Biodiversity - a GRI Reporting Resource - Global Reporting Initiative

Figure 1.1 Business case for diversity
Biodiversity is important to the present and
future operations of all types of organizations,
regardless of their size, sector, or location. By
managing its biodiversity-related activities
proactively, an organization can realize many
benefits (see Figure 1.1):
Strengthening the license to operate,
grow, and innovate. Consent from a
broad range of stakeholders, including
governments, local communities, financial
institutions, employees, and society, is a
prerequisite for conducting business in a
successful manner and operating on a longterm
basis. An organization’s performance
on biodiversity can be a factor in obtaining
this consent.
Gaining competitive advantage by
operating in a sustainable and responsible
way. Biodiversity receives attention from
all constituencies: governments, business,
non-governmental organizations (NGOs),
and society. An organization’s actions and
performance can influence the decisions
made by these constituencies, such as
governmental investments and policies,
customer preferences, supplier relationships,
competitor strategies, and loan conditions.
Improving stakeholder relations by
responding to their expectations and
demands. Stakeholders expect organizations
to take responsibility for any direct or indirect
impact on biodiversity resulting from either
the organization’s own activities or from
activities in their supply chain. They will
also expect ongoing improvements in an
organization’s environmental performance,
such as continuous investments and
attempts to reduce the ecological footprint
of its activities.
New market opportunities as a result
of the growing demand for products
produced without negative impacts on
the environment. Decisions that anticipate
growing customer preferences, new
regulations, or investor demands can help
differentiate an organization in crowded
product and capital markets.
Long-term stability of operations.
Many organizations will use biodiversity
resources either directly through their own
activities or indirectly through their supply
chain. Conservation and sustainable use of
biodiversity resources ensure that resource
inputs remain consistent over time and,
therefore, help an organization to avoid risks.
The value of biodiversity to organizations
and society is often emphasized in terms of
benefits, risk-avoidance, and other kinds of
direct value, such as the food it delivers, the
water it purifies, and the coastal lines that are
protected. Although all of these values are
important, biodiversity also has an intrinsic
value that many feel merits respect on behalf
of present and future generations.
IMPACTS ON BIODIVERSITY
In general, organizations impact biodiversity
in two ways. First, all organizations make direct
and indirect use of biodiversity resources,
such as in fisheries, forestry, agriculture, and
mining. Second, organizations contribute
to changes in the quantity and/or quality
of biodiversity, either in a positive or a
negative way, through direct activities and
performance or indirectly through secondary
effects or the performance of supply chain
partners (see Box 1). Both kinds of impacts
are significant for biodiversity itself and the
ecosystem services upon which society
depends for survival. Stakeholders therefore
expect organizations to be aware of their
impacts on biodiversity and to adequately
manage potential impacts.
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