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How the Internet of Things is Pivoting Manufacturers into Service Providers

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By Jennifer Tuohy

Do you know the name of the company that made your doorbell?

If not, you’re pretty typical: Many homeowners make a single purchase from a manufacturer and never return to buy updated models, instead moving on to another vendor or even another product. Industry insiders call it “one and done” – but the age of the smart home is turning this concept on its head.

Nowadays, baked-in Internet connectivity enables everything from your smart thermostat to your smart doorbell to upload new features “over the air.” Thanks to the Internet of Things (IoT), one-and-done now means purchasing one product that gets better the longer a consumer has it.

It’s a positive new spin on a perennial customer-loyalty problem, but it's one that poses some unique challenges.

Now, manufacturers must plan to continue to work on products, offering improvements and enhancements that can be delivered after the product leaves the loading dock. But this comes with a new responsibility for manufacturers: service and support. Manufacturers will need to be involved in the entire lifecycle of the product, not just its birth. Are they up to the challenge?

The start of a beautiful new relationship


The ability to improve a product after it is in the consumer’s hands is the key for manufacturers looking to unlock the promise of IoT. Building sensors and Internet connectivity into a product are just the beginning. What truly makes a product smart is the ability for it to develop intelligence — to learn and improve. It can either do this on its own through learning algorithms, or through after-market manufacturer input that improves the product with updates based on feedback from sensors and the users.

This new model is a reversal of the consumer-adverse process of making the initial product cheap, then increasing the price of the products needed to keep it functional (think: printers and ink or razors and blades). It hits on two of the core goals businesses should be striving for in today's market space:


  1. Increased profits. By providing an Internet connection, a manufacturer can reach into a product after it’s left the loading dock and fix any issues before they become bigger problems. As any company that has ever dealt with a recall knows, this ability will save millions of dollars. “A big part of the IoT’s power comes in its ability to help businesses operate proactively instead of reactively; it essentially addresses problems before they’ve become problems,” wrote Tom Chapman in this post for TriplePundit.

  1. Keeping Customers Happy. The after-market value IoT can facilitate is almost limitless. By continuously adding value to its products, a manufacturer can transform its relationship with the consumer, creating brand loyalty that will extend to future purchases. For example, Nest Learning Thermostat debuted as a simple smart thermostat in 2011. It learned your routines and programmed itself for you, removing what was once a major pain for consumers.

Four years later, the Nest thermostat is the closest thing a smart home has to sentient brain. A Nest, whether it was bought in 2011 or 2015, can not only control the climate without input from the homeowner, but it can also control compatible lights: turning them on when it senses you are home and off when it senses you are away. It can activate Nest's compatible security camera to record when you leave the house, and shut down the HVAC system when its compatible Nest Protect detector senses smoke or carbon monoxide.

None of these features were a part of the original launch of the product, but now any Nest owner can benefit from them. Nest also works with other manufacturer's products through its Works With Nest program, further extending its value to the consumer.

The new challenge: Service and support


Of course, this possibility of ongoing iteration presents a new challenge for manufacturers: No longer can a company simply manufacture the best doorbell engineering can produce and move on to the next model. The introduction of something changeable to a product, in this case connected “smarts,” necessitates a service to go with it. Whether that service is simply support for the product, or whether it develops into an entire ecosystem that includes monthly fees (as Nest does with its cloud-based video recording for the Nest Cam), is a complicated choice. But in either case, the pivot to providing service and support with the product, while initially costly, will reap huge benefits.

For many Kickstarter-born or Silicon Valley startup products, support and the manufacturer go hand-in-hand, but for larger, more established manufacturers with legacy systems to circumnavigate, the pivot to becoming a service company poses a logistical challenge. Putting smarts into your product and then not providing support to back it up will, in the age of online customer reviews and Twitter, ensure a swift and brutal end to a product's lifecycle.

Better for the consumer, better for business


So, what are the benefits? The combination of data received through an IoT product and feedback through the service/support loop is incredibly valuable. After all, data is the currency of the new millennium. How that data is put to use will vary for each product, but first and foremost it can and should be used to inform product development, whether the product is already in the hands of consumers or still to come.

Take the example of Ring’s Video Doorbell. The product was originally envisioned as a simple way to remotely communicate with whomever was at your front door. In an interview with TechCrunch, Ring's founder and CEO, Jamie Siminoff, said the company learned from early customers that many were finding strangers coming up to their front doors and ringing the doorbell, then leaving when it was answered. This led the company to pivot from a simple connected doorbell to a full-featured security product, complete with motion alerts and motion-sensing recording, so that the doorbell doesn’t even need to be pressed for the video to start recording. That video is then stored in the cloud, accessible anytime by the user for a monthly service fee.

The iteration didn’t end there. Today, customers who purchased a Ring doorbell can have it unlock their front door, too, if they have a compatible smart door lock. Further integrations within the home are planned for Ring, meaning that while a $200 doorbell sounds like an extravagance, its current and future capabilities could one day save your home.

Service as a product


As manufacturers grapple with the changes IoT is bringing to their business, keeping the concept of service and support as a product foremost in the development process will serve them well. As we've seen, the benefit of a closer relationship with the customer will help produce products the consumer wants, driving up profits and minimizing the impact costly manufacturing mistakes have on the planet.

Image: Stock image

Jennifer Tuohy is a tech enthusiast who is fascinated with Internet of Things smart products and the future possibilities they hold. She provides interesting insight on what IoT means for manufacturers.  To see a full line of smart home product, visit www.homedepot.com.

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Fund for Teachers Grant Inspires Water Study in India, Engagement in Class

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By Marina Outwater

I started the school year teaching my seventh-grade students how to write an effective argumentative essay using the controversial topic of bottled water. The students conducted extensive research about the pros and cons of drinking tap or bottled water, participated in a “blind” taste test, and argued passionately about a seemingly straightforward topic that directly relates to their lives.

As we watched a video from The Story of Stuff, my students grew deeply affected by the statement that most of our water bottles actually end up in huge garbage dumps in India. This international aspect of the issue seemed to capture their interest more than anything else in the unit. They wanted to see photographs of the garbage dumps and learn about the families who live amidst the refuse. They wanted to read about the children who collect these bottles in order to refill them with unsafe tap water to sell on the streets for a few rupees. Suddenly, it became apparent that the issue was no longer just about their personal choice; it was about a much larger problem involving pollution, access to clean water, sustainability and so much more.

So, I designed, applied for and received a teacher grant last summer from Fund for Teachers to investigate the water crisis in India, one of the most populated countries in the world, to establish an inquiry-based, interdisciplinary unit, and to inspire students to be active agents of change.


Although I went to India to investigate the water crisis, I returned home with an entirely new way of thinking about life.


  • Riding the Rajshree Sugar Company’s training bus with 11 female farmers intent on learning how to use a drip-irrigation system made me realize how important sustainable agricultural practices are.

  • Visiting a dry-waste collection facility in which a woman was sorting through unsegregated garbage with her baby strapped to her front made me stop to think about the amount of garbage I produce on a daily basis and where it actually goes.

  • Watching people bathe in the Ganges despite the astounding amount of garbage floating by made me question how it is possible to protect our environment and still maintain important cultural and religious traditions.

  • Traveling through the awe-inspiring Spiti Valley to witness how people live in such inhospitable conditions with little water made me appreciate the ease and convenience of my daily life.


My fellowship began in southern India where I spent 10 days visiting sugarcane growing areas in partnership with Solidaridad, an NGO that has implemented a water conservation project in eight sugar mill-command areas in Tamil Nadu. I interacted extensively with farmers and met village panchayats, mill owners and local government representatives. This helped me gather information to answer the essential question about how social and ecological systems can co-exist in a sustainable manner.

In nearby Bangalore, I took the Trash Trail tour, a nine-hour expedition to explore the massive Mandurgarbage dump, trash-transfer depots, and the “informal” garbage sector where thousands of people find, sort and recycle garbage. This one-of-a-kind tour served to enrich the bottled water argumentative essay portion of my curriculum.

From there, I flew to New Delhi and took the train to Varanasi, where I spent five days exploring life along the Ganges River in order to understand why it is so sacred yet so polluted. (Every minute, 300,000 gallons of raw sewage is dumped into the Ganges, estimates the World Watch Institute.) I met an impassioned individual involved with the cleanup efforts. I also visited Mehdiganj, a nearby village, whose groundwater wells dried up (thus causing crop yields to diminish) after the arrival of a Coca-Cola plant. Again, I conducted interviews and sought to understand how human decision-making can negatively impact the environment.

After returning to New Delhi, I traveled north to the Spiti valley, which lies in the Trans-Himalayan belt.Through Ecosphere, a social enterprise focused on conservation, I created a customized itinerary of 10 days volunteering in remote highland villages. During two homestays, I farmed, herded and completed household chores, including the arduous task of collecting water. This unique opportunity allowed me to understand how difficult it is to live at such high altitude with very little water. Comparing this region of India to the other regions also helped me fully respond to the essential question about how India’s diverse natural environment affects its people. As I trekked from one village to the next, I observed the fragile ecology and took note of the special ways in which people interacted with their environment.

Click here for a video about another world water-themed teacher grant - Kevin Denton (Fort Collins, Colorado) designed his Fund for Teachers fellowship to research the lack of clean drinking water in Rwanda, resulting in a "Walk to the Water" student fundraiser.


As a result of this teacher grant, I now serve as a role model, inspiring my students to engage in civic action. I created five case studies that include photographs, personal journal entries and relevant newspaper articles. Since they have never used case studies before, this will give them the chance to research and then create meaning from the real world.

High-school students enrolled in a Contemporary World Issues class will also use my case studies; I will visit their class as a guest speaker. Students will move away from a textbook-centered curriculum and engage in real-world situations as a result of my participation in this Fund For Teachers fellowship.

Although water scarcity and pollution is a harsh reality for many people around the world, it is just an abstract concept for most American children, especially my Language Arts students from a suburban public middle school in Connecticut. Through my investigation of the topic, I’m better prepared to teach my students about this multi-faceted global crisis. I want to engage my students in real-life problems; I want them to become true global citizens who can make a meaningful difference. Compassion and curiosity fuel me, and I want my students to be compelled to stand up and be counted in this world. I intend to create conservationists, innovators, and advocates out of each and every one of my students. As Mother Theresa said, “I alone cannot change the world, but I can cast a stone across the waters to create many ripples.”


It is rare nowadays for teachers to be rewarded for an interest in professional development. Often, schools do not have the money to provide teacher grants; professional development tends to be one day conferences or workshops during the school year and are usually devoted to dry, mundane topics. To be given the opportunity to grow professionally and personally during the summer with through this teacher grant has been life-changing. I can’t walk down the street now without thinking about the hard-working sugar cane farmers in Tamil Nadu or the inspiring teenage monks in the Ki monastery. Not a day goes by that I don’t think about the laundry men of Varanasi or the village leader in Mehdiganj who is fighting to keep the hand pumps in his community from drying up.

After this experience, my teaching will certainly evolve because I will teach with much more meaning and purpose. I also expect my students to take a greater interest in serving the common good, and I will make this a priority in their assignments. I have transformed as a result of this Fund For Teachers grant, and I can’t thank the donors enough.

Images courtesy of the author

Marina Outwater is currently a seventh grade Language Arts and Reading teacher at Long River Middle School in Prospect, Connecticut. She is one of 487 preK-12 teachers awarded Fund for Teachers grants for self-designed professional development in the summer. For more information visit fundforteachers.org and read about additional Fund for Teachers grant recipients' work on the organization's blog.

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Gap Wants To Halve Its Greenhouse Gas Emissions By 2020

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Gap, Inc. just set an ambitious climate change target: The clothing retailer wants to cut its absolute greenhouse gas emissions in half by the end of 2020, using last year as a baseline. Reduction efforts will occur at all of its owned and operated facilities around the world.

For a major global clothing retailer with 2014 net sales totaling $16.4 billion, that is a goal that is commendable. Consider that Gap’s products are sold in over 90 countries through 3,330 company-owned stores and more than 400 franchise stores, plus online sites.

The goal, announced as part of the company's latest sustainability report, builds on past efforts. Gap achieved and then exceeded its previous goal to reduce GHG emissions across its U.S. operations by 20 percent by 2015, compared to a 2008 baseline. The company reported that it reduced GHG emissions by 33 percent between 2008 and the end of last year.

Gap first set a GHG-reduction goal in 2003 with an 11 percent reduction in energy use per square foot across its U.S. operations. It was a goal the retailer also exceeded with a 20 percent reduction.

One way that Gap has managed to continually exceed GHG goals is by installing LED lighting and smart thermostats. Lighting is, of course, required for its stores and distribution centers to function, and LED lights use 80 percent less energy than conventional lights. Plus, they last five to 10 times longer, are much brighter, and pay for themselves in two to three years.

Gap has already installed LED lights at more than 30 percent of its U.S. stores, and the switch is paying dividends. For example, at its distribution center in Fresno, California, the company found 90 improvement opportunities and reduced energy use by 17 percent and operating costs by 30 percent. The company has also converted all of its U.K. and Japanese stores to LED lighting, and its stores in China used energy-efficient lighting from the beginning.

In addition to setting an ambitious GHG reduction goal, Gap wants “meaningful energy and climate change legislation” to be passed, it states in the report. To that end, the company is “actively engaged" with Ceres, the nonprofit organization that works with businesses to build a sustainable economy. Gap is a member of Ceres’ Business for Innovative Climate and Energy Policy (BICEP) coalition, a group of more than 20 public and private companies that want to pass climate legislation. Other companies in BICEP include Nike, Levi Strauss, Starbucks and eBay.

Lighting and shipping are big areas for GHG reductions

Gap has another lofty goal to divert 80 percent of the waste from its U.S. facilities away from local landfills by 2020. In 2014, the company only diverted 29 percent of the waste produced by its U.S. stores. However, this new goal is the the first time the company has "set a goal on such a broad scale," and it says in the report that it is "still exploring potential solutions.” The retailer goes on to say it is looking at a “range of possible solutions” that include partnering with landlords and other retail tenants in malls to create solutions to consolidate recyclable materials in a central location. It is also looking at ways to reduce packaging weight and even change the product materials themselves to decrease overall waste volume or allow for greater recycling.

Shipping represents another unsung area, like lighting, in which Gap was able to realize the big improvements that allowed it to meet its GHG targets. In 2011, Gap joined the SmartWay Shipper Program, a voluntary program that brings together carriers, freight shippers and logistic companies to improve fuel efficiency. Gap is a certified SmartWay shipping partner in the U.S. and became a Canadian SmartWay partner in 2013. It set a goal to increase the amount of freight it ships by SmartWay carriers by 5 percent every year, and it was acknowledged as a semi-finalist in the SmartWay Excellence Awards for three years, from 2012 to 2014.

Photo: Flickr/Mike Mozart

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4 Food and Beverage Packaging Trends to Watch For in 2016

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By Elisabeth Comere

For the food and beverage industry, 2015 was a year of bold commitments. So, as we look to the year ahead, what will 2016 bring?

With the 2-degree Celsius threshold looming and the world’s population continuing to climb, both government and corporate sectors are grappling with the possibility of more frequent natural disasters and increased food, water and resource shortages.  It’s not a rosy picture, and we can expect all sectors to work against the clock to help bring the climate back into balance in the years ahead.

Food and beverage companies are no exception.  They are a large contributor to climate change, and this poses great risks to their operations.  They realize changes are needed across the value chain in order to meet the challenges of a changing climate coupled with growing consumer demand and resource scarcity.

In 2016, food and beverage leaders will continue to invest in solutions that not only maximize the value of resources but simultaneously reduce their carbon footprint.  How will this influence the packaging industry?  Here are four major trends driving packaging solutions.

1. Basic functions: Package light-weighting remains a major trend in the industry and a key driver for reducing the use of raw materials and the carbon footprint of a package. Several large brand owners have made ambitious commitments in this area and have set specific goals to reduce packaging at the input stage. We can expect smaller and medium brands to follow this trend in the future. Consequently, phasing out heavier materials and substituting it with lighter alternatives will be the focus.

2. Value-add: Whether it is the results of COP21 calling to reduce our dependency on fossil fuel-based resources or an increased market pressure forcing brand-owners to further differentiate from one another, we see a gradual shift and growth of bio-based/plant-based plastic on the marketplace (see new plant-based alternatives). The environmental profile of packaging is increasingly being used as a competitive tool to drive preference and sales. The shift from petrochemical to renewable feedstock is part of the overall effort to bring new innovative and environmentally friendly solutions to give brands that competitive edge.

3. Communicate value of sustainability: Sustainability is a key product attribute and a competitive sales asset increasingly influencing consumer decisions, so in 2016 we will see more labels and campaigns promoting products' environmental benefits (e.g. GMO-free, plant-based, FSC-certified, recyclable, etc.).

4. Transparency within a supply chain and chain of custody: Similar to last year, transparency within supply chains continues to play a major role from resource extraction to point-of-sale as sustainability is pushed to the forefront of business agendas. In addition to transparency within the supply chain, the chain of custody must have traceability systems in place like third-party management and chain-of-custody certification. These systems are meant to track the materials flow from one supplier to another.

Their vision is clear and their ambition is strong. Brand owners are looking for quality packaging that can rise their sustainability profile. Together as an industry, we must be prepared to innovate and provide solutions that can live up to a new and much higher bar of corporate responsibility because building a strong supply chain today means conserving our natural habitat and resources for years to come.

Image: Stock image

Elisabeth Comere is Director of Environment & Government Affairs for Tetra Pak Inc.

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APCRG launches Responsible Business Champions 2016

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The All-Party Parliamentary Corporate Responsibility Group (APCRG) in the UK has launched its 2016 National Responsible Business Champions award.

The Co-Chairs of the Group Baroness (Sally) Greengross and Jonathan Djanogly MP have written to all MPs inviting them to nominate companies as their Constituency Responsible Business Champions.

Only MPs can nominate companies as their Constituency Responsible Business Champions, which distinguishes this scheme from other business awards.

In selecting this year's champion, the judging panel will be looking for companies which are addressing a range of issues including supporting the local community; investing in healthy workplaces; offering apprenticeships and training to all age groups and promoting equality and diversity in the workplace.

Baroness Greengross commented: “I am delighted that the criteria that will be used this year by our Parliamentary judging panel to select the APCRG National Responsible Business Champion complements the Government’s Fuller Working Lives agenda.

"These are issues that have been dear to my heart for many years. It is important that our workplaces reflect the diversity in our nation and make best use of the talents of all our people – including older people – if we are to achieve the success of which British companies are capable."

The APCRG Responsible Business Champion scheme is being supported by National Grid, one of the first Associate members of the APCRG and Business in the Community’s Responsible Business of the Year 2014/15. 

Further information about the scheme is available here.  
 

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What Does It Mean To Be a Truly Diverse Company?

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Diversity is a big topic these days. Whether it is the growing awareness of the stunning lack of diversity in the tech industry, the controversy over the all-white Oscar acting nominations, or how few women hold high-level positions either in business or in government, there is a realization that if we want to create a true, merit-oriented, progressive and inclusive society, we have to ensure that diversity is at the center of nearly every decision.

For companies, it is increasingly becoming a financial question as well. The backlash that companies face for weak policies with regards to diversity -- alongside the mounting evidence that diversity can actually increase profits and result in better organizational decision-making -- is making it clearer, day-by-day, that the companies that will succeed in the 21st century will be the ones that take diversity seriously.

"Becoming an inclusive organization requires a commitment to long-term organizational culture change," said Judith Y. Weisinger, a PhD and associate professor of business, formerly of Mills College in Oakland. "This not only requires effective leadership for diversity and inclusion, but also involves skills-building such as teamwork, communication, leadership development, inclusive decision-making."

Here's the problem: While there is widespread recognition that we need diversity, there is far less agreement on what being diverse actually means. For far too many organizations, it means tokenism: A person of color, or a female, is put in a position as a symbol, but the organizational culture remains the same. This is something we see in advertising all the time, where images of one person of each major ethnic group smiling together is seem as a symbol of diversity.

"It is very difficult to judge, from an external perspective, how well an organization is actually living up to its diversity values and promises," Weisinger told 3p.

This can manifest itself in many ways. For example, we recently saw at Apple that official diversity statistics initially show a relatively high number of African-American and Hispanic employees -- until you realize that this includes low-wage retail positions. Remove those and look at only the tech and executive positions, and Apple becomes overwhelmingly white and male. Instead of tackling this head-on, Apple refused to accept a proposal to speed up diversifying its board – showing a clear lack of commitment to becoming a truly diverse company.

It is tokenism to hire minorities and women for any position just to showcase diversity. It is inclusive diversity to ensure they have the same opportunities to hold leadership positions as any other employees.

"Ultimately, I believe that cultural change around diversity and inclusion is a relational process," Weisinger said. "That is, fostering an environment where diverse employees of all sorts can effectively interact and learn from each other in an effort to enhance the organization and develop themselves is the way to make an organization truly inclusive."

What we need is a move beyond the buzzword diversity, toward creating truly inclusive companies that are not only welcoming to underrepresented minorities and women, but also focus on working within the communities in which they do business. Without a commitment to education and better opportunities for people at the earliest stages of life, there can not be more diversity at the top.

Thus, diversity is more than just hiring the right people. It's changing your culture, working with communities, and creating an inclusive space both within and outside your organization. And it's not impossible – some companies have done it. Home Depot is one example. African-American female programmer Erica Joy cited the company as a rare example of inclusivity in her journey through mostly white, male-dominated tech workspaces.

Unfortunately for Joy, Home Depot was an exception, not the norm, as, especially in the tech industry, she found herself surrounded by white males to whom she had to adapt her behavior to fit in. She recounts the toll this took on her mental health and overall happiness in a moving and eye-opening editorial piece.

"I am not my industry or its stereotypes. I am a black woman who happens to work in the tech industry. I don’t need to change to fit within my industry. My industry needs to change to make everyone feel included and accepted," Joy wrote.

It's time for diversity to move beyond its current role as a marketing buzzword, and into the space of real commitments for a much wider range of companies. The companies that make these steps will thrive, while the ones that don't will find themselves subject to more consumer criticism, and, in the end, fewer business opportunities. Companies can't hide behind token diversity anymore. True inclusion and long-term thinking are the only ways forward.

Image credit: Alex Tan/Death to the Stock Photo

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California Attorney General to Investigate ExxonMobil

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ExxonMobil, the largest U.S. oil and gas company, had better watch out. California Attorney General Kamala D. Harris recently launched an investigation into the company. The reason is simple: ExxonMobil failed to report climate change risks to shareholders and lied to the public about those risks. The Los Angeles Times reported that Exxon’s failures to disclose could “amount to securities fraud and violations of environmental laws.”

California is not the only state to investigate ExxonMobil. In November, New York Attorney General Eric Schneiderman launched an investigation into the company to determine if it lied to the public or investors about climate change risks. The state’s investigation is focused on statements Exxon made to investors, the New York Times reported

Reports by various media outlets, including Inside Climate News and the Los Angeles Times, reveal that Exxon incorporated climate change into its plans and practices in the 1980s and 1990s, while publicly casting doubt on climate science. The Inside Climate News report details a shady company that researched climate-related risks starting in the late 1970s and through most of the 1980s, but didn’t inform the public or its investors.

In 1977, a senior company scientist spoke to oilmen at Exxon’s headquarters. The scientist, James F. Black, said: “In the first place, there is general scientific agreement that the most likely manner in which mankind is influencing the global climate is through carbon dioxide release from the burning of fossil fuels.”

Exxon’s response to Black’s warning was to launch its own research into carbon dioxide emissions from fossil fuels. In 1979, Exxon “outfitted a supertanker with custom-made instruments,” Inside Climate News reports. The supertanker, which it spent over $1 million on for over three years, sampled carbon in the air and ocean as it made its way from the Gulf of Mexico to the Persian Gulf. A year later, the company put together a team that investigated carbon emissions and their effect on the climate.

In 1982, Exxon wrote a corporate primer on climate change and carbon emissions. In the primer, the company said dealing with climate change “would require major reductions in fossil fuel combustion,” Inside Climate News reported. If that didn’t happen “there are some potentially catastrophic events that must be considered,” the primer stated. Exxon published its results in the Journal of the Atmospheric Sciences and an American Geophysical Union monograph.

Climate science expert James Hansen testified about climate change before Congress in 1988. After that, Exxon began to fund groups that cast doubt on climate change science and was a founding member of the Global Climate Coalition, a group of mostly U.S. businesses that oppose government action to reduce greenhouse gas emissions. A Los Angeles Times investigation found that Exxon gave over $15 million to organizations that cast doubts on climate change from 1998 to 2005. But it wasn't until 2007 that the company disclosed climate change risks to its shareholders for the first time.

Edward Garvey worked as a scientist from 1978 to 1982 on Exxon’s carbon emissions projects. “There was no questioning that carbon dioxide in the atmosphere was increasing” and it would have impacts on the climate, he told "Frontline." He said that at the time Exxon saw an opportunity to lead, and if they had continued in that role there might not be as much climate change denial going on now.

What Exxon’s website says about its actions concerning climate change is in sharp contrast to the various media reports. “ExxonMobil scientists have undertaken climate change research and related policy analysis for 25 years and their work has produced more than 40 papers in peer-reviewed literature,” the company states. What is conveniently left out is the years the company spent funding organizations that marketed climate change denial and the lack of disclosure to shareholders of climate risks until only a few years ago.

Image credit: Flickr/Mike Mozart

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Coming Together to Tackle Deforestation in Peru

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Of the 104 types of weather and climate patterns seen on Earth, 48 can be found in Peru, said Del Miro Portillo, who serves as a lead guide for REI Adventures’ lodge-to-lodge treks through the Peruvian Andes. At nearly 15,000 feet above sea level, the highland regions surrounding Peru's Mount Salkantay are also home to the most elevated forests in the world. But locals say these forests are under threat.

Sadly, deforestation is nothing new in Peru. By 2014, between 8.9 million and 10.5 million hectares of Peru’s forests had been lost, or approximately 11.3 to 13.4 percent of the original forest area, according to a 2015 report from the Forest People's Program and the Interethnic Association for the Development of the Peruvian Amazon (AIDESEP). Roberto Espinoza Llanos of AIDESEP spoke to the problem of deforestation in Peru during a breakout session at the COP21 climate talks in Paris last month. If deforestation is not addressed, he warned, "Peru could become the new Malaysia."

A snapshot of forest loss in Peru's Sacred Valley


The root causes of deforestation in the region range from illegal mining and logging to government-backed efforts to expand roadways and other infrastructure. But around Mount Salkantay, located in the Mollepata district of Cusco, the drivers of deforestation are most often the locals themselves, experts told me when I visited Peru in November.

Some residents clear forests to make space for livestock-grazing or agriculture, but the primary cause of forest loss in the highlands is fire, as it is customary for local farmers to set fire to their land between growing seasons. The practice dates back to the Incan and pre-Incan societies that once called the Andes home, and it's also used widely in the West -- where forestry groups like the U.S. Forest Service call it a prescribed burn. But, as dry seasons extend in the highlands due to climate change, fires can quickly burn out of control and locals are often powerless to stop them.

"Sometimes they try to burn one hectare, but the fire goes out of control and they burn a whole mountain. That is very common," said Miguel Luza Victorio, chief of environmental services for Mountain Lodges of Peru, a locally-owned company that leads treks through the highlands to Machu Picchu. "In the past two months, every mountain in this area was burned."

This reality necessitates not only an earnest reforestation effort, but also a widespread educational campaign to teach residents how to properly manage their land, Victorio said. With this in mind, REI Adventures, Mountain Lodges of Peru and its associated nonprofit, Yanapana Peru, are spearheading a unique reforestation program Mollepata.

Over the last three months of 2015, the partners constructed a greenhouse in the district -- where local biologists and students will grow native seedlings to reforest nearly 250 acres (100 hectares) of damaged Andean forest. By 2018, 100,000 seedlings will be planted in the region.

A unique take on reforestation


The people of Peru are deeply passionate about preserving their environment and way of life. So, just as deforestation is common in Cusco and Peru's Sacred Valley, reforestation programs are also prevalent. But, despite the good intentions of local governments and community groups, many of these programs unintentionally miss the mark when it comes to true environmental restoration, said Nicolas Chirinos Pastor, head of project development for Mountain Lodges of Peru.

"We have a lot of reforestation projects here in Cusco, but they are all done with occidental seedlings like pine and eucalyptus," Pastor told 3p. "The difference in our project is we are going to reforest with all native species."

To understand why this matters, let's look at water and erosion as an example. Home to 3,000 people, Mollepata is dangerously close to running out of water, and erosion on the Rio Blanco River further degrades the quality of the water that is available. Reforestation can solve both of these problems by reducing erosion and increasing groundwater reserves. But reforesting an area using non-native species can diminish, if not eliminate, these benefits. Eucalyptus, for example, though fast-growing and great for wood, can suck up 25 times more water than a native tree when planted in Andean soils, Pastor said.

"People are not conscious," he told 3p. "They just think: 'Reforestation, so pine, pine, wood, wood. Faster growing. Better results.' But they do not know the damage they are doing. One of the things we are trying to show is that we have to reforest but with native species."

Since plant stores aren't an option in the highlands, a group of biologists led by Victorio trekked up and down Mount Salkantay to gather native seeds by hand. The stockpile of seeds, compiled after several months of work, will be germinated in the greenhouse for planting in the fall of next year, to coincide with the region's growing seasons, Victorio and Pastor said. Victorio's team has already mapped out the entire region to determine which species will perform best in each location.

"This is a seed project," Victorio said with a hint of irony. "It's a small project. For reforestation, we need a lot of money. But we are an example that we plan to replicate in different parts of Cusco."

Bringing stakeholders together


Formed a decade ago, Mountain Lodges of Peru is the first company to build lodges in the remote Andean communities around Mount Salkantay. Owned and operated by locals, the company has a deep-set interest in preserving the region's natural landscapes for future generations. It created its nonprofit arm, Yanapana Peru, at its inception to empower the residents of Mollepata and surrounding communities to take part in landscape preservation. The reforestation project is the latest in a string of efforts in Mollepata, including an artisan collective that allows local women to earn their own income.

For its part, REI Adventures, which works with the locally-owned company as a lodging partner, also has a significant stake in the Sacred Valley, and Mount Salkantay in particular, as the lodge-to-lodge trek is its most popular out of 150 trips across the globe. The company has been in talks with Enrique Umbert, CEO of Mountain Lodges of Peru, for years about a collaborative project in the region. The greenhouse in particular is an effort more than two years in the making, said Cynthia Dunbar, general manager of REI Adventures.

"We're super excited to be able to partner with them on this project," she told 3p. "It's one of those places where we have an obligation and certainly the passion to help take care of it so that future customers of ours and other companies can really enjoy that outdoor space."

The company will fund the project to the tune of $172,000 over three years through its grant program, which backs nonprofit efforts to "care for the outdoor places that our customers love," its parent company, REI, says on its website.

Of course, in the case of Mollepata, the most significant stakeholder group project organizers are looking to reach is local residents. The construction of the greenhouse itself employed 10 locals, and the site will serve as an ongoing educational hub for local students. But educating surrounding communities about responsible forestry is the organizers' main goal.

"All of the land has owners," Victorio said, gesturing to the stretch targeted for reforestation. "For us, we are challenged to go to talk to every family, explaining the benefits … We have consulting meetings with them to explain how they must use their soils, how they must divide this part for reforestation, this part for the animals, this part for recreation, etcetera. That is the main challenge, I think, for us."

Each family can own upwards of 100 hectares of land, so getting them on board is not only crucial for the project, but also for the preservation of Mount Salkantay. "It's been tough," Pastor said of initial interactions with landowners. "But some of them are very enthusiastic about it. We think that when we start reforesting, those families who haven't joined the program will see the benefits, and they will knock on our door and say they want to reforest, too."

"This project is not only reforestation ... conservation is the most important thing," Victorio added. "We want this to be a whole-life project."

"... The goal for us is that 15 years later we can have a huge, protected reserve forest that people can use in a sustainable way. It will also help us to show tourists that these forests are the highest forests in the world with native species that have been here since the Incas."

Image credits: 1) and 2) Mary Mazzoni; 3) Courtesy of REI Adventures 

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Why a Koch Brothers Front Is Blasting Ethanol in Iowa

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A strange press release crossed my desk today, from the American Council for Capital Formation (ACCF). The conservative think tank was tooting its horn about a new ad campaign it launched in Iowa to educate people on the environmental ills of ethanol. Pro-growth economists touting anti-corn environmentalism in Iowa. What?

Ethanol has always been a sticky wicket for environmentalists. While biofuels are absolutely a viable source of energy for transportation, ethanol usually comes from corn, which might not be the most efficient stock for the fuel. Commercial corn is a mono-crop, so support for this cash crop mostly means supporting a type of farming at odds with sustainable agriculture. Corn farming contributes to water pollution and algal blooms from pesticides and fertilizers, respectively.

On the other hand, we need to get off oil, and ethanol has a lower global warming potential than fossil fuels. But from a systems-thinking perspective, it can be a tough pill to swallow to use a food source to make energy when hundreds of millions of people don't have enough food to eat.

So, why ethanol? Well, that's a political story. Iowa has produced more corn than any other state for at least the last 20 years: 2.4 billion bushels of corn in 2014, three times as much as the whole country of Mexico. Iowa also happens to be home to the first official vote in the presidential primaries. That's why so much money and political attention flows into a state with 3.1 million residents (about 1 percent of the U.S. population). So, it's safe to say that no one wants to mess with Iowa's farmers.

But does anyone outside the industry really love ethanol? The subsidies the industry has received as a part of the Renewable Portfolio Standard keep it cheaper than oil -- which makes it a threat to oil. It turns out ethanol has also caught the ire of the recreational boat people and the trade association for chain restaurants. Which is how we come to have the ACCF blasting the Iowa airwaves with an environmental screed against ethanol six days before the Iowa caucuses.

https://www.youtube.com/watch?v=dxtVed45gVo

In case you  were wondering, the ACCF does not have a strong record on the environment. In fact, it fought against AB 32, California's landmark cap-and trade-bill, in 2012. Greenpeace calls it a "Koch Industries Climate Denial Front Group" because the famous brothers -- key funders of the right-wing infrastructure -- have donated $375,000 to the group over the years. Here's what Source Watch has to say about ACCF:

American Council for Capital Formation (ACCF) is a think tank that prides itself on "economic growth through sound tax, regulatory, and environmental policies." ACCF is a very influential in Washington D.C. with ACCF's President Mark Bloomfield as being, "one of the most influential figures operating behind the scenes in the Congress," Robert Novak, 1997.

ACCF has a conservative perspective of economic policy and favors policies that favor big business. ACCF's Officers and Board of Directors included former high-ranking politicians (predominantly Republican) in the U.S. government along with representatives of industry associations, including individuals from the American Petroleum Institute, Principal Financial Group, American Chemistry Council, American Farm Bureau Federation, American Business Conference, American Forest & Paper Association, Edison Electric Institute, the National Rural Electric Cooperative Association and other pro-industry trade associations and corporations. Individuals from the American Enterprise Institute, and the Hoover Institution are members of ACCF's Board of Scholars.


So, why did these guys release a pro-environment screed against ethanol? As usual, wherever there are Koch ties, there is something fishy going on.

In this case, ACCF is representing the National Marine Manufacturers Association (NMMA) and the National Council of Chain Restaurants (NCCR) on this ad campaign. NMMA is the trade association for recreational boating. Why the heck do boaters care about ethanol? Well, it turns out that ethanol can stall engines of outboard motors. No wonder the recreational boating people don't like it.

The restaurant industry, NCCR, obviously has a stake in corn prices, since they will impact the raw cost of goods throughout the food sector from high-fructose corn syrup, the main ingredient in everything from soda to beef, which mostly eats corn these days. If corn is used for ethanol, that will, they fear, raise food prices.

None of the three groups is particularly environmentally-focused. So, why focus on the environment in their ad? Well, "Ethanol is bad for our business interests," doesn't have the same ring to it. It comes down to business as usual, which is to say, "money talks."

Image credits: American Council for Capital Formation (ACCF)

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Everyone Can Be a Sustainability Manager

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This article is part of a series by students at Bard College's MBA in Sustainability. Principles of Sustainable Management is a foundational class for all Bard MBA students. It delivers ecological and social literacy, the frameworks and tools used by sustainability professionals, the business case for more responsible treatment of people and planet, systems thinking and integrated bottom line accounting.

By Alistair Hall

The International Society of Sustainability Professionals (ISSP) is developing a formal certification process to provide “some definition and standardization of the competencies employers and seekers of consultants can come to expect [from ‘sustainability professionals’]." Certification of sustainability professionals would appear on the surface to indicate that the role has become accepted as a profession and that the field has matured to the extent that it now needs such official accreditation as a CPA or a JD.

However, the environmental and economic challenges that we face together are far too large for us to arbitrarily define who can and can’t be a sustainability advocate. The preliminary criteria ISSP has put forward includes topics like ‘stakeholder engagement,’ ‘strategy’ and ‘program evaluation.’ These are important content areas for a professional to know about, but instead of certifying a siloed specialist, the sustainability profession should seek to include and be open to everyone. In particular, let’s ensure that our profession is sufficiently diverse, before we seek to limit it.

According to Green 2.0, an initiative seeking to address the lack of diversity in the environmental movement, despite recent ‘efforts,' only 12.4 percent of NGO employees are people of color. Government agencies and foundations barely fare better at 15.5 percent and 12 percent respectively. A 2015 staffing survey run by the Association for the Advancement of Sustainability in Higher Education (AASHE) found that 90 percent of sustainability professionals at colleges identified as white or caucasian (myself included).

Seventy percent of respondents also reported that they are the first person to ever hold their position. Since 2012, more than 87 people have entered college sustainability positions (again myself included), representing 87 schools, tens of thousands of students and faculty, and billions in utility and operation expenditures. These are new positions, situated in a young sustainability movement; we need to cultivate greater diversity of thought, experience and background, not hinder it with a certification focused on specific frameworks taught by exclusive schools and tied to a process that rewards privilege.

What does the sustainability movement gain by limiting potential voices and leadership?  Albert Einstein once said, “The significant problems we face today cannot be solved at the same level of thinking we were at when we created them." Rather than driving innovation, I see the ISSP certification as an effort of exclusion. Instead of constructing an additional level on the ‘ivory tower,’ let’s get our hands dirty and grow the sustainability garden. Taking a lesson from the principles of biomimicry, the sustainability garden we cultivate would thrive if it had greater diversity, innovation, place-based intuition and systems thinking. Systems thinking is one of the principles of the ISSP criteria, but the society seeks answers reflecting a very narrow definition of the practice.

Many sustainability professionals will tell you that they dream that every single person in their organization will implement innovative sustainability practices. So, let’s embrace being the trailblazers that we are and transform what leadership is and could be. The establishment of stringent, exclusionary criteria that dictates who can be a sustainability professional only serves to limit who earns a seat at the table and reinforces existing issues of diversity in the green movement. Encouraging certification as a job prerequisite will have the opposite of the desired effect. Everyone should be a sustainability advocate, whether they are certified or not.

Image credit: Pixabay

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