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BRIGHTER
       PLANET




EMPLOYEE ENGAGEMENT SURVEY
An Analysis of the Extent and Nature of Employee Sustainability Programs




february 2010
ABOUT BRIGHTER PLANET


Brighter Planet provides technology-driven climate change solutions that
help people and businesses manage their environmental impact. Its suite
of innovative tools range from debit and credit cards that build renewable
energy, to crowd-powered community climate projects, to a technology
platform that integrates carbon emissions modeling with business opera-
tions. Brighter Planet has engaged over 150,000 customers to date

Brighter Planet
(800) 442-1521
Middlebury, VT and San Francisco, CA
brighterplanet.com




2
FOREWORD


American businesses are at a crossroads. They are dealing with the fallout
from the recent economic crisis at the same time as they are rising to meet
the challenge of an impending sustainability crisis. These are trying times,
but businesses are increasingly taking responsibility for their organiza-
tions’ roles in helping to forge a sustainable future.

But the visionary leaders understand that the sustainability of their organi-
zations and of our planet depends on more than just executive-level com-
mitment, as critical as that commitment is. The shift to sustainability is a
cultural shift, and it’s one that must happen at all levels within an organi-
zation to be truly effective. Employees represent a critical element in an
organization’s efforts to fuse sustainability with profitability.

An organization’s success in meeting these goals can rise or fall with its
ability to empower and incentivize its employees to integrate sustainability
into their day to day activities and decision making. This does require
planning and effort. But institutions that have invested in the right systems
and structures find that these are yielding not only environmental and so-
cial benefits but also helping the bottom line.

This report from Brighter Planet both provides a benchmark for the status
of employee sustainability programs in the US as they continue to evolve,
and helps to inform their development by highlighting factors that contrib-
ute to their success. We look forward to watching employee engagement
initiatives play an increasing role in helping our institutions to overcome
the challenges of our time.




Mindy Lubber
President, Ceres
Director, Investor Network on Climate Risk




                                                                           3
EXECUTIVE SUMMARY


Company initiatives that engage employees in sustainability efforts are
becoming a key component of social responsibility programs. However,
little is known about the nature of these engagement programs, nor how
widespread they have become. This report sheds light on the interactions
between employers and their employees around sustainable actions in the
workplace.

The results are based on 1055 individual responses to Brighter Planet’s
Employee Sustainability Engagement Survey, collected during November
2009. This sample reflects a diverse set of respondents in terms of job role,
employer size, and industry sector. Although our respondents perceive
themselves as more environmentally-inclined than average, their opinions
nevertheless serve as a useful barometer of the extent and dynamics with
which companies engage their employees in sustainability.

Most engagement efforts are in need of improvement. Overall findings
show that while most employers have begun interacting with their employ-
ees around sustainability, their efforts are nascent and fairly basic: provid-
ing recycling bins rather than linking bonuses to environmental metrics.
More than 85% of respondents said their organization promotes employee
sustainability in some arena, but fewer than 15% said their employer had
an employee sustainability engagement policy. Only 35% of respondents
said they have a way to share sustainability ideas with coworkers, and just
16% said their employer collects data related to employee sustainability.
Interestingly, if not surprisingly, management, executives, and sustainabil-
ity professionals tend to have a more positive view of their organization’s
efforts than lower level employees. Only 14% of respondents considered
their employers’ initiatives very effective at changing employee behavior,
although 52% thought they were somewhat effective.

Communication is an important aspect of any engagement program,
but is currently lacking in most organizations. Organizations need to
work on communicating sustainability issues and initiatives to staff. A full
27% of respondents did not know whether their employer had an employ-




4
ee engagement policy on sustainability, and 32% said their company never
shared sustainability goals and strategies with employees. In addition, em-
ployees are in need of channels to communicate with each other about
sustainability initiatives. Only 35% of respondents said they had a way to
share sustainability ideas with coworkers, but this group was nearly five
times as likely to say their employer’s efforts were very effective at chang-
ing employee behavior compared to respondents who had no way to share
ideas with coworkers.

Most organizations view sustainability programs as a potential compet-
itive advantage. Of those employers that publicly share their sustainability
efforts, 59% of respondents said they did so for the purpose of sales and
marketing, and 46% said they did so for the purpose of employee recruit-
ment and retention.

Effective engagement programs vary by industry. Organizations in the
environmental and energy/utility sectors have the programs deemed most
effective by their employees, while government, retail, and technology or-
ganizations are seen as laggards.

Employee perspectives on sustainability strategies suggest that ‘top-
down’ and ‘bottom-up’ are equally viable approaches. However, organi-
zations that let their employees take the lead should be aware that workers
expect official support and recognition for their efforts – 70% of respon-
dents from organizations where employees are the main sustainability ad-
vocate wanted their employer to change its stance on employee sustainabil-
ity efforts. As for organizations that take the top-down approach, an official
sustainability officer is no substitute for visible upper-level support. Pro-
grams in which a sustainability director is the main advocate for employee
sustainability are one third as effective as programs where management or
the board is the main advocate.

There is great potential for organizations to leverage the web and social
media to engage their employees on sustainability. Just 18% of respon-
dents said their Internet use is restricted at work, and more than a third
said their employer encourages them to use some form of social media.




                                                                            5
Social media sites are the most effective communication channels for shar-
ing sustainability goals and strategies with employees, and employers that
encouraged the use of social media were twice as likely to be rated very
effective in their engagement as employers that don’t.

In all, the results of this survey confirm that most organizations are be-
ginning to see employee engagement as a key part of their sustainability
strategy. The organizations with the highest effectiveness and employee
satisfaction tend to encourage conservation frequently, promote sustain-
able actions in a diversity of arenas, establish ways for employees to share
ideas with each other, collect data on their efforts, and use social media to
build conversations around sustainability. Most organizations are taking
tentative steps, but there is much room for improvement and expansion of
their efforts.




6
TABLE OF CONTENTS



INTRODUCTION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

METHODOLOGY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

RESPONDENT PROFILE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

DETAILED FINDINGS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

    The lay of the land: general perspective on engagement programs . . . . . . . . . 14

    The industrial divide: sector-specific attitudes and behaviors . . . . . . . . . . . . . 17

    Size does matter: employee engagement by organizational scale . . . . . . . . . . . 21

    A matter of perspective: differences in attitude among job roles . . . . . . . . . . . 23

    Keys to success: attributes of effective programs . . . . . . . . . . . . . . . . . . . . . . . . 26

    The eye of the beholder: employee perspectives on engagement . . . . . . . . . . . 29

CONCLUSIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35




                                                                                                                      7
INTRODUCTION


                                  Organizations of all kinds have begun making a gradual and powerful
                                  move toward sustainability, as they recognize increasing convergences be-
                                  tween economic and environmental interests.1 Pressure from customers,
                                  employees, and investors, as well as the promise of tightening regulation of
                                  greenhouse gas emissions and other environmental impacts, is helping to
                                  drive the advancement of corporate social responsibility (CSR) programs.
                                  Market data shows that CSR officer roles within the Russell 1000 rose sev-
“Considering most people          enfold from 2006-20072, and that Socially Responsible Investors now ac-
spend the majority of their       count for $2.71 trillion in managed assets.3 Yet a recent study shows that
life at work, I think it is es-   only one in eight of these Russell 1000 companies have an executive-level
sential that sustainability is    committee responsible for sustainability, and less than one in fifteen have a
promoted in the workplace.”       C-level executive overseeing these policies.4

“Businesses may be cutting        Organizations of all sizes, including high profile companies like Walmart,
emissions in their product        are beginning to recognize employee engagement as a new and promis-
chains, but I haven’t seen a      ing addition to corporate social responsibility. Employee engagement pro-
focused effort from many          grams are initiatives that build employees’ attachment to their workplaces
orgs to do it in their employ-    and promote enthusiastic employee involvement in helping to achieve or-
ee actions.”                      ganizational goals. Part of the reason for their increasing popularity is a re-
                                  alization that by directly engaging employees, the company not only saves
“It would really help the         time and money, but also enriches its brand and reputation, both internally
image of our company if we        and externally.
were involved in some sort of
conservation/sustainability       Beyond making substantial reductions in environmental impact, employee
program.”                         engagement programs can have a significant impact on a company’s bot-



                                  1 Stengal, Richard. September 10, 2009. TIME Magazine: “For American Con-
                                  sumers, a Responsibility Revolution.” http://www.time.com/time/nation/arti-
                                  cle/0,8599,1921444-1,00.html
                                  2 The Corporate Responsibility Officer (CRO). http://www.thecro.com
                                  3 Social Investment Forum (SIF). 2007. 2007 Report on Socially Responsible Investing
                                  Trends in the US: Executive Summary. http://www.socialinvest.org/pdf/SRI_Trends_Exec-
                                  Summary_2007.pdf
                                  4 Sustainable Enterprise Institute. 2009. The Road Not Yet Taken: The state of US corpo-
                                  rate Environmental Policy and Management. http://www.sustainableenterpriseinstitute.org/
                                  media/The_Road_Not_Yet_Taken_FINAL$202009$2008.pdf




                                  8
tom line. A Gallup study estimates that more than $300 billion in produc-
tivity is squandered within the U.S. workforce due to disengaged employ-
ees.1 Furthermore, the same Gallup study indicates that organizations with
an engaged workforce have 2.6 times the earnings per share growth rate
compared to organizations in the same industry with a less-engaged work-
force.2 Sustainability programs serve as an important part of organizations’
broader strategies for activating and engaging employees. In a survey com-
missioned by National Geographic magazine in February 2008, more than
80% of U.S. workers polled said they believe it is important to work for
a company or organization that makes the environment a top priority.3                   “Sustainability in the work-
However, a recent McKinsey survey shows that, while business leaders                     place will not be successful
and investors believe that sustainability programs can generate substantial             unless you have the employ-
shareholder value, they rarely take this into account when making business              ees on board with the idea.”
investments.4
                                                                                            “I would rather work for
Although employee engagement programs centered around sustainabil-                         an employer who tried to
ity are beginning to gain ground and prove their worth, relatively little is             integrate business practices
known about their extent and nature. The aim of this survey was to inves-                 with sustainability efforts,
tigate how widespread and effective employee engagement programs are                      even if compensation were
in U.S. organizations. Our findings give insight into the type of initiatives                           slightly less.”
organizations are employing, how effective employees consider these ef-
forts, and which tactics are perceived to be most successful.                                 “I joined my company
                                                                                         because of the huge contri-
                                                                                        butions being made and the
                                                                                          opportunity to participate
                                                                                        directly in the efforts related
                                                                                                    to sustainability.”




1 Gallup. (n.d.) Employee Engagement: A Leading Indicator of Financial Performance.
http://www.gallup.com/consulting/52/employee-engagement.aspx
2 ibid
3 National Geographic. Feburary 19, 2008. “U.S. Workers favor green companies.”
http://press.nationalgeographic.com/pressroom/index.jsp?pageID=pressReleases_detail&s
iteID=1&cid=1203526072027
4 McKinsey. 2009. Valuing corporate Social Responsibility: McKinsey Global Survey Re-
sults. http://www.mckinseyquarterly.com/Valuing_corporate_social_responsibility_McK-
insey_Global_Survey_Results_2309




                                                                                   9
METHODOLOGY


The survey consisted of an online questionnaire. There were 30 ques-
tions, mostly multiple-choice and a few open-ended. Links to the survey
were emailed to members of the Brighter Planet mailing list and posted
on Carbon Offsets Daily, Triple Pundit, and Inspired Economist. We gath-
ered 1055 usable responses between November 10 and 30, 2009. Although
our sample was not randomly selected, the respondents represent a broad
range of demographics, sectors, organization sizes, and job roles.

When interpreting the results of this survey, please keep in mind that the
respondents perceive themselves as more environmentally-inclined than
the average individual. While this means the results are not always broadly
applicable, in some ways it provides a better sounding board for employee
engagement since the respondents were likely more aware of their employ-
ers’ sustainability efforts.




10
RESPONDENT PROFILE


A total of 1055 individuals from 44 states and the District of Columbia
completed the survey. While they represent a variety of sectors, organiza-
tion sizes, and job roles, most identified themselves as strongly environ-
mentally-inclined.

The following spread describes noteworthy characteristics of the respon-
dent set.




                                                                       11
Employer industry




Employer size
(number of employees)




Job role




Personal environmental
inclination




                         12
Geographic location




13
DETAILED FINDINGS




                                The lay of the land: general perspective on engagement programs

                                While employee engagement in sustainability is gaining a foothold, most
                                organizations have yet to develop their fledgling efforts into an overall
                                strategy. Even among this progressive respondent base, only 33% said their
                                organization has a method for employees to share sustainability ideas with
                                coworkers. Just 14% said their employer has an official employee engage-
                                ment policy on sustainability, and 16% said their employer collects data
                                on employee sustainability. Only 25% of respondents said their organiza-
                                tion measures its carbon footprint, and just 16% and 12%, respectively, said
“As far as I am concerned,
                                they measure emissions from employee commuting or staff travel. Small
besides the recylcing bin in
                                businesses are more likely to facilitate idea sharing, but large businesses
the cafeteria areas and the
                                are slightly more likely to have an official engagement policy and collect
recylcying bin next to the
                                data relevant to sustainability efforts. It is also worth noting that for each
printers, there is nothing
                                question, 20-25% of respondents didn’t know their employers’ position.
being done. “
                                This suggests organizations must improve communication around sustain-
                                ability issues and initiatives to staff, an important and effective step in ac-
“I think commuting is a
                                complishing sustainability goals.
great way to start - since
everyone does it, it offers a
great way to engage, and
helps people save money
besides.”

“For example, our building
does not recycle so employ-
ees will take home recycla-
ble materials from the office
to recycle through resident
recycling programs.”




                                14
Does your employer…




                                                                                Prevalence of workplace
                                                                                 sustainability practices
On a positive note, there is great potential for organizations to leverage
social media (web-based technologies that encourage conversation and
user content generation rather than one-way monologue) to engage their
employees on sustainability. Only 18% of respondents said their Internet
use is restricted at work, and 36% said their employer encourages them to
use some form of social media. Small organizations are more likely than
large ones to allow unrestricted Internet access and encourage social media
use.




                                                                                    Technology and the
                                                                                            workplace


Marketing and sales are the most frequently reported reasons for organiza-
tions to share their sustainability efforts, followed by employee recruitment
and retention. This suggests that many organizations view sustainability
programs as a competitive advantage, which is consistent with findings




                                                                          15
that companies with these programs tend to perform significantly above
                                average.1




Organizations’ motivations
for sharing sustianability
information


                                A heartening 75% of respondents said their employer actively promotes
                                recycling, which compares closely to the 70% incidence of domestic recy-
                                cling.2 More than 50% of respondents said their office encourages energy
                                conservation, and more than 40% said their organization promotes ways to
                                reduce the impact of commuting. Most employers encourage sustainable
                                employee behavior in multiple arenas. The arenas in which organizations
                                promote sustainability do not depend on who the main sustainability ad-
                                vocate is, or what the motives are behind the sustainability program.




Prevalence of conservation
promotion in different arenas




                                1 Gallup.
                                2 Assams. November 13, 2009. 70 percent American households recycle at home. http://
                                www.assams.info/2009/11/70-percent-american-households-recycle-at-home.html




                                16
The industrial divide: sector-specific attitudes and behaviors

Though all respondents ranked themselves relatively high on the ‘green-
ness scale’ (defined as the extent of one’s self-identification with the values
of environmentalism and willingness to alter behavior to affect positive
change), there are interesting patterns in environmental inclination across
sectors and job roles. Since less than 10% of respondents self-identified as
“light green” or “snow white”, the main distinction is the relative propor-
tion of dark and medium green individuals.

Not surprisingly, environmental organizations have the greenest work-
force. But energy/utility and retail companies also rank above average,
while government and manufacturing workers are less green than average.
The lightest green workforces are found in IT/Internet and financial ser-
vices organizations, where only 20% of respondents self-identified as dark
green – less than half the average.




                                                                            17
Employee environmental
inclination by industry



                               While there aren’t extensive differences between sectors in terms of which
                               sustainability arenas are most frequently promoted, energy/utility organi-
                               zations are the most frequent promoters of energy conservation, and man-
                               ufacturing organizations topped the charts for promoting recycling. This is
                               to be expected, given that energy and materials use are central to the nature
                               of these industries respectively.

                               52% of respondents reported that their employers promote sustainable
                               employee behavior frequently or very frequently while 19% said their em-
                               ployers promote it very infrequently or were unsure. Environmental and
                               energy/utility organizations are the most frequent promoters of employee
“I’d really like to see more
                               sustainability. These sectors also have the most environmentally inclined
sustainable efforts in the
                               employees. Not-for-profit and manufacturing organizations also promote
retail industry.”



                               18
employee sustainability more often than average, although employees from
these two sectors don’t perceive themselves as particularly green. Retail
and construction companies are the least likely to promote employee sus-
tainability, despite having the third- and fourth-greenest workforces, re-
spectively.




                                                                                Frequency of employee
                                                                             sustainability engagement
                                                                                             by industry


Environmental organizations top the chart for effectiveness of employee
engagement, while retail, government and IT/Internet organizations come
in last.




                                                                       19
Effectiveness of employee
sustianability engagement
by industry


                            On the whole, a full 67% of employees would like their employer to change
                            its stance on sustainability, suggesting there is high staff receptivity and
                            support for new employee engagement and environmental programs. On
                            a sector-by-sector basis, employee satisfaction with employer sustainabil-
                            ity initiatives maps closely to the perceived effectiveness of the employer’s
                            engagement programs, with environmental organizations in first place and
                            government in last. However, in regards to effectiveness, not-for-profit em-
                            ployees are quite satisfied with their employer’s stance on sustainability;
                            the energy sector, conversely, has comparatively low employee satisfaction
                            with its environmental stance. This is surprising, as it ranked very high in
                            frequency and effectiveness of employee sustainability engagement.




                            20
Employee satisfaction by industry:
                                                                                “Would you like your employer
                                                                                      to change their stance on
                                                                                                 sustainability?”




Size does matter: employee engagement by organizational scale

While the overall incidence of employers sharing sustainability goals with
employees is evenly distributed across organizational sizes, methods for
communicating that information vary. Larger organizations are more like-
ly to communicate by email and internal systems, whereas smaller outfits
use meetings and conversation more frequently. Regardless of size, email is
the most employed communication channel.




                                                                        21
Channels used to communicate
sustainability info to staff,
based on number of employees


                                The frequency of sustainability promotion varies significantly by organiza-
                                tional size, with small organizations promoting sustainable actions “very
                                frequently” at nearly twice the rate of the largest organizations.




Frequency of employee
sustainability engagement,
based on number of employees


                                Smaller organizations tend to be somewhat more effective in their em-
                                ployee engagement, consistent with the finding that they promote sustain-
                                ability more frequently. Correcting for frequency of promotion, the differ-
                                ence between small and large businesses largely disappears, suggesting that
                                when they do engage employees, large and small organizations are equally
                                effective.




                                22
Effectiveness of employee
                                                                                   sustainability engagement,
                                                                               based on number of employees




A matter of perspective: differences in attitude among job roles

Employees working in the sustainability/corporate social responsibility de-
partments of their organization are the most likely to self-identify as dark
green. Executives/owners and managers are next on the list while technol-
ogy, customer service, while sales & marketing employees rank as the least
environmentally inclined. The role of upper-level employees as leaders on
sustainability emerged as a consistent theme throughout our analysis.




                                                                         23
“Individual employees and
local offices have played
the biggest role in changing
behavior.”

“Have approached the
administrator once before
about recycling efforts; but,
he said that it would cost
too much.”




Employee environmental
inclination by job role



                                   Among the minority of organizations identified as having formal sustain-
                                   ability strategies, employees and management are most likely to have been
                                   involved in developing the strategy (as opposed to outside consultants, sus-
                                   tainability directors, or boards of directors).




Prevalence of involvement in
creating sustainability strategy



                                   Respondents are evenly split on whether they feel top-down or bottom-up
                                   sustainability promotion would be more likely to succeed in their work-




                                   24
place. Sustainability/CSR and technology staff are most likely to favor top-
down leadership. Interestingly, management and executives/owners, along
with operations staff, are most likely to favor bottom-up organization.




                                                                                         Perspectives of which
                                                                               sustainability organizing would
                                                                               be most likely to succeed, based
                                                                                        on respondent job role


Respondents from organizations in which management and sustainabil-
ity directors are currently the main sustainability advocates are inclined
towards top-down management, whereas respondents from organizations
where the general staff is the primary driver see bottom-up organization as
more likely to be effective. This could mean respondents are biased toward
known systems, or that organizations tend to implement the approaches
most appropriate for their own circumstances.

Light green respondents are more likely than dark greens to favor the top-
down approach. Perhaps because sustainability isn’t a personal priority,
they are more likely to be responsive to external assistance as opposed to
self-motivation.




                                                                         25
Perspectives of which
sustainability organizing would
be most likely to succeed, based
on primary existing sustainability
adovcate within organization




                                     Keys to success: attributes of effective programs

                                     Out of more than a thousand respondents, just 14% identified their em-
                                     ployers’ engagement tactics as “very effective.” 52% reported intermediate
“We need more education for          effectiveness, while 33% were unable to judge their employer’s effectiveness
companies so that employees          or thought it was “not very effective.” Based on these perceptions, it seems
can understand the im-               that most organizations can stand to improve their engagement tactics,
portance for sustainability          and comparing the most and least effective approaches yields valuable in-
efforts.”                            sights into the policies and practices that help create a successful employee
                                     sustainability engagement program.
“People need to either be
threatened or rewarded for           Generally, the organizations setting the bar for success of employee en-
doing something outside of           gagement programs tend to be smaller and in the environmental, energy,
their normal behavior, be-           or manufacturing sectors. They also tend to have strong upper-level sus-
cause for most the individual        tainability leadership and promote high levels of communication and par-
needs have a higher priority.”       ticipation among employees.




                                     26
Organizations tend to be more effective in changing employee behavior
the more frequently they promote sustainability initiatives. Still, 42% of
respondents who said their employer rarely promotes sustainable employ-
ee actions thought that their organization was at least somewhat effective
at changing behavior. A smaller but still important group (8%) said their
organization promoted sustainability often but with little success. This
suggests that simply promoting sustainable employee behavior more fre-
quently will achieve at least mediocre results, but other factors such as the
means and quality of engagement need to be considered to build a truly
successful program.




                                                                                          Relationship between
                                                                                   effectiveness and frequency
                                                                                    of employee sustainability
                                                                                                   engagement


Providing communication channels among employees about sustainability
initiatives is one clear way to improve a successful employee engagement
program. Employers promoting such communication are nearly five times
as likely to be very effective at changing employee behavior as employers
without them. Employers who encourage the use of social media are twice         “Creativity and information
as likely to be rated very effective in their employee engagement as organi-    and inspirational leadership
zations that don’t encourage it.                                                      are keys to all of this.“

                                                                                  “It must become a part of
                                                                                   corporate culture to have
                                                                                 a sustainability officer and
                                                                                     team-building centered
                                                                                      around sustainability.”




                                                                          27
Effectiveness of engagement
initiatives, based on whether
employer has system
for employees to share
sustainability ideas with one
another


                                   Organizations in which management or the board of directors are the main
                                   advocates for sustainability are the most likely to have programs that are
                                   effective at getting staff to participate in achieving sustainability goals – an
                                   indication that having leaders committed to sustainability is key. Still, in
                                   organizations where employees themselves are the primary sustainability
                                   advocates, a majority of respondents indicated the programs were some-
                                   what or very effective, meaning that employees can take the lead in es-
                                   tablishing successful sustainability programs. Interestingly, organizations
                                   in which a sustainability director is the main sustainability advocate are
                                   a third as likely to have very successful engagement programs compared
                                   to organizations where management or the board is the main advocate.
                                   This suggests that top-down sustainability efforts are unlikely to be effec-
                                   tive without visible executive- or management-level buy-in.




Effectiveness of engagement
initiatives, based on primary
existing sustainability adovcate
within organization




                                   28
While 32% of employers reportedly don’t communicate with employees
about sustainability goals and initiatives, those that do so rely on a variety
of communication channels, the most frequent being email. Programs that
include face-to-face conversations and social media channels are seen as
most effective, while email communication is characterized the least effec-
tive. This is likely tied to the finding that smaller organizations have more
effective engagement programs, discussed in section 4.3.




                                                                                       Effectiveness of engagement
                                                                                 programs, based on channels used
                                                                                   by employer to communicate to
                                                                                          staff about sustainability




The eye of the beholder: employee perspectives on engagement

Respondents offered a range of answers to an open-ended question about
which incentives they thought would be most effective in engaging em-
ployees in sustainability programs and goals. The most common arenas
mentioned were recycling and commuting, although many respondents
also mentioned electricity and paper use. A significant number of respon-
dents bike to work – in fact about equal numbers mentioned incentives
for biking, public transit, and carpooling. In terms of motivating incen-




                                                                           29
SPECIAL TOPIC: INCENTIVES                            to clean out their areas and bring items to a central
                                                     location. Then everyone goes “shopping” for free at
Selected responses to the question “What in-         the “re-store” for anything they need.”
centives does your employer use to promote
                                                     Monetary
sustainable actions? If none, what incentives
                                                     “Monetary benefits resulted in savings for the com-
do you think would work best?”
                                                     pany and bonuses for us.”
                                                     “My employer highlights the economic reasons for
Awards and prizes                                    being sustainable. The more paper we save the lower
“Every time we take an energy-saving mea-            our costs and the higher our profits.”
sure we can fill out a raffle ticket for a monthly
                                                     “We get a $300 Earth Friendly Benefit for items that
drawing.”
                                                     will save energy (bicycles, insulation, whatever).”
“We provide a ‘Green Team Suggestion Box’ in
                                                     “Maybe they could make a larger 401k contribution
which all employees can contribute green and
                                                     for employees that actively demonstrate sustainable
sustainable ideas. Anyone whose idea is imple-
                                                     behavior.”
mented successfully, and results in any type of
                                                     “I’d like to see a hybrid car bonus.”
environmental savings is then awarded a cash
prize.”                                              Food and drink
“We have a ‘greenie award’ that recognizes staff     “We have a full kitchen to encourage us to cook our
who are actively caring for the environment at       lunch (eliminating take-out plastic).”
work.”                                               “My previous employer provided flexible lunch
“We should have a competition between de-            hours to allow for the preparation of food in the
partments to have the best ‘green’ rating. I         workplace. They also provided kitchen equipment
think the best ways to promote sustainable ac-       and encouraged group cooking schedules that al-
tions would be to reward such behavior with          lowed employees to eat a healthy, local diet when-
small gifts every quarter. It might even be ben-     ever possible, despite the trials of a hectic workday.”
eficial to monitor energy usage somehow and          “My employer sponsors a small farmer’s market ev-
reward those with the least.”                        ery Tuesday and Thursday during summer and fall
                                                     where we can purchase local produce & foods.”
Miscellaneous
“My employer sponsors events such as bike-to-        “They gave everyone steel water bottles to encourage
work day and local/sustainable happy hours.          use of the water coolers. “
They also encourage us to use an online carbon       “We get discounts on coffee if we bring our own
footprinting tool for our homes.”                    mug.”
“We have an Earth Day Fair each year. Part of        “My employer removed all plastic from the cafe. You
it is a “re-store” where everyone is encouraged      have to use plates and cutlery or buy a $5 re-useable




                                   30
take-away container that you swap in every time          tectors on light switches, computers must be set
you come back.”                                          by default to go to sleep, and there should be clear
                                                         signage for recycling, etc. It would also be helpful
Philosophical                                            to institute a policy of preferred purchasing when
“Praise from fellow staff.”                              sustainable products are available within x stan-
“The knowledge that we are helping the planet.”          dard deviations of the cost of traditional ware.”
“Being a part of making the world a better place.”       “They are policies within the workplace so they
“Good food, lower energy bills, good feeling about       must be adhered to.”
recycling.”
                                                         Commuting
“Education is the incentive itself.”
                                                         “Employees collect punches on a card for each day
“Education and praise.”                                  they commute by bike; after 30 punches cards are
“Guilt. Awareness of climate change.”                    turned in for $50.”
“Our incentive is the pride and team spirit gener-       “We get an extra $1.50 in our paycheck for each
ated by being able to tell our visitors and clients      day we carpool, walk, or bike to work.”
that we’re doing everything we can.”                     “We get a transit benefit of $50 each month.”
“I think just a dialogue about why it’s important        “We can deduct money before-tax from our pay-
and asking people to chip in would go a long way.”       check to pay for public transit passes.”
“It might help to simply publicize the amount of         “We get an employee FlexPass that covers com-
waste that is and is not recycled to bring awareness     muter train, light rail, and bus. We also have a free
to everyone.”                                            locker/shower for cyclists and walkers as well as
“I would like to think that if we looked at our stats    quarterly drawings for alternative commuters.
and saw how big our carbon footprint is then peo-        Employees who don’t bring their car to work get
ple would be motivated to change their habits.”          free use of Zipcars.”
“I think the best example is to lead by example          “My employer contributes to a charity of my
and be sustainable. The incentive is to clean up our     choice for each day I ‘self-powered commute.’”
mess and make the world a more livable place. If         “We get free tickets, raffles and prizes for using
employees don’t already feel a sense of obligation       mass transportation.”
and stewardship, then they need to be educated.”
                                                         “We have a Commuter Challenge that asks each
“I don’t think you should receive an incentive for       employee to take one alternative commute per
doing what is right.”                                    week. This is reinforced with milestone rewards
“I don’t really believe it is something that calls for   and charitable matching for each person partici-
incentives, it is something that should be expected.”    pating.”
“Incentives only work so far. Change must be insti-      “We get free lunch if we carpool!”
tutionalized. There need to be timers/motion de-




                                                                        31
“I want to do it! Give me the         tives, measures that offered material rewards to employees or managers
tools to make it work!”               were mentioned frequently, as was open communication about the im-
                                      portance of sustainability. Respondents also suggested that using friendly
“Wish the HR and higher               competitions among employees or departments would be an effective way
management in my organi-              to encourage broad participation in conservation initiatives. Interestingly,
zation took sustainability            many respondents mentioned easily accessible recycling bins as an incen-
initiatives seriously and ac-         tive already in place or one that they would like to see. This indicates both
tually put measurable goals           a strong environmental ethic – several respondents indicated that simply
in place.”                            the ability to do the right thing should be incentive enough – as well as the
                                      rudimentary nature of many incentive programs – for many organizations,
                                      anything more advanced than recycling isn’t even on the radar.

                                      Respondents who reported that their employer is effective at encouraging
                                      staff to participate in sustainability initiatives are more likely to be satis-
                                      fied with their organizations’ approaches. This is consistent with both the
                                      general environmental inclination of our respondents and outside findings
                                      that employee engagement programs on sustainability encourage loyalty
                                      and productivity.




Employee satisfaction with
employer’s stance on sustainability
based on effectiveness of
engagement programs


                                      Sustainability directors and executives are the least likely to see a need for
                                      change in their organizations’ sustainability strategies, while customer ser-
                                      vice employees are the most dissatisfied with their employers’ stances on
                                      sustainability. Also noteworthy is that respondents who self-identified as
                                      dark green are less likely to want change from their employer than those
                                      who characterized themselves as light green – perhaps because dark greens




                                      32
are more likely to work for organizations that already have relatively effec-
tive employee engagement programs.

Only 11% of employees suggested they would not be interested to learn
more about their co-workers’ sustainability efforts, meaning that organiza-
tions implementing employee engagement programs should strongly con-
sider including methods for staff to communicate ideas to each other. This
sentiment is consistent with our numeric findings in the area of effective-
ness by employee communication (see section 4.5).




                                                                                 Employee interest in learning
                                                                                     more about co-workers’
                                                                                       sustainability actions.

                                                                                 “It’s a cultural shift. It does
With nearly every respondent suggesting that sustainability actions pro-            not and will not happen
moted in the workplace would likely be transferred to their personal lives,           overnight, but we must
it is clear that employee engagement programs in sustainability have a          work towards it. Engage as
spillover effect that multiplies the positive impact of organizations’ social   many people as you can, try
responsibility initiatives. Finding ways to estimate these impacts and in-       different tactics and solicit
corporate them into their sustainability metrics may be a challenge, but a                            buy-in.“
worthwhile one for organizations committed to demonstrating their envi-
ronmental achievements.                                                          “The money our university
                                                                                   has saved through energy
                                                                                conservation has saved jobs
                                                                                  in our state that keeps an-
                                                                                    nouncing budget cuts to
                                                                                           higher education.”




                                                                          33
Fraction of respondents who
say they would adopt workplace
conservation ideas in their
personal lives


                                 Another notable finding is that, while most respondents support sustain-
                                 ability for philosophical reasons, they view their organizations as being
                                 motivated primarily by cost savings or increased competitiveness in the la-
                                 bor market. Cost-conscious employers and green-minded employees will
                                 usually find their goals aligned despite these diverging motives. However,
                                 in certain cases, organizations may need to tread carefully lest they prompt
Words that respondents
                                 accusations of greenwashing from their employees.
associated with
effective engagement:

All-encompassing
Collaborative
Easy
Holistic
Innovative
Inspired
Integral
Interested
Practical
Role model
Smart
Supportive
Transparent
Way of life
Benign neglect




                                 34
CONCLUSIONS


An encouragingly large number of organizations are already taking steps
to engage their employees in their sustainability goals. While just 14% have
formalized their efforts into company policy, 86% promote employee sus-
tainability in some arena. These numbers suggest that many company lead-
ers understand, on some level, the benefits of involving employees in social
responsibility efforts. Indeed, employee retention and public marketing
were identified as primary motivations behind sustainability programs.
But just 14% of all respondents said their employer was very effective at
changing employee behavior, meaning there is room both to improve ex-
isting initiatives and establish new programs.

Organizations in the environmental sector lead with the highest frequency,
effectiveness, and satisfaction associated with their employee sustainabil-
ity initiatives. This is not surprising, given the relevance of sustainability
to the companies’ core missions and the inherent environmental inter-
ests of staff drawn to these types of organizations. However, the energy/        Words that respondents
utility sector also stands out relative to other industries regarding the ex-             associated with
tent of its engagement programs. At the other end of the spectrum, or-           ineffective engagement:
ganizations in the government, retail, and technology sectors do the
least to set sustainability goals and activate employees to achieve them.              Behind the times
                                                                                                Clueless
The effectiveness of employee engagement depends on many factors in-                     Greenwashing
cluding the frequency with which sustainable actions are promoted, qual-                   Half-hearted
ity of sustainable leadership, methods of communication, and employee                      Inconsistent
incentives. Small, social environments where open communication is en-                        Ineffective
couraged are more effective in activating employees than large ones. Com-                      Insincere
panies that collect data on employees’ sustainability practices, promote                   Low priority
communication among staff, and employ social media are more likely to                          Minimal
have highly effective engagement programs. The employees at larger orga-                   Nonexistent
nizations are much less aware of their employer’s sustainability goals and               Profit-oriented
initiatives, suggesting that in these environments, communication is lack-                        Token
ing.                                                                                  Uncommunicative
                                                                                       Well-intentioned
                                                                                           Opportunity




                                                                           35
Employee perspectives on company-wide sustainability strate-
gies suggest that top-down leadership by management and bot-
tom-up organization by employees are equally viable approach-
es. However, in actuality, organizations with management as the
primary sustainability advocate generally have significantly more effective
activation than organizations in which employees are the main movers.

Across the board, there is overwhelming employee support for sus-
tainability engagement programs. Most employees would like their
organization to improve its stance on sustainability, see substantial
room for improvement in the effectiveness of their employer’s pro-
grams, and want to learn more about the sustainability efforts of their
co-workers. The less frequent, effective, and official an employer’s
sustainability approach is, the more likely staff are to want change.

Overall, the results of this survey reinforce a small but growing theory of
the importance of employee activation as a key part of an organization’s
sustainability strategy. The idea of employee engagement is becoming
widely recognized, but while some organizations are leading the wave with
broad and sophisticated formal policies most are undertaking only mod-
est and unofficial initiatives. As more support for the benefits of employee
action surface, these programs are sure to advance in size, frequency and
effectiveness.




36
ABOUT THIS REPORT


For citations, please refer to: Brighter Planet (2010). “Employee Engage-
ment Survey 2009: An analysis of the Extent and Nature of Employee Sus-
tainability Programs.”

This report was prepared by Ian Hough and Matthew Kling. For more in-
formation, contact us at ian@brighterplanet.com or matt@brighterplanet.
com.

Brighter Planet
(800) 442-1521
Middlebury, VT and San Francisco, CA
brighterplanet.com




                                                  ©2010 Brighter Planet
AT A GLANCE


Brighter Planet’s Employee Sustainability Engagement Survey ran from
November 10 to 30, 2009 and gathered 1055 responses from 44 states and
Washington D.C.

Most employers have only just begun interacting with employees
around sustainability, and their efforts leave room for improvement.
Although 86% of respondents said their organization promotes employee
sustainability in some arena, only 16% said their employer collects data
related to employee sustainability and just 14% said their employer had an
official employee sustainability engagement policy.

Small organizations are leading on employee sustainability engage-
ment. Organizations with fewer than 100 people are nearly twice as likely
to promote sustainability very frequently, and their efforts are twice as like-
ly to be effective at changing employee behavior.

The most effective engagement programs feature an organization’s
management or board as the main advocate for employee sustainability.
These programs are three times as effective as those in which an employee
sustainability director was the main advocate.

Employees are generally dissatisfied with their employers’ sustainabili-
ty engagement efforts. Over 60% of respondents want to learn more about
their employers’ and co-workers’ sustainability efforts, and 67% would like
their employers to change their stance on sustainability.




           BRIGHTER
           PLANET

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Brighter Planet Employee Engagement and Sustainability Survey 2009

  • 1. BRIGHTER PLANET EMPLOYEE ENGAGEMENT SURVEY An Analysis of the Extent and Nature of Employee Sustainability Programs february 2010
  • 2. ABOUT BRIGHTER PLANET Brighter Planet provides technology-driven climate change solutions that help people and businesses manage their environmental impact. Its suite of innovative tools range from debit and credit cards that build renewable energy, to crowd-powered community climate projects, to a technology platform that integrates carbon emissions modeling with business opera- tions. Brighter Planet has engaged over 150,000 customers to date Brighter Planet (800) 442-1521 Middlebury, VT and San Francisco, CA brighterplanet.com 2
  • 3. FOREWORD American businesses are at a crossroads. They are dealing with the fallout from the recent economic crisis at the same time as they are rising to meet the challenge of an impending sustainability crisis. These are trying times, but businesses are increasingly taking responsibility for their organiza- tions’ roles in helping to forge a sustainable future. But the visionary leaders understand that the sustainability of their organi- zations and of our planet depends on more than just executive-level com- mitment, as critical as that commitment is. The shift to sustainability is a cultural shift, and it’s one that must happen at all levels within an organi- zation to be truly effective. Employees represent a critical element in an organization’s efforts to fuse sustainability with profitability. An organization’s success in meeting these goals can rise or fall with its ability to empower and incentivize its employees to integrate sustainability into their day to day activities and decision making. This does require planning and effort. But institutions that have invested in the right systems and structures find that these are yielding not only environmental and so- cial benefits but also helping the bottom line. This report from Brighter Planet both provides a benchmark for the status of employee sustainability programs in the US as they continue to evolve, and helps to inform their development by highlighting factors that contrib- ute to their success. We look forward to watching employee engagement initiatives play an increasing role in helping our institutions to overcome the challenges of our time. Mindy Lubber President, Ceres Director, Investor Network on Climate Risk 3
  • 4. EXECUTIVE SUMMARY Company initiatives that engage employees in sustainability efforts are becoming a key component of social responsibility programs. However, little is known about the nature of these engagement programs, nor how widespread they have become. This report sheds light on the interactions between employers and their employees around sustainable actions in the workplace. The results are based on 1055 individual responses to Brighter Planet’s Employee Sustainability Engagement Survey, collected during November 2009. This sample reflects a diverse set of respondents in terms of job role, employer size, and industry sector. Although our respondents perceive themselves as more environmentally-inclined than average, their opinions nevertheless serve as a useful barometer of the extent and dynamics with which companies engage their employees in sustainability. Most engagement efforts are in need of improvement. Overall findings show that while most employers have begun interacting with their employ- ees around sustainability, their efforts are nascent and fairly basic: provid- ing recycling bins rather than linking bonuses to environmental metrics. More than 85% of respondents said their organization promotes employee sustainability in some arena, but fewer than 15% said their employer had an employee sustainability engagement policy. Only 35% of respondents said they have a way to share sustainability ideas with coworkers, and just 16% said their employer collects data related to employee sustainability. Interestingly, if not surprisingly, management, executives, and sustainabil- ity professionals tend to have a more positive view of their organization’s efforts than lower level employees. Only 14% of respondents considered their employers’ initiatives very effective at changing employee behavior, although 52% thought they were somewhat effective. Communication is an important aspect of any engagement program, but is currently lacking in most organizations. Organizations need to work on communicating sustainability issues and initiatives to staff. A full 27% of respondents did not know whether their employer had an employ- 4
  • 5. ee engagement policy on sustainability, and 32% said their company never shared sustainability goals and strategies with employees. In addition, em- ployees are in need of channels to communicate with each other about sustainability initiatives. Only 35% of respondents said they had a way to share sustainability ideas with coworkers, but this group was nearly five times as likely to say their employer’s efforts were very effective at chang- ing employee behavior compared to respondents who had no way to share ideas with coworkers. Most organizations view sustainability programs as a potential compet- itive advantage. Of those employers that publicly share their sustainability efforts, 59% of respondents said they did so for the purpose of sales and marketing, and 46% said they did so for the purpose of employee recruit- ment and retention. Effective engagement programs vary by industry. Organizations in the environmental and energy/utility sectors have the programs deemed most effective by their employees, while government, retail, and technology or- ganizations are seen as laggards. Employee perspectives on sustainability strategies suggest that ‘top- down’ and ‘bottom-up’ are equally viable approaches. However, organi- zations that let their employees take the lead should be aware that workers expect official support and recognition for their efforts – 70% of respon- dents from organizations where employees are the main sustainability ad- vocate wanted their employer to change its stance on employee sustainabil- ity efforts. As for organizations that take the top-down approach, an official sustainability officer is no substitute for visible upper-level support. Pro- grams in which a sustainability director is the main advocate for employee sustainability are one third as effective as programs where management or the board is the main advocate. There is great potential for organizations to leverage the web and social media to engage their employees on sustainability. Just 18% of respon- dents said their Internet use is restricted at work, and more than a third said their employer encourages them to use some form of social media. 5
  • 6. Social media sites are the most effective communication channels for shar- ing sustainability goals and strategies with employees, and employers that encouraged the use of social media were twice as likely to be rated very effective in their engagement as employers that don’t. In all, the results of this survey confirm that most organizations are be- ginning to see employee engagement as a key part of their sustainability strategy. The organizations with the highest effectiveness and employee satisfaction tend to encourage conservation frequently, promote sustain- able actions in a diversity of arenas, establish ways for employees to share ideas with each other, collect data on their efforts, and use social media to build conversations around sustainability. Most organizations are taking tentative steps, but there is much room for improvement and expansion of their efforts. 6
  • 7. TABLE OF CONTENTS INTRODUCTION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 METHODOLOGY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 RESPONDENT PROFILE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 DETAILED FINDINGS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 The lay of the land: general perspective on engagement programs . . . . . . . . . 14 The industrial divide: sector-specific attitudes and behaviors . . . . . . . . . . . . . 17 Size does matter: employee engagement by organizational scale . . . . . . . . . . . 21 A matter of perspective: differences in attitude among job roles . . . . . . . . . . . 23 Keys to success: attributes of effective programs . . . . . . . . . . . . . . . . . . . . . . . . 26 The eye of the beholder: employee perspectives on engagement . . . . . . . . . . . 29 CONCLUSIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 7
  • 8. INTRODUCTION Organizations of all kinds have begun making a gradual and powerful move toward sustainability, as they recognize increasing convergences be- tween economic and environmental interests.1 Pressure from customers, employees, and investors, as well as the promise of tightening regulation of greenhouse gas emissions and other environmental impacts, is helping to drive the advancement of corporate social responsibility (CSR) programs. Market data shows that CSR officer roles within the Russell 1000 rose sev- “Considering most people enfold from 2006-20072, and that Socially Responsible Investors now ac- spend the majority of their count for $2.71 trillion in managed assets.3 Yet a recent study shows that life at work, I think it is es- only one in eight of these Russell 1000 companies have an executive-level sential that sustainability is committee responsible for sustainability, and less than one in fifteen have a promoted in the workplace.” C-level executive overseeing these policies.4 “Businesses may be cutting Organizations of all sizes, including high profile companies like Walmart, emissions in their product are beginning to recognize employee engagement as a new and promis- chains, but I haven’t seen a ing addition to corporate social responsibility. Employee engagement pro- focused effort from many grams are initiatives that build employees’ attachment to their workplaces orgs to do it in their employ- and promote enthusiastic employee involvement in helping to achieve or- ee actions.” ganizational goals. Part of the reason for their increasing popularity is a re- alization that by directly engaging employees, the company not only saves “It would really help the time and money, but also enriches its brand and reputation, both internally image of our company if we and externally. were involved in some sort of conservation/sustainability Beyond making substantial reductions in environmental impact, employee program.” engagement programs can have a significant impact on a company’s bot- 1 Stengal, Richard. September 10, 2009. TIME Magazine: “For American Con- sumers, a Responsibility Revolution.” http://www.time.com/time/nation/arti- cle/0,8599,1921444-1,00.html 2 The Corporate Responsibility Officer (CRO). http://www.thecro.com 3 Social Investment Forum (SIF). 2007. 2007 Report on Socially Responsible Investing Trends in the US: Executive Summary. http://www.socialinvest.org/pdf/SRI_Trends_Exec- Summary_2007.pdf 4 Sustainable Enterprise Institute. 2009. The Road Not Yet Taken: The state of US corpo- rate Environmental Policy and Management. http://www.sustainableenterpriseinstitute.org/ media/The_Road_Not_Yet_Taken_FINAL$202009$2008.pdf 8
  • 9. tom line. A Gallup study estimates that more than $300 billion in produc- tivity is squandered within the U.S. workforce due to disengaged employ- ees.1 Furthermore, the same Gallup study indicates that organizations with an engaged workforce have 2.6 times the earnings per share growth rate compared to organizations in the same industry with a less-engaged work- force.2 Sustainability programs serve as an important part of organizations’ broader strategies for activating and engaging employees. In a survey com- missioned by National Geographic magazine in February 2008, more than 80% of U.S. workers polled said they believe it is important to work for a company or organization that makes the environment a top priority.3 “Sustainability in the work- However, a recent McKinsey survey shows that, while business leaders place will not be successful and investors believe that sustainability programs can generate substantial unless you have the employ- shareholder value, they rarely take this into account when making business ees on board with the idea.” investments.4 “I would rather work for Although employee engagement programs centered around sustainabil- an employer who tried to ity are beginning to gain ground and prove their worth, relatively little is integrate business practices known about their extent and nature. The aim of this survey was to inves- with sustainability efforts, tigate how widespread and effective employee engagement programs are even if compensation were in U.S. organizations. Our findings give insight into the type of initiatives slightly less.” organizations are employing, how effective employees consider these ef- forts, and which tactics are perceived to be most successful. “I joined my company because of the huge contri- butions being made and the opportunity to participate directly in the efforts related to sustainability.” 1 Gallup. (n.d.) Employee Engagement: A Leading Indicator of Financial Performance. http://www.gallup.com/consulting/52/employee-engagement.aspx 2 ibid 3 National Geographic. Feburary 19, 2008. “U.S. Workers favor green companies.” http://press.nationalgeographic.com/pressroom/index.jsp?pageID=pressReleases_detail&s iteID=1&cid=1203526072027 4 McKinsey. 2009. Valuing corporate Social Responsibility: McKinsey Global Survey Re- sults. http://www.mckinseyquarterly.com/Valuing_corporate_social_responsibility_McK- insey_Global_Survey_Results_2309 9
  • 10. METHODOLOGY The survey consisted of an online questionnaire. There were 30 ques- tions, mostly multiple-choice and a few open-ended. Links to the survey were emailed to members of the Brighter Planet mailing list and posted on Carbon Offsets Daily, Triple Pundit, and Inspired Economist. We gath- ered 1055 usable responses between November 10 and 30, 2009. Although our sample was not randomly selected, the respondents represent a broad range of demographics, sectors, organization sizes, and job roles. When interpreting the results of this survey, please keep in mind that the respondents perceive themselves as more environmentally-inclined than the average individual. While this means the results are not always broadly applicable, in some ways it provides a better sounding board for employee engagement since the respondents were likely more aware of their employ- ers’ sustainability efforts. 10
  • 11. RESPONDENT PROFILE A total of 1055 individuals from 44 states and the District of Columbia completed the survey. While they represent a variety of sectors, organiza- tion sizes, and job roles, most identified themselves as strongly environ- mentally-inclined. The following spread describes noteworthy characteristics of the respon- dent set. 11
  • 12. Employer industry Employer size (number of employees) Job role Personal environmental inclination 12
  • 14. DETAILED FINDINGS The lay of the land: general perspective on engagement programs While employee engagement in sustainability is gaining a foothold, most organizations have yet to develop their fledgling efforts into an overall strategy. Even among this progressive respondent base, only 33% said their organization has a method for employees to share sustainability ideas with coworkers. Just 14% said their employer has an official employee engage- ment policy on sustainability, and 16% said their employer collects data on employee sustainability. Only 25% of respondents said their organiza- tion measures its carbon footprint, and just 16% and 12%, respectively, said “As far as I am concerned, they measure emissions from employee commuting or staff travel. Small besides the recylcing bin in businesses are more likely to facilitate idea sharing, but large businesses the cafeteria areas and the are slightly more likely to have an official engagement policy and collect recylcying bin next to the data relevant to sustainability efforts. It is also worth noting that for each printers, there is nothing question, 20-25% of respondents didn’t know their employers’ position. being done. “ This suggests organizations must improve communication around sustain- ability issues and initiatives to staff, an important and effective step in ac- “I think commuting is a complishing sustainability goals. great way to start - since everyone does it, it offers a great way to engage, and helps people save money besides.” “For example, our building does not recycle so employ- ees will take home recycla- ble materials from the office to recycle through resident recycling programs.” 14
  • 15. Does your employer… Prevalence of workplace sustainability practices On a positive note, there is great potential for organizations to leverage social media (web-based technologies that encourage conversation and user content generation rather than one-way monologue) to engage their employees on sustainability. Only 18% of respondents said their Internet use is restricted at work, and 36% said their employer encourages them to use some form of social media. Small organizations are more likely than large ones to allow unrestricted Internet access and encourage social media use. Technology and the workplace Marketing and sales are the most frequently reported reasons for organiza- tions to share their sustainability efforts, followed by employee recruitment and retention. This suggests that many organizations view sustainability programs as a competitive advantage, which is consistent with findings 15
  • 16. that companies with these programs tend to perform significantly above average.1 Organizations’ motivations for sharing sustianability information A heartening 75% of respondents said their employer actively promotes recycling, which compares closely to the 70% incidence of domestic recy- cling.2 More than 50% of respondents said their office encourages energy conservation, and more than 40% said their organization promotes ways to reduce the impact of commuting. Most employers encourage sustainable employee behavior in multiple arenas. The arenas in which organizations promote sustainability do not depend on who the main sustainability ad- vocate is, or what the motives are behind the sustainability program. Prevalence of conservation promotion in different arenas 1 Gallup. 2 Assams. November 13, 2009. 70 percent American households recycle at home. http:// www.assams.info/2009/11/70-percent-american-households-recycle-at-home.html 16
  • 17. The industrial divide: sector-specific attitudes and behaviors Though all respondents ranked themselves relatively high on the ‘green- ness scale’ (defined as the extent of one’s self-identification with the values of environmentalism and willingness to alter behavior to affect positive change), there are interesting patterns in environmental inclination across sectors and job roles. Since less than 10% of respondents self-identified as “light green” or “snow white”, the main distinction is the relative propor- tion of dark and medium green individuals. Not surprisingly, environmental organizations have the greenest work- force. But energy/utility and retail companies also rank above average, while government and manufacturing workers are less green than average. The lightest green workforces are found in IT/Internet and financial ser- vices organizations, where only 20% of respondents self-identified as dark green – less than half the average. 17
  • 18. Employee environmental inclination by industry While there aren’t extensive differences between sectors in terms of which sustainability arenas are most frequently promoted, energy/utility organi- zations are the most frequent promoters of energy conservation, and man- ufacturing organizations topped the charts for promoting recycling. This is to be expected, given that energy and materials use are central to the nature of these industries respectively. 52% of respondents reported that their employers promote sustainable employee behavior frequently or very frequently while 19% said their em- ployers promote it very infrequently or were unsure. Environmental and energy/utility organizations are the most frequent promoters of employee “I’d really like to see more sustainability. These sectors also have the most environmentally inclined sustainable efforts in the employees. Not-for-profit and manufacturing organizations also promote retail industry.” 18
  • 19. employee sustainability more often than average, although employees from these two sectors don’t perceive themselves as particularly green. Retail and construction companies are the least likely to promote employee sus- tainability, despite having the third- and fourth-greenest workforces, re- spectively. Frequency of employee sustainability engagement by industry Environmental organizations top the chart for effectiveness of employee engagement, while retail, government and IT/Internet organizations come in last. 19
  • 20. Effectiveness of employee sustianability engagement by industry On the whole, a full 67% of employees would like their employer to change its stance on sustainability, suggesting there is high staff receptivity and support for new employee engagement and environmental programs. On a sector-by-sector basis, employee satisfaction with employer sustainabil- ity initiatives maps closely to the perceived effectiveness of the employer’s engagement programs, with environmental organizations in first place and government in last. However, in regards to effectiveness, not-for-profit em- ployees are quite satisfied with their employer’s stance on sustainability; the energy sector, conversely, has comparatively low employee satisfaction with its environmental stance. This is surprising, as it ranked very high in frequency and effectiveness of employee sustainability engagement. 20
  • 21. Employee satisfaction by industry: “Would you like your employer to change their stance on sustainability?” Size does matter: employee engagement by organizational scale While the overall incidence of employers sharing sustainability goals with employees is evenly distributed across organizational sizes, methods for communicating that information vary. Larger organizations are more like- ly to communicate by email and internal systems, whereas smaller outfits use meetings and conversation more frequently. Regardless of size, email is the most employed communication channel. 21
  • 22. Channels used to communicate sustainability info to staff, based on number of employees The frequency of sustainability promotion varies significantly by organiza- tional size, with small organizations promoting sustainable actions “very frequently” at nearly twice the rate of the largest organizations. Frequency of employee sustainability engagement, based on number of employees Smaller organizations tend to be somewhat more effective in their em- ployee engagement, consistent with the finding that they promote sustain- ability more frequently. Correcting for frequency of promotion, the differ- ence between small and large businesses largely disappears, suggesting that when they do engage employees, large and small organizations are equally effective. 22
  • 23. Effectiveness of employee sustainability engagement, based on number of employees A matter of perspective: differences in attitude among job roles Employees working in the sustainability/corporate social responsibility de- partments of their organization are the most likely to self-identify as dark green. Executives/owners and managers are next on the list while technol- ogy, customer service, while sales & marketing employees rank as the least environmentally inclined. The role of upper-level employees as leaders on sustainability emerged as a consistent theme throughout our analysis. 23
  • 24. “Individual employees and local offices have played the biggest role in changing behavior.” “Have approached the administrator once before about recycling efforts; but, he said that it would cost too much.” Employee environmental inclination by job role Among the minority of organizations identified as having formal sustain- ability strategies, employees and management are most likely to have been involved in developing the strategy (as opposed to outside consultants, sus- tainability directors, or boards of directors). Prevalence of involvement in creating sustainability strategy Respondents are evenly split on whether they feel top-down or bottom-up sustainability promotion would be more likely to succeed in their work- 24
  • 25. place. Sustainability/CSR and technology staff are most likely to favor top- down leadership. Interestingly, management and executives/owners, along with operations staff, are most likely to favor bottom-up organization. Perspectives of which sustainability organizing would be most likely to succeed, based on respondent job role Respondents from organizations in which management and sustainabil- ity directors are currently the main sustainability advocates are inclined towards top-down management, whereas respondents from organizations where the general staff is the primary driver see bottom-up organization as more likely to be effective. This could mean respondents are biased toward known systems, or that organizations tend to implement the approaches most appropriate for their own circumstances. Light green respondents are more likely than dark greens to favor the top- down approach. Perhaps because sustainability isn’t a personal priority, they are more likely to be responsive to external assistance as opposed to self-motivation. 25
  • 26. Perspectives of which sustainability organizing would be most likely to succeed, based on primary existing sustainability adovcate within organization Keys to success: attributes of effective programs Out of more than a thousand respondents, just 14% identified their em- ployers’ engagement tactics as “very effective.” 52% reported intermediate “We need more education for effectiveness, while 33% were unable to judge their employer’s effectiveness companies so that employees or thought it was “not very effective.” Based on these perceptions, it seems can understand the im- that most organizations can stand to improve their engagement tactics, portance for sustainability and comparing the most and least effective approaches yields valuable in- efforts.” sights into the policies and practices that help create a successful employee sustainability engagement program. “People need to either be threatened or rewarded for Generally, the organizations setting the bar for success of employee en- doing something outside of gagement programs tend to be smaller and in the environmental, energy, their normal behavior, be- or manufacturing sectors. They also tend to have strong upper-level sus- cause for most the individual tainability leadership and promote high levels of communication and par- needs have a higher priority.” ticipation among employees. 26
  • 27. Organizations tend to be more effective in changing employee behavior the more frequently they promote sustainability initiatives. Still, 42% of respondents who said their employer rarely promotes sustainable employ- ee actions thought that their organization was at least somewhat effective at changing behavior. A smaller but still important group (8%) said their organization promoted sustainability often but with little success. This suggests that simply promoting sustainable employee behavior more fre- quently will achieve at least mediocre results, but other factors such as the means and quality of engagement need to be considered to build a truly successful program. Relationship between effectiveness and frequency of employee sustainability engagement Providing communication channels among employees about sustainability initiatives is one clear way to improve a successful employee engagement program. Employers promoting such communication are nearly five times as likely to be very effective at changing employee behavior as employers without them. Employers who encourage the use of social media are twice “Creativity and information as likely to be rated very effective in their employee engagement as organi- and inspirational leadership zations that don’t encourage it. are keys to all of this.“ “It must become a part of corporate culture to have a sustainability officer and team-building centered around sustainability.” 27
  • 28. Effectiveness of engagement initiatives, based on whether employer has system for employees to share sustainability ideas with one another Organizations in which management or the board of directors are the main advocates for sustainability are the most likely to have programs that are effective at getting staff to participate in achieving sustainability goals – an indication that having leaders committed to sustainability is key. Still, in organizations where employees themselves are the primary sustainability advocates, a majority of respondents indicated the programs were some- what or very effective, meaning that employees can take the lead in es- tablishing successful sustainability programs. Interestingly, organizations in which a sustainability director is the main sustainability advocate are a third as likely to have very successful engagement programs compared to organizations where management or the board is the main advocate. This suggests that top-down sustainability efforts are unlikely to be effec- tive without visible executive- or management-level buy-in. Effectiveness of engagement initiatives, based on primary existing sustainability adovcate within organization 28
  • 29. While 32% of employers reportedly don’t communicate with employees about sustainability goals and initiatives, those that do so rely on a variety of communication channels, the most frequent being email. Programs that include face-to-face conversations and social media channels are seen as most effective, while email communication is characterized the least effec- tive. This is likely tied to the finding that smaller organizations have more effective engagement programs, discussed in section 4.3. Effectiveness of engagement programs, based on channels used by employer to communicate to staff about sustainability The eye of the beholder: employee perspectives on engagement Respondents offered a range of answers to an open-ended question about which incentives they thought would be most effective in engaging em- ployees in sustainability programs and goals. The most common arenas mentioned were recycling and commuting, although many respondents also mentioned electricity and paper use. A significant number of respon- dents bike to work – in fact about equal numbers mentioned incentives for biking, public transit, and carpooling. In terms of motivating incen- 29
  • 30. SPECIAL TOPIC: INCENTIVES to clean out their areas and bring items to a central location. Then everyone goes “shopping” for free at Selected responses to the question “What in- the “re-store” for anything they need.” centives does your employer use to promote Monetary sustainable actions? If none, what incentives “Monetary benefits resulted in savings for the com- do you think would work best?” pany and bonuses for us.” “My employer highlights the economic reasons for Awards and prizes being sustainable. The more paper we save the lower “Every time we take an energy-saving mea- our costs and the higher our profits.” sure we can fill out a raffle ticket for a monthly “We get a $300 Earth Friendly Benefit for items that drawing.” will save energy (bicycles, insulation, whatever).” “We provide a ‘Green Team Suggestion Box’ in “Maybe they could make a larger 401k contribution which all employees can contribute green and for employees that actively demonstrate sustainable sustainable ideas. Anyone whose idea is imple- behavior.” mented successfully, and results in any type of “I’d like to see a hybrid car bonus.” environmental savings is then awarded a cash prize.” Food and drink “We have a ‘greenie award’ that recognizes staff “We have a full kitchen to encourage us to cook our who are actively caring for the environment at lunch (eliminating take-out plastic).” work.” “My previous employer provided flexible lunch “We should have a competition between de- hours to allow for the preparation of food in the partments to have the best ‘green’ rating. I workplace. They also provided kitchen equipment think the best ways to promote sustainable ac- and encouraged group cooking schedules that al- tions would be to reward such behavior with lowed employees to eat a healthy, local diet when- small gifts every quarter. It might even be ben- ever possible, despite the trials of a hectic workday.” eficial to monitor energy usage somehow and “My employer sponsors a small farmer’s market ev- reward those with the least.” ery Tuesday and Thursday during summer and fall where we can purchase local produce & foods.” Miscellaneous “My employer sponsors events such as bike-to- “They gave everyone steel water bottles to encourage work day and local/sustainable happy hours. use of the water coolers. “ They also encourage us to use an online carbon “We get discounts on coffee if we bring our own footprinting tool for our homes.” mug.” “We have an Earth Day Fair each year. Part of “My employer removed all plastic from the cafe. You it is a “re-store” where everyone is encouraged have to use plates and cutlery or buy a $5 re-useable 30
  • 31. take-away container that you swap in every time tectors on light switches, computers must be set you come back.” by default to go to sleep, and there should be clear signage for recycling, etc. It would also be helpful Philosophical to institute a policy of preferred purchasing when “Praise from fellow staff.” sustainable products are available within x stan- “The knowledge that we are helping the planet.” dard deviations of the cost of traditional ware.” “Being a part of making the world a better place.” “They are policies within the workplace so they “Good food, lower energy bills, good feeling about must be adhered to.” recycling.” Commuting “Education is the incentive itself.” “Employees collect punches on a card for each day “Education and praise.” they commute by bike; after 30 punches cards are “Guilt. Awareness of climate change.” turned in for $50.” “Our incentive is the pride and team spirit gener- “We get an extra $1.50 in our paycheck for each ated by being able to tell our visitors and clients day we carpool, walk, or bike to work.” that we’re doing everything we can.” “We get a transit benefit of $50 each month.” “I think just a dialogue about why it’s important “We can deduct money before-tax from our pay- and asking people to chip in would go a long way.” check to pay for public transit passes.” “It might help to simply publicize the amount of “We get an employee FlexPass that covers com- waste that is and is not recycled to bring awareness muter train, light rail, and bus. We also have a free to everyone.” locker/shower for cyclists and walkers as well as “I would like to think that if we looked at our stats quarterly drawings for alternative commuters. and saw how big our carbon footprint is then peo- Employees who don’t bring their car to work get ple would be motivated to change their habits.” free use of Zipcars.” “I think the best example is to lead by example “My employer contributes to a charity of my and be sustainable. The incentive is to clean up our choice for each day I ‘self-powered commute.’” mess and make the world a more livable place. If “We get free tickets, raffles and prizes for using employees don’t already feel a sense of obligation mass transportation.” and stewardship, then they need to be educated.” “We have a Commuter Challenge that asks each “I don’t think you should receive an incentive for employee to take one alternative commute per doing what is right.” week. This is reinforced with milestone rewards “I don’t really believe it is something that calls for and charitable matching for each person partici- incentives, it is something that should be expected.” pating.” “Incentives only work so far. Change must be insti- “We get free lunch if we carpool!” tutionalized. There need to be timers/motion de- 31
  • 32. “I want to do it! Give me the tives, measures that offered material rewards to employees or managers tools to make it work!” were mentioned frequently, as was open communication about the im- portance of sustainability. Respondents also suggested that using friendly “Wish the HR and higher competitions among employees or departments would be an effective way management in my organi- to encourage broad participation in conservation initiatives. Interestingly, zation took sustainability many respondents mentioned easily accessible recycling bins as an incen- initiatives seriously and ac- tive already in place or one that they would like to see. This indicates both tually put measurable goals a strong environmental ethic – several respondents indicated that simply in place.” the ability to do the right thing should be incentive enough – as well as the rudimentary nature of many incentive programs – for many organizations, anything more advanced than recycling isn’t even on the radar. Respondents who reported that their employer is effective at encouraging staff to participate in sustainability initiatives are more likely to be satis- fied with their organizations’ approaches. This is consistent with both the general environmental inclination of our respondents and outside findings that employee engagement programs on sustainability encourage loyalty and productivity. Employee satisfaction with employer’s stance on sustainability based on effectiveness of engagement programs Sustainability directors and executives are the least likely to see a need for change in their organizations’ sustainability strategies, while customer ser- vice employees are the most dissatisfied with their employers’ stances on sustainability. Also noteworthy is that respondents who self-identified as dark green are less likely to want change from their employer than those who characterized themselves as light green – perhaps because dark greens 32
  • 33. are more likely to work for organizations that already have relatively effec- tive employee engagement programs. Only 11% of employees suggested they would not be interested to learn more about their co-workers’ sustainability efforts, meaning that organiza- tions implementing employee engagement programs should strongly con- sider including methods for staff to communicate ideas to each other. This sentiment is consistent with our numeric findings in the area of effective- ness by employee communication (see section 4.5). Employee interest in learning more about co-workers’ sustainability actions. “It’s a cultural shift. It does With nearly every respondent suggesting that sustainability actions pro- not and will not happen moted in the workplace would likely be transferred to their personal lives, overnight, but we must it is clear that employee engagement programs in sustainability have a work towards it. Engage as spillover effect that multiplies the positive impact of organizations’ social many people as you can, try responsibility initiatives. Finding ways to estimate these impacts and in- different tactics and solicit corporate them into their sustainability metrics may be a challenge, but a buy-in.“ worthwhile one for organizations committed to demonstrating their envi- ronmental achievements. “The money our university has saved through energy conservation has saved jobs in our state that keeps an- nouncing budget cuts to higher education.” 33
  • 34. Fraction of respondents who say they would adopt workplace conservation ideas in their personal lives Another notable finding is that, while most respondents support sustain- ability for philosophical reasons, they view their organizations as being motivated primarily by cost savings or increased competitiveness in the la- bor market. Cost-conscious employers and green-minded employees will usually find their goals aligned despite these diverging motives. However, in certain cases, organizations may need to tread carefully lest they prompt Words that respondents accusations of greenwashing from their employees. associated with effective engagement: All-encompassing Collaborative Easy Holistic Innovative Inspired Integral Interested Practical Role model Smart Supportive Transparent Way of life Benign neglect 34
  • 35. CONCLUSIONS An encouragingly large number of organizations are already taking steps to engage their employees in their sustainability goals. While just 14% have formalized their efforts into company policy, 86% promote employee sus- tainability in some arena. These numbers suggest that many company lead- ers understand, on some level, the benefits of involving employees in social responsibility efforts. Indeed, employee retention and public marketing were identified as primary motivations behind sustainability programs. But just 14% of all respondents said their employer was very effective at changing employee behavior, meaning there is room both to improve ex- isting initiatives and establish new programs. Organizations in the environmental sector lead with the highest frequency, effectiveness, and satisfaction associated with their employee sustainabil- ity initiatives. This is not surprising, given the relevance of sustainability to the companies’ core missions and the inherent environmental inter- ests of staff drawn to these types of organizations. However, the energy/ Words that respondents utility sector also stands out relative to other industries regarding the ex- associated with tent of its engagement programs. At the other end of the spectrum, or- ineffective engagement: ganizations in the government, retail, and technology sectors do the least to set sustainability goals and activate employees to achieve them. Behind the times Clueless The effectiveness of employee engagement depends on many factors in- Greenwashing cluding the frequency with which sustainable actions are promoted, qual- Half-hearted ity of sustainable leadership, methods of communication, and employee Inconsistent incentives. Small, social environments where open communication is en- Ineffective couraged are more effective in activating employees than large ones. Com- Insincere panies that collect data on employees’ sustainability practices, promote Low priority communication among staff, and employ social media are more likely to Minimal have highly effective engagement programs. The employees at larger orga- Nonexistent nizations are much less aware of their employer’s sustainability goals and Profit-oriented initiatives, suggesting that in these environments, communication is lack- Token ing. Uncommunicative Well-intentioned Opportunity 35
  • 36. Employee perspectives on company-wide sustainability strate- gies suggest that top-down leadership by management and bot- tom-up organization by employees are equally viable approach- es. However, in actuality, organizations with management as the primary sustainability advocate generally have significantly more effective activation than organizations in which employees are the main movers. Across the board, there is overwhelming employee support for sus- tainability engagement programs. Most employees would like their organization to improve its stance on sustainability, see substantial room for improvement in the effectiveness of their employer’s pro- grams, and want to learn more about the sustainability efforts of their co-workers. The less frequent, effective, and official an employer’s sustainability approach is, the more likely staff are to want change. Overall, the results of this survey reinforce a small but growing theory of the importance of employee activation as a key part of an organization’s sustainability strategy. The idea of employee engagement is becoming widely recognized, but while some organizations are leading the wave with broad and sophisticated formal policies most are undertaking only mod- est and unofficial initiatives. As more support for the benefits of employee action surface, these programs are sure to advance in size, frequency and effectiveness. 36
  • 37. ABOUT THIS REPORT For citations, please refer to: Brighter Planet (2010). “Employee Engage- ment Survey 2009: An analysis of the Extent and Nature of Employee Sus- tainability Programs.” This report was prepared by Ian Hough and Matthew Kling. For more in- formation, contact us at ian@brighterplanet.com or matt@brighterplanet. com. Brighter Planet (800) 442-1521 Middlebury, VT and San Francisco, CA brighterplanet.com ©2010 Brighter Planet
  • 38. AT A GLANCE Brighter Planet’s Employee Sustainability Engagement Survey ran from November 10 to 30, 2009 and gathered 1055 responses from 44 states and Washington D.C. Most employers have only just begun interacting with employees around sustainability, and their efforts leave room for improvement. Although 86% of respondents said their organization promotes employee sustainability in some arena, only 16% said their employer collects data related to employee sustainability and just 14% said their employer had an official employee sustainability engagement policy. Small organizations are leading on employee sustainability engage- ment. Organizations with fewer than 100 people are nearly twice as likely to promote sustainability very frequently, and their efforts are twice as like- ly to be effective at changing employee behavior. The most effective engagement programs feature an organization’s management or board as the main advocate for employee sustainability. These programs are three times as effective as those in which an employee sustainability director was the main advocate. Employees are generally dissatisfied with their employers’ sustainabili- ty engagement efforts. Over 60% of respondents want to learn more about their employers’ and co-workers’ sustainability efforts, and 67% would like their employers to change their stance on sustainability. BRIGHTER PLANET