Innovative business approaches to water use

October 2013Hans Schoolderman

www.pwc.nl

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Compared to an innovative approach, what does the traditional business approach to water use look like?

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1. Organisations separate ecological modelling from regular decision making

Ecological footprint of World Cup Soccer – Holland/Belgium-bid

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2. Financial & sustainability reporting stand apart

.

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“This made sense when corporate responsibility was about installing water-saving taps,and sponsoring local sports clubs…”

Why would managers and investors bother to spend their limited time on those marginal things??

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Statement: An increasing number of companies acknowledge that ‘sustainability issues’ are in fact material to their ability to create and sustain value.

Surely management and investors are willing to spend their time on those issues!

Unilever: water scarcity

BP: safety

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So: Innovative business approaches to water pop up, including:

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1.Integrated thinking (and reporting)

2.Measuring total impact

3.Holistic decision making

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1. Integrated thinkingCR and business strategies merge into sustainable strategies

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“We plan to double our turnover while halving our environmental footprint.”

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2. Measuring total impact Complement your P&L with an E P&L (and an S P&L)

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3. Holistic decision makingTotal Impact Measurement and Management

Business activities

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Waste

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People

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Pro

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Livelihoods

Health

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A. Should an African beer brewer decide to import barley ?Water efficient, GHG intensive

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B. Or would he rather source the barley locally?Not water efficient, attractive for livelihoods

Prioritise material water issues!

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Fill your toolbox with:

1.Integrated thinking

2.Measuring total impact

3.Holistic decision making (Total Impact Measurement and Management)