IoD Scotland Autumn 2021

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IoD Scotland events: Global Conference Be proud to put the planet first Leadership in building green organisations The role of leadership in building green and sustainable organisations was placed under the microscope in a panel session chaired by IoD Scotland national director Louise Macdonald, featuring four authentic voices with points to make in this area. Richard Hagan of Crystal Doors shared his business’s journey to Net Zero via a policy of investment in technology and employee skills. A crisis over a biomass burner had proved the catalyst for a transformation in the way the company operated. A wholesale review of energy use, waste, suppliers and employee practices had resulted in a company that now proudly balanced the three Ps – profit, its people and the planet – and its striking changes had swept down its supply chains, helping other organisations kickstart their own journeys to Net Zero. Best of all, said Richard, was the way the workforce had responded: “They’re proud to work for a company that puts the planet first,” he said, “ and it’s now influencing their personal choices, such as where they go on holiday, the cars they drive, etc.” Tech to tackle food waste The need to reduce global food waste was the theme of Dr Ifeyinwa Kanu’s presentation. The founder and CEO of IntelliDigest, her current focus was using cutting-edge technologies such as Artificial Intelligence, IoT and quantum computing to eliminate edible food waste and convert inedible food waste to bionutrients and sustainable chemicals for the food system. Food production’s contribution to carbon emissions was around 30 per cent of the global total, yet as much as 1.3 gigatons are thrown away each year, releasing 3.3 gigatons of CO 2 equivalent. Yet at the same time 800 million people go hungry. Her goal was to engineer solutions to both reduce food waste by tracking food production and household use, and when it does go to waste, identify molecules and nutrients that can be used in vertical farming of the future. “Global food systems are fractured,” Dr Kanu said; “we need to make the system work for us in a way that is truly sustainable. “If we can achieve that, we will solve the carbon issue too.” Panel: Louise Macdonald, Richard Hagan, Dr Ifeyinwa Kanu, Neil Gaught and Catherine Topley Sustainable concepts to benefit all How can an organisation ensure every part of its operations is guided by sustainable concepts that benefit all – customers, employees and investors, asked Neil Gaught of Single Organizing Idea Limited. He saw it as imperative that organisations tied their economic and social strategies together into a single, sustainable and identifiable strand. Doing so will help you to identify new efficiencies, innovate, use real-time data to measure your success, secure longterm investment and loyalty from customers who are on a similar journey. He also stressed the powerful message it sent out to the next generation of workers you wanted to attract. “Don’t simply grow for the sake of growing,” he said. “Live within the limitations the planet’s resources will allow.” Lead the way As the head of a publicly-owned body, Catherine Topley understands that Scottish Canals has a responsibility to set the tone to its stakeholders and the communities it operates in. It will be Net Zero by 2030: “We have to lead from the front,” she said. By stripping out carbon and investing in natural-based solutions to issues ranging from increasing biodiversity to tackling potential flooding, Scottish Canals had liaised extensively with its users to plan its green strategies. Catherine said strong leadership from the top was required to ensure buy-in throughout: “We use sustainable Neil Gaught products that benefit local communities. We cannot do things as we did in the past, we have to plan a green recovery.” While a tough challenge, she implored others to “stay the course.” Today she was proud that everyone within her organisation is a leader on green recovery… “it’s something we can track through our carbon footprint.” Q & A In a lively Q&A that followed, Richard Hagan stressed that low carbon and sustainable policies must be viewed in the long-term. “I’ve invested in plant and new processes that will take time to pay off, but I know they will.” Dr Kanu said making your organisation transparent and explaining your goals was key to successful buy-in: “It’s critical everyone can see the benchmarks against which you are measuring your environmental policies, and that you report them accurately.” She questioned large corporates who viewed waste as a natural by-product of their production processes. “Building a vibrant circular economy and utilising managed degrowth are crucial to sustainability.” Neil Gaught warned against being a ‘box ticker’. “Too many go through the motions on environmental issues. They hire an ESG expert and think that’s the job done. It requires far more than that; you need to embed sustainability deep into your processes. “Don’t indulge in ‘purpose-washing’; be a green champion people can believe in.” “Embed sustainability deep into your processes ... don’t indulge in ‘purpose-washing’... be a real green champion that people can believe in” 30 iod.com Autumn 2021
Putting wellbeing before profit as we build a new economy The Covid-19 pandemic has shown us that when pushed, we can do impossible things – so is the climate emergency another time where we need to do the ‘impossible’ again and build an entirely new economic model based on wellbeing and balance with nature? That was the question posed by Dr Katherine Trebeck, co-founder of the Wellbeing Economy Alliance, in a conference session chaired by Louise Macdonald, IoD Scotland national director. Dr Trebeck described the current economic model as “inadequate for delivering the standard of life required without depleting natural resources;” it was time for a new alignment that promoted the environment and people’s wellbeing to the same level of profit. The Wellbeing Economy Alliance’s goal was to support organisations as they challenge the hegemony and explored new methods of working. Advocates were transforming their organisations by putting their decision-making through a ‘wellbeing focus’ that looked closely at products and practices and questioned their impact. Current economic models were the victims of narrow thinking that the climate crisis was forcing them to challenge, and Dr Trebeck urged delegates to build new bridges with all stakeholders to align policies for mutual benefit. In a robust Q&A session that followed delegates questioned whether the current economic model was “broken”. It wasn’t, said Dr Trebeck; it worked within its current rules. Her advice, “Do we need to reframe what success means in business?” Dr Katherine Trebeck Dr Katherine Trebeck however, was that those rules needed changing, and quickly. As she pointed out, governments spend billions on welfare payments to ensure citizens had a reasonable standard of living. Wouldn’t it be better, she asked, if the economic model ensured everyone had that expected standard of living at source, without state help – and without asking the planet to do the heavy lifting, too? She ended with some challenges to current thinking. Do we need to reframe what ‘success’ means in business, and perhaps more closely align director’s remuneration with not only profit but the company’s impact on the environment and wellbeing of its employers? The innocent approach proves that sustainable businesses can be global success stories Leading a business that takes the name ‘innocent’ carries a particular weight, admitted its CEO Douglas Lamont – and with its values and philosophy front and centre, it was imperative the business ‘walked the walk’ on sustainability and the environment. The drinks company is aiming to be Net Zero by 2030 – an ambitious goal, given the carbon footprint of agribusinesses. But with a new production plant in Rotterdam based on the strongest sustainability criteria possible, it was an ambition the company was determined to meet. Douglas said there were a host of opportunities awaiting those who built their businesses on the pillars of sustainability and social justice – not least the ability to attract committed, focused employees who were keen to make their own contributions to tackling the climate emergency. He was a passionate advocate of sustainable capitalism. Innocent did not get everything right, and he Douglas Lamont was happy to accept challenge from any corner over its operations. However, he also knew that he could “look himself in the mirror every night knowing his business was trying to do the right thing.” An example of this was the new Rotterdam facility. It was built from the ground up on the principles of water reduction, eliminating carbon from energy sources and streamlining processes to make it as sustainable as possible. While the construction had been costly, it would offer payback for years to come. “We’re in a new paradigm in which thinking about the environment is the new norm,” he said. “We have to balance profit with people and planet.” Be good all round, he urged. There was little point trumpeting about the 10 per cent of your organisation with positive environmental metrics when the rest was poor. “Avoid green washing and be action-orientated. It’s not just words on a sheet of paper; you need to propagate change.” His team at innocent were “evangelical” about the business’s sustainability criteria and were its greatest ambassadors. Session lead Aidan O’Caroll, Chair of IoD Scotland, asked if the company’s takeover by drinks giant Coca Cola had threatened innocent’s principles. Douglas said the takeover had reinforced its ethos: Coca Cola “bought innocent because of its environmental credentials,” and remained fully supportive “of everything we do – including our annual donation of 10 per cent of our profits to charity.” “We’re in a new paradigm in which thinking about the environment is the norm... we have to balance profit with people and planet...” Douglas Lamont Autumn 2021 iod.com 31
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IoD Scotland Autumn 2021

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