UN IPCC Warns Us: The Time to Act Is Now – The Window For Action on Global Warming is Fast Closing

The buzz for the past few days has been about the report of the UN Intergovernmental Panel on Climate Change (IPCC) that urged governments everywhere to “take rapid and far-reaching and unprecedented changes in all aspects of society” to avoid catastrophic events and conditions brought on by climate change.

Why?  The planet temperature could reach the critical point – keep 1.5 degrees Celsius / 2.7 F above pre-industrial levels in mind.  We must get measures in place to address the threats of floods, rising seas, food shortages, shrinking arable land, wildfires, rising seas…and more.
Today 195 countries are members of the IPCC (including the United States, United Kingdom, China, Germany, and France) and thousands of scientists all over the world contribute to the work.

The panel based its findings on the current high levels of greenhouse gas emissions (GHG).  These are carbon dioxide (CO2), methane (CH4), nitrous oxide (N2), and a number of fluorinated gases (such as hydrofluorocarbons). GHGs are measured in parts per million (ppm), parts per billion (ppb) and per trillion. The gases can remain in our atmosphere for years, decades, centuries. The end effect is to make our Earth warmer and warmer over time.

And where do the GHG emissions come from?  Transportation, production of electricity, industry (using fossil fuels for energy, production), buildings (commercial, residential, industrial), and use of the land (agriculture, forestry, ranching).

The key takeaways from the IPCC report:  We have not done enough in the past / we are not doing enough now (to address global warming) – and we have to dramatically increase the critical steps needed to slow and stop global warming and move the global society back to the pre-industrial levels of GHG emissions (150 to 200 years ago).

The key is more aggressive and rapid reduction of carbon emissions.  Think about achieving that while continuing economic growth (everyone’s desire, everywhere); dealing with steadily increasing population growth (we are on our way to 9 billion level by 2050 says the UN); keeping public sector expenditures at levels that sustain our present way of life while allocating funds to address climate change threats; and, avoiding catastrophic upheavals of various kinds in the decades ahead.

The IPCC report is sobering.  Our Top Story this week is a good review by CNN of where we are today and the rapidly-diminishing days we have left to begin very serious efforts for a course correction.
IPCC background information is available for you at: https://wg1.ipcc.ch/

The U.S. EPA web site also has information at a glance for you: https://www.epa.gov/ghgemissions/sources-greenhouse-gas-emissions

You can also access the annual Inventory of U.S. GHG Emissions and Sinks there.

This Week’s Top Story

Planet has only until 2030 to stem catastrophic climate change, experts warn
(Monday – October 08, 2018) Source: CNN – Holding global warming to a critical limit would require “rapid, far-reaching and unprecedented changes in all aspects of society,” says a key report from the global scientific authority on climate change.

State of Corporate Sustainability, GreenBiz Releases Latest Update — Top Lines: (1) We are making progress and (2) There are still challenges

It’s three-quarters of the way through the year 2018 – what is the state of the Sustainability Profession?  John Davies, writing in GreenBiz (he’s VP & Senior Analyst), shares some interesting highlights gained through the firm’s recent report with us this week.

Among the major themes:  (1) Companies large and small see advances – progress – more companies are communicating what they are doing.  (2) Serious concerns, challenges, barriers are still ahead (look at what is happening to the US SEC and the dismissal of sound science by policymakers).

The Greenbiz report on the state of the profession is always eagerly awaited (every-other-year) and the latest (the 2018 report) is available for you (the link is in the Top Story).

GreenBiz presented results of its research on such items as gender pay equity trends; the embedding of the sustainability role(s) throughout the organization; more professionals coming in to the firm from outside vs. being promoted from within; and, the corporate sustainability programs becoming more sustainable.

There is also an interesting collection of news items we’ve selected for you that describes the range of activities within industries as companies of all sizes as the “corporate sustainability wave” gains momentum.  It’s below the Top Story for you.

This Week’s Top Story

The State of the Sustainability Profession, 2018
(Tuesday – September 25, 2018) Source: GreenBiz – That’s a significant change from 2011, when the Governance & Accountability Institute found just under 20 percent of S&P 500 companies were publishing such reports.

And we call your attention to:
Sustainable Brands Delivers Insight on How to Build Better Sustainability Metrics
(Friday – September 28, 2018) Source: Sustainable Brands – Sustainable Brands® reveals program, networking and activity highlights for its upcoming conference: New Metrics 2018. Nearly 400 business executives will convene October 29-31 at the Loews…

Seven Compelling Corporate Sustainability Stories For You – How Entrepreneurs Are Managing Their Sustainable Business and Meeting Society’s Needs

How do we structure a more sustainable (and responsible) business – it’s a question we are regularly asked here at G&A Institute. By big firms and small companies — publicly-traded or privately-owned (and numerous planning to go public).

As we get into the conversation, what often becomes clear is that the company really was founded to meet some kind(s) of societal need, and sometimes it actually created a need (think of the popularity of the Apple eco-system or the early days of the Ford Motor Company and the “horseless carriage”) that it fills, benefitting society — and in the firm’s “growing up and maturing” phase the leaders want to be recognized as a sustainable and responsible enterprise.

There are well-known corporate models that can help point the way for a management team.  We explain the successes of our “top performers and reporters” roster as examples of how the industry leaders (depending on sector and industry) have achieved clear, recognized leadership in sustainability. Their stories are inspirational as well as instructive. (Tip:  read the companies’ GRI reports for a deep dive into corporate strategies, programs, collaborations, and achievements – our team dives into 1,500 corporate reports and more each year in our work as GRI Data Partners for the USA, UK and Republic of Ireland.)

But what about smaller enterprises, not “giants” in their industry, or niche players, run by talented entrepreneurs and managers who want to do the right thing as they build their business?  How do we find their stories?

You know, like the early story of Ben & Jerry’s (ice cream), two young guys with borrowed money operating a small store (a renovated gas station) in downtown Burlington, Vermont; the founders, Ben Cohen and Jerry Greenfield, built their business as a pioneer in social responsibility. (In 1985, the Ben & Jerry’s Foundation got 7.5% of annual pre-tax profits to fund community-oriented projects and supporting dairy family farming was a priority – like the duo’s support of Farm Aid.)

What we have for you today are the stories of seven perhaps less well-known firms briefly profiled by tech blogger Kayla Matthews in her guest commentary on the Born2Invest platform.  The quick-read profiles explain the companies’ business models and how they try to operate as sustainable enterprises.

These are: Prime Five Homes (building $1 million eco-mod homes in Los Angeles); Lacoste (marketing the well-known crocodile brand of clothing); Liberty Bottleworks (recycled water bottles); Cleancult (paving the way for more efficient detergents); Andrean Collection (marketing jewelry from the rainforest and providing Ecuadorian women with jobs ); Blockchain (technology); Wash Cycle Laundry (eco-friendly local laundry service).

What is interesting is that each of the companies, the author explains, develop products and manufacturing processes that benefit employers, employees and Mother Earth by striving for and being (more) sustainable.  The stories are fascinating – and very appealing in this age of anxiety for many of us.

These stories remind us of the 2018 “Sense of Purpose” letter sent to public company CEO’s by Chairman and CEO Larry Fink, who heads the world’s largest asset manager, BlackRock. As a fiduciary, he explains, BlackRock engages with companies to drive the sustainable, long-term growth that the firm’s clients (asset owners) need to meet their goals.  And society, he explains to the CEOs receiving the letter, “is demanding that companies, both public and private, serve a social purpose.”

To prosper over time, Mr. Fink wrote, “…every company must not only deliver financial performance but also show how it makes a positive contribution to society…without a sense of purpose, no company can achieve its full potential.”

You can read Larry Fink’s letter to corporate CEOs here – it well worth the read: https://www.blackrock.com/corporate/investor-relations/larry-fink-ceo-letter

You can follow Kayla Matthews on her tech blog, Productivity Bytes, where she often connects technology and sustainability topics: https://productivitybytes.com/

And do read our top story – it’s a fascinating and brief read to learn more about these innovative companies striving for greater sustainability and societal responsibility.

This Week’s Top Story

How 7 Eco-Friendly Businesses Are Changing The Sustainability Game
(Tuesday – September 11, 2018) Source: Born To Invest – To save the planet, it’s going to take cooperation from everyone, including both individuals and corporations. In fact, an increasing number of corporations are realizing that modern consumers are growing more environmentally…

Economic Growth, Protecting & Preserving Our Ecological Systems – Are These Conflicted, Or Complementary As We Strive For Greater Global Sustainability?

The continued drive toward greater societal sustainability is very encouraging.  The public sector, multilateral organizations, companies, investors, NGOs, and other stakeholders are adopting new strategies and embracing new approaches and best practices.  Picture the installation of the vast array of a desert solar generating “farm” – that’s progress to cheer.

But there are substantial societal challenges that will require much more effort than we see today if we are to achieve greater, widespread sustainability — worldwide.

Growth is good/growth is an issue.  We are on track, demographers tell us, to see the global population grow from today’s 7.6 billion to 9.6 billion by the year 2050.  We recall a description that describes the challenge of meeting this particular situation: It is like changing tires on an automobile that is moving.

The imagery of that is tantalizing to consider.  This could apply to the challenges of developing solutions to vexing social, environmental and governance issues of 2018 as we steadily move towards 2050.  The United Nations Sustainable Development Goals (the SDGs) are an excellent roadmap for us to (1) look at the vexing societal issues and (2) collaborate and innovate to develop solutions, even as economic, population, demographic, political, financial, and other issues throw up still more challenges to meet as we strive to meet today’s challenges.  Reality:  We have to continue “growing”, right?

The 17 SDGs include such laudable and aspirational goals as ending poverty (#1), proving education (#4), providing clean water and sanitation (#6), and achieving “zero” hunger (#2).

Governments, industry, investors, civic leadership, NGOs, and other stakeholders are busily trying to figure out the “how” of addressing the challenges.  (And, how to pay for the work to be done.)  This week the UN Secretary General spoke about the lack of progress in general since the goals were structured in 2015.  Only 12 years are left until the 2030 deadline for having solutions in place, observers noted.

So the question:  Can sustainable development logically co-exist with current economic growth?  The Phys.Org organization provides an interesting (brief) exploration of the topic in a feature article in September. There’s an elephant in the room, say the authors, and that is the “trilemma of population growth, economic growth, and environmental sustainability” – which (they say) reveals the vast incompatibility of current models of economic development with environmental sustainability.

These are some of the findings of a study published in the Proceedings of the National Academic of Sciences (USA); the lead author is Professor Graeme Cumming of the ARC Centre of Excellence for Coral Reef Studies at James Cook University.

An example of the research results:  High-income countries often rely more on non-extractive industries, such as manufacturing and services, but consume more per capital and import more raw materials.  In low-income countries, populations depend more on the extractive industries (agriculture, mining, logging), but have lower per capita consumption rates and higher population growth (and will have more mouths to feed).

The world is divided into two distinct groups of national economies, the authors posit in the Proceedings, roughly equated to developed and less developed nations…and both are pushed toward two different equilibrium points that are unsustainable under population growth. (They studied data and models that are described in the Journal report.)

The solution that we can all agree on:  We need to find ways to make economic development and good standards of living compatible with ecological sustainability.  We can use this knowledge to steer economic growth towards win-win outcomes for people and the environment (so say the authors).

The Journal article is available to you at:
Linking Economic Growth Pathways and Environmental Sustainability by Understanding Development as Alternate Social-Ecological Regimes http://www.pnas.org/content/early/2018/09/04/1807026115

Our Top Story provides highlights of the report authored by Professor Cumming and his colleague, Stephan von Cramon-Taubadel); Dr. Cumming presents brief highlights for you.

This Week’s Top Story

Can sustainable development co-exist with current economic growth?
(Thursday – September 06, 2018) Source: Phys.org – New research confronts the elephant in the room—the ‘trilemma’ of population growth, economic growth and environmental sustainability—and reveals the vast incompatibility of current models of economic development with…

Colleges and Universities and Global Sustainability – Many Higher Ed Institutions Are Addressing the 21st Century’s Great Societal Challenges in Many Ways in North America, Asia-Pacific and Europe

United Nations Secretary-General Ban Ki-Moon thinks that institutions of higher learning are “the leading torch bearers for global sustainability.”  The world’s universities, adds the Study International organization team: “…Universities play a vital role in helping us understand climate change…”

The Study International Staff looks at the roles of universities in addressing climate change challenges in the U.S.A., Asia-Pacific and in Europe in a very informative wrap-up that is one of our Top Stories this issue.  Under the Climate Leadership Network, they explain, more than 600 colleges and universities in every U.S. state and the District of Columbia have committed to take action on climate change, preparing students through research and education to solve 21st Century challenges.

The institutions profiled today:  the University of Utah’s College of Mines and Earth Sciences; the University of Queensland in Australia; College of Science and Technology, Temple University (USA); Asian School of Environment, Nanyang Technological University (NTU) in Singapore.

Our other two relatedTop Stories for you are (1) a feature from Florida by Bakari M. McClendon at the Florida A&M University’s Sustainability Institute (go Rattlers!), about the great work being done at the school to work toward “climate (impact) neutrality”, collaborate with the community and prepare students for the sustainability challenges of the 21st Century. (The school is a public, historically  African-American institution). It’s a fascinating wrap up and FAMU faculty, staff and students are justifiably proud of telling.

And (2) on the other American coastline, far to the west, at the University of California’s Santa Barbara campus, there’s news about the school being named among the top-performing institutions in the 2019 Sustainable Campus Index (did you know there was such an index?).

The index is from the Association for the Advancement of Sustainability in Higher Education (“ASSHE”) and it annually ranks the nation’s most sustainable colleges and universities in 17 impact areas related to academics, engagement, operations and administration based on it “STARS” methodology.  UCSB is part of the “sustainability revolution” in California that is helping to set the pace for the U.S.A. in addressing climate change challenges.

Here at G&A Institute we have a program for select intern-analysts to assist with ESG / sustainability / corporate disclosure and reporting research projects — which we then share results [of] with you on our G&A web platforms.

We are proud of the men and women who have participated in our rigorous programs over the years since 2010 – they are now influential in helping to advance corporate sustainability and sustainable investing out “in the real world” – you can find their profiles on our Honor Roll at:  https://www.ga-institute.com/about-the-institute/the-honor-roll.html

And the results of their research over the recent years that these outstanding professionals have helped to conduct is found at: https://www.ga-institute.com/research-reports/research-reports-list.html

If you are a college/university student, particularly a grad student, and you would like to be considered for an internship with G&A Institute, please examine this: INTERNSHIP OPPORTUNITIES: SUSTAINABILITY REPORTS DATA ANALYST

P.S.  If you don’t know about The Study International organization, which operates from the UK, Australia and Malaysia, and helps students find educational institutions and graduate employers connect, you can tune in to their web platform: www.studyinternational.com

Perhaps you will find an institution that your organization can collaborate with, or a graduate to fill that sustainability position at your organization.

This Week’s Top Stories

Resilient research hubs that strive for global sustainability
(Thursday – August 30, 2018)
From heads of states to businesses, civil society to Silicon Valley, leaders are not immune to the forces of change before us. Developmental, environmental and other social challenges…

Education is a launch pad for sustainability problem-solvers
(Tuesday – August 28, 2018) Source: Tallahassee Democrat – Colleges and universities are uniquely positioned to build pathways to interdisciplinary, solutions-oriented sustainability education for the thought leaders of tomorrow

Sustainability Strides
(Tuesday – August 28, 2018) Source: The Current – UC Santa Barbara named among top-performing institutions in three key categories in the 2018 Sustainable Campus Index

Calling Your Attention To

The JAMA Network (Journal of the American Medical Association) published an analysis of Health Care Organizations’ sustainability and CSR reporting. We share with you this week a very informative commentary from the JAMA Network (Journal of the American of the American Medical Association -AMA) that should be interesting reading for managers of healthcare facilities. This is an assessment of the sustainability reporting by large health care delivery organizations (HCOs) performed by two medical professional, Emily Senay, M.D., MPH; and, Philip J. Landrigan, M.D. MSC2:

Assessment of Environmental Sustainability and Corporate Social Responsibility Reporting by Large Health Care Organizations
(Thursday – August 30, 2018) Source: Jame Network, Emily Senay, MD, MPH1; Philip J. Landrigan, MD, MSc2 – Do large health care organizations participate in the business trend to report on sustainability activities?

INTERNSHIP: SUSTAINABILITY REPORTS DATA ANALYST

G&A is offering unpaid internship opportunities for qualified students interested in learning more about corporate sustainability and corporate ESG performance (“Environmental, Social, Governance”) issues. G&A Institute interns learn important elements about the Global Reporting Initiative (GRI) Standards for sustainability reporting as well as other common frameworks such as CDP, RobecoSAM CSA (DJSI), SASB, IIRC, SDGs, and concepts in sustainability such as materiality, stakeholder engagement, assurance, balance, comparability, and many others that can be used in their future work situations.

The work will support G&A’s pro-bono unpaid relationship as the Global Reporting Initiative (GRI) data partner for the US, UK, and Ireland, along with contributing to associated research on sustainability reporting trends.

This is a very fast growing area of interest to corporations and Wall Street.  The GRI’s reporting framework and standards are the most widely used in the world for these types of reports.

Opportunity:  Learn to analyze data and interpret content from GRI sustainability reporting

Intern Position:  Sustainability Report Data Analyst (supporting G&A’s GRI Data Partner relationship)

Location: Virtual — Work is done remotely – at your own location with a flexible work schedule.  Initial training via virtual meeting tools. There will be opportunities to attend industry networking and training events with G&A’s network of event and training partners.

Time Requirements: Position requires approximately 10 hours per week and begins ASAP.  The timing of the work is flexible for a majority of the time required and can be done remotely.  The internship will take place starting in September 2018 and ending May 2019.

Compensation: This is an unpaid experience only internship position.

MORE ABOUT THE INTERN POSITION
In this role, you will work as part of a team to analyze sustainability reports for inclusion in the largest global database of sustainability reports, the GRI’s Sustainability Disclosure Database (database.globalreporting.org).

Learning to read, analyze, use and structure data from reports using the GRI Standards, GRI G4, GRI-Reference, as well as NON-GRI corporate and institutional reports, will comprise the majority of this assignment.  The research will also contribute to several published research reports on various trends in sustainability reporting which are widely referenced by media, academics, business, capital markets players and other important sustainability stakeholders.

The student(s) selected will have the opportunity to experience a fast-paced, highly-adaptive (and nurturing) culture in a small but growing company with a unique niche. This is a hands-on position with a considerable learning opportunity for those headed for a career in corporate responsibility, sustainability, citizenship or impact investment.

G&A interns get public recognition for their work in our published reports, on our web platform, and in other ways.

We are proud of our intern alumni and are happy to share their success with the world, as they accomplish great things through their careers navigating the way to sustainability.  To see what other interns have been doing (and their backgrounds) check out G&A’s Intern Honor Roll at http://www.ga-institute.com/about-the-institute/the-honor-roll.html

REQUIREMENTS

  • Must be in senior year of Bachelors program or in a Masters program with major/studies focused on business, capital markets, ESG, environmental and/or sustainability issues and topics.
  • Demonstrate strong background / keen interest or past work experience in ESG and sustainability-related issues / topics.
  • Having a basic understanding of business and the capital markets is mandatory.
  • Must have strong skillsets and experience in independent online research and analysis.
  • Must be excellent at using Excel / Google Sheets and researching on Google.
  • Have strong technical, communication and organizational skills.
  • Must be self-driven and able to work independently to meet expectations and deadlines.
  • Must be fluent in English, additional languages are a plus.
  • Applicants with good writing and editing abilities will have a preference.

APPLICATION PROCESS
Interested students must send:

  • A cover letter outlining why you would be a good fit for this role.
  • Resume including your education, skill sets, and work experience.
  • A one-to-two page introduction essay on what you would like to learn more about (in terms of your career goals), what your interests are, and anything else you feel may be relevant to the job/our organization.
  • Samples of writing or research on sustainability or other topics are also a plus.

Send application materials to Governance & Accountability Institute at:
lcoppola@ga-institute.com & agallagher@ga-institute.com

ABOUT GOVERNANCE & ACCOUNTABILITY INSTITUTE
Founded in 2006, Governance & Accountability Institute is a New York City-based company that specializes in research, communications, strategies and other services focused on corporate sustainability and corporate ESG performance (“Environmental, Social, Governance”) issues.

G&A is the data partner for the United States, United Kingdom and the Republic of Ireland for the Global Reporting Initiative (GRI).  The Global Reporting Initiative is a non-profit organization that promotes the use of sustainability reporting as a way for organizations to become more sustainable and contribute to sustainable development.

GRI provides all companies and organizations with a comprehensive set of sustainability reporting standards that are the most widely used and respected around the world.  Currently, thousands of global organizations use the GRI to report on their Environmental, Social, and Corporate Governance (ESG) strategies, impacts, opportunities and engagements (www.globalreporting.org).

As the US, UK and Ireland data partner of the GRI, G&A’s role is to collect, organize, and analyze sustainability reports that are issued by corporations, public entities, not-for-profits and other entities in the United States, United Kingdom and the Republic of Ireland for the benefit of all stakeholders.

Send application materials to Governance & Accountability Institute at:
lcoppola@ga-institute.com & agallagher@ga-institute.com

Sustainability Over the Next Two Decades – Forward? Backward? Something We Just Take For Granted in Running a Company or Investing In One?

Predicting the way forward (that is, defining the future) is always challenging but pundits do try anyway. One of the most often quoted of such predictions is the 1944 forecast for the computer and copier markets with CEO Thomas Watson of IBM projecting…a market of perhaps five computers and as many as 5,000 copying machines! 
This week we bring you a two-part look at where Sustainability and Corporate Responsibility may be headed over the next 20 years, with 20 business leaders with expertise and experience in sustainability and CR weighing in on Edie.net.

The experts bravely putting forth their views of the future include the John Elkington, well-known author and Co-founder, Volans Ventures; the Director of Sustainability for Carlsberg (Simon Boas-Hoffmeyer); the Managing Director, Energy Services of Renault-Nissan (Francisco Carranza Sierra); Moody’s head of Global CSR, Arlene Isaacs-Lowe; Interface’s Jon Khoo (Innovation Partner); Leonie Schreve, Global Head of Sustainable Finance at ING, Peter Harris, the director of sustainability at UPS…and others.

Among the intriguing perspectives shared in the two-part feature on Edie.net are these brief outtakes:

What is “sustainable” today will be the new normal so we’ll need something transformational.

We are witnessing the design of the future city; it’s an urban design experiment and the future city will need to be cleaner and greener.

The next two decades for sustainability in real estate will be absolutely critical.  The window of opportunity for preventing the worst effects of climate change is fast closing and so meaningful action across all parts of the R.E. value chain is essential.

The sustainability role is going from being executing sustainability-related actions to be a driver of change.  Driving the development through an integration of the sustainability agenda in the different functions of the company…going from doer to change maker.

Companies have always been bottom-line driven but the question now is whether their views will shift from short-term return perspective to long-term sustainability perspective.  The reality is that because of the way we invest, there needs to be a deliberate focus on what the long-term future of a company is going to reveal.

There’s much more for you in the two part feature.  Say – what are your thoughts about the directions of sustainability (forward… back… sideways… really unknown?) for the next 10 or 20 years?  Send us your views and perspectives so we can share them in our newsletter and on the blog!

This Week’s Top Stories

Thinking Forward: 20 Business Leaders Define the Next 20 Years of Sustainability – Part One
Thinking Forward: 20 Business Leaders Define the Next 20 Years of Sustainability – Part Two
(Thursday/Friday – August 23 & 24, 2018)
Source: Edie – we’ve gathered the insights of 20 sustainability experts to give their views on the next 20 years of corporate sustainability, across of range of key areas. From resource efficiency to green finance; board diversity to consumer…

Focus On The Corporate Sustainability Journey This Week – News & Opinion All Around the Topic in Various Communications Channels…

Remember the Beatles’ song…Here, There and Everywhere?  That’s what seems to be happening with “Corporate Sustainability” these days.  The news and commentary seem to be everywhere now, with an examination of how the corporate sector is embracing the concept and developing strategies, action plans, assigning teams and moving forward to address ESG issues.  When we began our sustainability news, commentary and research sharing at Governance & Accountability Institute more than a decade ago, the items were few and far between, skimpy and more periodic than regular.

Today, a widening range of media and communications channels bring us the news of what the players in the corporate sector are doing — and how institutional investors and other key stakeholders are responding to same. We see numerous news stories and commentary about what companies are doing in their sustainability journey…and how this matters in so many ways for the issuer (such as improved risk management, more effective investor relations, greater access to capital, enhanced reputation for recruiting and retaining human capital, preferred supplier status, and more).

G&A Institute is the data partner for the USA, UK and Republic of Ireland for the Global Reporting Initiative (GRI) and in this role, we gather and analyze (and then database) the corporate sustainability and CR reports of literally hundreds upon hundreds of companies.  The progress we’ve seen companies making in their journeys is encouraging and pretty astounding if you think back just 10 years or so (to the dark days of 2008).

And so as companies move ahead in the journey and greatly expand their disclosure and reporting, the communication channels light up with the “sustainability” news, commentary and research focused on a company, a group of peers, investors, an industry or a sector.
We selected a few examples for you this week.  First, from the food processing industry, an examination by Kevin Piccione (he describes his company’s effort – Sealed Air, an early sustainability adopter).  He cites the World Economic Forum finding that most “sustainable companies” outperform their peers by a third – but only 2% achieve or exceed their sustainability goals. So why do they succeed?  A brief review for you.

The second article for you is Harry Menear’s more in-depth piece from Energy Digital, examining which companies stand out for “green credentials”. His focus is on the Corporate Knight’s “Top 10 Sustainable Companies” roster, which is drawn from comprehensive research on 6,000 companies worldwide across all industries (for companies with US$1 billion revenues).  The companies were scored on energy use, carbon, waste and clean air production, innovation expenditures, taxes paid, diversity of leadership, supply chain management, and other elements of the sustainability journey.  Which companies made the Top 10?  The link is below for your reading.

The third item is a note of caution from Emily Chasan and Chris Martin at Bloomberg, New Economy Forum — who point out that in the midst of the growing enthusiasm about corporate sustainability, there are some companies that investors call out for their “corporate greenwashing” (and they name names).  The authors cite the recent Ceres report on this (500 companies were analyzed).  They write:  Companies are still making questionable claims but accountability is rising.

Emily and Chris tell us companies (and their executives) are being forced now to admit to greenwashing (that is, “gushing” sustainability claims with a tenuous grip on reality). Examined:  Mid-American; VW; Wal-Mart; Amazon; AB InBev SA.  There are perspectives shared on this by Calvert,  CalSTRS, BlackRock, Neuberger Berman, DWS Group, UBS.

And there are as always many items that our editors share this week in the Highlights, as we say, drawn for you from the many communications channels that our team monitors every day.  Let us know your thoughts as to how we are doing and what you would like to see!

This Week’s Top Stories

Achieving your sustainability goals does not mean sacrificing profits
(Thursday – August 16, 2018) Source: Food Processing – Nearly 90% of business leaders believe that sustainability is essential to remaining competitive and despite the clear link between sustainability and profit, only 2% of companies either achieve or exceed their sustainability…

Top 10 Sustainable Companies
(Monday – August 13, 2018) Source: Energy Digital – Which companies stand out for their green credentials? Energy Digital finds out.

Investors Are Increasingly Calling Out Corporate Greenwashing
(August 20, 2018) Source: Bloomberg – Corporate sustainability reporting has risen dramatically over the last few years, with 85 percent of the S&P 500 index producing annual corporate responsibility documents in 2018, up from just 20 percent in 2011, according to the Governance & Accountability Institute. That’s partially due to investor demand. Assets in sustainable investment funds grew 37 percent last year, according to data tracked by Bloomberg.

Global Warming / Climate Change — What Are Current Weather Events and Dramatic Changes Telling Us?

The National Geographic describes “Global Warming” as a set of changes to the Earth’s climate, or long-term weather patterns, varying from place-to-place.  The dramatic changes in the rhythms of climate could affect the face of our planet – coasts, forests, farms, mountains…all hang in the balance.

So, also hanging in the balance:  the fate of humanity!

Explains NatGeo:  “Glaciers are melting, sea levels are rising, cloud forests are dying, and wildlife scrambles to keep pace.  It’s becoming clear that humans have caused most of the past century’s warming by releasing heat-trapping gases as we power our modern lives.  Greenhouse gases (GhGs) are at higher levels now than in the last 650,000 years.” *

“Climate Change” is the less politically-volatile term used by leaders in the public and private sectors (such as in the numerous shareholder-presented proxy resolutions that are on the ballots of public companies for owner voting and in the language of corporate sustainability reporting).

Carbon Dioxide emissions (CO2) released into the atmosphere have increased by a third since the start of the Industrial Revolution, and so addressing this challenge would logically be a prime responsibility of those who benefitted most from the 200-year-plus revolution – pretty much all of us!

The political climate in most of the developed industrial world is mostly reflective of the will to do “something” – witness the almost 200 sovereign nations signing on to the Paris Agreement in 2015 (“COP 21”) to work together and separately to holding the temperature riseto well below 2-degrees Centigrade (3.5F), the pre-industrial levels — and pursuing efforts to limit the temperature rise to 1.5-degrees C above pre-industrial levels. (“As soon as possible.”)

The Agreement also calls for the increasing society’s ability to adapt to the adverse impacts of climate change and foster climate resilience including low GHG emissions development. **

The outlier nation to the agreement, sad to say, is the world’s largest economy and significant GHG emitter, the United States of America, which has begun the withdrawal process from the Paris Agreement. This week we present a selection of top stories about climate change – and global warming! – to illustrate the effects of a changed climate around the globe.  And to send signals to the doubting policymakers in Washington DC that the threat is real!

The good news is that many corporate managements, powerful institutional investors, and public policy makers in a growing number of cities, states and regions are committed to the goals of the Paris Agreement and working to implement steps to hold the line – to build resilience – that will benefit all of society.

We really do have to hurry — take a look at what is happening around our planet:

This Week’s Top Stories:
Drought, Heat Wave, Wild Fires
— Is the Earth Burning Up?

Earth at risk of becoming ‘hothouse’ if tipping point reached, report warns
(Tuesday – August 07, 2018) Source: CNN – Scientists are warning that a domino effect will kick if global temperatures rise more than 2°C above pre-industrial levels, leading to “hothouse” conditions and higher sea levels, making some areas on Earth uninhabitable.

5-year drought raises questions over Israel’s water strategy
(Monday – August 06, 2018) Source: ABC News – For years, public service announcements warned Israelis to save water: Take shorter showers. Plant resilient gardens. Conserve. Then Israel invested heavily in desalination technology and professed to have solved the problem by…

Our climate plans are in pieces as killer summer shreds records
(Monday – August 06, 2018) Source: CNN – Deadly fires have scorched swaths of the Northern Hemisphere this summer, from California to Arctic Sweden and down to Greece on the sunny Mediterranean. Drought in Europe has turned verdant land barren, while people in Japan and…

Are devastating wildfires a new normal? “It’s actually worse than that,” climate scientist says
(Wednesday – August 08, 2018) Source: CBS News – California Gov. Jerry Brown has called the devastating wildfires tearing through Northern California “part of a trend — a new normal.” But one climate scientists says “it’s actually worse than that.”

Europe battles wildfires amid massive heat wave
(Wednesday – August 08, 2018) Source: ABC News – Record-breaking temperatures across Europe have forced people to sleep in a Finnish supermarket, uncovered a piece of World War II history in Ireland and are making it harder to battle the wildfires that have been raging in Spain…

Don’t despair – climate change catastrophe can still be averted
(Wednesday – August 08, 2018) Source: The Guardian – The future looks fiery and dangerous, according to new reports. But political will and grassroots engagement can change this…

Australia’s most populous state now entirely in drought
(Thursday – August 09, 2018) Source: CBS – CANBERRA, Australia — Australia’s most populous state was declared entirely in drought on Wednesday and struggling farmers were given new authority to shoot kangaroos that compete with livestock for sparse pasture during the…

Nearly 140 people dead amid Japan heat wave
(Thursday – August 09, 2018) Source: WTNH – Japan is dealing with a heat wave that had killed 138 people. The heat wave started back in May and has been roasting the country ever since…

Europe bakes again in near-record temperatures
(Thursday – August 09, 2018) Source: Phys.org – Europe baked in near-record temperatures on Monday but hopes were for some respite after weeks of non-stop sunshine as people come to terms with what may prove to be the new normal in climate change Europe…

* Greenhouse Gases are defined as a gas trapping heat in the atmosphere, contributing to the “greenhouse effect” by absorbing radiation:  carbon dioxide/CO2, methane, nitrous oxide, and flouorinated gases (such as chlorofluorocarbons, sulfur hexafluoride).

** The Paris Agreement is at: https://unfccc.int/sites/default/files/english_paris_agreement.pdf

INSTITUTIONAL INVESTORS LAUNCH ALLIANCE FOCUSED ON HUMAN RIGHTS

by Hank Boerner – Chair and Chief Strategist, G&A Institute

ICCR Provides Leadership for Investor Collaboration To Advance Corporate Sector and Investor Action on Human Rights Issues

The recently-launched Investor Alliance for Human Rights provides a collective action platform to consolidate and increase institutional investor influence on key business and human rights issues.

For nearly 50 years, the Interfaith Center on Corporate Responsibility (ICCR) has been engaging with corporate managements and boards, coalescing with asset owners and managers and waging campaigns on key E, S and G issues.

ICCR has become a major influence for investors at corporate proxy voting time, and in ongoing investor-corporate engagements.

Consider:  The member institutions have AUM of US$400 billion and influence many other investors (depending on the issue in focus at the time).

ICCR has 300-plus institutional investor members, many (but not all) are faith-based organizations. A good number of member institutions are leaders in making available sustainable & responsible investment products and services. (See representative names in references at end.)

Key issues in focus for ICC members include:

  • Human Rights (key: human trafficking, forced labor, fair hiring practices)
  • Corporate Governance (board independence, CEO comp, lobbying)
  • Health (pharma pricing, global health challenges)
  • Climate Change (science-based GhG reduction targets)
  • Financial Services (risk management for financial institutions, responsible lending)
  • Food (antibiotics in food production, food waste, labor)
  • Water (access, corporate use of water and pollution)

HUMAN RIGHTS IN FOCUS FOR NEW ALLIANCE

On the last issue – Human Rights – ICCR has long been involved in various Human Rights issues back to its founding in 1971 and has been organizing the Investor Alliance for Human Rights since late-fall 2017.  Here are the essentials:

  • Investor Alliance participants will have an effective “Collective Action Platform” for convening, information sharing, and organizing collaboration on action to make the case to corporate decision-makers and public sector policymakers (and other stakeholders) on the need for urgency in addressing human rights issues.
  • The umbrella of a formal alliance will help individual participants to build partnerships and develop collaboration within their own universes of connections (such as NGOs, other investors, community-based organizations, trade groups, corporate leaders, multi-lateral organizations, and other institutions and enterprises).
  • Among the work to be done is the encouragement and support of building Human Rights criteria and methodology into asset owner and manager guidelines, investing protocols, models, and to integrate these in corporate engagements and proxy campaigns, as well as to guide portfolio management. (Buy/sell/hold decision-making.)
  • All of this will help to expand investor reach and influence and strengthen advocacy for best practices in Human Rights by both companies and investors. Leveraging of broader investor influence is key in this regard.

The Alliance will provide participants with a “rapid response” resource to assure that the “investor voices” are clearly heard in corporate board rooms and C-suites, in public sector leadership offices, and in media circles when there are threats posed to effective actions and reforms in Human Rights issues.

The Alliance is outreaching to NGOs, faith-based institutions, academics, media, labor unions, multi-lateral global institutions, trade and professional associations, corporate managements and boards, and of course to a wide range of asset owners and managers.

# # #

The key player at ICCR for the Alliance is David Schilling, a veteran staff member who is Senior Program Director – Human Rights & Resources. (email:  dschilling@iccr.org)

David joined ICCR in 1994 and has led initiatives on human rights in corporate operations in Africa, Asia and Latin America, often visiting factories and meeting with workers on the ground.

David is currently Chair, Advisory Board of the Global Social Compliance Program; member, International Advisory Network of the Business and Human Rights Resource Centre; member, RFK Center Compass Education Advisory Committee; UNICEF CSR Advisory Group; and, Coordinator (with ICCR member institutions) of the Bangladesh Investor Initiative (a global collaboration in support of the “Accord for Fire and Building Safety”.

# # #

ICCR stresses that it sees its work “through a social justice lens.”  For more than two decades members and staff have worked to eradicate human rights abuses in corporate operations and across global supply chains, such as forced child labor in cotton fields in Uzbekistan.

The organization has an Advisory Committee of Leaders in Business and Human Rights (formed in late-2016).  Members include representatives of Boston Common Asset Management; Shift; Landesa; The Alliance for a Greater New York; Oxfam America; Mercy Investment Services; International Corporate Accountability Roundtable; and Global Witness.

# # #

ICCR has a long history in Human Rights progress.  The organization came together as a committee of the mainstream Protestant denominations under the  umbrella in 1971 to organize opposition to the policies and practices of “Apartheid” in South Africa.

Over time, the U.S. corporations operating in South Africa stopped operations there.  More than 200 cities and municipalities in the United States of America adopted anti-Apartheid policies, many ending their business with companies operating in South Africa.

Protests were staged in many cities and on many college & university campuses, and U.S. and European media presented numerous news and feature presentations on the issue.

In time, the government of South Africa dismantled Apartheid and the country opened the door to broader democratic practices (the majority black population was formerly prohibited to vote).

Over the years since the Apartheid campaign, ICCR broadened its focus to wage campaigns in other societal issues, including:

  • Focus on fair and responsible lending, including sub-prime lending and payroll lending.
  • Putting climate change issues on the agenda for dialogue with corporations, including the demand for action and planning, and then greater disclosure on efforts to curb GHG emissions.
  • Encouraging investment in local communities to create opportunities in affordable housing, job development, training, and related areas.
  • Promoting greater access to medicines, including drugs for treatment of AIDS in Africa, and affordable pricing in the United States.
  • Promoting “Impact Investing” – for reasonable ROI as well as beneficial outcomes for society through investments.
  • Promoting Islamic Finance.
  • On the corporate front, requesting greater transparency around lobbying by companies to influence climate change, healthcare and financial reforms, both directly and through trade associations and other third-party organizations.
  • Opposing “virtual-only” annual corporate meetings that prevent in –person interaction for shareholders.

Proxy Campaigns – Governance in Focus:

ICCR members are very active at proxy voting time.  Among the “wins” in 2017:

  • Getting roles of (combined) Chair & CEO split – 47% support of the votes for that at Express Scripts and 43% at Johnson & Johnson; 39% at Chevron.
  • More disclosure on lobbying expenditures – 42% support at Royal Bank of Canada and 41% at First Energy; 35% at Cisco and 25% at IBM.

# # #

Notes and References:

Information on the new Alliance is at: http://iccr.org/iccr-launches-new-alliance-amplify-global-investor-influence-human-rights

ICCR’s web site is at: www.iccr.org

And at http://iccr.org/our-issues/human-rights/investor-alliance-human-rights

The Alliance initiative is supported with funding from Humanity United and Open Society Foundations.

Influence and Reach:  The ICCR member organizations include the AFSCME union fund, Walden Asset Management, Boston Common Asset Management, Oxfam, The Maryknoll Fathers and Brothers, and Maryknoll Sisters, American Baptist Churches, Mercy Investments, Christian Brothers Investment Services (CBIS), Wespath Investment Management, Everence Financial, Domini Social Investments, Church of England Ethical Investment Advisory Group, Gabelli Funds, Trillium Asset Management, Calvert Group, Clean Yield, The Nathan Cummings Foundation, and other institutional investors.