fm in the developing world environmental and social management of our products and services
TRANSCRIPT
FM IN THE DEVELOPING WORLD
Environmental and Social Management of our
products and services
Agenda
• Defining sustainable development for Facilities Management
• Impacts on the Developing World
• What can be done to manage the risks
• What you can do to support and implement in your workplace?
• Questions
• A concept linked to how organisations make their profits
• SD refers to the triple bottom line:
EnvironmentalEconomicSocial
workplace usage employee retention labour rights human rights wages
wages and benefits labour productivity job creation community support contractor management
Activity, product & service impacts on air, land, water, biodiversity and human health
What is Sustainable Development
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7
Government publishes a sustainable strategy
Launch of Dow Jones Sustainability Index
UK pension funds required to disclose their investment principles
• UK Climate Change Levy• EU Strategy for sustainable
development published• EU CSR framework• Launch of FTSE4GOOD
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2
199
9
Rio Earth Summit
Kyoto Protocol adopted
GRI launches first sustainability reporting guidelines
200
0
200
1
200
2
200
4
200
5
EU emissions trading scheme
WEEE Directive
Landfill Regulations
The Increasing Pace of SD
• Political, social and economic pressure will change the business environment in which companies function
• Companies needs to be in a position to deal with these changes to:
BUSINESSRISK
Brand Image
Resources
Compliance
Stakeholders
Understand and manage environmental and social business risks
Identify and adapt business strategy to mitigate these risks
Identify and exploit commercial opportunities
What does this mean?
Impacts of FM in the Developing World
What impacts does the FM industry have:
• growth of multi-national organisations into developing countries
• increased economies derived from aid and business
• one-off or short term projects
• cheap labour
• products manufactured or grown
Growth of Organisations
The UN estimates that there are over 60,000 multi-national companies with some 800,000 foreign affiliates.
• greater capital flow into developing nations than from development assistance
• marked growth in economy and earnings gap
• increased dispersement of business through IT advances into many more ‘community’ based activities
• management of local cultures, requirements and beliefs becoming an enabler to perform business
Project Support
There has been a major increase in the number and size of infrastructure and CDM projects.
• greater funding provision from governments, NGO’s and financial institutions to provide ‘partnership’ project support
• encouragement by developing countries to expand market activities
• offsetting of environmental practices through e.g. carbon trading projects, afforestation
• use of distribution networks, knowledge and commercial acumen
Procurement Strategies
Much of what we procure within the facilities environment may originate from developing countries.
• materials from clothing; extraction of raw materials such as bauxite (aluminium), copper; furniture
• cheaper labour and assembly costs reduce overheads and sales cost
• abundant labour source means manual activity predominates for assembly and disassembly of products
Positive Negative
Employee retention and job creation
Workplace Management
Planned Maintenance
Human rights
Environmental best practice
Brand enhancement
Community support
Lack of skilled resource
High staff / contractor turnover
Increased disposal and environmental costs
Low investment
Impact on customer loyalty, recruitment and retention
Sustainable Development Risks
Are we effectively managing our risks?• Do we know what they are?
• Do we know what our stakeholders want?
• What information should we be collecting?
• How can we consistently measure environmental and social performance?
• How can we demonstrate to our stakeholders that we are managing our risks
Can we capitalise on value creating opportunities?• Where are the financial gains to be made?
• How can we demonstrate to stakeholders that we have social and environmental vision?
What should you be asking?
Global Alliance for Building Sustainability (GABS) Charter• GABS is committed actively to promote the adoption of policies
and practices to accelerate the achievement of the goal of sustainable development in the sectors of land, property, construction, facilities management, infrastructure and development.
• We are committed to closing the gap between policy and practice and taking practical and determined steps towards making sustainable development a reality for practitioners working in business, government, and/or communities.
• We are committed to creating the opportunity in which practitioners are enabled to implement processes and practices that deliver sustainable development.
• We undertake to accelerate the achievement of sustainable development by actively :
– building and strengthening partnerships between policy makers and practitioners
– fostering co-operation and collaboration within and across professions and other stakeholders
– promoting awareness raising, participation and learning amongst the many stakeholders involved in these sectors
– promoting, supporting and disseminating appropriate research, education and training
– facilitating the development of tools and performance benchmarks
Global Alliance for Building Sustainability (GABS) Charter
What should you be looking to achieve?
SD vision & principles
Implementationacross business
Tailored KPI’s, targets & effective information flows
Identification andexploitation of valuecreating opportunities
Improved performance and risk management
How do I manage my risks?
Sustainable Development
KPI’s
Individual Performance Indicators
EnvironmentProjects Community WorkforceLand Use/
Biodiversity
How do I manage my risks?Sustainable Development
KPI’s
Individual Performance Indicators
EnvironmentProjects Community Workforce Land Use/Biodiversity
What can I do?What should you do next?• Identify your key risks
• Develop your Policy, Vision and Principals
• Implement across your activity and encourage inclusion and involvement from service providers, partners etc
• Look at specific wins eg:
• Purchasing of furniture / wood from assured sources e.g. FSC
• Disposal of electronic equipment to manages sources
• Social and ethical management of CDM projects
• Encourage use of managed source products eg coffee, clothing
