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Transcript of Ethonomics
72% of CEOs cite “brand, trust and reputation” as one of the top three factors driving them to take action on sustainability issues. Revenue growth and cost reduction is second with 44%.
96% of CEOs believe that sustainability issues should be fully integrated into the strategy and operations of a company. CEOs are more committed than ever to creating a sustainable business. Yet the motivator is no longer just social responsibility; it’s now equally about achieving high performance measured in lower costs, stronger customer relationships and increased revenues. CEOs identify the consumer as the most important stakeholder in influencing the way in which they will manage societal expectations over the next five years: 58 percent of survey respondents CEOs are aware of the critical role that innovative, leading-edge technologies are playing in advancing the sustainability agenda In the 2010 Sins of Greenwashing study, TerraChoice surveyed 5,296 products in Canada and the U.S. that make an environmental claim. In the 24 stores TerraChoice visited in both 2009 and 2010 (same brand, same location, same size), the number of “greener” products (products claiming to be green) increased by 73 per cent. The proportion of sin-free products appears to have doubled in each of the last two studies, from less than 1 per cent in 2007 to less than 2 per cent in 2009, and to almost 4.5 per cent in 2010. TerraChoice found that over 95 per cent of “greener” products commit one or more of the seven “Sins of Greenwashing”. It’s not about marketing its about connecting and socializing with the consumers. (Deloitte, 2011, Consumer 2020. Reading the Signs.) According to the World Economic Forum and Deloitte (2009) by 2030 almost 2 billion new consumers will have joined the global middle class. Greater consumption leads to greater strain on resources. If everyone were to adopt the historic consumption of an average UK citizen, three planet earths would be required, five planets if the new consumers adopt the lifestyle of North Americans. Without sustainable consumption it will become increasingly difficult to meet the collective expectations and aspirations of the world new consumers. Market solutions?
Consumers of 2020 will shape their buying decisions and consumption based on values and beliefs founded at a time when the world realized there were limits. Limits to how much debt one can have, how much water they can use, how much energy and food can be produced. Deloitte (2011) Business Solutions?
CEOs see that a new era of sustainability will entail a number of business imperatives and change the face of competition. For example, companies will need to develop a broader sense of what value creation means to society as a whole. (Accenture 2010) Governmental solutions?
Basic assumption behind the Green New Deal (Keynesianism): Business innovation (creative destruction) and consumer demand (novelty seeking) will drive consumption forwards again. (Jackson, 2009, Prosperity without Growth) still the No.1 reason to choose followed by the No.2 reason but there is a new player in town some study results an emerging lifestyle accompanied by new print and online media titles gets mainstream but while everybody wants to grab a chunk of the growing market we face new decision problems information is crucial information at the point of sale with "Transparency-Engines for Sustainability" search engines are just the beginning browser add-ons signal the sustainability footprint while we visit e-commerce websites mobile apps like barcoo.com, a strategic partner of wegreen, enables consumers to scan the sustainability footprint of consumer goods while the decide at the shelf as consumers already connect with brands executives still need to learn some more results from the goodpurpose™ Study 2010 some evidence? and again we witness the emergence of new print and online media titles adressing the innovation communication special interest but let´s face it: we need to innovate our business models develop a deep understanding of our customers adressing what we, people really need & benefit from open innovation so, are you ready? because other people are! "You can be the change you want to see in the world" Sources and further readings:
Accenture (2010). A New Era of Sustainability. UN Global Compact-Accenture CEO Study 2010. Retrieved April 19, 2011, from http://www.unglobalcompact.org/docs/news_events/8.1/UNGC_Accenture_CEO_Study_2010.pdf
Conley, C. (2007). Peak. How Great Companies Get Their Mojo from Maslow. Jossey-Bass, San Francisco.
Deloitte (2011). Consumer 2020. Reading the Signs. Retrieved April 19, 2011, from http://www.deloitte.com/assets/Dcom-Germany/Local%20Assets/Documents/06_CBuTransportation/2010/de_CBT_Consumer2020_27012011.pdf
Edelman (2010). goodpurpose®Study 2010. 4th Annual Global Consumer Survey. Retrieved April 19, 2011, from http://www.lohas.de/index.php?option=com_content&task=view&id=1325&Itemid=172
Fastcompany (2009). What is Ethonomics. Retrieved April 19, 2011, from http://www.fastcompany.com/blog/noah-robischon/editors-desk/what-ethonomics.
Gibbs & Soell (2011). Sense & Sustainability® Study. Perspectives on Corporate Sustainability Among Consumers and Fortune 1000 Executives. Retrieved April 19, 2011, from http://www.gibbs-soell.com/home/pulse-check/2011-gibbs-soell-sense-sustainability-study/
Gray, J.; Brown, S.; Macanufo, J. (2010). Gamestorming. A Playbook for Innovators, Rulebreakers, and Changemakers. O´Reilly, Bejing, Cambridge, Farnham, Köln, Sebastobol, Tokyo.
Jackson, T. (2009). Prosperity without Growth. Economics for a Finite Planet. Earthscan, London, Sterling, VA.
Osterwalder, A., Pigneur, Y. (2010). Business Model Generation. A Handbook for Visionaries, Game Changers, and Challengers. John Wiley & Sons, Hoboken, New Jersey.
Steffen, A. (Ed.) (2008 & 2011). Worldchanging: a user´s guide for the 21st century. Abrams Books, New York.
TerraChoice (2010). Sins of Greenwashing: Home and Family Edition. Retrieved April 19, 2011, from http://sinsofgreenwashing.org/findings/greenwashing-report-2010/
WeGreen (2011). Apps. WeGreen Firefox Add-on - Grün Surfen! Barcoo - Scan Dich glücklich! Retrieved April 19, 2011, from http://wegreen.de/de/apps
Wikipedia (2011). Ethonomics. Retrieved April 19, 2011, from http://en.wikipedia.org/wiki/Ethonomics