How Smart Companies Use Environmental Strategy
During 2006, the book Green to Gold had been one of the most popular books published. It had been acknowledged through various reviews and was seen as one of the most helpful books for businesses. The book focuses on the company’s growth in terms of the shift into the trend of having green industries. These green industries are one of the most important aspects in the business world today. Due to the actions done by most industries in the past, the current situation of our world is on the brink of descend.
There is a need for various industries to create ways in order to save the earth from all the degradations which are currently happening in different parts of the planet. The book Green to Gold is stated by many authors as one of the most helpful books published regarding the rise of green technology. The book was also given recognition in different award giving bodies such that of the “Bronze ForeWord Magazine Book of the Year Award, the Association of American University Press Books Committee, the National Best Books Awards in 2007 and the CEO-READ”(Yale University Press, 2008).
The authors of the book are both well respected individuals in their fields. Daniel C. Esty and Andrew S. Winston are both active members of the Yale University as faculties from different departments. Both of them are known in the subject of environment. Chapter 1: Eco-Advantage This chapter discusses the most basic problems which are faced by different by business people upon realizing their need to cooperate to the different problems in the society. One of the major problems that are tackled in the whole book is the issue of environment.
Even before there was awareness that the business community must actively participate in the fight against the depreciating environmental factors. There are few companies in which have presented their thoughts about the current situation of the world and that they noticed changes in the environment which they had been working with. One of the foremost examples used in the book was the thoughts of the CEO of General Electric Jeff Immelt. The CEO had realized that there must be a way in order to be much more innovative compared to the past products they have launched.
One of the concepts he had presented was the “eco-imagination” (Esty and Winston, 2006). The eco-imagination is a concept in which there will be a greater use of the environmentally safe products which in return will be benefiting the corporations as well as their profits. In addition, during those times, there was a need for different manufacturers to create ways to have innovation in their products which will not only create positive outcome for their companies and also to the society.
The Wal-Mart CEO has stated during one of his speeches about “Twenty First Century Leadership” that the center of his manifesto is the commitment of his company to improve their environmental performance. As a proof, the various Wal-Mart corporations will cut down their usage of energy and shifting to the utilization of renewable energy such that of solar power and wind power. Through this, they will be able to double the worth of their investment (Esty and Winston, 2006).
The chapter also highlights the pressures in which the business world needs to undertake under the new regime of the green wave. The first challenge that the business world needs to face is the new pressures in which they need to adapt with. Under the new pressures, there are two things that they need to face such of the limitations that the world currently have. These limitations would place problems for the business community because there is less materials used in manufacturing their goods therefore it also limits the possibility of more profit for the corporations.
However, if they need to gain more profit or maintain the profit that they currently have, they need a mitigation process to over come the pressures which the authors have stated. The second pressure is the growing number of people who are willing to do everything for the protection of the environment. In addition to the pressures that are bounded to the corporations, the issue of global warming is still largely at hand. The expansion of the different materials which intoxicates the world, humans and animals are continuously growing. Such problems affect many industries most especially the society that they are serving.
The corporations which will be able to flow with this kind of process will be able to lead the competition of providing quality materials which are helpful to the environment. Another topic in which was a concern in the first chapter is the companied who are riding the green wave or what they called the “green riders. ” There are 50 Wave Riders listed in the book at the top five are Johnson & Johnson, Baxter , DuPoint, 3m and Hewlett-Packard. Many of these corporations are well aware of the actions done in their company in terms of the environmental changes which could happen if they do actions or not.
Another concern of the book was if this type of path is something worth while and worth it for many corporations. It had been a concern for many if the process of making the different corporations green will be able to benefit them in the long run. Although these said companies are doing their best to properly act against the impacts made by different environmental factors, there are no companies known to have perfectly moved to the sustainable path they are taking. There are three additional requirements needed to attain sustainability.