Benchmarking and

certifying performance in the

travel industry

Chris ThompsonManaging Director, Green Tiger Limited

lead Consultant – Travelife Limited

November 2011

A brief history of sustainable tourism certification

• Earth Summit (1992) – Agenda 21

• Environmental awards & certifications in agriculture and business (bananas, coffee, flowers, fish and timber

• ISO 14001 (1996) – universal environmental certification system

• Blue Flag (1987) – Began in Denmark, now worldwide

• Austrian Silberdistel label (1988)

Between 1992 and 2002 more than 60 environmental tourism certification programs were developed.

Approximately 40% of the criteria or indicators in standards relate to management issues and the remaining 60% relate to specific actions such as environmental benchmarking (34%), economic indicators (8%) or socio-cultural criteria (12%).

A brief history of sustainable tourism certification

• UN Global Compact (July 2000)- 10 Principles• Mohonk Agreement (Nov 2000)- to develop

common language and standards• Sustainable Tourism Council (2002) – goal

to develop minimum standards & establish an accreditation body

• By 2007 there were more than 80 certification schemes in Europe.

• Global Sustainable Tourism Council (2008) launched a set of “baseline” criteria as a starting point for others who wish to develop sustainable tourism requirements.

Why is certification a valuable tool?

• Sets standards and indicates compliance

• Helps businesses improve – an educational tool

• May help to reduce operating costs

• Easy access to technical and financial support

• Can lead to market advantage as consumers recognise credible certification brands

For the business

Why is certification a valuable tool?

• Provides tourists with responsible choices

• Increases public awareness of responsible practices

• Alerts tourists to environmental and social issues in an area allowing them to act more respectfully or contribute solutions

• Certified businesses tend to offer better quality service

For the consumer

Why is certification a valuable tool?

• Helps governments protect their market niches as sustainable tourism destinations

• Raises industry standards in health, safety, environment and social stability

• Lowers regulatory costs

• Contributes to poverty reduction

For Governments

Why is certification a valuable tool?

• Certification requires businesses to protect the environment and do little or no damage to it.

• Requires businesses to respect local culture and provide real economic and social benefits for it.

• When a business is economically sustainable and offers quality of service to ensure that, it is likely to continue offering benefits for the long term

For the environment and local communities

Common elements of a certification program

• VOLUNTARY ENROLLMENT.

• WELL DEFINED STANDARDS/CRITERIA

• ASSESSMENT & AUDITING

• RECOGNITION, AWARDS AND USE OF LOGO

• FOLLOW UP AUDITS/RENEWAL

• CONTINUAL IMPROVEMENT

• TRANSPARENCY

• PARTICIPATORY MECHANISM FOR DEFINING STANDARD

Certification fundamentals

First, second or third party verification ?

Process based or Performance based ?

(Benchmarking may sit in both )

Multiple level achievement or PASS/FAIL ?

First, second or third party verification

First-Party

Certifying yourself - self assessment

Second-Party

Certifier usually has some form of relationship with the business being certified. Often this is commercially based.

Third Party

A neutral independent evaluation

Process based or Performance based

Process based

Most common are the ISO series (ISO 14001)

They certify businesses that have established and documented systems for assuring the improvement of quality or environmental performance.

They do not, however, determine any specific performance results other than the company’s own and those required by law.

Process based or Performance based

Performance based (results based)

Certify whether or not a business or activity complies with objective outside criteria.

Performance systems are better suited to small and medium businesses, which comprise some 80-90% of tourism businesses worldwide.

Multiple level achievement or PASS/FAIL

Multiple level (Graded certification)

Strongly motivates companies to work to improve their ratings in subsequent audits.

Commonly, programs have 2 to 5 levels of classification over and above the minimum requirements for certification.

PASS/FAIL

Only one level of compliance, similar to a driving test/licence

Common weaknesses in certification programs

Certification versus Accreditation

Following ISO definitions, certification applies to the awards given to businesses, products, processes, or services, while “accreditation” applies to the process of qualifying, endorsing and licensing entities that perform certification. In other words, accreditation is certifying the certifier.

Confusion in the use of the terms.

In the US, ‘registration’ and in Australia, Canada, and Fiji, ‘accreditation’, are often used as synonyms for certification – the awarding of a logo to a business or a process that complies with certain standards.

Is there a more coherent approach?

The Global Sustainable Tourism Criteria are an effort to come to a common understanding of sustainable tourism, and the minimum that any tourism business should aspire to reach.

Four main themes: 1. Effective sustainability planning; 2. Maximizing social and economic benefits for the local

community; 3. Enhancing cultural heritage; and 4. Reducing negative impacts to the environment.

How are the criteria used?

• Basic guidelines for businesses to become more sustainable, and choose sustainable tourism programs that fulfil these global criteria;

• Guidance for travel agencies in choosing suppliers and sustainable tourism programs;

• Help consumers identify sound sustainable tourism programs and businesses;

• Common denominator for information media to recognize sustainable tourism providers;

• Help certification and other voluntary programs ensure that their standards meet a broadly-accepted baseline;

• Offer governmental, non-governmental, and private sector programs a starting point for developing sustainable tourism requirements;

• Basic guidelines for education and training bodies, such as hotel schools and universities.

An Industry solution

An Industry solution

ThankYou

chris@greentigerlimited.co.uk