Archive for June, 2009

Consuming

Friday, June 12th, 2009

eco-me-home-kit

It’s often said that with every purchase you make, you are casting a vote.  And depending on what you are purchasing, your vote supports different ways of business and different causes.  That is why it is important to know what you are buying, what goes into the product you are buying, and what had to be done to produce that item.  By casting aside products that are environmentally destructive, or violate the human rights of its laborers, or are made from irresponsible businesses, you can do your part to support a sustainable world.

Now what does that mean?  Surely we can’t consume our way out of all the world’s problems?  No matter how much certified organic free trade coffee we consume, labor violations and inequality will continue.  No matter how much non-toxic clothing we buy, or free-range chicken we eat, or home gardens we plant… larger environmental problems will still loom on the horizon.  So, are all our efforts at greening our daily lives a waste of time?  Of course not.  Consuming in a more responsible way won’t save the world by itself, but it does make a difference. 

compost

And how do we know it makes a difference?  When large amounts of people cast their vote for greener products, industries and businesses notice, and thus change their behavior.  That’s why we see every business, from electronics, to food, to clothing, to cars, tryint to OUT-GREEN each other.  When coffee shops use fair trade coffee, and boast about how their stores are energy efficient, we know that our choices are making a positive impact.  When Wal-Mart, once the favorite punching-bag of all socially-conscious consumer, decides to make significant strides in greening its operations, that’s how we know our choices matter.  Heck, even oil companies are running competing advertisements, bragging about how much money they invest in solar panels each year.  That’s how we know that when enough consumers demand change, their calls don’t fall on deaf ears.  That’s why farmers markets are springing up across the country, San Francisco is introducing mandatory composting, Warner Home Video is making their DVD boxes with 20% less plastic, and numerous townships across the country are banning the use of plastic bags. 

So, of course it might not seem like our consumer choices matter.  After all, what can one person really do?  Well, that’s the point.  It might not seem like you can make a lot of change on your own.  But when people make conscious choices about the products they use and buy, it really does make a difference.  Businesses feel the pressure and clean up their acts.  And when a company the size of Wal-Mart (the world’s largest) decides to reduce the amount of packaging it uses, make its stores more energy-efficient, invest in renewable technology, and other responsible initiatives, it makes a HUGE impact.  And others will follow suit. 

And getting back to making responsible choices as a consumer.  A website called Greener Choices  (greenerchoices.org) has a directory of responsible choices you should make when you are purchasing items, as well as a wealth of information on what to look for in products.  For example, when buying a new cell phone, it’s good to know that all new models of Sony Ericsson and Nokia are made without certain toxins…a greener choice.  Or how to shop for healthy and eco-friendly beef.  Or what labels that claim to be green really mean.  These choices are ones that we make everyday, and though they might seem like an afterthought, they do have effects on our lives and our world.fairtradecoffee_1231_18485955_0_0_6000486_300

Tags: , , , , , , , , , , , ,
Posted in Conservation, Food, Social Entrepreneurs | No Comments »

Students Fighting Poverty

Thursday, June 11th, 2009

It’s never too early to become a social entrepreneur.  That’s the lesson coming from Nourish International and its members of college entrepreneurs.  Nourish International is an organization of college students who start “ventures” to raise money for economic development projects in impoverished areas across the world.  In other words, a group of college students organize mini-businesses either on campus or in local areas, and use all the proceeds to finance community development projects in poor villages abroad.  The students who conduct the “ventures” on campus, then go to those countries, and personally participate in the implementation of the development project. 

guatemala3

Originally setup at the University of Chapel Hill, North Carolina, Nourish International is an official 501(c)3 certified non-profit.  It now has 23 branches across the US, at different college campuses.  According to their website, last summer they sent 34 students to engage in projects in Peru, Honduras, Mexico, Brazil, and Uganda. There objective is to eradicate poverty, one project at a time.  They realize that the answer to fighting poverty is not charity work, not donations, i.e. not throwing money at the problem.  Nourish International believes in empowering people to lift themselves out of poverty.  What does that mean?  That means that poor people can not escape poverty without the essentials…clean water, sanitation, health, shelter, food.  Simply handing out clean water, food, and donated money will only solve the problem for a single day.  But, by working with locals to build a clean water system in Peru, for example, capable of providing water to a town of over 5,000 people, Nourish International helps the locals build and improve their own communities, and improve their own quality of life.  Provided with the essentials to live a decent and dignified life, these people can use their energy to focus on things, other than simply staying alive for another day.  Sort of like the old adage, teaching a man to fish…

The beauty of this non-profit organization is that it was started by business/economics students.  Sindhura Citineni was a business student who wanted to use the virtues of entrepreneurism and business planning to help attack some of the world’s first problems.  Her first project in 2003 was a simple one: she organized a “Hunger Lunch,” selling rice, beans, and cornbread on campus for 3 bucks.  She used all the profits her first project – a nutrition project in Hyderbad, India. 

guatemala1

Years later, Nourish International has developed a successful plan to keep these projects funded.  They havea a 6-step approach to their operations. 

1) Recruitment – adding members on college campuses to join the organization and spread awareness. 

2) Ventures - this is the key part.  They are small businesses run by students themselves, turning a profit.  Examples include the “Hunger Lunch.” Or, Global Music Jam - Nourish International partners with local radio stations and dance clubs to put on a globally-themed dance party. Another would be a charity poker tournament.  Since 2003, they have raised over $100,000. 

3) Applications – communities with needs apply for funding and student volunteers. 

4) Selection – the students themselves select the best projects to pursue, based on long-term sustainability, level of impact, and feasability. 

5) Implementation – students themselves travel to the area of need (in one of the previously mentioned countries) and personally see the project through to its completion. 

6) Following-up – last but not least Nourish International keeps tabs on the success (or failure) of its project and its long-term impact. 

Nourish International is making real-world improvements to the quality of life of thousands of people.  By helping some of the most impoverished areas satisfy their essential needs, they are giving them a glimmer of hope for the future.  And equally as important, it provides real-world experience for Nourish students, hopefully leading them to a lifetime of helping others.  Up until 2008, they have invested a little over $100,000.  However, in 2008 and 2009 they hope to add 30 chapters and invest an additional $200,000 to projects worldwide.  Nourish International continues to grow and continues to get a social return on its investments. 

2008

Tags: , , , , , , , , , ,
Posted in Business Profile, Social Entrepreneurs | No Comments »

Finding and Creating Jobs in a Weak Economy

Wednesday, June 10th, 2009

Michigan used to be the home of the American Icon: the automobile.  But its glory days ended a long time ago and the recent bankruptcy of General Motors is a further reminder of its fall from grace.  Michigan has been hit worse than almost any other state in the US.  For years it has sufferred through a higher unemployment rate than most other states.  Its unemployment rate is currently the highest in the nation, 12.7%, compared to a national average around 9%.  Manufacturing jobs have been disappearing for years, and the economic crisis could have been the nail in the coffin for the auto industry.  For residents of the state of Michigan, moving forward and finding jobs among the wreckage will be tricky, though not impossible.

Michigan has a plethora of workers skilled in manufacturing and harnessing that skill for new industries will be the key.  As auto plants close, those skills can be used elsewhere.  The semi-nationalization of General Motors allows them to live another day, and many hope that Michigan can move on to be an important part of building the energy-efficient cars of the future.  To build such cars, mass quantities of batteries will need to be made, and Michigan is trying to position itself as the leader.  GM just recently opened a battery factory, with the help of state tax credits.  There are several other proposals on the docket for similar battery factories.  Though these new jobs will only replace a tiny fraction of the job losses in Michigan, many hope they are planting the seeds for many new jobs in the future. 

ford-fiesta-assembly

The Governor is also trying to attract other green energy projects through tax credits.  Solar, wind, and railroad companies are expressing interest because of the manufacturing capability in Michigan.  And to augment this pool of manufacturing skill, the state authorized a “No Worker Left Behind” Program that will retrain unemployed workers in other fields for up to two years, all for free.  Around 60,000 people have signed up for this program, hoping to make the transition from the auto industry to another field.  

For the hundreds of thousands and even millions of newly unemployed, this will be a painful, but necessary transition.  As auto, banking, finance, and even law see jobs disappearing forever, other jobs will be created (though slowly).  Retraining and education will be an intricate part of our new economy. 

noworker20left20behind

Green collar jobs are on the rise as well.  The solar and wind industries are expanding.  Not only in manufacturing, but also installation, managerial, and sales positions.  Alternative Energy, a green energy new website, has a section that lists green collar jobs across the United States.  A quick look at the list sees a wide variety: “Solar Regional Sales Manager,” “Energy Auditor,” “Construction Project Engineer,” “Wind Site Manager,” just to name a few.  As I said before, these jobs will in no way completely replace the millions of jobs that have vanished since last year, but it’s a promising option for job seekers in an otherwise inhospitable job market.

Tags: , , , , , , , , , , , ,
Posted in Employment | No Comments »

Religious Entrepreneurism

Wednesday, June 3rd, 2009
v_rev_bernard_mccoy

Friar Bernard McCoy

Who said people of the cloth can’t be entrepreneurs too?  Typically relegated to lives of prayer and preeching, relying on the donations of the local parish, priests usually live pretty simple lives.  They preside over the weekly masses, give advice to spiritually inclined, and study the scripture.  Priests are usually active members of their community too.  But monks, on the other hand, are pretty removed from society.  Monks are supposed to live on their own, dedicating their lives to solitude and prayer.  They tend to have a high degree of self-sufficiency, growing their food or making cheese.  They live either alone or with other monks, separated from the rest of society, chanting away their days. 

Not these monks.  They are known as LaserMonks, a multimillion dollar business reported in a June 2nd article in The New York Times.  Their story goes like this.  The monk in charge, Friar Bernard McCoy, was looking for printer ink for his printers in the monastery.  He was horrified at the astronomical prices for an ink cartridge, what he calls “a little bit of black dust and some ink.”  He knew there had to be a better way to acquire ink.  He found out that if he talked directly to the manufacturer, he could get some ink for a fraction of the store price.  And then he got an idea:  he could save tons of money for schools, churches, and other organizations if he got the same deals for them that he got from the manufacturer. 

And so, LaserMonks was born.  And the cartridge manufacturer was fully on board, recognizing an opportunity when they saw one.  As Friar Bernard says on his website:

The manufacturers were elated with the possibilities. They immediately said we should market not only to schools, churches, and other non-profits, but especially to businesses. “Look, you’re monks. You have an image and long tradition of being trustworthy and providing top quality products. You’re offering a great product at a great price. Once people hear about you, it’s an easy decision. Why would anyone pay more money, when they can have quality products for less, from monks who use the income to help others?”

The business started relatively successfully, but everything changed in July 2003 when two ladies from Colorado, who Friar Bernard calles two “angels,” called the monastery.  They owned an online website selling ink cartridges and they wanted to move on from their website and offered to sell the monastery their business.  They were excited to have connected with the monks and even offered to temporarily come to northern Wisconsin where the monastery is located to get them started up.  The two women and the monks loved the arrangement so much that they decided to make it permanent.  The two women live in one of the Abbey houses. 

The women realized they could really help the monk’s ink business.  They shared all their knowledge on database management and web design and also ideas for expanding the business.  Instead of standard ink cartridges, they now offer ink cartridges with ink from soy beans instead of petroleum, a more environmentally-safe version.  They sell dog-biscuits called “Benevolent Biscuits,” Coffee called “Benevolent Blends,” Barb-B-Que sauces called “Burnt Sacrifice,” and various flavors of jelly called “Trappist Preserves.”  And, of course, no monk collection is complete without a series of CDs full of Gregorian Chants. 

 

chantmusicforthesoulbbtrio

Last year, LaserMonks collected $4.5 million in revenues, of which, 80% goes to purchasing supplies and financing, 10% goes to charity, and 10% for the monastery.  The two “angels” made a combined profit of $60,000.  Not only that, but they are much happier in their simpler lives in the monastery.  And with them running this holy business, the monks no longer have to worry about spending their time away from prayer, trying to fund the monastery. 

monk

Tags: , , , , , , ,
Posted in Business Profile, Social Entrepreneurs | 1 Comment »

Finding Business in Cleaning up Business

Tuesday, June 2nd, 2009

smokestacks61 

“A crisis is a terrible thing to waste.”  This is a phrase often quoted during crisis situations, most recently and notably quoted by President Obama’s Chief of Staff, Rahm Emanuel.  Thus, the Obama administration has made huge investments in areas of healthcare, energy, and education, in an effort to change the way the US economy is structured.  He has used the crisis to frame his investments as a way to stimulate the economy.  Absent a crisis, President Obama might not have received the cooperation of so many people to make those investments.

The economic crisis is showing signs of abating, but the specter of a climate crisis gets worse each passing day.  Developed nations have been using tons of energy for years to feed their economies.  Developing economies need to meet rising energy needs too, often using dirty coal to do so.    The melting of the ice caps, rising sea levels, longer droughts, larger floods, and more violent storms…these are just some of the huge effects of climate change.  The international community has so far not taken any limits on pollution seriously.  But, the US and other governments finally seemed poised to take action. 

The US Congress will probably pass climate legislation this year, forcing companies to reduce their environmental impact.  Chances are that the Congress will choose to pass a cap-and-trade bill, meaning there will be a certain amount of ‘units’ of pollution that companies will be allowed to emit, and if they want to pollute more, they will have to buy ‘units’ of pollution from another company that doesn’t need to use their ‘units’ of pollution.  The idea is that companies will, on their own, reduce their pollution because of the possibility to sell their allowances for profit.  If a company really wants to pollute, they will have to pay for it. 

circles_env
 
Reading the tea leaves, the Hara company has taken a huge bet on the future.  If polluting becomes a cost that businesses have to take into account, they will have to manage pollution like any other cost.  In short, their accounting will include the usual labor costs, investment costs, but also polluting costs.  They will have to accurately and easily track their pollution, and they made need help doing so.  This is where Hara steps in.  Hara is developing software that will allow companies to easily and quickly keep track of their pollution.  Hara software will be able to spot and identify carbon emissions, and show companies where they can reduce their pollution, and thus, save money. 

Hara has a long-term vision of environmental legislation and they see an economy that no longer ignores the cost of polluting.  Up until now, the environmental degradation was never taken into account when businesses figure out their year-end profits.  Hara wants that to change, to reflect the impact of business on the environment.  Afterall, the word “hara” means “green” in Sanskrit.  Here are a few excerpts from the article in The New York Times

“A post-carbon economy is arriving in this decade,” he said, “This creates an environmental record for your company.”  (Amit Chatterjee, Hara’s founder and owner).

Hara’s Web-based software tracks the resources used by the company, like electricity and water, and emissions like carbon and other waste.

The Coca-Cola Company has been using Hara’s software as part of a pilot project to track greenhouse gas emissions for its 1,000 facilities worldwide. It helps Coca-Cola keep track of projects that vary by country. In South Africa, for example, Coca-Cola is switching from heavy crude oil to natural gas. In the United States, where plants have not been using heavy oil, the company has been updating its lighting systems.

The coming climate crisis is going to have very serious consequences on our environment.  Our land, water, air, and food supply will all be affected.  Social entrepreneurs often take a look at some of the most serious problems our society faces, and try to apply business principles to solve these problems.  Hara knows that the climate crisis is serious.  They are using their software expertise to help all businesses reduce their climate impact.  If we are going to make progress slowing the effects of climate change, we will need companies like Hara to make the process easy and quick for the business community to do their part. 

untitled1

Tags: , , , , , ,
Posted in Business Profile, Green Building | No Comments »