Global Social Justice

In Praise of Telecommuting

Tuesday, May 21, 2013 by

telecommutingYahoo's decision to end their work-from-home policy caused quite a stir. I won't second-guess Marissa Mayer's decision to do this, because I'm not there. She's got on-the-ground knowledge.

However, as a long-time telecommuter and huge fan of this mode of work, I would leave Yahoo rather than give it up. Here's why:

From a green business perspective, telecommuting is a Triple Bottom Line practice.

People - Commuting to work is generally not adored by those who do it. Telecommuting:

  • Gives you back your life - literally. How much of your life do you want to spend sitting in traffic? My last employer was 15 miles away, a 30 to 45-minute trip during rush hour. When the traffic was really bad, it was closer to 90 minutes a day. Conservatively, that's 5 hours a week for 50 weeks a year or 250 hours a year. Do the math for your commute. Really think about that number. You never get that time back.
  • Reduces stress. For me, almost any activity is less stressful than driving in rush hour traffic. And stress, as a recent Fortune article reminds us, can kill you. Among other things, I use the extra time to sleep. That's not lazy - that's healthy. Wondering if being crazy-busy is bad for you? It is.

Planet - If the Earth could hug people, it would hug telecommuters because they:

  • Use less gas. And thus are responsible for less pollution related to the drilling for, transporting, refining and distributing of oil and gasoline.
  • Produce fewer greenhouse gas emissions. In my case, not driving an extra 7500 miles per year avoids about 3400 pounds of GHG emissions. TerraPass has a simple calculator to help figure out what you could save, based on your specific car and commute.
  • Can drive their cars longer. My Honda Civic Hybrid is 10 years old. Not buying a new car - with all the attendant steel, rubber, plastic, glass, fabric, electronics, wiring, etc. required - conserves natural resources for the planet.

Profit - Telecommuting cuts costs and boosts revenues for my business.

  • Cost savings include:
    • Lower car maintenance bills. I replace tires, brakes, oil and so on less frequently because I drive my car less. The Honda dealer has actually tried to buy my Civic back becuase it's in such good condition.
    • Lower bills for gas. Driving 7500 miles less per year means using about 166 fewer gallons of gas. At $3.50 a gallon X 166 gallons, I save about $583 a year. If you don't drive a hybrid, you'll save a lot more.
    • No tolls. My old route cost $3.50 a day, $17.50 a week, about $875 annually.
  • More revenue comes from:
    • Using the extra 250 hours a year to do more billable work. I don't burn the midnight oil. I just use the time otherwise lost in commuting.
    • Using the extra time to invest in ongoing business education. From conferences to courses to reading business books, it's essential in order to provide the best client service. 

These are MY numbers. According to Global Workplace Analytics, some 3 million Americans telecommute some or all of the time. That's a fraction of the number who could telecommute. I encourage you to try it!

Tips for Successful Telecommuting

How you telecommute really depends on your work style. There's no one right way to do it. Here are 5 tips that work for me:

Logistics

  • Have an office space with the proper equipment. Have people who can troubleshoot your equipment when it acts up.
  • Office doors physically separate my workspace from the rest of my life. When my daughter was young, she knew that closed doors meant that Mom was working and she had to wait. Unless she was bleeding. My doors have big glass insets, so I could see if she was bleeding.

Mindset

  • Focus on results. When I write something for a client, they don't care if I wrote it at Starbucks or behind my office desk. They just want it to be good and achieve their business objectives. Businesses that don't trust that you are working unless they can see you are behind the times.

Operating procedures

  • Maintain regular communications with your boss and co-workers, or with clients. It keeps isolation at bay and ensures you are in the loop when circumstances change. Take the initiative to overcome the "out of sight, out of mind" syndrome.
  • Get out of the house every day. Continual sitting is actually a health risk, so don't feel guilty about taking breaks. It gives both body - and your creativity - a boost.

Telecommuting and kids

One thing I did not do was work from home and try to care for my child at the same time. My daughter always had childcare in a different location. That choice worked well for my family. Your choice may differ.

So telecommute if you can!

It's a win for you, your clients, and the planet. How often is that the case?

Final shout out: Here's A Visual Breakdown of the Benefits of Working from Home from the LOHAS blog in October 2012.

Alison Lueders is the Founder and Principal of Great Green Editing. She provides writing and editing services to businesses and social enterprises that value high-quality content. She earned her Bronze seal from Green America in April 2013 and Platinum-level recognition from the Green Business Bureau in 2012.

 

 

 

LOHAS Food Trends

Sunday, May 5, 2013 by

I am fortunate to be able to connect with various experts in a variety of LOHAS related categories as well as research various articles predicting what to expect as new opportunities and market trends in the growing LOHAS market. Based on my discussions and findings, here are a few things that I think stand out in the organic and natural food vertical of LOHAS:

1.       A growing awareness of ingredients and sourcing – organic, GMO, fair trade

Those who are opposed to genetically-modified organisms in their food — everything from grains to fish — are getting louder and their concerns heard as demonstrated when, anti-GMO activists hijacked Cheerio’s Facebook page. But following the defeat of California’s Proposition 37, which would have been the first legislation to require GMO labeling, the community is bound to get noisier than ever.

2.       Closing the Price Gap on Organic

Consumers will be able to find certified organic products in all sections of the supermarket and pharmacy.  Expect an evolution of other industry sectors, such as organic personal care, pet food (more like pet treats) dietary supplements. What manufacturers create or retailers carry all depends on the target customer. Capturing discriminating LOHAS (Lifestyles of Health and Sustainability) customers goes well beyond one person: it spreads to their families and pets.

3.       Accessible Organic

Larger organic production, from farm acreage expansion to processing facilities, will translate into organic landing where it is most needed: schools, hospitals, food banks, convenience stores and in mainstream America’s home. Some communities are better served by organic than others, but organic will continue to pop up as distribution channels increase beyond grocery stores. New markets will open to organic food growers, makers and sellers as consumers look for cleaner food beyond grocery stores.

4.       Gluten free integrated into all food options and will be a common part of menu options

The gluten-free market, by comparison is expected to have reached US$1.3 billion in sales by 2011. However, the gluten-free market, which is still in its early growth, is expected to achieve higher growth rates (31%) from 2011 to 2014. Sales in the category have doubled in the last 5 years and are expected to double again in the next 3 years to $5.5 billion by 2015. The new ‘gluten-free’ is already here. With food allergies rising worldwide — at least seven per cent of Canadians have a food allergy — more companies will build facilities dedicated to manufacturing foods free of allergens like dairy, peanuts, egg, soy and shellfish.

5.       Healthy Fast Food - Other Chipotle type chains on the rise.

According to Baum & Whiteman, other chains are following suit, but need to make sure they capitalize on more than just comfy décor and made-to-order food: Companies  will needs to wear its heart on its sleeve … incorporating not just value, but values. Expect more fast food chains to promote sustainable food choices and friendly casual atmospheres. Giants like McDonald’s are embracing this with their new calorie information menus

6.       Food waste awareness on the rise

Americans throw out nearly half of their food, tossing up to 40 percent in the garbage each year, according to a new study. That adds up to an estimated $165 billion according to Natural Resources Defense Council. As more people seek to squeeze money out of their budgets this will be scrutinized as more become aware not to mention restaurants that may waste more .

7.       Chia seed and fermented beverages rule

The nutty tasting Chia seed has more protein, energy and fiber than any other whole grain. The seed is one of the most nutrient-dense foods on the planet. Three ounces of Chia contains the same amount of Omega-3 fatty acid as 28 ounces of salmon, as much calcium as 3 cups of milk, as much iron as 5 cups of raw spinach, and as much vitamin C as seven oranges!   Chia drinks & oils have seen over a 1000% growth in 2012 according to SPINS. No, we’re not talking about the kind you grow in a pot, but 2013 is all about adding the chia seed to your diet.

8.        Chill out power drinks

In a rebound from power shots such as 5 hour energy and Red Bull there are now drinks that promote relaxation using supplements and herbs. The drinks, which evolved in Japan as far back as 2005, contain no alcohol but some have melatonin, a hormone that can cause drowsiness for those suffering from insomnia and high stress.

9.       Sustainable seafood continues to grow  

According to the National Restaurant Association’s chef survey, sustainable seafood is a top trend among chefs. And sustainability initiatives, such as the well-known Monterey Bay Aquarium Seafood Watch program, report an increase in the number of chefs and operators following their guidelines.

10.   Organic soil promoted as carbon reduction

According to the Organic Center Analyzing  international experts headed by scientists from the Research Institute of Organic Agriculture (FiBL) in Switzerland have concluded that organic agriculture provides environmental benefits through carbon sequestration in soils. Not only are their health benefits but global environmental benefits.

11.   Increased Demand on Transparency

Consumers demand transparency they will come to know what organic means across categories such as personal care, household cleaners and dietary supplements. Natural retailers are already at the forefront by using shelf talkers that tell the story behind the products. Manufacturers only have so much room on labels but can provide more detailed information on their website, Facebook and Twitter. Social platforms will allow consumers to become educated on organica. Companies such as Stoneyfield Farms and Nature’s Path are leaders in this.

 

Ted Ning is renowned for leading the annual LOHAS Forum, LOHAS.com and LOHAS Journal the past 9 years Ted Ning is widely regarded as the epicenter of all things LOHAS leading many to affectionately refer to him as ‘Mr. LOHAS’. He is a change agent, trend spotter and principal of the LOHAS Group, which advises large and small corporations on accessing and profiting from the +$300 billion lifestyles of health and sustainability marketplace.  The LOHAS Group is a strategy firm focusing on helping companies discover, create, nurture and develop their unique brand assets.  For more information on Ted visit  www.tedning.com

LOHAS in China as a Brand and a Trend Towards Stress-Free Living

Wednesday, May 1, 2013 by

green chinaBy Amena Lee Schlaikjer

I spent my whole life wandering the globe as the daughter of an American diplomat, fascinated by different cultures and their different takes on similar things.  How the ‘French Fry’ transforms its shape, taste and cultural definition differently in America, France, The Netherlands, China and Japan.  How gifting for favours can be outright bribery in some places or a business necessity in others.  How health is either something you’re born with, are lucky to have, need to strive for, or is the simple balancing act of a set of routine steps.  It’s no wonder I found myself in the profession of insight marketing and innovation, digging for clues as to why people perceive and embrace things the way they do, and how companies can inspire people to make healthy, intelligent choices (well, at least the ones I try to work with).

Working with the Asia Pacific LOHAS group from one of the most dynamic (yet unhealthy and unsustainable) cities in China: Shanghai, I’ve had the pleasure to witness the unfolding of LOHAS in its early stages.  To grasp China’s take on LOHAS, it’s important to understand the cultural perspective of people’s interaction with their environment.   It is this personal vs. planetary relationship that dictates the level of concern, involvement and impact people will have towards change.  In theory, the Chinese attitude towards sustainability is a very ‘holistic’, symbiotic relationship where “me and my environment are One” based on traditional Daoist/Buddhist influences.  However, in practice, it is actually more ‘distanced’.  Consumers see the problems of the environment but are removed from them because they feel powerless and disengaged to make a difference, a responsibility that is believed to belong to the government.  However, they feel how the environment and strain of over-development has had its toll on health and hence, know they are a part of the equation.  One has to remember that , China’s population of young, influencing “me-focused” One-Child Policy working citizens (18-35 years of age) are coming into more wealth than China’s middle and upper classes has ever seen.  As the editor of LOHAS magazine (a China-based publication), Jane Yu, commented, “People never really consumed a lot here so it would be unnatural to get them to stop. The overall contribution to the environmental impact would be the same so long as that consumption behaviour is mindful.  Chinese values resonate much more with “loving yourself” first before you can think about your family and the environment.”     
     
Therefore, in comparing the attitudes towards Sustainability with other cultures, they are not Dominant (like America taking the lead in global initiatives), not Socalistic (like Europe where everyone has a say in how things are legislated), not Reverent  (like New Zealand/Australia where nature is in everyone’s backyard) nor Doomed (like in places at the edges of climate change seeing its drastic effects).  In China, that “Distanced” perspective, with the right education and mindfulness may revert back to the more traditional view of being Harmonized with one’s environment, and therefore, feel the need to change behaviour to respect that harmony. 

The guildelines, as crafted by LOHAS magazine, the leading authority on the definition of LOHAS in China are:
1) Love Yourself
2) Care for others
3) Concern for the planet

Very much in that order.  At the core of the awareness cycle, it’s all about “Am I making the right choices for me, my home and my family?” And these tend to be household decisions that are health-focused, something everyone can have control over and an insight that any company positioning themselves with a green message in China should consider..  “There may be milk scandals and bleached mushrooms in the market, but I, as a smart LOHAS consumer, will tend to consume something I know to be safe, rather than petition or lobby against the forces that be.”  This is a cynical marketplace, in constant fear of the safety and quality of products on shelves.  There’s disbelief in that something could be 100% organic:  more likely a false label in order to charge a premium.  They’d almost rather buy something that is 51% organic but honest with product labeling.  Consumers feel like they can only be cautious; and take small actions, like not using plastic bags, taking more public transportation, buying more plants for the household and conserving energy usage: most of which are already deeply embedded in the behaviour of most low-to-middle class Chinese as a way to save money and live healthy.  In conveying this mentality, companies have embraced “LOHAS” as a kind of stamp of approval.  Not a certifying authority on anything green, but a consumer-created “brand” or “badge” that says, “This product is going to make your life more stress-free.”  I’ve seen it used on the likes of everything from Dairy Queen brochures to healthy fast food eateries, from fashion retail outlets to spa treatments.  It’s an attitude.

That attitude doesn’t really get involved beyond a consumer choice into community activities that proactively try to promote environmental awareness and action.  The past 5 years has seen an increase in community volunteer organizations (HandsOn China is the largest of these, promoted mostly through CSR programs) though we’re at very early stages of consumer adoption into realms of social responsibility: like embracing Fair Trade, CSR, civil justice, volunteering and philanthropy.  It’s so early-stages that even awareness towards recycling or green packaging  are a “nice-to-have”, so long as the ingredients I’m buying are safe, natural and healthy.

The reality of it is just that some issues are out of people’s control, and as a Shanghai resident, I also feel this deeply. The air I breathe is horrendous, government programs to promote green feel propagandist, China’s necessary fast-growing economy to raise everyone towards a better standard of living (from a GDP-growth standpoint) is happening and it’s not slowing down.  Therefore, it’s impossible to be completely purest with an ideology towards sustainable practices (our economy is growing in the double-digits and two coal factories are built each week) or good health (I’ve tried raw food diets and vegetarianism in China…it’s really, really hard).  In essence, it’s about balance, social stability and just creating a happy, healthy home with the best educated choices I can make.  And in that sense, not too far off from the LOHAS consumer behaviour elsewhere in the world, just in earlier stages of awareness that is still “me-focused” with an infrastructure that is still learning about how invest in natural capitalism.  There are more sacrifices here around what’s available and what you’re able to have control over.
The practice of “balancing” one’s life and creating a happy home will soon evolve into a re-discovery of that harmonious relationship of the body with its surrounding environment, hopefully with a proactive ability to change things.  That moment will be a positive phase in tackling this as a global community.  For now, LOHAS in China is perceived as a trend.  A brand or lifestyle that promotes stress-free living and smart, trendy consumer choices (and let’s not forget, you have to consume to be LOHAS here).  A lifestyle that is modern, but about going back to traditional roots of being closer to Nature.  The point at which Chinese consumers understand that much of this personal stress experienced through the pressures of modernization and over-development are intrinsically connected to environmental stresses, is the day that everything clicks.

By Amena Lee Schlaikjer
Independent Wellness Innovator  www.the-wellness-works.com
Shanghai Manager of Asia-Pacific LOHAS   www.lohas-asia.org

 

Ted Ning is renowned for leading the annual LOHAS Forum, LOHAS.com and LOHAS Journal the past 9 years Ted Ning is widely regarded as the epicenter of all things LOHAS leading many to affectionately refer to him as ‘Mr. LOHAS’. He is a change agent, trend spotter and principal of the LOHAS Group, which advises large and small corporations on accessing and profiting from the +$300 billion lifestyles of health and sustainability marketplace.  The LOHAS Group is a strategy firm focusing on helping companies discover, create, nurture and develop their unique brand assets.  For more information on Ted visit  www.tedning.com

Art Lends a Hand to the Beauty of LOHASIAN branding.

Wednesday, April 17, 2013 by

Check out the iconic sculpture, The Hand, a work of art I saw in Uruguay recently, by Chilean artist Mario Irarrázaba. Installed in Punta del Este in 1982, this sculpture was originally envisioned by the artist as a warning to swimmers about the rough surf just steps away. But to me, this iconic sculpture is more about hope. Humanity. Our connection with nature. And our ability as humans to keep reaching for the sky.

So it goes with art or any creative endeavor.  Meaning and interpretation contain as many layers as we have words to express. The same is true with marketing, messaging and branding. As the head of a global and mobile, Minneapolis/St. Paul-based advertising and marketing agency, I know that messaging that resonates with one person may not with another.

That's the beauty of brands. Part art, part science,  brands that try to be a lot of everything; amount to a lot of nothing. Brands are unique. They speak a language all their own. They are how we connect emotionally to products, services and businesses. And of course, while a luxury brand might convey the quintessential aspiration for one person, the same brand could smack of needless excess to another.

Like art, we all see things a bit differently. And at the end of the day, perhaps branding is fundamentally all about offering a little helping hand. Connecting. Reaching out. Of being held. And holding.

Shoppers' shifting values will lead to more green, fair, quality purchases

Wednesday, April 3, 2013 by

The sharing trend that became popular with Zipcar is likely to expand to other industries such as tools and baby gear as consumers readjust their spending patterns to focus less on conspicuous consumption and more on making thoughtful choices with their money, says one leading social forecaster.

In the improving but not yet booming economy of 2013, Patricia Aburdene, author of the New York Times bestseller "Megatrends 2000" and most recently "Conscious Money" (Atria Publishing; $16 paperback), predicts priorities and values will play a bigger role in shaping spending decisions.

"Key concepts like practical, quality, meaningful, simplicity, chemical-free, local and sustainable will be what encourages consumers to open their wallets," said Ms. Aburdene, who lives in Boulder, Colo.

For the most part, people are still feeling some financial stress brought on by the Great Recession that started in December 2007, which she says is fueling the popularity of sharing trends such as Zipcar, which allows members of its sharing network to reserve cars for personal use by the hour or the day.

The car-sharing niche created by Zipcar in January 2000 is already starting to see more competitors. Hertz, Enterprise and UHaul have come up with their own versions of short-term car rentals. Regional competitors such as City CarShare in San Francisco, Mint in New York and Boston; and I-GO in Chicago also are becoming bigger players.

"Car sharing is taking off because people are realizing how darn much it costs to own a car," Ms. Aburdene said, adding that car sharing is more of an urban phenomenon.

Other new societal demands and behavior that she expects will gain more traction are transparency, fair trade and third-party verification of products.

Just as the "Good Housekeeping Seal of Approval" helped consumers in past decades put their trust in a product, Ms. Aburdene says more shoppers will be drawn to seals of approval from groups like Greenpeace and the Rain Forest Alliance. "Those product seals will let consumers know the company is socially responsible and the consumer is making a difference in the world when they buy the product," she said.

Fair trade is another growing global movement that will affect spending, according to Ms. Aburdene. Fair trade products -- ranging from coffee to chocolate to wine -- sometimes cost more so that farmers are paid fairly for their efforts.

Gerald Celente, publisher of The Trends Journal in Kingston, N.Y., said he agrees with Ms. Aburdene's analysis of 2013 trends in general. But he says the majority of Americans are on a downward economic path and may not have the luxury of making socially conscious spending choices, especially when there are cheaper alternatives.

"While they can have the best intentions, it's a stomach issue and a pocketbook issue. People are falling out of the middle class in huge numbers," said Mr. Celente, who forecast the popularity of gourmet coffee years before Starbucks became a household name and bottled water decades before Coke and Pepsi got into the business.

Mr. Celente, author of "Trend Tracking" and "Trends 2000" (Warner Books), said Ms. Aburdene's trend predictions for the new year refer mainly to a small segment of people in an affluent society, but do not apply to the masses of Americans struggling to make ends meet.

However, Ms. Aburdene has a pretty good track record of past predictions.

In "Megatrends 2000," which was published in 1990, when many economists warned of tough economic times ahead, she and co-author John Naisbitt instead predicted a booming global economy during the 1990s. The book also predicted the Pacific Rim would come to prominence in the 1990s, and it certainly did, with China and the economies of the Four Tigers (Hong Kong, South Korea, Singapore and Taiwan) expanding at explosive rates.

"When you look at the trends for 2013, the social trends have a very strong economic flavor to them," Ms. Aburdene said. "The way consumers can begin being conscious about money is to start by reflecting on their values and priorities so they spend money in ways that feel right to them."


First Published February 26, 2013 1:15 am by Tim Grant: tgrant@post-gazette.com

The Buck Slows Here – Why the Time for Slow Money is Now

Monday, April 1, 2013 by

 The Buck Slows Here Slow Money slow food investing Carlo Petrini By Woody Tasch

There is no such thing as money that is too fast.

This was one of the certainties of the Old World of Finance.

But now, here we are, on the shores of a New World of Finance that none of us asked to explore — listening to the blandishments of investment bank CEOs apologizing for $6 billion mistakes and, then, to halting arguments about regulation that strike some as a bunch of pea shooters aiming at a predator drone.

It’s as if, on our way to the far-flung territories of Endless Growth and Unending Consumer Confidence and a 20,000 Dow, we’d awoken after a superstorm, stranded on the shores of R.H. Tawney’s seminal historic insight: “The certainties of one age are the problems of the next.”

There is no such thing as money that is too fast.

This certainty of our age is leaving many mounting problems for the next.

There are problems of debt.  In the foreground, government budget deficits and the national debt.  In the background, a deep structural debt that is even harder to face: fossil fuel debt, dense carbon debt—each day, on a global basis, we use petrochemical energy it took 10,000 years to make.

There are problems of doubt.  In the foreground, climate change:  Is it manmade?  Is it catastrophic?  What can we do about it?  In the background, doubt of the economic and financial kind: With $600 trillion in derivatives still hovering somewhere just out of sight, what is the connection between Wall Street and our wellbeing?  Are ever-accelerating global financial markets the best path to preservation and restoration?

We need a new kind of reckoning.  And our first bit of reckoning must be this:

There is such a thing as money that is too fast.

Money that is too fast is money that has become so detached from people, place and the activities that it is financing that not even the experts understand it fully.  Money that is too fast makes it impossible to say whether the world economy is going through a correction in the credit markets, triggered by the sub-prime mortgage crisis, or whether we are teetering on the edge of something much deeper and more challenging, tied to petrodollars, derivatives, hedge funds, futures, arbitrage and a byzantine hyper-securitized system of intermediation that no quant, no program trader, no speculator, no investment bank CEO can any longer fully understand or manage. 

Just as no one can say precisely where the meat in a hamburger comes from (it may contain meat from as many as a hundred or a thousand animals), no one can say where the money in this or that security has come from, where it is going or what is behind it. No one can say for sure whether — if it were to be “stopped” and held by someone for more than a few instants — it represents any intrinsic or real value.   Money that is too fast creates an environment in which, when questioned about the outcome of the credit crisis, former Treasury Secretary Robert Rubin could only respond, “No one knows.”

 The Buck Slows Here Slow Money slow food investing Carlo Petrini The buck didn’t stop there, for sure, but we can slow a few of ours, here.

I’ll see your global financial shenanigans and raise you Local Harvest.  I’ll see your GMOs and raise you Coyote Creek Feed Mill.  I’ll see your Dodd-Frank and raise you Carlo Petrini and Jack Lazor.  I’ll see your Farm Bill and raise you MM Local.  I’ll see your CDOs and raise you Slow Money.

Let’s take a few of those trillions-of-dollars-a-day that are zooming through cyberspace, financing everything from smokestacks in Chongqing to parking lots in Las Vegas to frost-resistant fish genes in tomatoes, and put them to work near where we live. There it can support the next generation of small farms, grain mills, creameries, seed companies, processing and distribution companies, food hubs, urban farms and more, improving our local economy, building soil fertility and supporting the next generation of small food entrepreneurs who are fixing our economy from the ground up.

With a little bit of gumption (and a little fun, too, because being under the tent with thousands of farmers, small food entrepreneurs, investors and activists, all working together to rebuild local food systems, is more fun than an Initial Public Offering), we can say, together,  “The buck slows here.”


Woody Tasch is the founder of Slow Money and the author of Inquiries into the Nature of Slow Money: Investing as if Food, Farms and Fertility Mattered.  Slow Money’s 4th National Gathering is in Boulder, CO on April 29-30.  Since 2010, Slow Money’s 17 chapters and six investment clubs have facilitated the flow of $23 million to 185 small food enterprises around the country. Originally published by Triple Pundit

 

 

Leading Grocers Act to Reduce Food Waste

Thursday, March 21, 2013 by

“We educate team members and consumers to sort their trash and not just ‘throw it away,’ because there is no ‘away.’”   - Tristam Coffin, Whole Foods Market

Abundance and waste. They are two sides of the same coin in America, and that goes for our food system, too.

According to Jonathan Bloom, author of Wasted Food, nearly 40% of all food produced in the United States gets thrown away before it is consumed, and the vast majority of that (97%) ends up in a landfill, where organic food waste is one of the main culprits in methane gas production – a major contributor to global warming.

Each year, 160 billion pounds of food – the equivalent of $250 billion per year – is wasted, enough to fill the equivalent of two Rose Bowls every day, said Bloom, who spoke at the Sustainable Foods Summit held recently in San Francisco, and produced by leading market research firm Organic Monitor.

With the planet’s population set to increase from 7 billion to more than 9 billion by 2050, it isn’t just a matter of increasing food production, but decreasing food waste as well as redistributing food to food banks. A number of grocers are taking steps to address this issue, including SuperValu, the third largest retailer in the U.S., which has achieved “zero waste,” or 90% diversion from the landfill, in 150 of its stores, said Michael Hewett, Director of Environmental and Sustainability Programs for Publix and a member of the Food Marketing Institute’s (FMI) Sustainability Executive Committee.

“As retailers pull cardboard, plastic, cans, etc., out of the waste stream, they are left with food,” said Hewett. “We must find ways to capture food before it goes bad and get it to food banks. From Ahold USA to Winn Dixie, grocers need to share best practices in a ‘pre-competitive’ way. That’s radical collaboration,” he said.

“Globally, one third of all food produced is wasted in processing, handling, storage, sale, preparation and cooking and serving of food,” said Amy Kirtland, Executive Director of Unified Grocers. Kirtland is working with grocers through the Food Waste Reduction Alliance, comprising members of FMI, Grocery Manufacturers Association and the National Restaurant Association, to divert and reduce food waste. Kroger is diverting organic waste to energy production, she said, while Hannaford educates children about food waste through a pilot composting project.

At Whole Foods Market, “We’re looking not for a ‘silver bullet,’ said Tristam Coffin, Whole Foods’ Energy and Maintenance Project Manager, so much as ‘silver buckshot,’ in that stores deal with food waste in region-appropriate ways.” For example, Whole Foods stores in St. Paul, MN, are working with a local farmer to divert food waste for hog feed; other stores work with farmers to supply food waste for compost. In Chicago, stores donate local produce waste to the Lincoln Park Zoo. “We educate team members and consumers to sort their trash and not just ‘throw it away,’ because there is no ‘away,’” he said.

With regard to donating food to food banks, the Bill Emerson Good Samaritan Food Donation Act, signed by President Clinton in 1996, helps reduce liability for grocers seeking to distribute food to food banks and the poor, said Claire Cummings, West Coast Fellow at Bon Appetit Management Co., a leading food service company working with universities and other institutions. “Our goal is to find ways to distribute 1 billion pounds of produce per year by 2015, and that includes making sure that food banks are prepared to take on additional capacity for donated foods ,” added Devi Raja, Director of Food Produce for Feeding America.

____________

Steven Hoffman, Co-founder of LOHAS Journal and the LOHAS Forum annual market trends conference, and former director of The Organic Center, has been involved in sustainable food and agriculture and the LOHAS market for more than 30 years. He is Managing Director of Compass Natural LLC, a full service marketing communications, public relations and business development agency serving natural, organic and sustainable business. Hoffman is former Editorial Director of New Hope Natural Media’s natural and organic products trade publications and former Program Director of Natural Products Expo East and West, the world’s largest natural and organic products trade exhibitions. A former Peace Corps volunteer and agricultural extension agent, Hoffman holds a M.S. in Agriculture from Penn State University.

Inspirations from Europe: Organic Valentine's

Thursday, March 21, 2013 by

Every year around the Valentine’s day organic lovers meet up in the German city Nuremberg to indulge on the largest organic fair in the world.

BioFach, born in Frankfurt in 1989 with only a handful of companies, today grew to an international sought-after event. “41,500 trade visitors from 129 countries (international share 43%) were delighted with the usual high-quality, varied and innovative range of products from the 2,396 exhibitors at this year’s edition of the exhibition duo BioFach and Vivaness. Italy, Austria, France and the Netherlands made it to the top 5 countries for visitors in addition to Germany.” (1) Romania was the country in the spotlight this year.

Coffee tasting at brew bar, the world cheese experience with 200 organic varieties, fish market, vinotheque, innovations made in Germany pavilion, 219 olive oil producers from 26 countries were some of the BioFach 2013 delights. Vivaness natural personal care novelties stand with innovative products, trendy niche brands and young labels made the icing on the cake.

Besides, networking events and illuminating congress that stand as a trend barometer and source of inspiration for the whole sector were again part of the pro-nature set up. Past February, 8,274 congress participants sourced information at 161 events ranging from natural personal care, through organic produce discussions to sustainability and more pro-action open space forum presented by YoungOrganics.

And if that was not enough mingling, the five-day event offers Thursday stand parties to further gratify your green appetite.

BioFach globally? Sure, it has spread to Baltimore, Sao Paulo, Shanghai, Bangalore and Tokyo. But the one in Germany is one of its kind.

Hotels get packed, so book wel in advance. Next date for Nuremberg: 12–15 February 2014. See you there!

1 Source: www.Biofach.de

Wealth + Well Being = True Prosperity?

Friday, March 1, 2013 by

What is genuine prosperity? Whether you are an individual devoted to growing Conscious Money, a LOHAS company committed to delivering value to your customers, or an architect of economic policy, it serves you well to contemplate that question. When you do, you may find yourself wanting to distinguish true prosperity from the mundane variety that may dazzle at first, only to unravel because it is highly unsustainable. Many are tempted to define prosperity in strict economic terms. Metrics are handy and besides, we’re talking about financial matters, aren’t we? 

Not entirely. As Robert F. Kennedy said in 1968, “The gross national product does not allow for the health of our children, the quality of their education, or the joy of their play … It does not include the beauty of our poetry . . . our wisdom . . . our compassion . . . it measures everything, in short, except that which makes life worthwhile.”
RFK’s moving remarks are especially pertinent today because, despite continued inequities, glaring injustices, and distressing environmental developments, an initial level of economic well-being is within reach for hundreds of millions of people, particularly in Latin America, Asia, Eastern Europe, and some of the more prosperous countries of Africa and the Middle East. For this reason, I would argue that the potential for people to practice Conscious Money is becoming a truly global phenomenon. That statement holds enormous ramifications for the LOHAS movement.
But how on earth do we factor in the many and deep dimensions of life that as Robert Kennedy told us, cannot be measured by what some call “the numbers”? 
 
Introducing: The Legatum Prosperity Index
True prosperity requires us to examine a complex set of human factors that encompass human values and consciousness. Determining and measuring the factors that sustain prosperity is the work of the London-based Legatum Prosperity Index, a global database that defines prosperity as wealth and well-being.  The Index’s findings often defy traditional thinking about who is prosperous and who is not. For example, the United States, often deemed the world’s wealthiest nation, ranks as only the tenth most prosperous. And the former Soviet republic of Kazakhstan, which is hardly considered well-to-do, ranks number 46 on the Prosperity Index, a few notches higher than oil-rich Saudi Arabia, which comes in at 49th. One intriguing and positive Index metric shows that the people of sub-Saharan Africa are more optimistic about entrepreneurship than those of many richer countries.
The Prosperity Index evaluates 110 countries (comprising 90 percent of the world’s population) on eight foundational factors of prosperity: economy, entrepreneurship and opportunity, governance, education, health, safety and security, personal freedom, and social capital. Except for “economy,” which might be construed as purely financial, these building blocks of prosperity, in one way or another, gauge or reflect human values or higher consciousness. 
For example, education raises human awareness: higher education levels generally point to greater possibility of conscious choice. Entrepreneurship requires hope, a core human value. Security frees the human spirit to engage in productive activity, including economic activity. Social capital, which the Index defines as cohesive community and family networks, relies on the value of trust, the lack of which is highly detrimental to prosperity. 
As the potential for Conscious Money expands globally, we can see the world anew, envisioning fresh opportunities for ourselves, our children and grandchildren, to live, work, and invest in a world of peace and prosperity. But as the Legatum Prosperity Index demonstrates, it is not economics alone, but economics infused with shared consciousness cultivates the right conditions for a rich, fulfilling life. The Index also shows us that money, values, and consciousness are seamlessly intertwined in the dynamic of human economic evolution here on planet Earth. 
That bodes well for the future of the LOHAS movement and its continued international expansion.
 
Patricia Aburdene is one of the world’s leading social forecasters and an internationally-renown speaker. She co-authored the number one New York Times bestseller Megatrends 2000. Her book Megatrends 2010: The Rise of Conscious Capitalism launched a business revolution. Patricia’s new book, Conscious Money: Living, Creating, and Investing with Your Values for A Sustainable New Prosperity, published in 2012, is a finalist is the Green category for the “Books for a Better Life Award.” Read Chapter one of Conscious Money at  http://www.beyondword.com/product/Conscious-Money-02926. Patricia was named one of the “Top 100 Thought Leaders in Business Behavior” and serves as an Ambassador of the Conscious Capitalist Institute. Patricia’s journalism career began at Forbes magazine and she was a public policy follow at Radcliffe College, Cambridge, MA. Her website is patriciaaburdene.com.
 
 
 
 
 
 
 
 
 

Conscious Money & Conscious Capitalism

Friday, January 25, 2013 by

Two of today’s greatest megatrends, Conscious Money and Conscious Capitalism, are cut from the same financial cloth. And each of these innovative strategies flies in the face of conventional money thinking—which insists that human values should play no role whatsoever in financial decisions. That view is clearly incorrect. Values powerfully shape our choices (even if we’re unaware of it) and our behavior. Our choices and actions write the story of our lives—and our money lives. I’d go even further: positive values support us make better financial choices. Why? Because values engage the heart in the way that sound financial practices honor the head. When heart and head are in sync, our emotions are steady, our mind is settled, and our direction is clear—all of which enhance our ability to make good economic decisions.

Today, conscious finance attracts more followers daily as business leaders and “ordinary” people alike seek new monetary models that integrate values into finance. The $290 billion LOHAS market of course, is well known to many, but consider also the $3.74 trillion Sustainable Responsible Investing (SRI) industry, which has expanded 22 percent since 2010. Each of these robust sector, which have continued to thrive despite a weak economic recovery, embody Conscious Money, illustrating how compatible values and money really are. So much for conventional thinking. In fact, traditional financial and consumer brands avidly pursue the LOHAS and SRI markets. 
Conscious Capitalism is a new breed of free enterprise that honors people, purpose, and the planet. Embraced by visionary CEOs, in the US and globally, Conscious Capitalism differs from traditional capitalism because it endorses the “stakeholder model” of business which considers the interests of all parties that contribute to corporate success—customers, employees, investors, suppliers, communities, and the planet at large. Traditional capitalist theory by contrast tends to place investors first. For example, the late Milton Friedman, a Nobel laureate in economics, famously stated: “The social responsibility of business is to increase profit.” Conscious Capitalists are typically highly committed to growing profit, as well, but go they about it in a different way: by embracing a purpose above and beyond profit, such as promoting personal health or global sustainability. Human values like trust, justice, or transparency also play an important role in policy and behavior of conscious companies.  
Conscious Money, by contrast, is an approach to personal finance in which human values, inner wisdom, and higher consciousness guide individual financial choices, while people also observe sound monetary principles. The idea behind Conscious Money is simple: it’s about creating a positive, life-affirming relationship with money and a recognition that, when greater awareness (or consciousness) directs money choices, it can make a difference for one’s self, for others and for the planet at large. 
Figuratively speaking, your money becomes “conscious” when you infuse your cash, savings, expenditures, income investments, and philanthropic contributions with values, awareness, and positive intentions. 
Conscious Money and Conscious Capitalism are together building an unparalleled platform for meaningful economic co-creation. Because at the heart of every financial transaction lies the power of collaborative conscious choice. Conscious shoppers wield an enormous force for good in the economy. Conscious Capitalists, in turn, are more likely to invest in green innovation knowing that a growing market for green products exists. Each time individuals and businesses interact in a conscious exchange, the inner world of awareness and values tempers the marketplace of humanity, transforming our economic reality. With each positive life-affirming transaction, we jointly create a new and conscious economy that will sustain the future of human evolution and transformation.
 
Patricia Aburdene is one of the world’s leading social forecasters and an internationally-renown speaker. She co-authored the number one New York Times bestseller Megatrends 2000. Her book Megatrends 2010: The Rise of Conscious Capitalism launched a business revolution. Patricia’s new book, Conscious Money: Living, Creating, and Investing with Your Values for A Sustainable New Prosperity, published in 2012, is a finalist is the Green category for the “Books for a Better Life Award.” Read Chapter one of Conscious Money. Patricia was named one of the “Top 100 Thought Leaders in Business Behavior” and serves as an Ambassador of the Conscious Capitalist Institute. Patricia’s journalism career began at Forbes magazine and she was a public policy follow at Radcliffe College, Cambridge, MA. Her website is patriciaaburdene.com.
 

2013 LOHAS Marketing Megatrends

Wednesday, January 23, 2013 by

In the “better, but not booming” economy many predict in 2013, shoppers will focus more than ever on what they care about most deeply. So human values will increasingly shape their spending agenda. At the same time, new trends and priorities will inspire consumers to find new ways to take their values shopping. In addition to their abiding commitment to Health and Sustainability, values-driven shoppers will honor values like Transparency, Justice, Peace, and the more practical value of Frugality. Look for these trends to gain traction in 2013:

Non-violence Emerges as Top Value. In 2013 Peace and Non-violence will increasingly shape our financial choices. After the Newtown, CT massacre, a CBS poll found an 18-percent increase in people who favor tougher gun restrictions. This year powerful investors (i.e. the California teachers pension fund) have already sold weapons stocks. There are new consumer calls to boycott sporting goods stores that sell guns. In 2006, Walmart banned gun sales, but reintroduced them in 2011 to boost weak sales. “Boycott Walmart” initiatives now appear on Facebook.

Fair Trade Takes Off. Fair Trade (FT for short) consumers voluntarily pay a little bit more to endorse the value of social justice for farmers and artisans in developing countries. Result: Fair Trade is trending toward $5 billion global market. Fair Trade USA’s “Fair Trade Finder” mobile app helps consumers find FT products.

Third Party Verification Rules. Conscious shoppers favor products bearing a seal or certification from a reputable organization. LOHAS shoppers—80 percent of them—want trusted, independent sources to verify corporate product claims and 40 percent of all shoppers demand a seal or certification, reports a study by the Natural Marketing Institute.

Old-fashioned and Green Cleaning Products Rock. As green cleaners like Method, Seventh Generation, and Green Works gain market share over traditional labels, most mainstream cleaning brands (except Clorox and S C Johnson) still refuse to disclose chemical ingredients, despite pressure from consumers and activists. Meanwhile LOHAS shoppers enthusiastically embrace Grandma’s non-toxic—and ridiculously inexpensive—baking soda and vinegar. Great Recession helped us discover joy of frugality, but it’s unlikely we’ll abandon it as the economy picks up.

If there were a motto for 2013’s consumer spending mood, it might be: “Conspicuous consumption is gone for good; but discerning, values-driven spending never goes out of style.” Key words such as quality, meaning, simplicity, peace, economical, and local aptly describe the value propositions that will encourage shoppers to open their wallet in 2013. Time was, marketers asked, “Who is my consumer?” and defined consumer identity in strict demographic terms. But those who seek to build enduring relationships with LOHAS consumers must instead ask, “What are her values?” then cultivate a strategy for reaching said consumer by authentically embodying her values in all branding messages. 

________________

Patricia Aburdene is one of the world’s leading social forecasters and an internationally-renown speaker. She co-authored the number one New York Times bestseller Megatrends 2000. Her book Megatrends 2010: The Rise of Conscious Capitalism launched a business revolution. Patricia’s new book, Conscious Money: Living, Creating, and Investing with Your Values for A Sustainable New Prosperity, published in 2012, is a finalist is the Green category for the “Books for a Better Life Award.” Read Chapter one of Conscious Money. Patricia was named one of the “Top 100 Thought Leaders in Business Behavior” and serves as an Ambassador of the Conscious Capitalist Institute. Patricia’s journalism career began at Forbes magazine and she was a public policy follow at Radcliffe College, Cambridge, MA. Her website is patriciaaburdene.com.

"The Next 20 Years of Sustainable Business" by Aron Cramer of BSR

Monday, December 31, 2012 by

[ Article form the special 20th Anniversary issue of the GreenMoney Journal (Fall 2012) and www.GreenMoney.com ]

The Next 20 Years of Sustainable Business

by Aron Cramer, President and CEO, BSR (Business for Social Responsibility)

Twenty years after the Earth Summit in Rio, and in this BSR’s 20th anniversary year, we are both looking back and looking ahead. And as we reflect on the past 20 years, it seems that everything has changed…and nothing has changed. There are reasons to celebrate great achievements, but even more reasons to redouble efforts to achieve the tangible successes that are necessary to put the world on a genuinely sustainable path. Just recently there has been an unprecedented turnout by business and civil society at Rio+20, while at the same time the American Meteorological Society reports that freak heat waves in the US and fatal floods in Russia were likely caused by climate change.

Most businesses, and many other institutions, now recognize that we have in our hands the ability to create an economy that delivers dignified lives of comfort and opportunity for the 9 billion people we expect in 2050; an energy system that enables economic growth without irreversible climate change; and access to food, energy, water, and technology. Whether or not we turn this vision into reality is not just of interest to sustainability professionals, it is nothing less than the central challenge of the 21st century.

There are indeed many great accomplishments that have been achieved since 1992. As sustainability enters the mainstream, we see that hundreds of millions of people have escaped poverty in the past generation, something never before achieved in human history. Most large multinational companies and countless small and medium enterprises (SMEs) all across the world have embraced sustainability. Consumers, investors, and governments have vastly more information than ever before to enable them to assess how business is performing on sustainability, allowing rewards for the best performers. Collaboration and dialogue between business, NGOs, and community organizations, once taboo, is now considered basic. Technology’s ability to connect us has created a global community unprecedented in human history. And where companies once saw corporate social responsibility (CSR) as a risk mitigation exercise, more and more understand sustainability to be the mother of all innovation opportunities. All this is great cause for optimism.

And yet, there are many, many areas in which, twenty years after the initial Earth Summit, progress is insufficient. Our planet continues to warm, with carbon levels nearing 400 parts per million, dangerously close to the point at which irredeemable changes will occur. We need only consider the thousands of record high temperatures in the early summer of 2012 in North America, capping the hottest year on record in the United States, to make the point. The International Energy Agency, hardly an alarmist organization, now sees serious risk of catastrophic climate change. Deforestation proceeds. Progress towards the Millennium Development Goals is inconsistent. The number of water-stressed regions in the world grows annually. And our measures of economic vitality remain tied to unsustainable levels of natural resource consumption. Governments have largely abdicated responsibility to take concerted action to promote low-carbon economic growth, wilting in the face of the global financial crisis. This litany makes clear that, by many objective measures, progress is far too slow – at best.

Without a change in course, the remarkable rise in living standards that have enabled countless people to live lives of dignity will either be halted or reversed.

But with new thinking, innovation, and collaborative action, we can transform our world, and turn the vision of sustainable, prosperous lives for nine billion people into a reality.

Where We Need To Go

If we are to build on the successes of the last twenty years, we need to change course. The task ahead is no longer about defining the challenge; it is about meeting the challenge. We don’t need more roadmaps; we need to move faster towards the destination.

The path forward is fundamentally different than the one we have traveled over the past two decades. In the first decade after the original Earth Summit, the time when BSR was founded, the primary challenge was to raise awareness in the business community about why sustainability was a crucial and legitimate topic for the private sector. In the subsequent decade, energies were directed less to awareness raising, and more to the integration of social and environmental strategies into business strategy and operations. For the decade ahead, integration remains crucial. Companies have made great progress in the past two decades, and we have been proud to play a role in that. There is considerable room to go further, and we write about that elsewhere in this article.

But a new decade brings a new approach. More substantial progress, however, depends on change not only inside individual companies, but also within entire systems. The era of the hermetically sealed, vertically integrated company is long gone. Every business, in every part of the world, operates within a web of systems: economic, cultural, political, and natural. Every business in every part of the world relies on networks of suppliers, customers, and investors. Even the most innovative companies won’t capture the potential of their efforts if these systems disregard sustainability. And as much as we value best practices, we also know from the past two decades that even the most creative experiments and demonstration projects are not going to meet the scale of the challenge.

So the solutions we need to achieve our goals must also be systemic. A genuinely sustainable economy depends on four inter-related elements: (1) the operational systems in which companies act; (2) the markets that shape the way investments are made and value is defined; (3) the stakeholder world that holds great promise, and (4) the world of ever more empowered individuals and connected communities.

   •     Truly Integrated Business Models: Business decision-making does not currently integrate environmental, social, and governance (ESG) factors into investment calculations. Fifteen years after John Elkington popularized the triple bottom line, very few companies have actually integrated this model into their economic valuations. Whether or not financial markets change the game, there is an opportunity for companies to get smarter about the intangible assets that increasingly make or break their success. While some companies are experimenting with economic valuations that include elements like carbon, we have not yet seen widespread adoption of economic models that place a value on ecosystem services, community goodwill, or the risk of stranded assets. It is now widely agreed that these things have value; our task for the next decade is to get more precise about what the value is, and how to measure it. The Natural Capital Declaration that 57 companies signed at Rio+20 is a good start down this path.

   •     Financial Markets That Promote Long-Term Value: Despite the Great Recession, public markets focus as intensely as ever on short-term returns. Shares in publicly traded companies in the United States are held for an average of seven months, down from seven years two generations ago. Markets allocate capital with great effect, and the challenge ahead is to maintain the best aspects of market flexibility while reducing the relentless pressure of short-termism. Financial innovation, which was blamed for the crash in 2008, can also be parlayed into new mechanisms that help create long-term value. Integrated reporting, integration of non-financial risks and opportunities into definitions of fiduciary duty, the creation of “L shares” as proposed by Al Gore and David Blood, as well as other mechanisms will create a virtuous circle in which companies are rewarded for taking the long view, and investors are cushioned from the risks of excessive short-term thinking. And there is little doubt that there is also the need to restore trust in our financial system if the “real economy” is going to thrive.

   •     New Frontiers of Collaboration: The past 20 years introduced the concept of collaboration among companies and an increasingly powerful network of NGOs around the world. The next 20 years will see the lines between for-profit and not-for-profit organizations blur substantially. A world of dialogue between organizations defined by whether they are for-profit or non-profit may be drawing to a close. Can we imagine a world in which every enterprise is a social enterprise? A world in which every NGO thinks about market solutions to the world’s most pressing challenges? How will companies collaborate when every individual has a megaphone bigger than those available to the world’s biggest NGOs 20 years ago?

   •     The Empowered Individual: The next ten years will continue to put more and more information and autonomy into the hands of individuals and self-forming groups. The demise of business models relying on big businesses selling to passive mass audiences will accelerate. More and more information will be available to individuals. The “internet of things” and widespread sensors will make the invisible visible. Advances in biotechnology will provide quantum leaps in our understanding of how the world around us, and our choices as consumers and citizens, affects our health. These changes can – under the right circumstances – be a net positive for sustainability. And it is undeniably the case that companies will need to adapt to a world of truly radical transparency.

At BSR, we want to see a world with a truly inclusive economy that enables all people to meet their needs, shape their futures, and achieve their potential. We want to see a world that values and preserves natural resources so that future generations have the same – or better – opportunity to thrive. We see a world where economic health – for individuals and for nations and enterprises – is measured not by the quantity of consumption, but by the quality of life that economic activity delivers. And we want to see a world in which public policy and markets create the incentives and rules that make it possible for businesses that point in this direction to thrive. Companies that embrace this challenge will be the ones to achieve the greatest success…and the ones who create a world of which we can be proud.

The road ahead needs greater emphasis on systemic solutions like those I describe here. If real progress is made in these areas over the next twenty years, we will have done a great deal to accelerate… and will have more reasons to celebrate.

 

Article by Aron Cramer, President and CEO, Business for Social Responsibility (BSR) (www.bsr.org ). Mr. Cramer is recognized globally as an authority on corporate responsibility by leaders in business and NGOs as well as by his peers in the field. He advises senior executives at BSR’s nearly 300 member companies and other global businesses, and is regularly featured as a speaker at major events and in a range of media outlets. Under his leadership, BSR has doubled its staff and significantly expanded its global presence. Mr. Cramer is co-author of the book Sustainable Excellence: The Future of Business in a Fast-changing World, about the corporate responsibility strategies that drive business success. He joined BSR in 1995 as the founding director of its Business and Human Rights Program, and opened BSR’s Paris office in 2002, where he worked until assuming his current roles in 2004.

Previously he practiced law in San Francisco and worked as a journalist at ABC News in New York. He has expertise in integrating sustainability into business strategy, human rights policies and practices, and stakeholder engagement.

 

For more information go to- www.GreenMoney.com

 

==============

 

Looking Forward – Relevance Achieved

Wednesday, December 19, 2012 by

socially responsible investingLooking Forward – Relevance Achieved By Amy Domini, CFA, founder, Domini Social Investments ( Article from Fall 2012 - Special 20th Anniversary issue of GreenMoney Journal and  www.GreenMoney.com )

Looking forward ten, even twenty years, what will Socially Responsible Investing (SRI) have become? What will it have accomplished? What will the field look like? Today, I build a case for a good future. In a word, it will largely be marvelous.

Roughly 15 years ago, I spoke in Jackson Hole, Wyoming. It is a spectacular setting, one that makes a person proud to be in a great nation like ours, one that protects such places. Yet, as I reminded the audience that day, it had not been the public that had kept the Grand Tetons pristine. It was one man, John D. Rockefeller, who had purchased the land and given it to the nation.

This is the classic dilemma we in SRI struggle with every day. It is great that the Grand Tetons are a public treasure, but they became so on the backs of crushed labor forces, pollution and selfishness. One man made his money and then gave it away, but he set in motion the international oil industry, an industry that is robbing us of a climate, a future.

That day I challenged SRI to become relevant. Today, I can see clearly that it has. Over the next twenty years, the positions we have taken and the battles we have fought will lead to a universal understanding that what we have been saying, the way you invest matters, is absolutely correct. We will see our guiding principles integrated into the mainstream. We will be astonished at the acceptance and the impact that we have had.

How We Became Relevant - Performance Matters

Perhaps the most devastating argument we faced early on was the Modern Portfolio Theory (MPT). It argues that the previous “prudent man” idea of buying good stocks alone, created risk. Introduced in 1952 by Harry Markowitz, the original premise was simple: investors should focus on overall portfolio risk. Simply put, even if you love software, you still shouldn’t build an entire portfolio of software stocks. Astonishingly, this revelation won Mr. Markowitz a Nobel Prize in Economics and caused the entire financial services industry to argue that the individual risk characteristics of a company mattered little.

Against this backdrop, SRI seemed hopelessly old fashioned. We argue that each company, by virtue of the industry within which it operates, faces a series of risks that we label as risks to people or the planet. We then argue that taking too large a risk is not necessary and further, that it perpetuates an acceptance of these risks. Wall Street pundits stated with great authority, but with no basis, that our form of analysis flew in the face of Modern Portfolio Theory and so would fail. Our largest barrier was that, to use the vernacular, every smart person knew SRI was stupid.

The evidence proved otherwise. The MSCI KLD 400 Social Index has not only debunked the premise of MPT, but also shown that risk avoidance works. The index has outperformed -- and has done so with a lower standard deviation. Clearly, examining the risk of corporate behavior tells us something about a company that is useful to investors.

Why We Are Relevant – An Increase in Reporting

SRI practitioners have pushed for “extra-financial” data and have gotten it. At first, true comparative data on companies was extremely scarce in some areas of keen interest to the concerned investor. Any good researcher understands that the newspapers are a lousy place to start. The fact that we know that Apple sourced from Foxconn does not tell us what Hewlett Packard does. What is needed is data that is universally ascertainable, without the company answering a questionnaire (which allows them to self-define), and the data must be quantitative in nature, e.g. I don’t care as much about a statement that a company seeks diversity as I do about how many minorities have been hired.

Today, thousands of companies self-report. Whereas the one or two companies that issued Social Responsibility reports thirty years ago were real outliers, today it is so mainstream that Forbes magazine maintains a blog to follow them. Accounting giant PWC makes available the 2010 survey of CSR reporting on their website. The highlights: 81 percent of all companies have CSR information on their websites; 31 percent have these assured (or verified) by a third party. Their 2012 update contains examples of what to look for when writing (or reading) them.

Who was pushing for this disclosure? It wasn’t civil society, it wasn’t Wall Street; it wasn’t government. It was a loose confederation of concerned investors who consistently pushed for greater and more standardized “non-financial” information.

Why We Are Relevant – An Increase in Regulation to Disclose

Regulators are beginning to expand on the data corporations are required to disclose. Remember, there was no God-given definition of the right way to report financials to investors. In 1932, when reforms to protect investors began, regulators looked at some of the pre-existing methods and evaluated them. This led to audited annual reports on income statements and balance sheets. It led to quarterly unaudited reports. These had, in the past, come to be viewed as important in judging the financial soundness of a corporation.

However, the regulators did not stop with accounting issues. Given that the 1930s were a period of high unemployment, the number of company employees was considered important, and so its disclosure became mandated. There is no reason that more robust social and environmental reporting shouldn’t be in the financial reports. We already disclose a company’s hometown, without companies complaining of the inappropriateness and burden of so doing.

The Initiative for Responsible Investment at Harvard University maintains a database of Global CSR Disclosure requirements. In it we find 34 nations are taking steps. In 2009, Denmark, required companies to disclose CSR activities and use of environmental resources. In 2010, the United Kingdom required companies that use more than 6,000MWh per year to report on all emissions related to energy use. Malaysia, in 2007, required companies to publish CSR information on a "comply or explain" basis. Regulators, recognizing the societal costs of less than full cost accounting, are moving in to mandate disclosure.

Mainstreaming - With this solid base, here come the “big boys”

Conventional asset managers and the academic community have brought SRI to the mainstream. I began by saying the future for SRI is marvelous. Consider a world in which every major financial asset management firm demands that its staff study the social and environmental implications of the investments they make and bases recommendations upon it.

But this has already begun. Consider MEAG, the American portfolio management branch of Munich Re. Their team buys only publicly traded bonds which then back the insurance the firm issues. They use ESG criteria to give their research the edge and to avoid risk. When I met with their research team, I found that they use several of Domini’s Key Indicators. No, we don’t publish the indicators. It also was not a coincidence. The two firms independently discovered the same indicators to be telling because they both use the same logic in approaching the issues. Or there is UBS Investment Bank, where analysts specifically address the social, environmental or governance risks of a company they are recommending.

Finally, look at the all-important realm of academia, where MPT began. Just three recent examples are telling:

The Impact of a Corporate Culture of Sustainability on Corporate Behavior and Performance by Professors Robert Eccles and George Serafeim, Harvard Business School. “… we provide evidence that High Sustainability companies significantly outperform their counterparts over the long-term, both in terms of stock market and accounting performance. The outperformance is stronger in sectors where the customers are individual consumers, companies compete on the basis of brands and reputation, and in sectors where companies' products significantly depend upon extracting large amounts of natural resources.”

Corporate Social Responsibility and Access to Finance by Beiting Cheng, Harvard Business School, Ioannis Ioannou, London Business School, and George Serafeim, Harvard Business School. “Using a large cross-section of firms, we show that firms with better CSR performance face significantly lower capital constraints. The results are confirmed using an instrumental variables and a simultaneous equations approach. Finally, we find that the relation is primarily driven by social and environmental performance, rather than corporate governance.”

An FDA (Food and Drug Administration) for Financial Innovation: Applying the Insurable Interest Doctrine to Twenty-First Century Financial Markets, by Eric A. Posner and E. Glen Weyl, Law School, University of Chicago. “We propose that when firms invent new financial products, they be forbidden to sell them until they receive approval from a government agency designed along the lines of the FDA, which screens pharmaceutical innovations. The agency would approve financial products if they satisfy a test for social utility …”

The Next Twenty Years

This article limits its scope to only one leg of the SRI stool. It does not discuss the growth of shareholder activism, which is vibrant. Nor does it address the mainstreaming of selling products with narrow and specific social purpose, also a burgeoning field. Rather, by looking at the application of social criteria to an investable universe alone, we see that barriers have been removed, and that now both a mountain of money, and the force of government and academia, will work with us and introduce our goals into mainstream investment thinking.

We know we can make money, government is increasingly with us, and academia is swinging our way. Now, the rapid acceptance of more robust and integrated accounting has done away with the last barriers. This brings us the assets to have impact. As society sees the full cost of traditional business behavior, SRI will be embraced as the single most important lever towards building a better world than the planet has ever seen.

 

Article by Amy Domini, who has worked for decades to advocate that financial systems must be used to create a world of universal human dignity and ecological sustainability. She authored or co-authored several books. Her most recent, Socially Responsible Investing: Making a Difference and Making Money, was published by Dearborn Trade in 2001. She writes on the topic frequently. Her articles have appeared on the Huffington Post, the OECD Observer, GreenMoney Journal and the Journal of Investing. She is a regular columnist for Ode Magazine.

Time magazine named her to the “Time 100 list of the world’s most influential people” in 2005. President Clinton honored her at the inaugural meeting of the Clinton Global Initiative, citing her role in making socially responsible investing a global trend. The Dalai Lama, during a Town Meeting on Ethics, heard her presentation and urged his audience to give it credence.

Ms. Domini works with high net worth individuals at the Sustainability Group in Boston; she also founded Domini Social Investments, LLC ( www.domini.com ), a no-load mutual fund family for socially responsible investors. Between the two firms, she manages roughly $2 billion in assets, all invested with environmental and social objectives in mind.

She holds the Chartered Financial Analyst designation and received her B.A in International Economics from Boston University. In 2006, Ms. Domini was awarded an honorary Doctor of Business Administration from Northeastern University. In 2007, she received an honorary Doctor of Humane Letters from the Berkeley Divinity School at Yale. Ms. Domini is a past trustee of the Church Pension Board at the Episcopal Church (U.S.A.). Among others, she is also a past Board member of the Governing board of the Interfaith Center on Corporate Responsibility, the National Community Capital Association, and the Social Investment Forum.

 

For more information go to- www.GreenMoney.com

 

========

 

 

 

 

4 Ways To Surf The Waves of Change

Thursday, December 6, 2012 by

waves of changeWe are a country divided, as the past election showed us, driven by conflicting viewpoints and approaches to problems. Essentials of life, such as finances and healthcare, have very different meanings to different people. And with a split government, such differences tend to end in gridlock. All of which implies that, as a whole, we are looking at drawn out economic problems, endless healthcare arguments, and an abiding sense of uncertainty in our lives. We hesitate to contemplate what the future may bring.

Such uncertainty, added to with opposing views on climate change and constant global tension, can create fear, turmoil and even panic. So how do we live with this? How do we live with the unknowing and insecurity? In fact, when everything seems hopeless is the very time we have the chance to grow into something better. Remember, what the caterpillar calls the end of the world, we call a butterfly! But, like a butterfly, the journey to such growth can be difficult, including having to possibly transform ourselves as completely as a caterpillar does.

Perhaps the best way to adjust is by recognizing that if constant change is inevitable, as it is fundamentally the essence of all life, then that doesn’t mean it has to be negative, for there is equally the potential for positive change in every moment. Here are 4 ways of surfing the waves of change that work for us:

1. Recognize that nothing is permanent

Nothing lasts, whether money, jobs, thoughts, feelings, or loved ones; everything is constantly changing, life never stands still. As Yoga Master Swami Satchidananda said, “Life is all about coming and going.” Everything that is happening now will change into something else, every structure will one day collapse, and new forms will be created, just as the cells within our bodies are constantly dying and recreating. Without change in ourselves we become stifled and stagnant; without change in the world we will not survive. Such impermanence means that every difficulty, challenge, joy, or success will, at some point, be different: this too shall pass.

2. Be With What Is

Even when times are tough, resistance is the quickest route to further discomfort and unhappiness. When we resist we put up walls or try to push the anxiety away, but this inevitably leads to unfulfilled desires and further discontent. Acceptance enables us to be with what is, to create spaciousness and room to breathe. Then we can make friends with our circumstances, instead of longing for things to be other than what they are. Being with what is means we release any need to know what the outcome of a situation might be.

3. Know that each day is a new beginning

Just as palm trees transform muddy water into sweet coconut milk, so we always have the opportunity to transform fear into courage, selfishness into kindness, and loss into a new beginning. We are capable to creating a new life for ourselves with every breath, word and action. We just need to put one foot in front of the other.

Nobody can go back and start a new beginning, but anyone can start today and make a new ending. -- Maria Robinson

4. Stay grounded and calm

As every wave has both a crest and a dip, the clue to surfing is being able to paddle in the dip so we are ready to ride the next crest. Two of the best ways that we have found to help ourselves cope with the dips are yoga and meditation. Yoga releases physical and mental stress and relaxes the body, while meditation develops a peaceful and joyful mind. They enable us be present with what is, as well as to accept and live with change.

Here’s a meditation to help you stay calm and present. It is based on the flow of breath, which is like an anchor that gives us stability and steadiness. And just as the breath comes in and goes out, so it is like the coming and going of all aspects of life. Practice for a few minutes or as long as you like.

Sit upright and relax. Breathe in and out gently, simply watching the natural rhythm of your breathing. Follow the flow of your breath and let your mind relax into the rhythm. With each in breath silently repeat, “May I be well, may I be peaceful, may I flow with the changes.” With each out breath let your heart smile gently.

****

See our award-winning book: BE THE CHANGE, How Meditation Can Transform You and the World, forewords by the Dalai Lama and Robert Thurman, with contributors Jack Kornfield, Jon Kabat-Zinn, Byron Katie and many others.

Deb is the author of the award-winning YOUR BODY SPEAKS YOUR MIND, Decoding the Emotional, Psychological, and Spiritual Messages That Underlie Illness.

Our 3 meditation CD's: Metta—Loving kindness and Forgiveness; Samadhi–Breath Awareness and Insight; and Yoga Nidra–Inner Conscious Relaxation, are available at: www.edanddebshapiro.com

From Growth Capitalism to Sustainable Capitalism: The Next 20 years of Sustainable Investing

Monday, December 3, 2012 by

By Joe Keefe, President and CEO, Pax World Management  (From the special 20th Anniversary issue of the GreenMoney Journal and www.GreenMoney.com )

Twenty years from now, we will have either successfully transitioned from our current economic growth paradigm to a new model of Sustainable Capitalism or we will be suffering the calamitous consequences of our failure to do so. Likewise, sustainable investing will either remain a niche strategy or it will have supplanted mainstream investing. This is the critical point we must embrace: sustainable investing can no longer simply present itself as an alternative to traditional investment approaches that ignore environmental, social and governance (ESG) imperatives; it cannot simply be for some people; it must actually triumph over and displace traditional investing.  

The current model of global capitalism - call it growth capitalism - is premised upon perpetual economic growth that must ultimately invade all accessible habitat and consume all available resources.[Footnote 1] Growth capitalism must eventually collapse, and is in fact collapsing, for the simple reason that a finite planet cannot sustain infinite growth. Moreover, the dislocations associated with this infinite growth paradigm and its incipient demise - climate change, rising inequality and extreme poverty, resource scarcity (including food and water shortages), habitat loss and species extinctions, ever more frequent financial crises, to name just a few - will increasingly bedevil global policy makers in the years ahead. The public sector is already experiencing a high degree of dysfunction associated with its inability to confront a defining feature of this system: the need for perpetual growth in consumption spurs a corresponding growth in public and private debt to fuel that consumption, which has roiled financial markets and sovereign finances across the globe. 

Meanwhile, the environmental fallout from this infinite growth paradigm is becoming acute. All of earth’s natural systems – air, water, minerals, oil, forests and rainforests, soil, wetlands, fisheries, coral reefs, the oceans themselves – are in serious decline. Climate change is just one symptom. “The problem is the delusion that we can have infinite quantitative economic growth, that we can keep having more and more stuff, on a finite planet.”[FN 2] The problem is an economic system that makes no distinction between capital investments that destroy the environment, or worsen public health, or exacerbate economic inequality, and those that are aligned with earth’s natural systems while promoting the general welfare. Under growth capitalism, a dollar of output is a dollar of output, regardless of its side effects; short-term profit is valued regardless of the long-term consequences or externalities. 

It is therefore discouraging that, in the U.S. at least, there is no serious discussion in mainstream policy circles about alternatives to the present system. Nor do I think there will be for some time given our current political/cultural drift. Political and economic elites, and the public itself, remain committed to growth capitalism, accustomed to “having more and more stuff,” for a host of economic, social and psychological reasons. As Jeremy Grantham has written, “[t]he problems of compounding growth in the face of finite resources are not easily understood by optimistic, short-term-oriented, and relatively innumerate humans (especially the political variety).”[FN 3] Our campaign finance system, wherein policy makers are essentially bought off by and incentivized to advance the very interests that stand to profit most from the current system, is no help. Making matters worse, large segments of the public do not even accept what science teaches us about climate change, or natural systems, or evolution, or a host of other pressing realities. The late U.S. Senator Daniel Patrick Moynihan once said that everyone is entitled to their own opinion but not their own facts. Today, it seems that a growing number of people, aided and abetted by special interests that stand to benefit from public ignorance, are increasingly opting for their own “facts.”

So, neither the public sector nor corporate and economic elites, as a result of some newfound enlightenment, seem poised to consider alternatives to the current system. To the contrary, their first impulse will be to resist any such efforts. This is the critical problem at the moment: while there is an array of powerful forces aligned against the type of sweeping, systemic change that is needed, there is no organized constituency for it. There are individuals and groups who support this or that reform, or who are focused on critical pieces of the larger puzzle (e.g., climate change, sustainable food & agriculture, gender equality, sustainable investing), but there is no movement, no political party or leader, no policy agenda to connect the dots.

That is a shame because there is a clear alternative to growth capitalism that has been articulated in recent years by a diverse body of economists, ecologists, scientists and other leading thinkers - including leaders in the sustainable investment community.[FN 4]

Although there is as of yet no unified theory or common language, let alone any sort of organized movement to speak of, what has emerged is essentially a unified vision, and that vision might best be described as Sustainable Capitalism.[FN 5]

Sustainable Capitalism may be thought of as a market system where the quality of output replaces the quantity of output as the measure of economic well-being. Sustainable Capitalism “explicitly integrates environmental, social and governance (ESG) factors into strategy, the measurement of outputs and the assessment of both risks and opportunities…. encourages us to generate financial returns in a long-term and responsible manner, and calls for internalizing negative externalities through appropriate pricing.”[FN 6] Essentially, business corporations and markets alter their focus from maximizing short-term profit to maximizing long-term value, and long-term value expressly includes the societal benefits associated with or derived from economic activity. The connections between economic output and ecological/societal health are no longer obscured but are expressly linked.[FN 7]

There is no question that growth capitalism must give way to Sustainable Capitalism. It’s as simple, and as urgent, as that. Over the next 20 years, the sustainable investing industry must play a pivotal leadership role in ushering in this historic transformation. We will need to connect the dots and catalyze the movement. Why us? For the simple reason that finance is where the battle must be joined. It is the financial system that determines how and where capital is invested, what is valued and not valued, priced and not priced. The sustainable investment community’s role is vital because the fundamental struggle is between a long-term perspective that fully integrates ESG factors into economic and investment decisions and our current paradigm which is increasingly organized around short-term trading gains as the primary driver of capital investment and economic growth regardless of consequences/externalities.

The notion that sustainable investing can simply keep to its current trajectory - a few more assets under management here, a few more successful shareholder resolutions there, a few more GRI reports issued, another UN conference, an occasional victory at the SEC - and achieve what needs to be achieved on the scale required is, frankly, untenable. We need to be more ambitious in our agenda.

We will also need to take a more critical stance, not only advocating for ESG integration but against economic and investment approaches that ignore ESG concerns. We will need to consistently critique the notion that externalities associated with economic output are somehow collateral, or that financial return is sufficient without beneficial societal returns, or that markets are inherently efficient and self-correcting. We will need to unabashedly offer sustainable investing not as an alternative approach but as a better approach - as the only sensible, responsible way to invest.

I believe the sustainable investing industry will also need to align itself with a more explicit public policy agenda - while remaining non-partisan - and work with like-minded reformers to advocate for that agenda. For example, sustainable investors should be sounding the alarm about resource scarcity and advocating for a massive public/private investment plan in clean energy, efficiency technologies and modernized infrastructure.[FN 8] The age of resource scarcity and the need for efficiency solutions is upon us.[FN 9] At Pax World, we offer a fund - the Global Environmental Markets Fund (formerly the Global Green Fund) - whose investment focus is precisely that. Our industry needs to fashion such investment solutions, and I believe there will be opportunities to do so collaboratively as well as competitively.

I also feel strongly that the greatest impediment to sustainable development across the globe is gender inequality. Advancing and empowering women and girls is not only a moral imperative but can unleash enormous potential that is now locked up in our patriarchal global economy. Sustainable investors need to press the case that gender equality needs to be a pillar of Sustainable Capitalism. At Pax World, we also have a fund - the Global Women’s Equality Fund - whose investment focus is exactly that.

In my view, the sustainable investing community should also be advocating for public funding of federal elections, either through a constitutional amendment or, absent an amendment, through a voluntary public funding system. The notion that we can tackle any major public policy issue, let alone undertake the epochal transition to Sustainable Capitalism, while politicians and regulators are captive to the very interests they are supposed to regulate, is beyond naïve. We will not be able to reform capitalism if we cannot reform Congress. 

Finally, asset management firms like my own will need to find ways to craft new, more persuasive messages, launch new products, form new partnerships, and fashion new distribution strategies and alliances that are focused on lifting the industry as a whole, because a rising tide will lift all boats. Pax World has taken a step in this direction in launching our ESG Managers Portfolios, where many ESG managers and strategies are now available under one roof in one set of asset allocation funds. There is more to be done - together, as an industry. 

The times call for leadership. The transition to Sustainable Capitalism is necessary and urgent, as is the triumph of sustainable investing over investment approaches that effectively prolong and exacerbate the current crisis. Twenty years from now, our industry will be judged by whether we have met this burden of leadership. Our impact either will be dramatic or inconsequential. We either will succeed or we will fail. We should resolve to succeed, and to work collaboratively toward that end. 

 

Article by Joe Keefe, President & CEO of Pax World Management, headquartered in Portsmouth, NH. Pax World manages approximately $2.5 billion in assets, including mutual funds, asset allocation funds and ETFs, all of which follow a sustainable investing approach. Prior to joining Pax World, Joe was President of NewCircle Communications (2000-2005), served as Senior Adviser for Strategic Social Policy at Calvert Group (2003 – 2005), and was Executive Vice President and General Counsel of Citizens Advisers (1997-2000). A former member of the board of US SIF (2000 - 2005), Joe was named by Ethisphere Magazine as one of the “100 Most Influential People in Business Ethics” for 2007, 2008 and 2011, and in 2012 was recognized by Women’s eNews a one of “21 Leaders for the 21st Century, where he was the sole male honoree. 

You should consider a fund's investment objectives, risks and charges and expenses carefully before investing. For this and other important information, please obtain a fund prospectus by calling 800.767.1729 or visiting www.paxworld.com . Please read it carefully before investing.

Equity investments are subject to market fluctuations, a fund’s share price can fall because of weakness in the broad market, a particular industry, or specific holdings. Emerging market and international investments involve risk of capital loss from unfavorable fluctuations in currency values, differences in generally accepted accounting principles, economic or political instability in other nations or increased volatility and lower trading volume.

Distributed by ALPS Distributors, Inc., Member: FINRA            PAX002590 08/13

Footnotes:

[1] See, William E. Rees, “Toward a Sustainable World Economy,” Paper delivered at Institute for New Economic Thinking Annual Conference, Bretton Woods, NH, April 2011, p. 4.

[2] Paul Gilding, The Great Disruption, Bloomsbury Press, 2011, p. 186.

[3] Jeremy Grantham, “Time to Wake Up: Days of Abundant Resources and Falling Prices Are Over Forever,” April 2011 GMO Quarterly Letter.

[4] I am thinking of such writers and thinkers as Wendell Berry, Lester Brown, Paul Gilding, Herman Daly, Thomas Friedman, Paul Hawken, Richard Heinberg, Mark Hertsgaard, Amory Lovins, Hunter Lovins, Bill McKibben, Donella Meadows, Jorgen Randers & Dennis Meadows, James Gustave Speth and, of course, E.F. Schumacher. Contributions from the sustainable investing community include Steven Lydenberg’s Corporations and The Public Interest, Robert Monks’s The New Global Investors, Marjorie Kelly’s The Divine Right of Capital, and The New Capitalists by Stephen Davis, Jon Lukomnik & David Pitt-Watson. See also the work of The Capital Institute, www.capitalinstitute.org

[5] Credit Al Gore, David Blood, Peter Wright and the folks at Generation Investment Management for putting a stake in the ground and endeavoring to define and popularize this concept.

[6] “Sustainable Capitalism,” Generation Investment Management LLP, 2012, p. 2.

[7] This notion of Sustainable Capitalism is not unlike the concept of “shared value” s advanced by Michael E. Porter and Mark E. Kramer. See, “Creating Shared Value,” Harvard Business Review, Jan-Feb 2011.

[8] See Daniel Alpert, Robert Hockett & Nouriel Roubini, “The Way Forward: Moving From the Post-Bubble, Post-Bust Economy to Renewed Growth and Competitiveness,” © 2011, New America Foundation, www.newamerica.net

[9] See Jeremy Grantham, “Time to Wake Up: Days of Abundant Resources and Falling Prices Are Over Forever,” supra; See also, “Resource Scarcity and The Efficiency Revolution,” Impax Asset Management, www.impaxam.com

 

For more information go to- www.GreenMoney.com

 

=======

Leading Universities for Sustainable Studies

Monday, November 26, 2012 by

The field of sustainability has evolved from a small niche of environmentalists into a transdisciplinary field that spans from local agriculture to global business. Today, people around the globe are much more aware of the problems facing mankind and the planet as a whole. The population is estimated to grow to nine billion by 2050, an increase that will only further strain our planet's natural resources. In these universities, teachers and students are committing their careers to developing the principles and practices that will allow the human race to achieve a sustainable future.

1. The University of California at Davis

UC Davis has a long history of teaching organic farming, but it wasn't until last year that sustainable agriculture was added to the curriculum. Today, UC Davis offers a degree in Sustainable Agriculture and Food Systems that explores the social, economic and environmental aspects of food and agriculture. This course of study goes beyond the farm and the table to the wider global impact of a sustainable food supply.

2. The Center for Alternative Technology

Located in Wales, the CAT eco-center focuses on all aspects of sustainable living and also provides classes for the public and professionals. Its permanent exhibitions of alternative technologies serve as the leading tourist attractions in the area.  In 2000, CAT began to teach post graduate studies, and in 2010 CAT built the Wales Institute for Sustainable Education (WISE). The WISE building currently serves as a lecture hall as well as a case study for sustainable architecture practices. Since 2008, the Center has offered a Professional Diploma in Architecture.

3. The College of the Atlantic

Students of the College of the Atlantic all share a single major: human ecology. Professors and students at College of the Atlantic approach sustainable issues through various areas of study – such as arts, sciences or business – offering a comprehensive approach to human ecology and its principles. The school also offers only a single graduate concentration, a Master's in Philosophy in human ecology.

4. Oregon Institute of Technology

In 2008, the Oregon Institute of Technology began the first four-year undergraduate degree program in renewable energy systems in the United States. This Bachelor of Science in Renewable Energy Engineering establishes the engineering principles that will promote and integrate alternative energy sources into mainstream society. The degree is taught in both Klamath Falls and Portland, Ore.

5. The Earth Institute at Columbia University

The Earth Institute is a branch of the Columbia University's NYC campus. The EI hosts a variety of majors and degree paths for environmental sciences. Students who are interested in conservation, engineering or evolutional biology can receive an education that will prepare them for careers that value the Earth.

6. The University of Pennsylvania

The University of Pennsylvania is located in Philadelphia and is often called "Penn". Like Columbia, it is an Ivy League school and is one of the oldest and renowned in the United States. The University offers a "Green MBA", which is actually a major in Environmental and Risk Management. The Green MBA teaches the "triple bottom line" principles that comprise a sustainable business model and is a good choice for those who plan to pursue careers with sustainable business initiatives.

7. Center for Sustainable Fashion at London College

This institution melds research, creativity and business to support a sustainable approach to the fashion industry. The Center for Sustainable Fashion at London College encourages social change through fashion trends. The institution challenges the status quo and encourages students to make a positive impact in an industry that can radically change the social and economic realities of our world.

8. The University of New Hampshire

 This school, located in Durham, New Hampshire, makes the list with its dual major EcoGastronomy. The major integrates sustainable agriculture with hospitality management and nutrition for a comprehensive and holistic approach to selecting and preparing food for health and taste.

9. Rocky Mountain College of Art and Design

Students of the Rocky Mountain College of Art and Design can select from a variety of different creative majors with an emphasis in sustainable practices.  Complementing sustainable architecture is the sustainable interior design initiative in which students learn the brass tacks of designing as well as the environmental impacts on human behavior and eco-friendly building materials and systems.

Nadia Jones is an education blogger for Onlinecollege.org where she writes about education news, online learning platforms, and accredited online colleges. She recently helped compile an Online College Catalogue for prospective students. Nadia welcomes your comments and questions at nadia.jones5@gmail.com.

 

Making Sense of the FTC Revised Green Guidelines

Wednesday, October 31, 2012 by

It only took them 20 years (The first Guides were issued in 1992), but then again, as the saying goes, every overnight sensation is twenty years in the making. Maybe the FTC Green Guide staff put in their 10,000 hours, but, at last, they nailed it. The revisions to the Green Guides, published on October 1, 2012, shows that the FTC is finally putting their foot down (both of them) about the term 'green', along with such related generalized environmental claims as 'eco-friendly' and 'Earth smart'.

While they are at it, they're advising against the use of any label, logo, seal or product name or image -- what I like to call 'daisies, babies or planets' --  that can imply any hint of environmental (or health) superiority without adequate scientific support. Because chances are such claims are nearly impossible to support, the risk-adverse will stay far away from suggesting same.

And just in time, too. Interest in green claims continues to swell despite tough economic times. As global population climbs to an unimaginable 9 billion by 2050, we'll no doubt find many more ways  for consumers to 'go green', with accompanying eco-language to boot (Will "Mars friendly" be next?) But for now, we're all still here. So hopefully there's still time to clean up the green marketing business so we can one day harvest the potential to lighten consumers' size-18 planetary footprint.

The lawyers at the FTC did what 'greening' requires everyone to do — to think holistically, acknowledging the need to back up environmental marketing claims with life cycle assessments. They obviously consulted with some smart ecologists and biologists because the revised Green Guides demonstrate a sophisticated understanding of sound science. The Guides don't explicitly state the science, but for us laymen, here's a quick crib sheet that can help you understand why they're saying what they're saying:

There's no such thing as a green product. Every product uses resources and energy and creates waste.
One attribute does not a green product make.  An Energy Star certified compact fluorescent light bulb has a tinge of mercury (and as such require a hazardous waste permit to landfill in quantities of five or more.) Organic strawberries grown in California and eaten in New York are responsible for creating so many greenhouse gases on the trip cross country we might as well eat berries conventionally grown in New Jersey. Paper made from sustainably-certified wood still needs to be bleached and / or otherwise processed with dangerous chemicals and shipped to Staples.

Should CFLs not be Energy Star qualified? Should strawberries destined to hit the road not be labeled organic? Should paper that's on its way to be bleached not be described as 'sustainable'? Definitely not! Let's simply be more specific, as FTC recommends, and not suggest they are totally 'green'. (More on this below.)

100% recycled content can be less 'green' than 10% recycled content.  Depending upon the nature of the recycled content and how far it must be shipped to a recycling center, environmental costs of shipping and other impacts can actually make a recycled product less 'green' than a virgin counterpart.
Natural is not necessarily green or more healthful. Arsenic is naturally occurring.

Sustainable is a moving target. Corn may be in plentiful supply today and able to be regrown year after year, but when water supplies wane, it may not be so 'sustainable' to continue to grow it, no matter how fast or how economically it can be converted into bio-plastics and biofuel.

So, green is a relative, rather than absolute, measure. The best way to determine relative greenness is a bona fide life cycle assessment covering all facets of a product's environmental impacts, from raw materials procurement straight through to disposal. This is duly acknowledged in the latest installment of the FTC Green Guides.

We are the next endangered species on the planet. The planet is not at risk, we are. (Yet another reason not to include images of planets in one's advertising or to make grandiose claims about saving it.) This is not a political issue, but an issue of our future, and particularly those of our kids' and their kids.

So it's incumbent upon every marketer, manufacturer, retailer, producer, and everyone else in the supply chain and their stakeholders to understand not just these Guidelines and ideally their scientific underpinnings, but to do what we can to make all green marketing work as it's supposed to.
We in industry -- and concerned consumers, too -- should get on the case of questionable green claims. In their infinite wisdom and thoroughness, the FTC provides lots of helpful information for marketers and to the public to make the process of reporting such claims easy. (The National Advertising Division of the Better Business Bureau can help too.)

Green marketing is just good marketing. As I've been saying for a while now -- and it is admittedly counter-intuitive, the best green marketing doesn't lead with a product's 'greenness'. The good news about many green(er) products these days is that, thanks to advances in design, materials and technology, they offer superior delivery on the primary benefits that consumers buy products for. So why not focus on those things instead of altruism and planets that don't need to be saved?

At a minimum, consider that environmental marketing, reflecting the planet itself, encompasses so many potential product-related attributes, organic, VOC, recycled, biodegradable, among them, as to render the term 'green' meaningless. Rather than confuse, even deceive, consumers intentionally or unintentionally with messages about 'eco-friendliness' and 'natural' (which in their infinite wisdom, the FTC refused to define) why not hone in on those green-oriented terms that a now mass market seeks via all its segmentary splendor: 'energy efficient', 'organically grown', 'water efficient', 'recyclable', among them, and render your marketing both relevant, targeted, and credible? (FTC would love you for being specific.)
Moreover, let's link those same 'green' attributes to the benefits they deliver to consumers. For instance, let's tout all things 'water efficient' as 'cost effective', and 'fuel efficient' as 'convenient (fewer fill-ups and the ability to drive in the HOV lane).

Does this mean we should not talk about 'the environment' at all?  Not in the least!  Consumers still want specific, well-documented and genuinely helpful environment-related information -- so let's include them in our marketing messages in its secondary or tertiary place in line with its importance on our customer's shopping list.

All of us environmental types like to talk about how, 'if we do our jobs right we'll put ourselves out of business'. Well, before we get run out of town for more greenwash and hogwash by a now enlightened FTC (and the Enforcement Division that stands ready to pounce) let's agree to put ourselves out of the 'save the planet' business and into the business of saving our customers some money, time, etc. in an environmentally sound way -- and make our marketing more legitimately green for our bottom lines, rather than our faces red with shame.

Jacquelyn Ottman is principal and founder of the New York City-based J. Ottman Consulting, expert advisers on green marketing to Fortune 500 sustainability leaders as well as several U.S. government labeling programs. The author of four books on the subject, her latest is The New Rules of Green Marketing: Strategies, Tools, and Inspiration for Sustainable Branding (Berrett-Koehler, February 2011).

 

Ted Ning is renowned for leading the annual LOHAS Forum, LOHAS.com and LOHAS Journal the past 9 years Ted Ning is widely regarded as the epicenter of all things LOHAS leading many to affectionately refer to him as ‘Mr. LOHAS’. He is a change agent, trend spotter and principal of the LOHAS Group, which advises large and small corporations on accessing and profiting from the +$300 billion lifestyles of health and sustainability marketplace.  The LOHAS Group is a strategy firm focusing on helping companies discover, create, nurture and develop their unique brand assets.  For more information on Ted visit  www.tedning.com


 

LOHAS Provides Funding for Start Ups via LOHAS Asia

Thursday, June 21, 2012 by

ArtterroLOHAS Asia, the sister organization to LOHAS USA, is thrilled to announce that the first round of the LOHAS Asia Funding Initiative has resulted in investment in US based LOHAS company, Artterro. Artterro produces eco art kits for children, and following three rigorous rounds of assessment by a funding panel in Singapore, Artterro was selected to receive investment to help it grow to the next level.

What Is The LOHAS Asia Funding Initiative?

The LOHAS Asia Funding Initiative has been created to achieve the following:
1. To fill the gap in traditional funding models to provide a much-needed link between investors and entrepreneurs that meet the demands of the LOHAS consumer in Asia
2. To accelerate the development of small, sustainable businesses that meet the needs of the LOHAS consumer, and who – through their success – have the capacity to drive industry-wide change
3. To demonstrate the viability of triple bottom-line business to the wider investment community
4. To promote sustainable consumption in Asia by supporting the provision of a wider choice of price competitive, sustainable and aspirational LOHAS products.

LOHAS Asia’s Funding Initiative combines access to funds of up to US$10 million in growth capital per company with ongoing marketing, technology and strategic planning mentoring and support from a number of the world’s leading corporations. The Initiative is targeted at for-profit LOHAS companies from all over the world who have a clear Asia strategy (supply, production or distribution) and a minimum of one year’s trading revenues.The funding panel, made up of finance, branding, technology, retail experts and entrepreneurs, chose Artterro because it represents a strong example of a for-profit company strongly underpinned by LOHAS values.

“Artterro is exactly the kind of company that we wish to see funded to be able to grow to the next stage of their business. They are a business founded on solid LOHAS values, with adherence to triple bottom line principles. We wish to be able to show that integration of social justice and environmental protection into a company’s operations can yield normal returns to the investor community. Being LOHAS should not be an excuse for poor profitability and sub standard quality of goods and services, but can actually yield greater profits versus business-as-usual and deliver products and services that can compete with any company in the market. Furthermore, profits are then used for the greater good in turn, according to the company values.” said Adam Horler, President of LOHAS Asia.

The LOHAS Asia Funding Initiative represents the future of sustainable innovation. Its breakthrough platform brings together a diverse set of partners (entrepreneurs, industry specialists, and financial institutions) to accelerate the development of new enterprises with responsible business models. I'm proud to be a part of this visionary organization and excited about it supporting Artterro, an energetic firm with real promise to disrupt its industry for good." said funding panel member, Dustin Garis, Global Brand Manager at P&G Futureworks.

The Funding Initiative is focused on companies that have an end consumer for their products or services and an Asia strategy. The investment received by Artterro will be used to increase its marketing and sales capacity and to help the company expand production and distribution in Asia.

"We have always been inspired by the amazing work LOHAS is doing, so this opportunity is both an honor and further inspiration to grow sustainably. We are thrilled that the LOHAS Asia Funding Initiative chose Artterro for investment, and we look forward to working with our new strategic mentors to reach our potential as a truly global brand with LOHAS values." said Forrest Espinoza, Founder and CEO of Artterro.

The second round of the LOHAS Asia Funding Initiative was launched on Friday 15th June. Any interested companies should contact info@lohas-asia.org for more information on how to apply.




LOHAS Asia is a social enterprise based in Singapore seeking to encourage sustainable consumption, particularly across urban Asia. The purchasing decisions of the ever growing population of affluent Asian middle class consumers is critically important - both as a market for companies and for future of the planet as a whole. LOHAS Asia works on both sides of the sustainable consumption equation, seeking to engage with consumers themselves and to support the growing community of LOHAS companies, thereby helping to increase the choice of aspirational yet sustainable products and lifestyles available to consumers. LOHAS Asia has created THE HUB by LOHAS, an online network for LOHAS companies across the world to connect, collaborate and seek opportunities. www.thehub.lohas.com

Artterro is an award winning eco art kit company based in Madison, WI, USA. Helping people tap into their creativity with inspiring, open-ended art projects is at the core of Artterro’s mission, as is their commitment to sustainability. Artterro sources artist-quality, natural materials from ethical suppliers, and people with special needs assemble the kits at Goodwill Industries.  Their kits make art more accessible and bring friends and families together across generations.  www.artterro.com

 

Ted Ning is renowned for leading the annual LOHAS Forum, LOHAS.com and LOHAS Journal the past 9 years Ted Ning is widely regarded as the epicenter of all things LOHAS leading many to affectionately refer to him as ‘Mr. LOHAS’. He is a change agent, trend spotter and principal of the LOHAS Group, which advises large and small corporations on accessing and profiting from the +$300 billion lifestyles of health and sustainability marketplace.  The LOHAS Group is a strategy firm focusing on helping companies discover, create, nurture and develop their unique brand assets.  For more information on Ted visit  www.tedning.com


 

Checking in with the 2011 LOHAS Prize Winner: Maternova

Monday, June 4, 2012 by

maternovaThe 2011 audience voted Maternova the favorite in the 5 minute pitches for social enterprise business ideas and the LOHAS Prize.  Turns out they picked well!!  The social enterprise went on the be a part of the MassChallenge summer business accelerator and to be chosen this spring as 'one of th 50 best ideas for women' globally by the esteemed Women Deliver competition!

But Maternova is not about winning prizes, unless it helps us meet our mission:  getting innovations to the field to more rapidly save the lives of mothers and newborns.  We began last summer with a single product offering:  an obstetric backpack with a few carefully selected life-saving tools, including a solar powered headlamp and a rotary mobile phone charger as well as the lowest cost hemoglobinometer on the market.

We have now moved, in response to customer suggetions, to carry 11 products and soon will expand from 11 to 20 and then 30 products.  The thing about childbirth in a low-resource setting, is that it is unpredictable.  The majority of births will be natural, complication-free events.  But a subset of births will be terribly complicated--we just don't know which ones.  Fortunately, a growing number of scientists, engineers, physicians and enterpreneurs are working on faster, better and cheaper ways to save lives.  Our pioneering innovation index makes it easy for those in the field to stay tuned to these innovations--and our marketplace makes it easy to purchase the technologies when they become available.

This little company has come a long way though we are on the lookout for strategic partners who can help us move to the next level!

 

 

 

 

 

 

6 New Values Change the Way Consumers Buy

Wednesday, May 16, 2012 by

values roadside imageA radical shift is happening in the marketplace—consumers are increasingly basing purchasing decisions not just on value, but on their values.

As I describe in my book, The New Rules of Green Marketing: Strategies, Tools and Inspiration for Sustainable Branding (Berrett-Koehler; February 2011), now more than ever, consumers of all stripes are demanding that the brands they buy and the companies that make them, share their own personal social and environmental values.

Consumers are increasingly seeing businesses as linchpins with the resources and the incentives to address pressing societal needs (and this is especially so when government is seen as falling behind or inadequate in this regard.) This perception is changing the rules of the road for marketers who must respond quickly or risk being left behind by offerings viewed as more authentic and committed to sustainability.

As I detail in the book, new rules are being written by consumers for manufacturers and marketers.

1. Values guide consumer purchasing. Historically, consumers bought solely on price, performance, and convenience. But today, how products are sourced, manufactured, packaged, disposed of - and even such social aspects as how factory and farm workers are treated - all matter. This green consciousness is not confined to the younger generations. Over half of Baby Boomers consider themselves socially conscious shoppers. That’s 40 million green boomers who choose to organize, pluck resource-conserving products from the shelves, boycott products of companies that pollute, and “pro-cott” the products of companies that give back to the community.

2. Life Cycle considerations are important. Today’s consumers are doing more than just checking prices and seeking out familiar brand names. They turn over packages in search of descriptors that reflect a panoply of environmental and social issues that can impact a product throughout its entire life cycle. In the same breath, consumers can look for products that are at once, “pesticide free” “fair trade” and “sustainably harvested.” Representing a sea change in the history of promotion, marketers need to move beyond sheer product benefits in their messages and tell the whole story behind their offerings.

3. Manufacturer and retailer reputation count now more than ever. Not all greener products have ecolabels or green claims emblazoned on them. Many consumers defer to manufacturer and retailer reputations as a defacto eco-label. Consumers are asking, “Who makes this brand? Did they produce this product with high environmental and social standards?” That’s one reason why S.C. Johnson is quick to remind us that they are “A Family Company”, and why CEOs such as Tom Chappell (Tom’s of Maine), Gary Hirshberg (Stonyfield Farm) and Yvon Chouinard (Patagonia) maintain high profiles.

4. Businesses are their philosophies. It used to be that companies were what they made. International Business Machines. General Foods. General Motors. Now, businesses and brands are what they stand for. San Francisco-based Method’s innovative line of household cleaning products uses design, fragrance, efficacy, and environmental and personal safety to make cleaning a positive experience for the individual and the environment. Their “People Against Dirty” campaign” featured on the methodhome.com website and their equally empowering “Say no to (laundry) jugs” campaign supporting their new 8X concentrated laundry detergent in waste-free squirt bottle equip consumers with the wherewithal to make a difference.

Meanwhile, “Starbucks proves that a global company serving 50 million people per day can turn a proactive approach to sustainable sourcing and operations into a strategic and profitable part of its brand. And Timberland’s attention to quality, passion for the environment and society, and commitment to transparency has helped earn a strong customer following willing to pay its premium.

5. Nearly everyone is a corporate stakeholder. A reflection of the growing social consciousness that exists among today’s consumers, corporate stakeholders are no longer confined to just customers, employees, and investors; today, publics of all stripes are now corporate stakeholders including environmentalists, educators, and children - even the unborn. For instance, the astronomic rise in cause-related marketing efforts, now refined to a science helps business such as Starbucks and in turn, their enlightened customers support people living with AIDS in Africa.

6. Authenticity. It’s not enough to slap on a recycling logo or make a biodegradability claim. Brands viewed as the most genuine integrate relevant sustainability benefits into their products. That’s why HSBC and Stonyfield Farm aim to reduce the carbon impacts of their corporate operations. Their industry-leading track record for managing their carbon footprint (which we at J. Ottman Consulting advised them on) undergirded HSBC’s Effie award- winning “No Small Change” green marketing campaign which empowered consumers to reduce their own carbon footprint, in line with the bank’s own experience.

*** Jacquelyn Ottman is the founder and principal of J. Ottman Consulting, Inc., an expert advisers on green marketing to consumer product marketers and U.S. government labeling programs. She is the author of four books on green marketing, including the recently released The New Rules of Green Marketing: Strategies, Tools and Inspiration for Sustainable Branding (Berrett-Koehler, 2011).
Download a free chapter and get more information her.

Excerpted from The New Rules of Green Marketing: Strategies, Tools and Inspiration for Sustainable Branding (Berrett-Koehler 2011) by Jacquelyn A. Ottman.