2003 Bell ConferenceEcosystems and Enterprise:

Perspectives on Education for Sustainable Business

Executive Education Innovations for Environmental Management and Sustainability

Richard BrownleeDarden Graduate School of Business Administration

University of Virginia

July 17-19, 2003Florida Atlantic University’s Fort Lauderdale Campus

Source: Sustainability Partners Inc.

The Darden Graduate School of Business Administration

• Founded at the University of Virginia in 1954

• MBA Program– Approximately 650 full-time students

• PhD Program– Approximately 20 students

• Executive Education Programs– Over 100 programs offered annually

– Open-enrollment programs

– Company-specific programs

– Approximately 4500 executives and senior managers attend annually

Source: Sustainability Partners Inc.

Darden’s Mission Statement

The Darden Graduate School of Business Administration is a professional school that seeks to better society by developing leaders in the world of practical affairs. We create and deliver general-management educational programs and conduct and publish research to advance the knowledge and practice of the business community. Our goal is to be an international leader in management education widely recognized in the business and academic communities for our

• action-oriented graduates   • outstanding student-centered teaching

integrated and innovative curriculum and course materials   • supportive and equitable learning climate   • managerially relevant research

mutually strengthening partnerships

To accomplish our goal, we must create and sustain a collaborative environment for teaching, course development, research, and program management that builds on the interdependencies of these activities and respects the contribution of each individual.

The Darden School

Linking Products and Service: Transcending Sustainability

June 16-20, 2003Darden Graduate School of Business Administration

University of Virginia

Charlottesville, VA

Program Rescheduled

Sustainability and Beyond: Business Leadership through Innovation and

Design

June 14-18, 2004Darden Graduate School of Business Administration

University of Virginia

Charlottesville, VA

Source: Sustainability Partners Inc.

The Earth Is One System

The Sustainability Link

Source: Sustainability Partners Inc.

Security, Quality of Life, and Global Sustainabilityare all linked.

The Sustainability Link

Source: Sustainability Partners Inc.

life supporting resources

decliningconsumption of life

supporting resources

rising

A Global Perspective

Source: Sustainability Partners Inc.

The richest 1% of the world’s people receive as much income as the poorest 57%

Source: UN Human Development Reports, 1992, 2001

A Global Perspective: The Champagne Glass Reality

Source: Sustainability Partners Inc.Source: UN Human Development Reports, 1992, 2001

A Global Perspective: The Champagne Glass Reality

Private consumption (expenditures)

86%

1.3%

Top 1/5

Bottom 1/5

Source: Sustainability Partners Inc.

In cyclical natural systems, waste does not exist. Waste = Food.

Linear Industrial Processes: Waste is created faster than it can be reconstituted to quality resources. Take-make-waste.

It is estimated that 99% of the original materials used in the production of, or contained in, the goods made in the US become waste within 6 weeks of sale.

6% ProductManufacturing

Process

Raw Materials

94% Waste

(Attributed to Paul Hawken, Factor 4, 1997)

80% of products discarded after single use

Material Flows

1st EraCOMPLIANCE

1970sReactive

Regulatory Standards

2nd EraBEYOND

COMPLIANCE

1980sAnticipatory

Cost AvoidanceImpact Reduction

Pre-emption of RegulationLeadership

Legitimacy ProtectionPartnerships

Competitive Edge

3rd EraECO-

EFFICIENCY

1990sProactive

Profit Centre Approach

Eco- efficiencyDematerialization

Strategic Environmental Management

4th EraSUSTAINABLE

DEVELOPMENT

2000sHigh Integration

Explicit Mainstreaming of Environmental GoalsDFE/LCA SystemsEnvironmental Cost

Mgmt.Resource Productivity

Products of ServiceCulture Change

TNS, Design for Sustainability,Biomimicry.

Evolutionary Learning

Integrated Management Systems

Environmental Cost Accounting

Stakeholder Participation

Pollution Prevention / Waste Minimization

Pollution Control / Compliance

Before 1970sUnprepared

None

CORPORATERESPONSE

INDUSTRYGOALS

Source: The Natural Step for Business, Brian Nattrass & Mary Altomare

Expanded CSR,Natural Capitalism

Product Stewardship/DFE/LCA

TQEM / Environmental Management Systems

Industry’s Industry’s Sustainability Sustainability Learning CurveLearning Curve

Source: Sustainability Partners Inc.

Designing in Complex Systems:How it Fits Together

Combining Conventional Business Practice and a Sustainability Schematic

Source: Sustainability Partners Inc.

Strategy for Action

Every initiative is checked against three questions:

1. Are we moving towards our sustainability objectives?

2. Are we creating a flexible platform for further improvements?

3. Are we earning an adequate rate of return?

Source: Sustainability Partners Inc.

UnconsciousIncompetence

Don’t know whatyou don’t know.

Comfortable state

ConsciousIncompetence

Know there is a great deal you don’t

know.

Uncomfortable state

Denial, resistance

ConsciousCompetence

You learn and knowmore. Mastery

increases.

Move from discomfort to increasing levels of

comfort.

UnconsciousCompetence

Mastery. Changebecomes second nature, part of organizational

DNA.

New practice becomes the wayyou do business.

Comfortable state

Stages of Learning

Source: Sustainability Partners Inc.

Concern

InfluenceInfluence

ControlControl

Tips for Getting to the Tipping Point

Source: Sustainability Partners Inc.

The Process Looks Like This

Rate of Adoption of an Innovation Over Time

Source: Sustainability Partners Inc.

Sustainability and Beyond: Business Leadership through Innovation and Design

June 14-18, 2004

Who Should Attend?• Experienced managers and executives whose

responsibilities include taking a leadership role in identifying ways to capitalize on the opportunities created by the increased level of comprehensive corporate accountability in ways that will result in profitable growth, customer retention, and enhanced corporate image

• Senior government officials and officers of various NGOs whose organizations want to find collaborative solutions to problems that pertain to balancing economic, social and environmental concerns

Source: Sustainability Partners Inc.

Sustainability and Beyond: Business Leadership through Innovation and Design

June 14-18, 2004

Program Faculty• Darden Faculty

– Richard Brownlee, Faculty Leader– Andrea Larson, Faculty Leader– Edward Freeman– Patricia Werhane

• Other Faculty– Braden Allenby, AT&T Corporation– Ken Alston, GreenBlue Institute– Mary Altomare, Sustainability Partners, Inc.– Paul Anastas, White House Office of Science and Technology Policy – Michael Braungart, McDonough Braungart Design Chemistry– Stuart Hart, UNC– Chris Lotspeich, Second Hill Group– William McDonough, McDonough Braungart Design Chemistry– Pete Myers, Former Director of the W. Alton Jones Foundation– Brian Nattrass, Sustainability Partners, Inc.– Bob Willard, Consultant and former IBM executive

Source: Sustainability Partners Inc.

Publications by Program Faculty

Source: Sustainability Partners Inc.

Publications by Program Faculty

Source: Sustainability Partners Inc.

Sustainability and Beyond: Business Leadership through Innovation and Design

Program Overview

Monday, June 14, 2004• Program Introduction

– New intellectual filters for top-line and bottom-line growth

– Creative and innovative frameworks

– Strategic global perspective

– Contemporary case studies

Tuesday, June 15, 2004• Case Study – Innovation and Entrepreneurship

• Industrial Ecology

• Earth Systems Engineering and Management

• Opportunities and Applications in Emerging Economies

Source: Sustainability Partners Inc.

Sustainability and Beyond: Business Leadership through Innovation and Design

Program Overview

Wednesday, June 16, 2004• The Natural Step Framework and Application

• Learning from Science

• Green Chemistry

• Natural Capitalism

• Case Study – Innovation and Chemistry

Thursday, June 17, 2004• Cradle-to-Cradle Framework and Application

• Intelligent Materials Pooling

• Cradle-to-Cradle Workshop

• Top-line and Bottom-line Benefits – Financial Metrics

Source: Sustainability Partners Inc.

Sustainability and Beyond: Business Leadership through Innovation and Design

Program Overview

Friday, June 18, 2004• Case Study

– Design Considerations and Organizational Change

• Leadership and Implementation

• Keynote Address

– Business, Ethics, Strategy and the Environment