The business case for sustainability for event industry leaders. Directed at destinations, hotels, venues and industry influencers, the points here help show that sustainable practices are fundamental, integral and benficial to business.
Prepared in collaboration with Mariela McIwraith of MeetingChange, these slides were presented to the World Meetings Forum on behalf of the Green Meetings Industry Council.
Sustainability is smart business (events industry)
1. Sustainability is Smart Business
Michael Luehrs
Sustainability Advisor,
President, Green Meeting Industry Council
Mariela McIlwraith, CMP, CMM, MBA
Executive Director, GMIC Sustainable Meetings Foundation
President, Meeting Change
4. Who is the GMIC?
The GMIC is the premier
global meetings community solely
dedicated to sustainability not only
through education but also by
spearheading research, policy and
standards for the meetings and event
industry.
We inspire industry leaders of all levels to
make meetings better through
sustainability.
5. GMIC Current Initiatives:
• GMIC/IMEX Green Awards
• Standards Development
– APEX/ASTM, ISO 20121, GRI
• Education, Training & Annual Conference
• Global Network: Chapters & Supporting
Business Partners
www.imex-frankfurt.com/greenawards.html
10. • 70%: sustainability
permanent partof the
agenda
• “necessary to being
competitive”
• 1/3: “contributes to
profitability”
• 68% have increased
commitments
11. • “Business cannot survive
in a society that fails””
• The need for companies to
play a more active role is
very transparent”
– Paul Polman
• Share price has doubled
since 2010 when plan
was launched
12.
13. Return on Investment
66% customers prefer to buy from companies
that give back to society
62% want to work for these companies
59% want to invest in these companies
Neilsen Survey, 2012
14. Meetings Industry Statistics
66% of attendees would pay more for products
that are ethically and socially responsible.
30% more than 30% of buyers give precedence
to suppliers that use externally accredited
sustainability certification, only 12% have it
70% of attendees want to see CSR activities
reported on websites, only 58% of meeting
businesses do this.
MPI Research, 2012
15. The Business Case forSustainability
• Operational efficiency
• Stakeholder relations
• Public relations
• Business benefits
• Employee morale
• Risk mitigation
• Decision-making ability
16. Operational Efficiency
• Streamlined use of resources
– Less paper use, fewer shipping miles, less
materials brought on site, which reduces waste
and recycling streams.
• Green meetings programs address many
operational inefficiencies in terms of
purchasing, resources, waste, and energy.
• APEX/ASTM green meetings standards
directly target operational inefficiencies
17. Stakeholder Relations
• A focus on supporting the community
improves trust and strengthens relationships,
• Relationship management is a core
competency of many meeting professionals.
• Benefits of working with value chains include
cost-effectiveness and buy-in, saving event
professionals time and money.
18. Public Relations
• A comprehensive sustainability program
that has successfully built trust and
enhanced brand and reputation in the
community will help counteract negative
publicity.
• Improve your reputation
19. Business benefits
• Customers and stakeholders are
increasingly looking for organizations that
demonstrate a link to their own values.
– Example, if an organization is shopping for a
supplier, all other things being equal, they
may use CSR as a tie breaker.
20. Employee morale
• Employees want to work for organizations
that share their values. A CSR program
that involves its employees in their
initiatives can enhance retention and
improve morale.
– Coro Strandberg, The Business Case for
Sustainability, Strandberg Consulting (2009).
http://www.corostrandberg.com/pdfs/Business_Case_
for_Sustainability_21.pdf.
21. Risk Mitigation
• CSR helps build brand, organizational and
even industry reputation.
• By having a policy and program in place, it
is less likely that the industry will face
regulation and can help mitigate poor
public opinion.
22. Decision-making ability
• Having a sustainability policy helps guide
actions of employees, volunteers,
speakers, consultants, and suppliers.
• By providing guidance, it assists decision-
making ability in a variety of situations.
24. • 27 kg waste (2 at home)
• 3200 l water (976 at home)
1 event, 15,000 participants:
• 127000 t C02
• 8.5 t / pp*
• Each participant –in 3 days- emitted more than
twice what a person in Mexico emits in a year
Typical Event participant
25. Overview of Standards
ISO 20121
Provides information required for creating an event
management system
APEX/ASTM Sustainable Meeting Standards
Collects data required for planner and supplier
standards compliance in 8 areas, across 9 sectors
GRI Event Organizer Sector Supplement
Identifies data required for GRI criteria
30. Case Study
• 8 different NGO’s directly benefit from
event
• Supplier Collaboration
• Exhibitor incentive
• Sustainable event assessment
• No added costs
31. IMEX America
• Impact measurement
• Collaboration with partners
• Social Responsibility
– Shade Tree
– Opportunity Village
– Clean the World
• No additional cost
32. Oracle
• 46,000 people
• Measurement & Communication
• $1.5 Million saved since 2007
–Eliminating bottled water
–Reduced fueluse
–Reduced waste
40. Resources
•Green Meeting Industry Council
www.gmicglobal.com
•Convention Industry Council
http://www.conventionindustry.org/StandardsPractice
s/APEXASTM.aspx
The researchers paired 90 firms they labeled “high sustainability” with 90 firms labeled “low sustainability.” Annually, they tracked the difference between the pairs’ financial performance from 1992 to 2010.http://nbs.net/knowledge/the-5-traits-of-firms-that-create-sustainability-roi/
WTTC: Hotel Carbon Measurement Initiative: 23 global hotel companies. Uniform way to measure and report. Client demand.Social responsibility: 36% of planners expect increase : 2013 Successful Meetings http://www.successfulmeetings.com/Event-Planning/conference-management/Articles/2013-Corporate-Social-Responsibility/
*Each participant –in 3 days- emitted more than twice what a person in Mexico emits in a year (4 tonnes)
“Moderator: Is it more expensive to deliver a sustainable event?”
Sponsorship opportunity: PCMAGuests want to feel good about what is being done at the hotel as well. Hotel in SF donated to the battered women’s shelter