‘I’d like to Teach the World to Sing (About Carbon Footprints AND Profits!)’
Tuesday, March 10th, 2009By Giacomo Squintani, Marketing Manager EMEA, Servigistics
When the company that’s owned the top spot in the Interbrand Global Brand List for the past eight years makes a move, others follow. Or, at the very least, they take note.
Coca-Cola has released… no, not its secret formula, but the carbon footprint of its various brands. That’s right: we now know that “a 330ml can of Coca-Cola sold in Great Britain has a carbon footprint of 170 grams and the same sized can of ‘diet Coke’ or ‘Coke Zero’ has a footprint of 150 grams. A 330ml glass bottle of ‘Coca-Cola’ has a footprint of 360 grams”.
So - what does that mean? Does it make Coca-Cola green, because it’s facing up to its corporate social responsibility and working on programs to reduce its footprint? Given what happened when it tried to improve its formula in the 1980s, could this be a key strategy for the company - as it leaves the product alone and looks at how CSR can enhance the brand? That was the view the Chief Executive took last year…
Will you soon be surrounded by analysts measuring your company’s carbon footprint? Or is that already the case? Of course, not everybody’s customers react as strongly as Coke’s when products are tweaked - most welcome changes. And, in companies where funds are harder to come by, product managers are still likely to shout louder. Yet this announcement is unlikely to remain isolated… would you bet against carbon footprint becoming an integral part of Annual Reports, alongside EPS and ROCE, in ten years’ time? That’s the way the Environmental Protection Agency is heading in the US…
But don’t panic just yet. Service can play a major role in reducing carbon footprint - all along boosting profitability. Cutting unnecessary trips through routing and scheduling and by ensuring techs have the right part, reducing inventory levels, improving remote support… it’s only natural to look at this from a business perspective, and to how it improves first time fill- and fix-rates, or calls/day. And there’s nothing wrong with that. But you know what? There’s nothing wrong in acknowledging that it cuts down your carbon footprint, either. That’s when it all starts tying together. Neat, eh?