Enviro-management as a profit center

The environment is the source of many discussions in America’s board rooms. Most of the conversations probably center around cost containment, dealing with new regulations or reacting to unexpected problems. Some conversations may even revolve around how to “cash in” on the public’s concern for the environment. All of these discussions are normal, but also are increasingly becoming outdated. Companies that see the environment as a cost rather than a chance to gain a competitive advantage are perhaps missing the best opportunity of the 1990s. In the 1980s, quality was the vehicle that delivered greater profits and market share, but many businesses were late to recognize the fact that quality is a profit issue, not a cost issue. It was only the success of the Japanese and consumer pressure that created the quality revolution. Today, it is the environment that holds enormous potential for business, but until recently business was in a reactive not proactive mode. In order to be able to use the environment as a competitive weapon, business needs to begin where it should always begin, its customers. The environment is the source of many discussions in America’s board rooms. Most of the conversations probably center around cost containment, dealing with new regulations or reacting to unexpected problems. Some conversations may even revolve around how to “cash in” on the public’s concern for the environment. All of these discussions are normal, but also are increasingly becoming outdated. Companies that see the environment as a cost rather than a chance to gain a competitive advantage are perhaps missing the best opportunity of the 1990s. In the 1980s, quality was the vehicle that delivered greater profits and market share, but many businesses were late to recognize the fact that quality is a profit issue, not a cost issue. It was only the success of the Japanese and consumer pressure that created the quality revolution. Today, it is the environment that holds enormous potential for business, but until recently business was in a reactive not proactive mode. In order to be able to use the environment as a competitive weapon, business needs to begin where it should always begin, its customers.