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Chances are you have never heard of brominated vegetable oil (BVO), or at least not until recently.

I know I hadn’t, but then I tend to avoid foods with ingredient lists that read like Russian novels. It turns out to be the same chemical used in flame retardants. Studies have shown that BVO can build up in human tissue and lead to lesions, memory loss and nerve disorders. It can also compete with iodine in the body. So, unless you are concerned about spontaneous human combustion, there is really no good reason to be ingesting this stuff.

Brominated vegetable oils were approved for use in soft drinks by the FDA in 1977 at a level of 15 parts per-million (PPM) for the purpose of stabilizing artificial flavorings.  They have been found in roughly 10 percent of all soft drinks. That was until recently when Coca-Cola, following the lead of its rival Pepsi-Cola, removed the ingredient from its Powerade sports drink after Pepsi removed it from Gatorade.

The moves came after a petition on Change.org questioned why this ingredient was contained in a drink that was being marketed to health-conscious consumers. The petition was started by 15-year-old Sarah Kavanaugh and received more than 200,000 signatures.

According to Kavanugh, “A couple months ago, I found out that one of my favorite drinks, Gatorade’s Orange, contained brominated vegetable oil (BVO). According to Scientific American and other news reports, BVO is patented as a flame retardant and has been banned in Europe and Japan. So I started a Change.org petition asking Gatorade to stop using it. More than 200,000 people signed my petition on Change.org and we won! But I learned that BVO is also in other drinks, like Powerade’s red fruit punch that is actually sold in my school!”

So, she went back and started another petition, this one asking Coke to remove the ingredient from Powerade.  By the time the second petition had reached 50,000 signatures, Coca-Cola had already responded.

This blog appeared in Coca-Cola’s corporate website.

“At The Coca-Cola Co., we are committed to evolving our beverages and portfolio options through ongoing innovation.  As a part of this commitment, The Coca-Cola Co. is transitioning from the use of brominated vegetable oil (BVO) to sucrose acetate isobutyrate (SAIB) and/or glycerol ester of rosin (singly or in-combination).  The global transition will be made across a variety of formulas from ready-to-drink (bottles and cans) to fountain machines. This transition allows us to become consistent with the ingredients we use throughout the world.”

The posting states that the transition of Powerade Fruit Punch and Powerade Strawberry Lemonade bottle varieties has already occurred and that various other citrus-flavored products will transition away from BVO by the end of this year.

This is a great example of the power of public opinion in an open society, empowered by the connectivity and information–sharing potential of the Internet. It only works, however, if companies are open and transparent about their ingredients, methods and processes.

If they are allowed to maintain secrecy, as some are today, regarding the inclusion of controversial ingredients, such as those derived from genetically modified organisms (GMOs), there is no opportunity for an informed public to take action on its own behalf.

Image credit: Coca-Cola Co.

RP Siegel, PE, is an inventor, consultant and author. He writes for numerous publications including Justmeans, ThomasNet, Huffington Post, and Energy Viewpoints. He co-wrote the eco-thriller Vapor Trails, the first in a series covering the human side of various sustainability issues including energy, food, and water in an exciting and entertaining romp that is currently being adapted for the big screen. Now available on Kindle.

Follow RP Siegel on Twitter.

Subway is a major fast food chain with more than 41,000 restaurants in 106 countries. CNBC calls it the “largest restaurant chain in the world.” Despite its large size, the company isn't afraid of an increase in the federal minimum wage. Subway CEO Fred DeLuca recently said during an interview with CNBC that he is “not concerned” about the federal minimum wage increasing.

When he “started in the business, the minimum wage was $1.25,” and he has “seen an enormous number of wage increases,” DeLuca told CNBC. He added that increasing the federal minimum wage “won't have a negative impact hopefully, and that's what I tell my workers.” That is a bit of a change from 2013 when Deluca told CNBC that “doing a sharp raise all at once is a bad idea.” However, he added that “minimum-wage workers deserve to make more and a little bit of an increase makes sense to me.”

Recently, Subway has been embroiled in controversy concerning a food additive and a recent CNN report. The report found that individual Subway franchises have been found violating pay and hour rules in more than 1,100 investigations from 2000 to 2013. CNN looked at data from the Department of Labor’s Wage and Hour Division and found the investigations combined have “about 17,000 Fair Labor Standards Act violations and resulted in franchisees having to reimburse Subway workers more than $3.8 million over the years.” The report notes that Subway has over 26,000 locations throughout the U.S. and “each franchise owner is treated essentially as a small business.”

During the CNBC interview, DeLuca responded to CNN’s report. “First of all, the fact that we have so many stores has an impact on how many violations there are,” he said. “If we had 5,000 stores, there would be a smaller number than if we had 25,000 ... The vast majority of our owners are doing the right thing but some are not,” he added. Deluca also said that he thinks there are “a lot of first-time business people that enter into business in Subway, and they might not be as sophisticated in what to do.” He pointed out that Subway started partnering with the Department of Labor “maybe three or four years ago” to help educate its owners “on the right thing to do.”

Dairy Queen CEO chimes in, says people need a fair wage

Another CEO of a fast food company recently mentioned raising the federal minimum wage. The CEO of Dairy Queen, John Gainor, said in an interview with CNN earlier this month that, “People need to be paid a fair wage.” While he didn’t speak out in favor of raising the federal minimum wage to $10.10 an hour, he did say that low wages can encourage more turnover, and that is expensive for companies.

Some companies already pay more than the federal minimum wage of $7.25 an hour. Costco pays its employees $11 an hour, and last year CEO Craig Jelinek spoke out in favor of a bill that would raise the federal minimum wage to $11.50 an hour. While Gap, Inc. currently pays $9 an hour, it announced in February that it will increase the minimum hourly rate it pays its American employees to $10 an hour in 2015.

The majority of small business owners also favor raising the federal minimum wage, according to a survey conducted by Small Business Majority and published in March. The survey found that most small business owners support increasing the federal minimum wage to $10.10 an hour and adjusting it yearly to reflect the cost of living. The majority of small business owners surveyed (82 percent) do not pay any of their employees the current federal minimum wage of $7.25 an hour. Only 18 percent pay their employees the current federal minimum wage.

Photo: Dwight Burdette

Travel junkies (including yours truly) all know there is nothing quite like the rush of adrenaline that jump-starts the heart when you first step foot in a foreign land. New sights, sounds and smells flood the senses. Elation, apprehension and, more often than not, exasperation make up the emotional soup of the day.

At 9 percent of global GDP, the tourism industry is one of the largest in the world, contributing $6.6 trillion to the world economy and generating more than 260 million jobs. Despite continuing economic challenges, international tourist arrivals grew by 5 percent in 2013, and the United Nations World Tourism Organization (UNWTO) forecasts a 4 to 4.5 percent growth in 2014.

As rewarding as traveling may be for the traveler, this is not always the case for the communities where the traveler treads. There is a common misconception that simply spending money in a country benefits local communities -- but there indeed are profound, adverse social and environmental consequences.

With continuing growth in travel, there is increasing recognition among both travel professionals and consumers of the importance of responsible travel – travel that minimizes negative impacts, brings economic benefits to host communities, and preserves the cultural and natural resources of the destinations. Responsible travel also can be good for the bottom line.

According to the World Tourism Organization’s (UNWTO) 2012 Tourism in the Green Economy Report, tourist choices are increasingly influenced by sustainability considerations. Eco-tourism, nature, heritage, cultural and “soft adventure” tourism are predicted to grow rapidly over the next two decades, and global spending on ecotourism is expected to increase at a higher rate than the tourism industry as a whole.

So, what are the primary problems associated with travel? What are some solutions?

The problem: Adverse effects on local cultures

Interest in unique cultures often leads to communities being overrun by large numbers of visitors, commercialization of traditions and threats to cultural survival. Tourism destinations sometimes are constructed by outsiders in areas that indigenous communities consider to be theirs, and where the “development” was unwanted or not validated. The animosities this creates in the local community make it almost impossible to achieve cooperation and mutual benefits.

The solution: Authenticity

This is a tricky one. Similar to the observer effect in science (which refers to changes that the act of observation will make on a phenomenon being observed), the mere act of visiting an indigenous community is almost always going to have some kind of effect on it -- but these effects don’t always need to be negative. All-inclusive resorts typically strive to transform local environments to conform to tourists' comforts and tastes. What is the point of traveling to another country only to live like you would at home? Rather than buy into this traditional tourist paradigm, it’s better to strive for the most authentic travel experience. Embrace local culture, food and locally-run accommodations. A great place to start is to look into sustainable tourism agencies such as G Adventures.

The problem: Overwhelming waste and water systems, diminishing biodiversity

Tourists also put strains on local infrastructure and utilities, creating waste management and water consumption problems. In some locales, tourism puts pressure on already-diminished water resources and competes with other sectors, as well as subsistence needs of local populations. The discharge of untreated sewage or freshwater abstraction can harm water quality. Tourism also threatens biodiversity in many regions. Coral reefs, rainforests, coastal wetlands and mountain areas can all be harmed by large-scale tourism.

The solution: Sustainable development

Tourism companies and resorts should invest in the local communities in which they operate, working to improve local infrastructure and utilities. In doing this, they not only will improve quality of life for locals, but also protect their chief tourism draw: the environment. If the tourism industry allows pristine waters and lush forests to disappear, so will their customers.

The problem: Exacerbating climate change

The tourism industry’s reliance on fossil fuels has grave implications for greenhouse gas (GHG) emissions and climate change, especially as energy consumption grows in transport and accommodation. In tropical or arid regions, tourist accommodations suck up disproportionate quantities of energy for heating or cooling, lighting, cleaning, cooking and more; this simply is not sustainable.

The solution: Renewable energy, innovation

Travelers have a tendency to consume more energy per capita than an average person. International travel typically means jumping on a jet plane, which are some of the biggest GHG offenders. Hopefully, this will change as airlines look into alternative forms of jet fuel. Solar, wind and other forms of alternative energy, when combined with breakthroughs in energy efficiency, can also help reduce travelers’ carbon footprints.

An emerging form of travel called “experiential” tourism holds promise for solving many of the above ills. This type of travel encompasses eco-tourism, nature, heritage, cultural, soft adventure tourism, rural and community tourism. It also is one of the areas in the tourism sector expected to grow the most in the coming years, according to UNWTO.

Experiential tourism involves active participation by travelers in the experience and promotes activities that draw people outdoors, and into cultures and communities. It is personal and individual; experiential tourists seek memorable experiences above all else.

After all, isn’t that what travel is all about?

Photo Credit: Flickr Cuba Gallery

Based in San Francisco, Mike Hower is a writer, thinker and strategic communicator that revels in driving the conversation at the intersection of sustainability, social entrepreneurship, tech, politics and law. He has cultivated diverse experience working for the United States Congress in Washington, D.C., helping Silicon Valley startups with strategic communications and teaching in South America. Connect with him on LinkedIn or follow him on Twitter (@mikehower)

By Alexandra Stark

Forest Heroes, a group campaigning to prevent deforestation around the world, has urged Dunkin’ Donuts to adopt a responsible palm oil policy. Palm oil is primarily grown in Indonesia and Malaysia on land that has been deforested of ecologically rich rainforests – and it’s one of the primary ingredients in Dunkin’s doughnuts.

Because of deforestation for what the campaign calls “irresponsible palm oil,” there are fewer than 400 Sumatran tigers left in the world. That is why Forest Heroes organizers and volunteers gathered outside of Dunkin’ Donuts’ shareholder meeting a week ago, dressed in tiger ears and tails. They called on the company to commit to only using responsibly sourced palm oil.

Dunkin’ Donuts is currently working to develop just such a policy. At the shareholder meeting, company leaders assured the Forest Heroes advocates that they are working with the World Wildlife Fund to ensure that the new policy is strong, and noted that consumer interest in responsible palm oil sourcing is playing an important role in driving the company’s actions.

That’s good news for rainforests, but the details are important. Last year, Dunkin’ committed to only buying palm oil certified by the Roundtable on Sustainable Palm Oil (RSPO) by 2020.

“This commitment is too little, too late,” said Forest Heroes Campaign Director Deborah Lapidus. “Who knows if there will be any Sumatran tigers left by 2020 when it kicks in?  And even then, the RSPO sets a notoriously weak standard, with major loopholes that still allow for deforestation and draining of carbon-rich peatlands, and has insufficient mechanisms for enforcement.”

In a report released last year called Certifying Destruction, Greenpeace stated that: “RSPO certification is not protecting international household brands from the risk that the palm oil they use is tainted with deforestation. RSPO standards are not prohibiting deforestation and peatland destruction.”

World Wildlife Fund, a co-founder of RSPO, issued a formal letter in April 2013 stating that “because the review failed to accept strong, tough and clear performance standards … it is, unfortunately, no longer possible for producers or users of palm oil to ensure that they are acting responsibly simply by using Certified Sustainable Palm Oil.”

Forest Heroes also says that the timeline is important and is calling on Dunkin’ to require suppliers to sell only deforestation-free and exploitation-free palm oil by the end of 2015. More than 9.7 million hectares of rainforest have already been licensed for palm production in Malaysia, and the Indonesian government has announced plans to convert about 18 million more hectares of rainforest into palm plantations by 2020 to meet rapidly increasing global demand for the product. In a recent Nature study, researchers at Stanford and Yale found that emissions just from expansion of Indonesia’s palm oil industry in Borneo could top 558 million metric tons of carbon dioxide by 2020 – more than all of Canada’s fossil fuel emissions. In addition to the Sumatran tigers, such deforestation would threaten endangered orangutans, which are only found in Indonesia and Malaysia.

Aside from environmental concerns, the palm industry has also been associated with abusive labor practices. Some actors in the palm oil industry have been singled out for being “rife with human rights abuses.” According to an investigative report by Bloomberg Businessweek, there are thousands of child laborers and “workers who face dangerous and abusive conditions,” including bonded labor and human trafficking, currently working on palm oil plantations.

Forest Heroes has worked with other major companies to go deforestation- and exploitation-free. In December 2013 Wilmar, one of the world’s largest palm oil traders, announced that it would no longer source palm oil and other commodities from companies engaged in deforestation or human rights abuse, and this February Kellogg’s agreed to only source palm oil from companies that meet similar “No Deforestation, No Exploitation” criteria by the end of 2015.

Forest Heroes hopes that Dunkin’ will go beyond the weak standards of the RSPO and be the next major company to commit to truly responsible palm oil. “'America runs on Dunkin' – which means it’s that much more important for Dunkin’ to become a forest hero,” Lapidus said.

Image credit: Forest Heroes

 Alexandra Stark is a PhD student in Washington, DC. She is also a consultant for Catapult.

The old adage is true that everything is bigger in Texas. And now, so is tire recycling. Genan, the world’s leading tire recycling company, recently unveiled its $140 million state-of-the-art plant in northeast Houston earlier this month with plans to recycle 10 million tires each year. The 40-acre plant, the largest of its kind in the world, will employ 60 workers and divert nearly one-third of all used tires in Texas from landfills.

Genan currently operates four plants throughout Europe that recycle about 7 million tires each year. The company extracts and produces rubber granulate, rubber powder and steel from scrap tires for re-sale as synthetic turf installations, playgrounds and recreational facilities, sports tracks and grounds, asphalt roads, building products, flooring, injection molded products, industrial applications, noise insulation, and many other purposes and applications.

According to the U.S. Environmental Protection Agency, the U.S. generates about 290 million scrap tires each year. Roughly 45 percent are used as fuel, 20 percent are used in civil engineering projects, and 30 percent are converted into ground rubber and recycled into products. Genan’s Houston facility will serve as the company’s U.S. headquarters as the company seeks to expand its operations to include four sales and distribution plants across the U.S. in the future to capture 10 percent of the American recycled tire market.

Lars Raahauge, Genan's Director of Business Development, said:

"We are currently performing due diligence on a number of states across the country. Exact locations will depend on the long-term reliability of available tire supplies as well as a business setting, community support, and a legislative and regulatory approach that is compatible with Genan's environmentally and climate friendly tire recycling concept."

Construction on the Genan Houston building kicked off two years ago with the decision to place the factory in Houston due to the positive business climate, proximity and access to the second largest business port in the U.S., and the 39 percent energy reduction costs compared to its Denmark facilities.

The plant currently processes tires by removing the rubber, steel and textile materials that comprise the tire. The steel is sold to scrap companies, and the “near-virgin” rubber is used in asphalt products. Textile materials are burned and converted into energy. Genan's products have been utilized at the last two NFL Super Bowls and are currently in use across the country at a number of professional and college football facilities including the University of Texas at Austin and the New Orleans Saints turfs.

Within 24 months, the plant will be expanded to produce a line of very fine cryogenic rubber powder and a technologically unique devulcanization line for the production of rubber, which will be able to substitute virgin rubber compounds.

Image credit: GST HBK, via Wikimedia Commons

By Lewis Robinson

There is so much available on the Internet today to help small businesses and nonprofit organizations become successful. And in today’s society it’s almost necessary for a thriving organization to adopt existing technology. However, among these tools are a few that really stand out. Here are three viable options for any nonprofit.

1. Cinchcast

Cinchcast makes it much easier and more efficient to conduct conference calls on a large or small scale. Cinchcast consolidates webinars, conference calls and webcasts using a cloud-based system that cuts back drastically on associated costs. It's the way the different tools needed to conduct a live audio recording event are integrated into one user interface that makes this such a valuable, multifaceted tool for nonprofits.

• Conference call participants can ask and receive quick answers to questions that are all visible to the facilitator of the call on the Q&A Management Console.


• Most companies use a separate service provider to keep track of phone number and pin codes associated with a conference call. This is all available in plain sight on the conference bridge that the facilitator has direct access to at the click of a button.


• Audio clips are easily saved and organized for immediate access and easy referencing so there is no confusion about what has been discussed.


• Slide presentations that help the facilitator stay organized and keep track of the direction of the discussion can quickly be made, organized and customized to suit individual needs.


• Registration form customization, event scheduling and content publishing using a computer, iPhone app or phone are all made easy.

2. Salesforce

No matter the type of organization, it’s important to manage sales leads you generate through social media, inbound marketing, etc. Salesforce is a Customer Relations Management (CRM) application used by many businesses. Like many applications of this type, it makes use of what is called cloud computing. The term 'cloud' is basically a metaphor for the Internet. It describes computing that involves a large number of computers in use and the ability to run an application or program on every one of them at the same time.

Cloud computing security quality is oftentimes equal to or better than traditional computing security. This is due mainly to the ease of use of cloud based applications that give the user the time and revenue to focus on security issues. However, security issues can become more complicated when large amounts of information are transmitted over a wide area among large numbers of computers.

Salesforce gives an employer the ability to get more productivity from his or her staff without having to add new procedures. It provides social platforms for employees and marketers to stay in touch no matter where they might individually be at the time. Employers can monitor each employee's email conversation directly from their inbox to make sure these communications produce tangible results. The App Exchange on the Salesforce1 platform contains thousands of apps from independent software developers and marketers designed for productivity purposes, and the competitive pricing will allow nonprofit organizations to get the assistance they need without having to break the bank.

3. Ustream

Ustream is designed for producing what are called Web-Based Internet TV Stations. It's used by professionals of many types and financial backgrounds to broadcast their ideas in real time to a large or small audience.

• Ustream makes it easy to broadcast using a webcam and an Internet connection using the Ustream Web Broadcaster. Users can interact in real-time on social media platforms such as Facebook and Twitter. Broadcasts can also be saved and played again later for large or small audiences.


• A laptop or desktop with an Internet connection can be used for professional level live-streaming of presentations when using Ustream Video Producer. Multiple cameras can be used to capture the attention of the target audience using different camera angles and viewpoints. High-definition broadcasting is fully supported along with most of the necessary hardware and video playback options.


• Plenty of apps available for mobile phone allow users to broadcast from anywhere. Mobile broadcasting is supported for 3G, 4GLTE and WiFi smartphone systems.

About the author: Lewis Robinson is a freelance business consultant specializing in CRM and sales. He’s begun multiple corporations dealing with marketing and market research, and over the past 27 years has been recognized for his entrepreneurial advice and business insights.

Employee engagement in CSR activities can demonstrably improve job performance, new research from ESMT European School of Management and Technology maintains.

The study, published in the May 2014 issue of the American Marketing Association’s Journal of Marketing, finds that employees feel more connected with companies and customers when they engage in corporate social responsibility activities.
Environmental initiatives, charitable giving, and ethical business practices can all help employees by highlighting common values with both customers and the company, researchers found.

Citing programmes at companies such as CISCO, Starbucks and SAP, the authors recommend that managers encourage employees to talk about and develop shared experiences with customers around the company’s CSR activities as well as ensuring that company leaders take a visible role in enacting CSR.

CB Bhattacharya, Dean of International Relations at ESMT European School of Management and Technology, and E.ON Chair in Corporate Responsibility commented: “Companies rely on frontline employees − salespeople, customer service representatives, wait staff, account managers, and the like − to serve customers profitably. Yet, these employees often feel disconnected from both the company they work for and the customers they are expected to serve.

“The result of this study is yet more evidence that companies can generate substantial return on their CSR investment if they manage it wisely.”

More than 200 employees at a Global 500 financial services company took part in the study authored by CB Bhattacharya of ESMT European School of Management and Technology; Daniel Korschun of Drexel University; and Scott D. Swain of Clemson University.

Picture credit: © Svetlana Gucalo | Dreamstime.com
 

The secrecy surrounding thousands of subsidiaries created in tax havens by leading UK companies has created a black hole at the heart of the FTSE100, a new Christian Aid report has warned.

FTSEcrecy reveals an information void which, says the charity, threatens investors, customers and government regulators, because it leaves them without the facts they need to make good decisions about FTSE100 companies.

Christian Aid’s research found that FTSE100 companies have created 29,891 subsidiaries. But details of the subsidiaries’ turnover, assets, shareholder funds and number of employees are freely available in relation to only one-quarter (26 per cent) of them.

Such information is impossible to obtain, even for payment, in relation to a further 21 per cent of the subsidiaries (6,396 companies).

Data on the remaining 53 per cent of FTSE100 companies’ subsidiaries (more than 15,000) is available - but only on payment of a fee. These vary from the £1 that UK Companies House charges for annual reports and annual returns to more than US$10 per document permitted in some other jurisdictions.

Where information was not available from public authorities, Christian Aid found that it was sometimes available from fee-charging private databases of company information.

“We were shocked by how little information is freely available about most companies’ subsidiaries,” said Katharine Teague, co-author of the report, which reveals previously unpublished data about FTSE100 companies.

“What our findings show is that secrecy is not the exception but the norm, even among the largest 100 companies whose shares are traded on the London Stock Exchange.

“These are household-name firms in which millions of people invest, through their pension funds and savings. But the secrecy is so deep and widespread that it is like a blindfold on everyone who has financial dealings with these companies.”

The new research also highlights FTSE100 companies’ heavy use of tax havens. More than 90 per cent of their subsidiaries are based in places defined as ‘secrecy jurisdictions’ by the Financial Secrecy Index.

Almost half of those subsidiaries are in the UK (which is itself defined as ‘moderately secretive’). Of the remainder, 14 per cent are in ‘highly secretive’ tax havens such as Switzerland, Luxembourg, Hong Kong, Bermuda and the Cayman Islands.

Picture credit: © Roman Sakhno | Dreamstime.com
 

Submitted by Social Venture Network

Ethical fashion brand Sseko Designs is a “not-just-for profit” company that provides entrepreneurial training, employment and scholarships to women in East Africa. The company hires young women transitioning between high school and university in Uganda, pays them a fair income so they can afford to pay for their university tuition and then provides scholarships that match the women’s savings.

Founder Liz Forkin-Bohannon started the brand from one sandal – designed while she was still in college. Today she splits her time between Uganda and Portland, Oregon, where she and her husband Ben run Sseko Designs. As of 2014, Sseko sells sandals, handbags and scarves. Fergal Byrne catches up with the entrepreneur for Talkback.

Where did the idea for Sseko Designs come from?

When I was first in Uganda, I wanted to start a chicken farm –it was not a very well thought out idea. But I knew I really wanted to do something in Uganda and a friend suggested the idea of making sandals—I had designed some strappy, funky sandals while in college that everyone seemed to like. This was something I was familiar with, and could be sold to women in America. When we looked at the idea more closely, in terms of the raw materials needed, the skills required, we worked out that it would be a viable, if challenging, proposition.

You call Sseko Designs a “not just for profit” company. What does that mean?

We feel very committed to being a for-profit because we really believe that business can be one of the most powerful forces for positive change. Too often “not for profit” or “for-profit” end up being shorthand for organizations that either do good or don’t care. “Not just for profit” seems like a good way to describe an organization that cares about something big and is doing something good while making a profit to sustain its operations.

We often say: “no margin, no mission.”

If we are not selling products, not making money, we have no social mission: we can’t employ women, we certainly can’t give them scholarships to go to college and we don’t have a platform to talk about the issues we care about. For us making money and having a successful, healthy and thriving business is not counter to or competing with our mission but very much a part of it. Profit for us is about achieving something bigger than purely just making money for people at the top.

You focus on employing young women before they go to college, which means they can only work with you for a year or so…how does that work?

Yes, that’s right. That’s something we have learned to adapt to. We employ 19- and 20-year old women who have never had a real job before and have certainly never done anything in the production industry before. These are women that come and work for our company for nine months during their gap year, earn money and then go on to university. In the early years, we had a 100 percent employee turnover built into our business model, which caused a lot of problems.

In fact, they’re actually productive for maybe six months when you take into account the training and on-boarding and then, toward the end, they inevitably start to become much more focused on getting ready and preparing for going to school and the next season of their life, which is great. Now we have built a model that allows us to have a trained team of women who are full time workers that can invest in the younger women and can really provide that production and quality consistency. Building up our Ugandan staff management has been a huge challenge and also a big success over the last couple of the years.

What was it like to get a business off the ground with no business or fashion experience?

When I look back at my 22-year-old self, I just feel really tired. Of course, I was young and so unbelievably and incredibly idealistic about the world and about what we can do. My attitude at the time, which I still have to some degree, is that failure is not an option. I was just so committed to these young women; these relationships and this idea and seeing it come to fruition.

It was pretty challenging at the beginning. We were in a community that didn’t have an artisan trade and tradition of design. There was just no existing framework or understanding of this kind of work. The tools that we were using, the materials we were using, the end goal that we are trying to achieve were all new – and the women we were building our company on were temporary employees for all intents and purposes.

So in the first couple of years, a lot of challenges just came down to quality issues—in our production and with the raw materials that we were using. We were so small we didn’t really have a lot of say or sway with our raw materials providers so when quality issues came out, we had very little leverage. It’s hard to make really high quality products when we don’t have high quality ingredients.

How have the challenges changed as you have grown?

As our business grows and we focus on large-scale distribution and sales, retail and growing our e-commerce, our challenges have changed too. These growth challenges are definitely very different than the challenges of creation, which was more defined the first couple of years.

When you make mistakes in the beginning, no one knows who you are. There are no expectations when you’re a little start-up. The mistakes are also a lot less painful because you can just move on. Whereas now, with distribution all over the U.S., Australia, South Korea and so on, when something goes wrong or we have an issue with our production or delay, the implications are a lot bigger.

It’s critical to build a team as you grow.

You need to be clear about what you are good at and find people who are awesome to do the rest and let them run with it. I don’t want to be the bottleneck that keeps our company from growing and flourishing. So I have really focused on sharing decision-making and building a team that will take ownership and challenge me. While I have a pretty specific vision for the way I want things to go, it’s crucial to create a culture where questions can be asked­—the really hard questions—that might push and change and kind of mold your vision.

What is your vision for Sseko Designs?

My ultimate vision is for Sseko Designs to be completely run and operated by a Ugandan team – and that we would buy finished products from an awesome production company based in Uganda. And I have to say we’re pretty close to that.

We still have two American staff members, one that does design and one that does social impact programs development, but everything else from HR to procurement and our actual production management is managed by Ugandan staff which we’re just super proud of. They are awesome and they’re doing a great job of building this company and taking ownership in its success.

Related:

• The Resilient Social Entrepreneur: An Interview with a Chief Instigating Officer
• Reinventing Community Development with a Ball: An Interview with One World Futbol Cofounders Tim Jahnigen & Lisa Tarver

About the Author:

Fergal Byrne is a seasoned freelance journalist who has written for many years for The Financial Times and The Economist Intelligence Unit. You can hear Fergal’s interviews with inspiring social entrepreneurs and changemakers at www.inspiringsocialentrepreneurs.com.

About Social Venture Network:

Since 1987, Social Venture Network (SVN, www.svn.org) has been the leading network of entrepreneurs who are transforming the way the world does business. SVN connects the leaders of socially responsible enterprises to share wisdom and resources, form strategic alliances and explore new solutions that build a more just and sustainable economy.

By Maya Spaull, Fair Trade USA

Transforming the apparel industry is within our reach. By engaging in responsible sourcing practices that protect people and planet, a brand can communicate their values. This is an evolving conversation, accompanied by increasingly conscious consumers that are demanding to know how their clothing, footwear and accessories are produced.

So how does Fair Trade fit into the sustainable apparel dialogue, and what distinguishes it?

Perhaps best known for certification in coffee, Fair Trade is a market-based approach to improving the lives of farmers and workers, protecting the environment, and delivering quality and safety. At its core, Fair Trade puts people at the center of sustainability.

Whether on a farm or in a factory, participants must adhere to rigorous standards, covering areas such as safe working conditions, grievance procedures, freedom from harassment, regulated work hours, absence of child labor, freedom of association, and environmental best practices.

As Fair Trade USA and our partners collaborate to apply this model to global apparel, footwear and accessories production, here are five unique attributes to consider:

1. Fair Trade delivers more money to the people who produce your clothing

The apparel industry has a long and infamous history of labor abuse and often fatal tragedies, particularly in factory settings. One of these abuses is abysmally low pay, resulting in a situation where workers and cotton farmers receive only a tiny fraction of the final cost of a garment, further exacerbating conditions of extreme poverty.

Fair Trade aims to help individuals, specifically at the most labor intensive points in the supply chain, retain more value and improve their lives. In addition to regional wage and price requirements, as covered in the Fair Trade standards, farmers and workers earn an additional Fair Trade financial premium to invest in their communities. This is typically around 5 percent of the manufactured price of a garment.

Distribution of the Fair Trade premium results in tangible change in the local community, including building schools, improved access to healthcare and distributing cash bonuses for household expenses.

2. Empowerment and equal rights are at the heart of Fair Trade, with an emphasis on supporting women

Another aim of Fair Trade is to put farmers and workers in the driver's seat, and help them achieve a voice and position of power in the workplace. One way this happens is through the formation of a Fair Trade committee, which is democratically elected and is responsible for the management of the Fair Trade premium. Individuals also receive a series of trainings, are informed about grievance procedures and about their right to organize.

Protecting and creating new opportunities for women is also critical. With equal pay and equal rights at the forefront, Fair Trade mandates specific standards covering maternity leave, healthcare and freedom from harassment (sexual and otherwise). We’ve also seen women use additional premiums to invest in new business opportunities, like starting a small store, to further support their families.

3. You’re not just improving lives, you’re protecting the environment

At a farm level, Fair Trade environmental standards address things like proper waste disposal, water runoff, chemical use and GMOs. Similarly, to earn Fair Trade certification, a factory must develop a robust environmental management plan. This specifically means they must set targets and track progress in reducing water, waste and energy usage.

4. In Fair Trade certified factories, worker satisfaction is high and turnover is low

Everyone wants to feel supported, empowered and be fairly compensated in the workplace. In Fair Trade factories across the globe, retention rates are higher than average. During the manufacturing process when employees proudly affix the Fair Trade label to each product, they know which brands are committed to Fair Trade and to delivering direct financial benefits to their families via Fair Trade premiums.

5. You can find Fair Trade certified clothing, footwear and accessories NOW!

Just a few years ago, the idea of a Fair Trade wardrobe was a distant dream. However, the option to choose clothes that are stylish, well made AND align with your values is growing. Check out these amazing brands that are working hard to redefine what it means to do “good business.” In 2014, you’ll see:

• PrAna: A pioneering Fair Trade USA brand partner that continues to introduce new styles such as the Ellie Top and Dahlia Skirt


• Oliberté: Men’s and women’s shoes made in the world’s first Fair Trade Certified footwear factory in Ethiopia


• Patagonia: Launching 10 Fair Trade Certified styles in Fall 2014


• PACT: Launching women’s and men’s apparel and the first Fair Trade USA certified baby gear


• Mountain Equipment Co-op: Launching their first Fair Trade Certified line of T-shirts in 2014


• Hae Now: Offering Fair Trade T-shirts


• Indigenous Designs: Labeling and promoting the Fair Trade Certified Aerial Poncho


• Under the Canopy: Launched the world’s first Fair Trade Certified robe, now available at Bed, Bath & Beyond

Please join us in supporting these brands, and applaud them for their commitment to social and environmental sustainability. It’s also time to inspire and enroll the companies who have yet to take a significant step forward in creating more transparent, ethical supply chains. If we want to eliminate tragedies like the Rana Plaza factory collapse, we must commit to purchasing products that ensure farmers and workers are seen as living participants instead of nameless, faceless, replaceable masses. Now is the time for investing in a new future for sustainable apparel.

Image credit: Fair Trade USA

Maya Spaull is Director of New Category Innovation for Fair Trade USA.