UK Busineses 'Too Slow' To Invest in Sustainability

In a new report on the future of Sustainable Businesses launched today, InterfaceFLOR CEO warns that companies rushing to claim sustainable business practices need to put their money where their mouth is – and lists 36 investments businesses can make today.

Companies who rush to make sustainable claims which they cannot substantiate and will not stand the scrutiny of third party audit will damage their businesses and fail to achieve the business growth of proper sustainable investment. This is the clear warning of Lindsey Parnell, President and CEO of the European division of global flooring company InterfaceFLOR in a new report on sustainability trends in business.

Interface, which has recently been named number one in GlobeScan’s independent review of the leading companies fulfilling their responsibilities to society worldwide*, has through its mission zero promise over the past 12 years, committed to reduce its environmental footprint, and is aiming for zero environmental impact by 2020.

“In the wake of the Stern Report, businesses have two choices: be driven by legislation, or make positive changes to their business to foster growth, “says Parnell. “Businesses who decide on the latter course have to invest in making it happen but it has taken Interface 12 years to get to a point where we can see the benefit of sustainable investment in business growth. We want all businesses – and that includes our competitors – to succeed in their quest for sustainability, but greenwash won’t wash.”

Interface also stands out in GlobeScan’s Report as the only company specifically mentioned among the top 15 inter­national and global organisations that experts believe have been leaders in sustainable development over the past 20 years.

According to Parnell, the company’s consistent investment in sustainability has been a key factor in this: “Over the past 12 years since we started to focus single-mindedly on making Interface a more sustainable business with a zero environmental footprint by the year 2020, the business has been subject to fluctuating profits, markets and trends. It is clear that without the cost savings and marketing activities brought about by sustainable initiatives, which total $300 million of costs avoided since 1996, we would not be in business today.”

He continues: “Our energy efficiency and renewable energy programmes have resulted in a 56% reduction in CO2 emissions since 1996. We’ve also made improvements to our production processes allowing an 81% reduction in water intake per m2 of production facilities, petroleum based materials have been reduced by 29% and all our European factories work on 100% renewable electricity. However, although we’ve made great progress to date we recognise we still have a considerable way to go on the journey to becoming a completely sustainable business.”

InterfaceFLOR’s report, Sustainable Futures, includes contributions from the UK’s top thought leaders on trends across six key areas of business: Leadership (Forum for the Future); Marketing (University of Strathclyde Business School); Communications (Futerra); Business Environment (The Climate Group); Employee Engagement (The Work Foundation) and Design and Innovation (The Design Council). All contributions clearly demonstrate a correlation between investment in sustainable business practices and successful businesses. Specifically:

• Business success will increasingly mean appreciating how a company’s fortunes are caught up with the social and environmental context
• Marketers need to recognise that they must influence a broader audience than the traditional customer, and understand that in a sustainable age the customer is not always right
• Businesses which have personalities and beliefs – and can validate those beliefs – are the ones which customers will increasingly listen to
• Climate change will become increasingly prominent on the corporate radar – but opportunity, not defensive action, should be the main driver
• There is strong evidence that developed economies are moving toward the era of the knowledge economy, and knowledge workers are motivated by alignment of their organisation’s values with their own – values which are increasingly sustainability-focussed
• Businesses who think laterally in terms of their sustainable product development will reap the highest future rewards

At the end of the report, InterfaceFLOR lists 36 actions businesses can take now to reduce their environmental footprint. However, Parnell warns that many of these will require investment in time and money to deliver. These include initiatives to win the hearts and minds of customers, revolutionise manufacturing processes, design and innovation, supplier relationships, recruitment and retention, and total business vision.

In the meantime, Parnell concludes, legislation will move ahead and green issues will increasingly dominate the budget agenda. “Tax conspiracy theorists claim that climate warnings are a ruse to get more of our hard-earned cash, but if Government uses taxes to punish rather than incentivise sustainability then progress will fall back in the face of cynicism.”

-ends-

Date issued: 23 Jan 2007

Note to Editors

A copy of Sustainable Futures, including the full list of 36 actions businesses can take and InterfaceFLOR case studies, is available on request.

Interface’s energy efficiency and renewable energy programmes have resulted in a 56% reduction in CO2 emissions since 1996. It has also made improvements to the production processes allowing an 81% reduction in water intake per m2 of production facilities, petroleum based materials have been reduced by 29% and all the European factories work on 100% renewable electricity. However, although the company has made great progress to date it recognises that it still have a considerable way to go on the journey to becoming a completely sustainable business.

• Cool Carpet® - a climate neutral option for many of the carpet tile ranges from InterfaceFLOR. Any GHG’s which are emitted during the life cycle of the product are offset or balanced
• ReEntry® a scheme to reduce the volume of used product sent to landfill at the end of life
• Evergreen Leasing™ the ability to lease carpet tiles where InterfaceFLOR takes on the responsibility for supply installation maintenance and replacement
• Renovisions® a furniture lifting service to replace modular carpet with the minimum amount of upheaval

*A copy of GlobeScan’s Report is available from www.globescan.com

Interface Carpet /Interface Inc.

Interface is a recognized leader in the commercial interiors market, offering floor coverings and fabrics. The company is committed to the goal of sustainability and doing business in ways that minimize the impact on the environment while enhancing shareholder value.

Interface was founded in 1973 by Chairman, Ray Anderson, considered to be a pioneer from the start - a trailblazer of the modular carpet industry in the United States. The company promotes sustainable business practices - within its global community and in the products it makes. For Interface, sustainability is a belief that is built into the business model, an underlying corporate value, ensuring that business decisions are weighed against their potential impact on economic, natural and social systems. It's a means for associates to deliver superior value to customers and shareholders.

Interface is a global company with manufacturing locations on four continents and offices in more than 100 countries.