Sustainability was a key theme of Procuri Empower 2007. Keynote speakers from Salesforce.com to Kellogg’s shared how their companies have turned environmentally and socially responsible business and supply practices into cost savings, competitive advantage, and profits. While their approaches to sustainability differ, all presenters agreed that any company can make great strides towards sustainability by starting with simple conservation a approaches.

Consider these simple tips offered up by the supply management and business executives presenting at Empower:

• Energy-efficient Information Technology (IT): “IT on average spends 25% of their budget on power,” said Ken Leinweber, Strategic Sourcing Manager, Procurement and Operations Strategy at Sun Microsystems. “In the next five years or so, folks will be spending more money on power than they will on the hardware. Innovating products and solutions that use less power is critical to the environment [and our operating budget].” Dan Bross, Microsoft’s Senior Director of Corporate Citizenship, also emphasize the importance of energy-efficient IT: “We work with customers, partners, governmental and non-governmental organizations to build solutions that enable consumers, businesses, and governments to reduce their environmental footprint.”
• Responsible operations and employees: Bross also said that Microsoft encourages employees to engage in environmentally and socially responsible practices. The software giant has launched incentive programs to encourage employees to buy energy efficient vehicles, created ‘green buildings’ and is using solar power systems to power offices. By Microsoft’s estimates, 11,000 of its workers commute to its Redmond, Washington headquarters via some ‘green’ method, such as mass transit, bike, or car pool. Like Microsoft, Salesforce.com encourages employees to support local charities and social causes by giving each employee paid time off for volunteer work.
• Recycling and Reuse Programs: “Sustainability doesn’t need to be hard,” said Wesley Gibson, Founder and Managing Director of VMG Consulting. “Wal-Mart and others have saved tremendous amounts of money merely by shrinking and reducing packaging and reusing crates and pallets. This not only reduced waste but it also cut their shipping bills dramatically.” As noted here, successful conservation efforts within its own stores, inspired Wal-Mart to recently extend sustainability efforts to its supply base.
• Energy Efficient Operations: “We have implemented energy management systems and procedures at all plants, including the use of heat recovery systems,” said Dennis Wasyliw, Senior Director of Procurement Technology at Kellogg Company. “As a company we recycle 80% of waste, including converting waste food to animal feed.” Kellogg’s also practices water conservation and is emphatic about packaging recycling and reduction programs.

Like a good education, environmentally and socially responsible business and supply practices start at home — or, in this case, the office. The above conservation examples prove that sustainability is good business. They also prove that getting started doesn’t have to be difficult.