Benchmarking for continuous performance improvement: Tactics for success

Benchmarking is a powerful management technique that can help improve an organization's environmental performance on a number of dimensions. Benchmarking is not a cookbook solution but a systematic process of searching for the organization that is the best at a given process (“best-in-class”) and continually adopting or adapting new processes to accelerate improvement. As a continual process including planning, analysis, integration, action, and maturity phases, benchmarking should be integrated into the planning stage of the management system. Once processes are strategically identified, they can be improved within the company's Total Quality Management program. Many benefits, such as teamwork and job satisfaction, accompany benchmarking, but the greatest companywide advantage is becoming more competitive. Finding a suitable partner is crucial to the success of the benchmarking process. This article shows the traditional one-on-one approach is the most effective because it saves time and money that allows organizations to learn from each other. In addition, examples of where benchmarking partners may be found, as well as several success indicators in the benchmarking process, are presented. Since the ultimate intent of benchmarking is positive change, the difference between reengineering and continuous performance improvement and the role benchmarking plays in each is also discussed.     

Global sustainability: Toward measurement

The widespread interest in the concept of sustainable environment and development has been accompanied by the need to develop useful systems of measurement. We discuss the use of indicators which might be used to assess such conditions. Our characteristics, or criteria, for desirable global sustainability indicators are:

sensitivity to change in time

sensitivity to change across space or within groups

predictive ability

availability of reference or threshold values

ability to measure reversibility or controllability

appropriate data transformation

integrative ability

relative ease of collection and use

We discuss the basis of these characteristics, and examine two categories of indicators (soil erosion and population) and two specific indicators (physical quality of life index and energy imports as a percentage of consumption) for their value as sustainability measures.     

Is there a correct way of establishing sustainability indicators? The case of sustainability indicator development on the Island of Guernsey

Abstract

The popularity of sustainability indicators is almost inescapable. From the early pioneers such as the ‘Sustainable Seattle’ project (Atkisson, ‘Developing Indicators of a Sustainable Community: lessons from Sustainable Seattle’, in: D. Satterthwaite (Ed), The Earthscan Reader in Sustainable Cities, London, Earthscan, 1996) to the comprehensive European Union benchmarking launched in 2003 (European Commission, European Common Indicators: towards a local sustainability profile, Milan, Ambiente Italia, 2003), it seems that consensus has been reached about the positive impacts that establishing sustainability indicators can bring. This paper uses the case of developing sustainability indicators on the Island of Guernsey over the last three years to show that Agenda 21's call to activate grassroots action is being realised, but in ways that are neither top-down and modernist in approach nor bottom-up and postmodernist as Agenda 21 advocates. Although best practice literature often suggests that community involvement must be engaged prior to designing sustainability indicators, this paper explores the reasons why this is not always possible. Guernsey's case is used to show how it only became possible to generate interest in the indicator process once they were actually up and running. However, it also shows that once interest was secured by a few relevant stakeholders it became possible to further evolve the indicators in a process that has slowly been attracting more and more of the Island's community.     

Implementing an environmental business strategy: A step-by-step guide

With more and more organizations seeking opportunities to generate benefits beyond compliance from environmental management activities, the challenges for environmental directors today is to develop and implement an environmental strategy that links environmental performance with the overarching strategic business goals of the organization. Organizations today are looking for opportunities to develop environmental management solutions that not only address the concerns of regulatory stakeholders, but also provide opportunities to improve operating efficiency and financial performance, enhance customer satisfaction, sustain market growth, and enhance goodwill, to satisfy the demands of a broader set of stakeholder groups including customers, investors, and employees. To achieve broader benefits from environmental management investments, this article shows how organizations must first develop a methodology for aligning their environmental management activities with the organization's strategic business goals and create a plan for systematically managing continuous improvement to achieve these goals. The second challenge is to implement this strategy at the business unit and facility level in a manner which integrates environmental management activities with an organization's core business processes to achieve improved product and service performance.     

Assessing the Ecological Footprint of a Large Metropolitan Water Supplier: Lessons for Water Management and Planning towards Sustainability

Faced with the task of communicating their combined social, environmental and economic impact, water service providers are seeking to report overall performance in an aggregated way. Such a methodology must be scientifically robust, easily communicated and allow benchmarking of performance while reflecting a transition towards sustainability. In this paper the ecological footprint (EF) is calculated for Sydney Water Corporation (SWC), using input-output analysis and land disturbance in an innovative approach that overcomes problems identified in the original EF concept. This pilot study has allowed SWC to gain some valuable insights into its impacts: SWC's annual EF is about 73 100 ha in terms of land disturbance. Of this, 54 000 ha are projected to become disturbed as a consequence of climate change, with the remainder of 19 100 ha being disturbed on SWC's premises (2400 ha) and on those of upstream suppliers (16 700 ha). Total on-site impacts equal 9300 ha, while indirect land disturb ance contributes 63 600 ha. The EF appears promising as an educational and communi cation tool and may have potential as a decision support tool. However, further research is needed to incorporate downstream impacts into the EF, which would have significant benefits to SWC in terms of assessing and communicating the organization's overall progress towards sustainability.     

Positive and negative aspects of GRI reporting as perceived by Brazilian organizations

This paper aims to identify the positive and negative aspects in the sustainability reporting framework proposed by the Global Reporting Initiative (GRI). The research was conducted through content analysis of 27 companies’ responses to three questions: “Why does the company where you work prepare a sustainability report?” “What are the positive aspects you identify in the framework for GRI reporting?” and “What are the negative aspects you identify in the framework for GRI reporting?” The questionnaire was sent to all Brazilian companies that published sustainability reports using the GRI guidelines between 2011 and 2013 related to the base year 2010. We found that respondents viewed the GRI guidelines and the reports they created as management tools for sustainability and that they assist in benchmarking sustainability performance and legitimizing the sustainability actions of the organization. Furthermore, some respondents indicated that the reports themselves are marketing tools. On the other hand, the respondents reported difficulties in understanding the proposed GRI guidelines. They considered the guidelines complex, ambiguous, and too flexible, which undermined both the standardization of the reports and the ability to compare reports. Based on these comments, it is recommended that the GRI develop a simpler and less flexible reporting methodology.     

WATER MANAGEMENT ISSUES FOR THE NINETIES1

ABSTRACT: This paper summarizes contemporary water management issues as recognized by 19 U.S. organizations. Only the issues are identified herein. Individual organization stands are not presented. Most suggestions for action are those of the author. Addresses of all organizations whose documents were reviewed are included in the Reference section so that those desiring to learn more about an organization's stand can readily make contact.     

The use of the ecological footprint in local politics and administration: results and implications from Norway

Our experiences calculating a local ecological footprint of Oslo form the basis for a discussion of key methodological aspects supporting the use of local sustainability indicators. The footprint's strength is its ability to communicate simply the complexity of global environmental challenges. Initially developed for measuring per capita consumption at the national level, the footprint has been adopted at local and regional levels. We argue for adjustments in the footprint methodology when shifting from a national to a local policy context, to ensure the indicator's applicability in local politics and administration. First, the analysis should be limited to consumption aspects relevant to the local environmental policy agenda. Second, the analysis should integrate as much genuine local data as possible. We argue also that a standardised methodology based on the national footprint approach, with the main purpose of international benchmarking of cities, cannot but reduce the indicator's usefulness for administrative/political guidance, due to the methodology's lack of transparency and inability to identify local variations.     

Energy indicators and sustainable development: The International Energy Agency approach

The International Energy Agency (IEA), together with the International Atomic Energy Agency (IAEA), UN‐DESA, Eurostat and the European Environmental Agency, has recently published a comprehensive joint‐agency overview of energy indicators for sustainable development. The IEA's contribution to this publication is based on the IEA energy indicator approach. This approach has been developed and used by the IEA over a number of years. The indicators advocated by the IEA are relatively disaggregated to allow for meaningful analysis of sustainability issues in the energy sector. Using a decomposition approach helps reveal the causal links between human/economic driving forces, energy use and emissions. This article presents examples of IEA's work with indicators and an overview of the methodology used, including an explanation of the link to sustainable development. It also provides an example of a simplified indicator analysis of India, to illustrate the importance of improved data systems in developing indicators that can provide meaningful policy analysis.     

Community Sustainability Auditing

This paper presents a method for assessing a community's sustainability prospects at a point in time. It argues that an improved methodology is needed to support the development of local area indicators. The method presented is community sustainability auditing. The ethical, conservative, competitive and co-operative aspects of sustainability are emphasized.The method uses an indicator approach within a protocol loosely inspired by International Standards Organization procedures. This involves the development of a set of questions for audit purposes, definition of indicators, analysis of the indicators in the light of the questions and a report summarizing a community's sustainability prospects.     

Kodak's framework and assessment tool for implementing TQEM

Total Quality Management provides a powerful management foundation and framework to implement an organization's environmental vision and principles. The elements of TQM include customer/stakeholder focus, a high degree of senior management commitment, a long-term focus, and tools such as continuous improvement, empowerment, and a prevention-based approach. This article describes a matrix developed by major U.S. and Canadian firms that serves as (1) a guide to organizations implementing TQEM from the ground floor up and (2) an assessment tool that can be used internally or externally to measure progress toward environmental management excellence and to identify opportunities for improvement. The matrix is based on categories adapted from those used in the Malcolm Baldrige National Quality Award process. The relationship between individual matrix cell criteria and key concepts such as pollution prevention and sustainability is also described.     

Revealing inadvertent elitism in stakeholder models of environmental governance: assessing procedural justice in sustainability organizations

Consensus-based multi-stakeholder forms of environmental governance involving government, private and civil society actors, have become popular for advancing sustainability, but have been criticized for failing to achieve procedural justice objectives including recognition, participation and strengthening capabilities. Yet, how such models have functioned within non-governmental organizations dedicated to advancing sustainability has been underexplored. This paper assesses the procedural elements of consensus-based multi-stakeholder models used within Canadian biosphere reserves and model forests, two organizations working to address environment and sustainability issues. We draw on strategic documents and semi-structured interviews from five organizations in Canada to analyze their governance structures and processes against a framework for procedural justice. We find the organizational structure reproduces elitism and professionalism associated with stakeholder models more generally and reproduces challenges associated with recognition, participation and building capabilities found in other stakeholder approaches. Meeting broader sustainability challenges requires organizations to address procedural justice issues in addition to their traditional environmental concerns.     

Buying green: the crucial role of public authorities

Abstract

A strategic approach to local sustainability assessment requires that sustainability implications of proposed policies, plans and programmes are evaluated. These evaluations need to critically consider organizational structures, processes and outcomes. The establishment of ‘communities of practice’, groups or networks of practitioners with shared interests, is a helpful mechanism for facilitating change in a wide range of organizations. This paper analyses the potential for communities of practice to contribute to the implementation of sustainability assessments by local government. Focusing on Sutherland Shire Council in Sydney, Australia, this paper presents the findings of a project that engaged practitioners in the design of a sustainability assessment system. The establishment of communities of practice helped to break down the ‘silos’ created by institutional divides within local government, but this approach also raises challenges in maintaining momentum and overcoming political agendas.     

Environmental portfolio analysis: An integrated strategic approach to environmental management

As businesses strive to reduce costs and become more competitive, environmental costs and potential future liability issues continue to raise overhead expenses. The decision process is further challenged by the various interpretations of existing laws and the uncertainty of future applicable regulations and their interpretation. To make more informed business decisions and bridge the gap between the environmental and business perspective, organizations need to be able to see the overall environmental picture and how it affects the current and future business operation. This article presents a systematic approach to developing an organization's integrated baseline “environmental portfolio” with various business risk levels and expected costs. Utilizing computer simulation, sensitivity iterations are performed to show the results of different scenarios. These scenarios can include various probabilities of cost levels, permitting strategies, and litigation, as well as the success of new technologies. Management can then focus attention on the main driving factors and avoid spending too much attention on lesser items. An additional benefit to this process is that communication between the various segments of an organization are enhanced since their perspectives are clearly articulated as part of the analysis. Sensitivity analysis also provides the framework for a sanity check of the process and results. Are projected levels of success reasonable? What levels would be required to change the decision, and how likely are they to occur? What level of overall business risk associated with environmental issues is prudent? In addition this article shows how computer modeling and simulation can bring a valuable perspective to the decision-making process.     

Macro,Meso, and Micro‐Efficiencies in Water Resources Management: A New Framework Using Water Balance1

Haie, Naim and Andrew A. Keller, 2012. Macro, Meso, and Micro‐Efficiencies in Water Resources Management: A New Framework Using Water Balance. Journal of the American Water Resources Association (JAWRA) 48(2): 235‐243. DOI: 10.1111/j.1752‐1688.2011.00611.x Abstract: One of the most important performance indicators for water resources systems (WRSs) management is efficiency. Here, water balance, based on mass conservation, is utilized to systemically develop three levels of composite efficiency indicators for a WRS, which are configurable based on two types of water totals: total inflow and total consumption (outflow that effectively is not available for reuse). The indices characterize hydrology of an area by including in their formulations the flow dynamics at three integrated levels. Furthermore, the usefulness of water is incorporated into the indicators by defining two weights: one for quality, and the other for beneficial attributes of water use. Usefulness Criterion is the product of quality and beneficial weights, emphasizing the equal significance of the two dimensions. Both of these weights depend on the system itself and the priorities of the supervising organization, which also are shaped by the objectives and values of the given society. These concepts lead to the definition of Macro, Meso, and Micro‐Efficiencies, which form a set of integrated indicators that explicitly promotes stakeholder involvement in evaluation and design of WRSs. Macro, Meso, and Micro‐Efficiencies should be maximized for both water totals, which is an integrated prerequisite for sustainability and is less promoted by competing stakeholders. To demonstrate this new framework, it is applied to published data for urban and agricultural cases and some results are explained.     

Sustainability-focused Organizational Learning: Recent Experiences and New Challenges

To an increasing extent, corporations and smaller businesses are making explicit commitments to improved environmental and social performance. Some have embraced the goal of sustainability, and some prefer to use the term 'triple bottom line'--a balance of financial, social and ecological performance--in their operations. Some companies are experimenting with organizational learning as a means to accelerate the transition to sustainability or the triple bottom line. This fledgling combination--sustainability and organizational learning--is the focus of this paper. The term 'sustain ability-focused organizational learning' (SFOL) is proposed to describe the early experience of companies that are attempting to pursue sustainability or the triple bottom line while making substantial changes to their organizational cultures. In many instances, these changes involve the use of experimental or unconventional learning techniques. Some companies are combining their SFOL efforts with The Natural Step, a sustainability framework. The experience of five companies pursuing SFOL is summarized and analysed in a non-identifying way, and key preliminary lessons are discussed.     

Analysis of local perspectives on sustainable forest management: an Indonesian case studyThis study was funded through a collaborative project between the University of Illinois and the Center for International Forestry Research (CIFOR). The ideas contained herein are solely of the authors and do not necessarily reflect official views of CIFOR

Despite widespread acceptance of sustainability as the ultimate goal of forest management, perspectives about its meaning, significance, and relevant indicators may still differ. This paper examines local perspectives on sustainability, and evaluates their similarities and differences. A systematic procedure based on criteria of proximity, pre-existing rights, dependency, knowledge of forest management, forestry spirit, daily activity, and legal rights was used to identify a small group of relevant stakeholders representing different groups, institutions, and organizations. Using participatory action research (PAR), stakeholders were asked to identify relevant indicators of sustainable forest management. The indicators identified by each stakeholder were then compared to a consolidated list assembled by field facilitators with respect to whether relevant indicators are present or not. Based on the resulting presence/absence matrix, a statistical tool called the simple matching coefficient was used to estimate the similarity measures among the stakeholders' perspectives. In addition, cluster analysis was used to classify groups of stakeholders depending on their similarities to each other. Finally, hypotheses related to the 'closeness' of perspectives among local communities, non-governmental organizations, a timber company, and government organizations, as revealed by their selection of indicators, were tested. Results show that: (a) local communities have different perceptions in terms of what they consider to be important indicators compared to the NGOs, (b) there are significantly different perceptions between the government and the timber companies, and (c) there are also different perceptions between urban and field-based personnel of the same organization.     

Cyber first aid: proactive risk management and decision-making

Public and private organizations need a robust approach to prepare, respond, and recover from cyber-attacks. This perspective article will refer to such an approach as Cyber First AID—adaptable, integrated, and deliberate. Adaptable describes that one size does not fit all; Integrated means the effort is throughout the organization; and Deliberate describes plans that are reviewed periodically and practiced, in which all members of the organization know their respective roles and responsibilities. The article outlines a decision-making process for how to minimize the impacts of cyber threats, maintain stakeholder and customer confidence, and help organizations to adaptively manage and respond to cyber threats in rapidly changing cyber environments.