Sustainability, A Business Opportunity: BT

An international study by the Economist Intelli- gence Unit, sponsored by
British Telecommunications (BT), has revealed that organizations are failing to
realize business benefits from sustainability programs.

The research indicates that, whilst sustainability may be firmly on the
boardroom agenda as organizations compete for a 'responsible' reputation,
execu­tives have yet to find a way to harness it as a commercial force.

While almost half of the executive community (46 percent) said that
sustainability programs helped improve brand value, just one in five (20
percent) felt they improved profitability. One third (33 percent) of respondents
admitted that their company only makes sustainability efforts in markets where
it is perceived to have an impact on customers' perceptions of the firm, and a
similar proportion (31 percent) admitted that their company's sustainability
efforts mostly center on communication, rather than actual change.

According to the report, sustainability practices are most firmly embedded in
companies' investor/public relations' acti­vities (32 percent) and HR functions
(29 percent). Nearly one quarter of respondents (24 percent) agreed that staff
at the grassroots rather than senior management, primarily drives their
organiza­tion's sustainability efforts. More than one third of respondents (37
percent) have been given specific sustainability goals to achieve as part of
their responsibilities and more than one third (34 percent) said that their
company's commitment to sustainable practices is not embedded in downstream
suppliers and supply chains.

According to James Watson, Senior Editor, Economist Intelli­gence Unit, “Many
companies are moving away from mere rhetoric towards real business initiatives.
However, a gap remains between what companies claim to be achieving in terms of
managing their social and environmental impacts and the extent to which their
executives feel involved in these activities.”

Francois Barrault, CEO, BT Global Services said, “The link between
sustainability and commercial success is doubt, becoming clearer all the time.
Our own sustainability perfor­mance is helping us win deals, create new
offerings and build enthusiasm amongst our workforce.”

Barrault said, “The key to helping sustainability programs benefit society
and the environment, and profitability is leadership. All organizations, BT
included, are at the start their journey, but now is the time for CEOs and CFOs
to lead from the front. Our own experience is that sustainability can be a
win-win for all concer­ned-local commu­nities, emerging economies, the
environment and also the bottomline.”

DQW News Bureau