Green is in. We all know that. But, being environmentally friendly and working toward a sustainable business is no longer about public relations. Going green is about real numbers. Going green can save you money, protect your margins, and increase your shareholder value. CEOs need to stop looking at ‘green’ as a buzzword and start taking it seriously.
Bloomberg Businessweek’s Duane Stanford explores the logic behind going green to save green. Resources are going to waste that we might not think about. PepsiCo is working to use steam from its potato chip factory in Leicester, England to create energy for the production plant (potatoes are 80% water). This could save $1 million a year in energy costs. That’s real money.
And PepsiCo’s Frito-Lay unit is moving to all-electric delivery trucks, cutting 500,000 gallons of diesel and $1.5 million a year in fuel costs.
Not to mention the current geopolitical state in the world. There is extreme uncertainty in many places that is causing volatile price movement for essentials such as fuel, plastic packaging, cotton and other raw materials. If you’re less reliant on these materials, you’ll be less affected by this volatility. And that means saving money.
If you want to be competitive in the 21st century marketplace, green is where you are going to have to go. You should probably start thinking about how you can go green, now.