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The limits of Sustainability

        Luís Paulo



                               DATA 00.00.00
Summary

   Will Corporate Sustainability save the planet or is it just the
   latest business fashion? Or, worse even, is it a mere
   smokescreen for the BwU - business worse than usual?

   A case on how CTT’s is trying to turn its long lasting
   commitement towards CSR values into a competitive
   advantage to the company, while benefiting the society




DIRECÇÃO
    The EACD Regional Debates                              Lisbon, 10 May 2010
                                                              DATA 00.00.00
Challenges of our times
      Todays’ critical subjects




DIRECÇÃO
    The EACD Regional Debates       Lisbon, 10 May 2010
                                       DATA 00.00.00
Global challenges
What is the Vision of the
World community?

UN’s Millenium Goals

          •   Erradicate extreme poverty and hunger
          •   Achieve universal primary education
          •   Promote gender equality and empower women
          •   Reduce child mortality
          •   Improve maternal health
          •   Combat HIV/AIDS, malaria and other diseases
          •   Ensure environmental sustainability
          •   Develop a global partnership for development




 DIRECÇÃO
     The EACD Regional Debates                               Lisbon, 10 May 2010
                                                                DATA 00.00.00
Reality lags far behind intentions
UN’s Millenium Goals (2015 vs. 1990)
               Targets                                   Reality
                   50% population living on <1 US$/day   Developing countries: 20% pop. on <1 US$/day
                   50% population with hunger            Developing countries: 25% child subnutrition
               100% primary school enrolement            Developed countries: 99%; developing: 88%

               100% women access to 1.ry school          Developing countries: 84%
               Incresead access to political power       Parliament seats - dev.: 23%; developing: 17%
                   2/3 child mortality rate              Developed countries: 6/1000; developing: 80/1000

                   ¾ maternal mortality rate             Developing countries: 2X > developed countries

                   50% AIDS prevalence                   2 Million deaths/year in sub-saharian Africa; 30%
                                                         without treatment
                   tangible loss to biodiversity         CO2 emissions - dev.: +20%; developing: + 100%; 1
                   50% pop. without access to water      Bilion people without potable water
               Development aid: 130 B US$                ODA: 80 Billion US$
               Trade accords                             Domestic subsidies 4x > ODA



DIRECÇÃO
    The EACD Regional Debates                                                                     Lisbon, 10 May 2010
                                                                                                     DATA 00.00.00
Is it up to me?

   What is the role of businesses?
   Profits: a goal or an enabler?
   Who holds legitimacy to decide?
   Stakeholders or shareholders?
   Enterprising the Society?
   Limits to sustainability or limits to democracy?




DIRECÇÃO
    The EACD Regional Debates                         Lisbon, 10 May 2010
                                                         DATA 00.00.00
Where lies CSR?




DIRECÇÃO
    The EACD Regional Debates   Lisbon, 10 May 2010
                                   DATA 00.00.00
Mapping interested parties
Stakeholder: anyone who depends
on our activity or has the capacity
to influence our performance.
                                      PI com as quais os CTT
                                      têm responsabilidades
                                       legais, financeiras ou
                                           operacionais.




                                                              PI que podem
               PI afectadas pela                               influenciar o
              actividade dos CTT                          desempenho dos CTT
                                                            (decision makers)




DIRECÇÃO
    The EACD Regional Debates                               Lisbon, 10 May 2010
                                                               DATA 00.00.00
What are Stkders concerned of?




DIRECÇÃO
    The EACD Regional Debates         Lisbon, 10 May 2010
                                         DATA 00.00.00
TBL, a multidimensional approach




DIRECÇÃO
    The EACD Regional Debates         Lisbon, 10 May 2010
                                         DATA 00.00.00
Addressing stakeholders’ needs
•      Competitiveness and inovation: new
       products and services, technological upgrading,
       investment, organization solutions;
•      Valuing people: stability of employment,
       competitive pay pack, training, health system
       and social assistance;
                  • Environment: fleet renewal,
                  environmental certifications,
                  reduction in energy consumption,
                  disclosure and carbon management;

                  • Community: over1 M € for SR
                  philantropy and sponsorships,
                  Projecto de Luta contra a Pobreza e
                  Exclusão Social, volunteers’ program.




    DIRECÇÃO
        The EACD Regional Debates                         Lisbon, 10 May 2010
                                                             DATA 00.00.00
Achievements
                                                            Sustainability Index Shareholder/MOPTC


                                                9000
                                                8000
                                                7000
                                                6000
                                                5000
                                                4000
                                                3000
                                                2000
                                                1000
                                                   0
                                                                   2007                    2008




                          CTT is   leader in several variables:
                                   Code of conduct
                                   Social reporting
                                   Enviromental reporting


DIRECÇÃO
    The EACD Regional Debates                                                                     Lisbon, 10 May 2010
                                                                                                     DATA 00.00.00
Achievements                        CTT ranked
                                              5th., at a world
                                              level
 CTT is among the most
  performing postal
  operators in terms of
  carbon management
  proficiency




                                 CTT ranked 3rd in
                                  “Accountability Rating”
                                  Portugal/Spain and leads
                                  the “Engagement with
                                  Stakeholders” category


DIRECÇÃO
    The EACD Regional Debates                        Lisbon, 10 May 2010
                                                        DATA 00.00.00
Keeping the promises




DIRECÇÃO
    The EACD Regional Debates    Lisbon, 10 May 2010
                                    DATA 00.00.00
Further engagements
     •     Energy eficiency: reduce electricy and fuels
           consumption for at least 2%
     •     Training: increase training volumes by 15% and skils
           validation by 46%
                 • GHG emissions: reduction by 2% in
                    normalized terms, participation in sector
                    ratings exercises
                 • Accidents: zero deaths and 5% decrease, overall
                 • Environmental (twodois maiores COC) and service (up to 2 hundred
                 new Post Offices and Delevery Offices) certifications
                 • Responsible procurement: at least 50% contracts with
                 social&environmental criteria
                 • Lauching the new ecoproduts portfolio
                 • More volunteers’ inniciatives
                 ... And almost more 50 other Sustainable goals!


DIRECÇÃO
    The EACD Regional Debates                                             Lisbon, 10 May 2010
                                                                             DATA 00.00.00
Challenges and risks - an example




DIRECÇÃO
    The EACD Regional Debates          Lisbon, 10 May 2010
                                          DATA 00.00.00
Myths vs. facts
    Allegation                  Reality
    Paper and mail              No tropical trees are used for paper
    destroys forests
                                Paper comes only from renewable industrial forests


    Too much postal waste Paper one of the most reciclabe materiais
                                Mail represents 1%-5% of all paper comsumption


    High CO2 emissions          Postal industry is 6 times less energy-uintensive than
    from postal delivery        average economy
                                Carbon associated with one year mail equal to cross Lisbon
                                by car




DIRECÇÃO
    The EACD Regional Debates                                                        Lisbon, 10 May 2010
                                                                                        DATA 00.00.00
A win-win situation?
     Subject                    Win-win?        Comments
     Energy eficiency           Yes, always     Cost savings are relevant as are environement
                                                impacts
     Electric vehicles          Not so often    Comercial interest is limited to a small range
                                                of vehicles
     Waste                      Probabily not   No direct gains
     management
     Env. Management Most of the                Improves both the operational and
     Systems         cases                      environmental performances

     Sustainable                Sometimes       Depending on the market segments
     marketing



     Most of the time, companies take direct advantage from
     managing environmental issues

DIRECÇÃO
    The EACD Regional Debates                                                            Lisbon, 10 May 2010
                                                                                            DATA 00.00.00
Together, we can!




                                    cttconsigo.com
DIRECÇÃO
    The EACD Regional Debates                        Lisbon, 10 May 2010
                                                        DATA 00.00.00

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Luis paulo Os limites da sustentabilidade eacd lisboa 2010

  • 1. The limits of Sustainability Luís Paulo DATA 00.00.00
  • 2. Summary Will Corporate Sustainability save the planet or is it just the latest business fashion? Or, worse even, is it a mere smokescreen for the BwU - business worse than usual? A case on how CTT’s is trying to turn its long lasting commitement towards CSR values into a competitive advantage to the company, while benefiting the society DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 3. Challenges of our times Todays’ critical subjects DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 4. Global challenges What is the Vision of the World community? UN’s Millenium Goals • Erradicate extreme poverty and hunger • Achieve universal primary education • Promote gender equality and empower women • Reduce child mortality • Improve maternal health • Combat HIV/AIDS, malaria and other diseases • Ensure environmental sustainability • Develop a global partnership for development DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 5. Reality lags far behind intentions UN’s Millenium Goals (2015 vs. 1990) Targets Reality 50% population living on <1 US$/day Developing countries: 20% pop. on <1 US$/day 50% population with hunger Developing countries: 25% child subnutrition 100% primary school enrolement Developed countries: 99%; developing: 88% 100% women access to 1.ry school Developing countries: 84% Incresead access to political power Parliament seats - dev.: 23%; developing: 17% 2/3 child mortality rate Developed countries: 6/1000; developing: 80/1000 ¾ maternal mortality rate Developing countries: 2X > developed countries 50% AIDS prevalence 2 Million deaths/year in sub-saharian Africa; 30% without treatment tangible loss to biodiversity CO2 emissions - dev.: +20%; developing: + 100%; 1 50% pop. without access to water Bilion people without potable water Development aid: 130 B US$ ODA: 80 Billion US$ Trade accords Domestic subsidies 4x > ODA DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 6. Is it up to me? What is the role of businesses? Profits: a goal or an enabler? Who holds legitimacy to decide? Stakeholders or shareholders? Enterprising the Society? Limits to sustainability or limits to democracy? DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 7. Where lies CSR? DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 8. Mapping interested parties Stakeholder: anyone who depends on our activity or has the capacity to influence our performance. PI com as quais os CTT têm responsabilidades legais, financeiras ou operacionais. PI que podem PI afectadas pela influenciar o actividade dos CTT desempenho dos CTT (decision makers) DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 9. What are Stkders concerned of? DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 10. TBL, a multidimensional approach DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 11. Addressing stakeholders’ needs • Competitiveness and inovation: new products and services, technological upgrading, investment, organization solutions; • Valuing people: stability of employment, competitive pay pack, training, health system and social assistance; • Environment: fleet renewal, environmental certifications, reduction in energy consumption, disclosure and carbon management; • Community: over1 M € for SR philantropy and sponsorships, Projecto de Luta contra a Pobreza e Exclusão Social, volunteers’ program. DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 12. Achievements Sustainability Index Shareholder/MOPTC 9000 8000 7000 6000 5000 4000 3000 2000 1000 0 2007 2008  CTT is leader in several variables:  Code of conduct  Social reporting  Enviromental reporting DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 13. Achievements CTT ranked 5th., at a world level  CTT is among the most performing postal operators in terms of carbon management proficiency  CTT ranked 3rd in “Accountability Rating” Portugal/Spain and leads the “Engagement with Stakeholders” category DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 14. Keeping the promises DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 15. Further engagements • Energy eficiency: reduce electricy and fuels consumption for at least 2% • Training: increase training volumes by 15% and skils validation by 46% • GHG emissions: reduction by 2% in normalized terms, participation in sector ratings exercises • Accidents: zero deaths and 5% decrease, overall • Environmental (twodois maiores COC) and service (up to 2 hundred new Post Offices and Delevery Offices) certifications • Responsible procurement: at least 50% contracts with social&environmental criteria • Lauching the new ecoproduts portfolio • More volunteers’ inniciatives ... And almost more 50 other Sustainable goals! DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 16. Challenges and risks - an example DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 17. Myths vs. facts Allegation Reality Paper and mail No tropical trees are used for paper destroys forests Paper comes only from renewable industrial forests Too much postal waste Paper one of the most reciclabe materiais Mail represents 1%-5% of all paper comsumption High CO2 emissions Postal industry is 6 times less energy-uintensive than from postal delivery average economy Carbon associated with one year mail equal to cross Lisbon by car DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 18. A win-win situation? Subject Win-win? Comments Energy eficiency Yes, always Cost savings are relevant as are environement impacts Electric vehicles Not so often Comercial interest is limited to a small range of vehicles Waste Probabily not No direct gains management Env. Management Most of the Improves both the operational and Systems cases environmental performances Sustainable Sometimes Depending on the market segments marketing Most of the time, companies take direct advantage from managing environmental issues DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00
  • 19. Together, we can! cttconsigo.com DIRECÇÃO The EACD Regional Debates Lisbon, 10 May 2010 DATA 00.00.00