Eco-Efficiency - How Every Business Can Go Green and Even save Money
Kohlberg, Kravis, Roberts & Co (KKR) was established in the seventies and initially their specialty was in highly leveraged transactions. However, aiming to make the businesses in their portfolio greener, KKR have rolled out a remarkable proposal which has entirely changed the method by which businesses and environmental agencies work together, forever.
Environmentally sound business practices became a hot topic a year ago when KKR’s Henry Kravis and the non-profit Environmental Defense Fund (EDF) joined forces. Big matters like climate change and colossal water consumption are an all-important part of their company mission. Eco-efficiency (the term was originally pitched by the World Business Council for Sustainable Development) makes up their mission’s framework, through utilizing ecologically sustainable techniques such as increasing the durability of products, recycling programs and maximum use of renewable resources. Irrespective of the fact that the program was a colossal success, no-one realized how fantastic the effects really were until Ken Mehlman, the executive responsible for the project, studied the first year’s profits. Much to everybody’s surprise, Ken saw that practicing eco-efficiency not only enhanced environmental awareness, but was also increasing the profits from all their business concerns too. Currently, KKR and Ken Mehlman have almost each and every company in their portfolio engaged in the program. Still, with a current business portfolio with a worth of 86 billion USD, you can be sure this was no easy see what a tremendous feat this is.
KKR with the EDF with the help of Ken Mehlman are expanding the original program. For example, KKR linked up with the EDF’s Climate Corps Program which instructs interns studying for an MBA how to promote cost-effective, green practices. KKR and Ken Mehlman have made the effort to formulate metrics which can oversee resources. Tools such as these can measure a company’s environmental impact and identify any problem areas. The business world has been changed forever by the work of Henry Kravis, the KKC, and the Environmental Defense Fund. Their innovations have set a high standard for organizations in any industry and established that making profits need not entail the hefty price of negatively impacting our planet.
