6 recurring themes from the 15th Annual Responsible Business Summit, 7-8 June 2016, London.

The impressive line-up of CEOs, presidents and directors from leading sustainable corporations was the first thing that struck me about the summit. Several used the occasion to launch, or preview, their new corporate responsibility (CR) programmes, products or research.

For example, PWC’s Global Goals Business Navigator – a clever-sounding tool that aims to convert the universal language of the Sustainable Development Goals (SDGs) into country-level data to support global businesses in specific target setting.

Equally as interesting, however, is listening to the way the leaders talk about sustainability. Their words subtly reflect the changing themes and trends in CR thinking, while their common language acts as a golden thread connecting like-minded people in highly diverse organisations. These are the six themes that resonated most for me at the summit.

The holy grail of trust

The importance of corporate trust has definitely risen up the agenda in recent years. This is hardly surprising. Over the two days we listened to enlightened CEOs talking about responsible business, politicians over the Thames were busy grilling CEOs past and present of Sports Direct and BHS over their irresponsible practices. These British companies are the latest to fall from grace, hot on the heels of Volkswagen’s spectacular loss of trust globally. And the continuing investigations into tax avoidance by some of the world’s biggest brands.

Trust and customer loyalty are the top priorities for business, we heard repeatedly. Trust takes a long, long time to earn, but in today’s world, it can be lost in an instant, in 140 characters. Sustainability is therefore not a goal in itself, but a crucial means for building and maintaining trust and loyalty. The stats shared with us prove it.

Business with a purpose

Purpose is a real buzzword in CR circles and was tripping off the tongue of almost every speaker. Milton Friedman was quoted frequently, with interesting variation and interpretation. Of course, a business needs to make money. Without it, you can’t have a sustainable business.

What matters more for employees, and increasingly for customers, is the social purpose of the company. People want to work for and do business with organisations that have a heart. Combine social purpose with stakeholder passion and you’ve a winning formula for unlocking responsible business, according to Odeon UCI.

Although, a word of caution from M&S: it’s easy to overdo doing good. You have to get the balance right between being caring and commercial. A business can’t solve all of society’s problems. Its CR plan has to be relevant and clearly aligned with its business plan.

Sustainable business models and opportunities

Sharing economies, circular economies, social enterprise – we can’t get enough of new business models. Creating shared value, at every point on your value chain, is a responsible way to build a new brand, as Nespresso showed us. The trick is to begin by figuring out how to add value for your customers and work backwards from that. And forward.

Admittedly, it’s easier for new companies to build this in from the start. However, there’s been a definite shift: from sustainability initiatives conducted to avoid risk to embracing sustainability as a source of opportunity and competitive advantage.

Speak your stakeholder’s language

Whether it’s selling to consumers or convincing your ‘crusty old salesforce’ to embrace responsible business, you have to choose your words carefully. Mention the word sustainability at your peril! It’s simply not going to sell it to these stakeholders.

Consumers expect a product to be made in a responsible way. The majority only want to hear about its quality and price. The deep greens will go online to find out more. Millennials will find out via social media and channels like Collectively. So, make sure the information’s available for those who want it, in everyday terms your audience understands. Just don’t try to sell sustainability at point of sale.

Colleagues will want to know what’s in it for me (WIFM)? So, at O2, the sustainability lead interests the sales team in signing customers up to Recycle and Refresh to hit sales targets. At Wilmott Dixon, league tables have motivated competitive site managers to outperform their peers on recycling.

The good news for those of us working in the B2B market is that the s-word isn’t banned. Corporate clients, suppliers, investors and partners understand it and expect you to be able to articulate your economic, environment and social programme.

It was also interesting to hear that terms like ‘circular economy’ are catching on in the public sector and talking about it is a better door opener to business than its cousin, lifecycle analysis.

Collaboration and partnerships

Collaboration on sustainability appears to be increasing, too. Responsible companies have always known that they don’t have all the answers, so it was hopefully reassuring for the NGOs present that corporates recognise the value of working with them in their area of expertise.

What charities need to recognise is that the agenda has moved on, well beyond fundraising. Businesses seek charitable partnerships that align with their business strategy and add value along their value chain. Whether that’s working with Fairtrade to set up pension schemes for farmers; learning from Wildlife Trusts how to improve biodiversity while safeguarding water supplies for customers; or communicating directly with a company’s customers on material CSR issues.

It was also good to hear that responsible businesses are willing to share their sustainability experiences with other companies in their sector. Several speakers advocated collaborating with competitors to speed up progress towards sustainability; to pursue activity for the common good; to help others can learn from your mistakes and find a viable solution more quickly.

It all adds up

I sensed some disappointment among delegates that there was nothing outwardly revolutionary about what the speakers had to say. And that there is almost a ‘circular economy’ in sustainability conference speakers. But as established speakers and new faces told us, sustainability is something a business must slog away at for decades before getting it right. You can’t magic up inspiring best practice in a couple of years.

So while measurement is definitely nothing new, it’s something we mustn’t forget or dismiss. As different speakers reminded us: there’s nothing like hard data to do the talking for you on sustainability.

From multi-million pound savings through to outstanding employee and community engagement scores; from increased brand affinity to growth of market share and stock value; from talent retention to customer loyalty. It all adds up.

Debbie Griffiths is MD, a wordsmith, consultant and trainer at sustainable writing consultancy, Ideal Worldsmiths.
 



Responsible Business Summit 2016

June 2016, London

EthicalCorp’s flagship event features 12 CEOs, 50+ speakers and over 400 attendees all debating how business can create a positive impact through smarter, more sustainable business strategy

Related Reads

comments powered by Disqus