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The Global Reporting Initiative, their new CEO, Social, Mobile and Big Data

Michael Meehan - GRI new Chief Executive

We were delighted to hear this week that friend of GreenMonk’s for many years now, Michael Meehan was recently appointed as CEO of the Global Reporting Initiative (GRI).

The GRI is a non-profit organisation that produces one of the world’s most prevalent framework’s for sustainability reporting. One of the GRI’s main aims is to make sustainability reporting by all organisations as routine as, and comparable to, financial reporting.

Michael takes over the GRI at an interesting time. As we reported here on GreenMonk recently, the interest in sustainability reporting is on the rise globally

carbon scores are now not only showing up at board level, but are also being reported to insurance companies, and are appearing on Bloomberg and Google Finance. He put this down to a shift away from the traditional regulation led reporting, to a situation now where organisations are responding to pressure from investors, as well as a requirement to manage shareholder risk.

In other words the drivers for sustainability reporting now are the insurance companies, and Wall Street. Organisations are realising that buildings collapsing in Bangladesh can have an adverse effect on their brand, and ultimately their bottom line.

On a call to Michael earlier this week to congratulate him on his new role, he mentioned that while around 6,000 organisations currently report to the GRI, his aim is to increase that number to 25,000 organisations.

To do that, at the very least, the GRI needs to embrace social, mobile, and Big Data.

The GRI has traditionally operated below the radar, but in order to grow the GRI, never mind growing it to 25,000 reporting organisations, working quietly is not sustainable. It has to become more aggressive with outbound communications – social in particular. While the GRI has a Twitter account with over 15,000 followers, there’s no mention of the account anywhere on the GRI’s website. Worse again, the organisation’s Facebook page is one automatically generated by Facebook based on Facebook users posts and interests (!), and the organisation’s Youtube channel was similarly generated automatically by YouTube’s video discovery system.

On the mobile front, the organisation’s website is not mobile aware. Nor does it have any mobile apps in the main app stores. In a time when more and more web browsing is going mobile, the GRI urgently needs to formulate a mobile strategy for itself.

And finally, on the Big Data front, in our conversation Michael expressed a definite interest in making the GRI’s terabytes of organisational information available as a platform for developers. The data is a huge repository of information going back over years. The ability to build analytics applications on top of this would yield massive benefits, one has to think.

Fortunately for the GRI, Michael is a serial entrepreneur with a history of successful exits in the sustainability space. If anyone can modernise the GRI, he can. We wish him all the best in his new role.

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SAP releases its Integrated Report 2012 – an integrated financial and sustainability report

SAP released their first Sustainability report in 2008 (their 2007/2008 report). Like the reports of most other companies at the time, it was released as a PDF document but SAP quickly shifted gears. SAP’s 2008 Sustainability report, was released as a website. This had the dual purpose of making the site more accessible, and also allowing SAP to see which areas of the site had more traction. The following year they made their report more social and every year since they have added something new.

As well as releasing its Sustainability reports each year, SAP also published its annual financial reports. This year, for the first time, SAP have integrated the two reports and they have just published their SAP Integrated Report 2012. It takes the form of a highly interactive website with built-in analytics and downloadable PDF’s.

This was an idea GreenMonk first mooted when I asked SAP’s Chief Sustainability Officer Peter Graf in a 2011 interview whether SAP had any plans to integrate the two documents.

On a conference call at the launch of the integrated report, SAP Chief Accounting Officer Christoph Hütten went to great pains to stress that this wasn’t merely the content of both reports in one, but that the content was very tightly bound together. The report demonstrates how connections and inter-dependencies between financial and non-financial performance impact each other, he said.

The document/website contains all the financial and sustainability-related information you would expect to find in reports of this type. And the report also has a nice page showcasing and explaining the connections between the financial and non-financial performance.

Other nice features of the report are an integrated tweetstream showcasing mentions of the #sapintegrated hashtag on some pages, an option to make notes on pages (with the ability to download those pages as PDF’s subsequently), and the download centre for downloading the annotated pages, as well as financial statements, graphics and other reports.

For the first time also, SAP are releasing their 2012 sustainability information in XBRL format (.zip file) – something GreenMonk also suggested to SAP back in 2011. If you are unfamiliar with XBRL, it is an XML-based global standard for exchanging business information.

Impressive as well was the fact that at the end of the conference call launching the report, Peter Graf mentioned that SAP are actively looking to co-innovate. He asked that anyone, be they in the financial or sustainability reporting space, who is interested in integrated reporting get in touch with him to work together to bring integrated reporting to everyone “at the lowest possible cost and highest possible precision”.

The video above is a demo of the report and I have placed a transcript of the video here.

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Can IBM continue to support blatant sexual discrimination?

Ginni Rometty, CEO, IBM

I’ve always admired IBM’s achievements in the diversity and equality arena.

Some of their milestones down through the years include:

  • In 1914, 76 years before the US Disabilities Act, IBM hired its first disabled employee.
  • In 1942 IBM launched a disabled employee training program.
  • In 1943 Ruth Leach Amonette was elected IBM?s first female Vice President.
  • In 1946 IBM hired T.J. Laster, their first black sales representative, 18 years before the Civil Rights Act of 1964.
  • In 1953 IBM chairman Thomas Watson issued the company?s first Equal Opportunity Policy letter.
  • And in 2011, IBM announced that Ginni Rometty would take over as President and CEO – the first female CEO in the history of the company.

Consequently, I was stunned to read at the weekend that IBM’s CEO was snubbed by the organisers of the US Open at Augusta simply because she is a woman, and despite this IBM continued to sponsor the event!

A bit of background – the Augusta National Golf Club is a private club, so it can set its own rules. Its rules have been notoriously discriminatory through the years – it didn’t admit black members until 1990, until recently it had a policy requiring all caddies to be black, and it continues to refuse women membership.

The fact that it refuses to allow female membership is now sharply in focus because the club has traditionally invited the CEO’s of the main sponsors of the US Masters to become members. By the end of this year’s tournament, despite IBM’s significant sponsorship, Ms Rometty had not been invited to become a member, because of her gender.

Now Ms Rometty is reportedly not a frequent golfer, so while it may not be a devastating blow to her game, it is a slap in the face that she wasn’t asked to be a member when her predecessors at IBM were. As were the CEO’s of the two other Masters sponsors (AT&T and Exxon Mobil).

IBM’s involvement with the event goes back many years and they are tied into it deeply not just financially but also at a technological level. According to Bloomberg

IBM is featured in the tournament?s TV commercials and runs its website, mobile-phone applications and media-center technology. Palmisano serves on Augusta?s technology tournament committee. He remains IBM?s chairman — a role Rometty is likely also to assume upon his retirement

Augusta may need IBM more than IBM needs the Masters.

No Irish

Despite that, IBM went ahead with its sponsorship of the event and made no statement about the bigoted position of the club or its treatment of their CEO (and any other woman who may wish to become a member).

It would be outrageous if IBM were to continue to sponsor an organisation which practices such blatant discrimination. If the club’s rules banned people based on their religion, or their sexual preference, or as they did until recently, their race, would IBM sponsor them? Of course not. This is no different.

Some will argue that IBM gets great publicity from the Masters. Publicity which it would be loath to lose. I doubt that is the case for two reasons – 1. IBM would likely get tremendous press if it very publicly withdrew its sponsorship from the event on the grounds of the club’s prejudicial rules and 2. I’d like to think IBM is not the type of company that sells its ethics and reputation just for a couple days in the limelight.

If nothing is done to correct this, the fact that IBM is financially (and technically) backing such a sexist organisation, threatens to do serious damage to the good name IBM has built-up as a corporate citizen over the years. And that’s not at all to touch on the message this sends to IBM’s female employees – what must they be thinking about IBM’s attitude to women now?

For example, I can’t help wondering how this squares up with IBM’s Workforce Diversity Policy states [my emphasis added]:

Business activities such as hiring, training, compensation, promotions, transfers, terminations and IBM-sponsored social and recreational activities are conducted without discrimination based on race, color, genetics, religion, gender, gender identity or expression, sexual orientation, national origin, disability, age or status as a special disabled veteran or other veteran covered by the Vietnam Era Veterans Readjustment Act of 1974, as amended.

These business activities and the design and administration of IBM benefit plans comply with all applicable federal, state and local laws, including those dealing with equal opportunity. IBM also makes accommodation for religious observances, which IBM determines reasonable.

In respecting and valuing the diversity among our employees and all those with whom we do business, managers are expected to ensure that there is a work environment free of all forms of discrimination and harassment.

We can only hope that work is going on behind the scenes to fix this. It will be interesting to see what the position will be for the 2013 Masters Tournament – will IBM still be a sponsor? will Ginni Rometty be admitted as a member as an exception to the all-male rule on the basis of IBM’s sponsorship? or will the club finally change its misogynistic rules?

If next year the club still refuses to have women members, and IBM continues to sponsor the Masters, it will see IBM become the unlikely new champion of discrimination against women.

Photo Credits Tom Raftery and sashafatcat

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Sustainability reporting in tech companies – the hardware vs software divide

Nature's fragility

Photo credit Koshyk

I wrote (and subsequently updated) a post a few weeks ago reviewing the Sustainability Reports of various companies in the technology space.

I updated the review again this afternoon (see the updated review below) with the 2009 reports from IBM, Adobe and SAS.

Something which struck me previously, and which hasn’t changed with the new rankings, is the yawning chasm in attitudes to sustainability reporting between hardware versus software companies.

Obviously this divide has a lot to do with risk – hardware companies who have significant manufacturing facilities, with massively complex supply chains, often containing toxic substances have far more exposure to risk than software companies.

This is reflected in the table below where eight of the top ten listings are hardware companies.

On the other hand, the bottom of the table is all software companies (with the exception of Apple – because they refuse to produce a sustainability report!).

The real odd one out though is the leader, SAP. Their sustainability reporting is out on its own. It is way ahead of any other organisation I have come across and this despite the fact that they are a software company!

One factor may be that they have a significantly European representation in senior management – they have a very different thought process when it comes to sustainability. SAP say they want to be an exemplar and an enabler – and, so far, they seem to be delivering on that.

None of the other software companies seem to take sustainability reporting anywhere nearly as seriously as the hardware companies.

Why do you think that is?

[table id=11 /]

You should follow me on twitter here.

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Where is Adobe’s commitment to Sustainability?

Adobe

Photo credit midiman

I was extremely lucky to be given a tour of Adobe’s triple platinum LEED certified HQ in Palo Alto last year. I video’d highlights of the tour and posted them here. At the time I was extremely impressed with Adobe’s sustainability initiatives.

However, since then I have been more and more wondering if the building is a one-off and if Adobe has any significant commitment to Sustainability.

Why do I say this?

  1. Adobe’s 2009 CSR report, while slightly better than its 2008 report, it is still a triumph of style over content. There is no adherence to GRI reporting standards, no external audit and no mention of targets set or previous targets reached
  2. No-where on the Adobe site or in its CSR reports (that I could find) does it mention who in the organisation has responsibility for Sustainability. If no-one has overall responsibility for it, then we shouldn’t be surprised if it doesn’t get done
  3. Adobe’s LiveCycle Enterprise Suite gets a passing mention in the 2009 CSR report when it says

    The United States Government Printing Office used Adobe? LiveCycle? and Adobe Acrobat? to generate, authenticate, and disseminate documents electronically, saving more than 20 tons of paper and $1 million over five years.

    Where are the white papers or case studies to back this up? Surely others are using LiveCycle and also saving paper. Why aren’t we hearing more about them? Similarly for Adobe Acrobat Connect Pro, and

  4. A more trivial example, but as I reported a few weeks back, Adobe charge more for downloadable, soft copies of their software, than they do for physical shipped product (which includes carbon associated with media, packaging and transportation)! This wouldn’t be allowed to happen in a company with any focus whatsoever on Sustainability. Software companies should be actively pushing customers to downloadable versions of their products

So, if a company of Adobe’s size and success can get away with such a passing regard for sustainability – are companies who take corporate responsibility seriously like SAP, BT and IBM wasting their time and energy?

You should follow me on twitter here.

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Global telco’s sustainability reports reviewed

Nature's fragility

Photo credit WTL photos

When I published my review of tech company sustainability reports a couple of weeks back, it was suggested that I should add in telco’s as well. Instead, for clarity, I decided to publish a separate review of telco sustainability reports here.

[table id=9 /]

Some points to note from the review:

  • BT & Telefonica both produced very good reports (though Telefonica’s was only in Spanish which limits how accessible it is outside of the Spanish-speaking world)
  • T-Mobile were let down by their chairman, Ren? Obermann, whose contribution was a cut & paste of an online interview he did a couple of months back as opposed to a report specific communication. Matters were made worse by the fact that the picture of the chairman in the report shows him with bottled water. In their Sustainability Report!
  • China Mobile produced an excellent report (in Chinese and English) which was let down only by the lack of external audit
  • Telecom Italia’s report was one of the best in terms of data transparency
  • AT&T’s 2008 report is very nicely laid out but it is dated, only to GRI level C and not externally assured
  • Telenor didn’t bother producing a report (that I could find) but they do have a Corporate Responsibility site while
  • 3 (owned by Hutchinson Whampoa) don’t have any Corporate Responsibility site or report that I could find on any of its sites. For shame.

If you have any updates or would like to suggest a company, please feel free to do so in the comments below and I’ll happily update the post.

You should follow me on twitter here.

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Friday Morning Green Numbers round-up 03/05/2010

Green numbers

Photo credit Unhindered by Talent

Here is this Friday’s Green Numbers round-up:

Posted from Diigo. The rest of my favorite links are here.