Thursday, September 13, 2012

800 men and women work to ensure safety...and sustainability at P&G

Proctor and Gamble is one of the world's gigantic companies with 180 facilities all over the world, and more than 4Billion customers...delivering consumer products that help us live a more comfortable, satisfying lifestyle. To ensure that they 'do not harm' ...so to speak...they have about 800 scientists, quality specialists, and environmentalists working to evaluate and ensure product safety and resource conservation.

Led by Dr Len Sauers, this team has orchestrated some real magic in their programs for sustainability and waste management...

Sauers says that in the late 90s P&G defined sustainability as "improving the quality of life for everyone…now and for generations to come…" but that today the view it as a business process, one that reduces their expenses and increases their profits...imagine that, money is the driver and it works for P&G and all of their billions of stakeholders.

P&G took a hard look at their markets and considered the question of "who will buy green products". They came to a conclusion that about 15% of customers would pay more for environmentally friendly products even with a performance drop. A central segment of 75% of consumers (mainstream) would purchase "green" if it did not cost more and worked as well. And a small group of consumers at about 10% have no concern for "green" and would not go for these products even if available.

Alternative energy is a P&G commitment...
As a result of this study P&G targets the mainstream...that 75% who want the product if it meets their 'specs'...and they do it with a product life cycle approach from Materials to manufacturing, packaging and distribution...and extending it to usage and disposal... they address all parts of the sustainable products' life cycle that helps to define the impact of the product on the community...and the environment. The most volatile of sustainable issues is consumer based usage and disposal components, as these are not controlled by the Proctor and Gamble team... though they do push the consumer edge by providing media support, advertising, and education about sustainable programs and products...like Cold Water Tide...so that the consumers know that these products work effectively and are reducing water and energy usage.

P&G packaging and bottles are being made
from plant based plastics.
The effort at P&G includes commitments to renewable energy... wind turbines on site, dedicated solar panels ... they are working to make business decisions that focus on sustainable processes and will improve the top-line and the bottom-line to help make business and the planet succeed. And their packaging is using less boxing and more plant based plastics...as well as computer modeled containers that vary in thickness to reduce material use.

Dr. Sauers' team is leading in the sustainable effort as a global corporation. He has achieved the Integrated Strategy found in  Bob Willard’s “Building the Next Sustainable Wave” in which stage 4 companies make cleaner products, apply eco-effectiveness and life-cycle stewardship, and enjoy competitive advantages from their sustainability initiatives. And with their concern for the environment I expect that they will achieve stage 5... that of Passion and Purpose driven by their values-based commitment to improve the well-being of the company, society, and the environment.


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