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Why Carbon Matters: 4 Ways That Reducing Emissions Can Benefit Your Business
Put simply, carbon is money. At ClearCarbon, we see carbon management as a four-fold opportunity to improve business performance while reducing environmental impact:
1. Improve profitability. Reducing carbon emissions from business operations and supply chains also reduces operating and materials costs. In addition, it helps companies meet consumer demands for products with lower environmental impacts. The net results are greater profitability and a potential for increased sales.
2. Reduce risk. Along with energy cost volatility, potential changes in the availability and price of natural resources (due to climate change or new regulations) pose business risks. By reducing emissions now, companies will be insulated from, and better prepared for, changing prices and regulations.
3. Engage stakeholders. Involving employees and customers in carbon emissions reduction can improve employee morale and enhance the company’s brand. Employees become conduits of change and are motivated to find more ways to save. Customers show support by buying more products and demonstrating brand loyalty.
4. Boost transparency. Customers are demanding transparency from their suppliers. Shareholders demand it through the Carbon Disclosure Project (see article above). Retailers are requiring suppliers to provide information on their products’ emissions. Thus, companies that measure and manage their emissions open up more business opportunities.
A corporate greenhouse gas inventory (GHG) provides the foundation for finding reduction opportunities throughout your organization. With ClearCarbon’s services, an implementation of SAP Carbon Impact can help companies develop reduction goals, decide on the best carbon reduction projects, track project performance, and continue to find more reduction opportunities in order to improve company-wide profitability.
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Reproduced from the Jul - Aug - Sep 2010 issue of SAPinsider with permission from its publisher, WIS Publishing | sapinsider.wispubs.com
