL with the green warehouse, because it has reduced energy costs, could, in time, offer lower prices than its conventional counterpart. How are you going to differentiate your offerings from the competition?
IMAGE If you care about nothing else, you can at least maintain or improve your image by going green. As awareness of the issue grows, customers will prefer to do business with a company which is environmentally responsible.

I sometimes roll my eyes at media hype over corporate social responsibility, knowing full well the CEO’s concerns for the rainforests of Brazil, or the melting ice caps, are nothing more than words provided by a well- paid public relations officer. But at the end of the day, does it matter if that company cares? All that matters is the end result – a cleaner, greener future for us all.

So jump on the green bandwagon. Maintaining status quo may be the easy path to take, but turning carbon neutrality into your advantage is the responsible way to go. As I mentioned earlier, we are all in this together.