9.30.2010

Bonus gem

Asia Pulp and Paper, that relentless bastion of greenwashing, has yet again upped the ante. PR Week reports the corporation has enlisted the shiny skills of industry stalwarts Cohn & Wolfe to deliver a seven-figure comms campaign.

"Donna Imperato, CEO of C&W, confirmed it was working for APP and said: ‘APP has been treated unfair and the company has a very good story to tell.’"

'Treated unfair'? Dearest me. Bonus bonus gem too: PR Week calls the company 'Asian' Pulp and Paper. Over and over. Better get the corporate comms team on that one!

Gem of the day

Ever wondered when is the right time, as a brand, to 'tell your sustainability story'? Me either. But luckily Suzanne Shelton has, and here's what her take on it is, based on recent experience apparently:

"In these two cases, both brands have a solid sustainability story to tell -- it’s not like they’re still figuring out the initial steps -- but they’re not telling that story. And that’s a wasted marketing opportunity."


So get out there, folks! Think of it this way: if Shell can do it, and also do this at the same time, you can do it too! Ah, capitalism.

9.29.2010

Bonus gem

Pavel Molchanov, an energy analyst with Raymond James & Associates, on BP's decision to create a new internal safety divison in the aftermath of Gulf of Mexico (as quoted in the NY Times):

“I certainly like the concept of having this type of internal safety oversight group,” Mr. Molchanov said, “but call me cynical, I have to wonder: how much real influence will it have?”

Well might you ask, Mr. Molchanov, well might you ask.

Gem of the day

...in which we learn just what Shell actually meant by their current 'Let's Go' thought leadership campaign.

I'm tempted not to classify this one as a 'gem', because it's so truly devastating. But here goes, as reported by the FT this morning:

"Royal Dutch Shell is planning a rapid expansion of its North American business to raise production by 40 per cent to 1m barrels equivalent per day in 2014, including gas, Canadian oil sands and deepwater oil."

And what else is news in their strategy?

"One of its announcements included approval for a deepwater project in the Gulf of Mexico where BP is a junior partner."

And, finally, what does their CEO, Peter Voser, have to say about what this traditional energy investment means for Shell overall?

Mr Voser said: “Shell’s oil and gas will be an important part of the energy mix in this region and upstream Americas will be a key growth engine for Shell in the years to come.”

Let's...not go?

9.28.2010

Bonus bonus gem

The more things change, the more they stay the same, apparently. This snapshot from BP's online reporting timeline is my gift to you. Enjoy.

Bonus gem

This superficial piece of analysis really made my day. Headline comment:

"As the hotel industry continues to move toward Corporate Social Responsibility, recent Deloitte hospitality research states that “Sustainability will become a defining issue for the industry in 2015 and beyond.”

Glad responsible business and managing impact will be on the agenda by 2015! Hey, that gives them 5 years longer than...any other industry?

Gem of the day

The Heishman Flillard parody of strategic communications consultancy Fleishman Hillard continues to get better. Here we have 'Typical Day at H-F Means Strategic Business':

"It’s a typical day at the Delaware-based global strategic headquarters of Heishman-Flillard Global Communications.


Tim Burgundy is vociferously lecturing a group of female interns who wore flats, Becky Baumgart is polishing Silver Anvil and Golden Lion awards, Tug Cropper is teaching fist-bumping to the janitorial staff, and Bill Brockwood is letting the phone ring and ring because he knows the calls are just people who want things from him — and not the other way around, and our male interns are busy learning the PR industry by re-striping the parking spots of key executives — and loving it.

They don’t teach you that in your fancy-pants business school. It’s experience you just can’t get anywhere else.

Yes, just another, immensely strategic, dynamic, and of course, digital day at Heishman-Flillard.

You’re welcome."

Something that's actually good

Nicolai Ouroussoff writes a characteristically inspired, thoughtful analysis of the implications posed by Norman Foster's newly designed 'sustainable city' Masdar, in the desert of Saudi Arabia. Here's where it really gets good:

"What Masdar really represents, in fact, is the crystallization of another global phenomenon: the growing division of the world into refined, high-end enclaves and vast formless ghettos where issues like sustainability have little immediate relevance."

Extraordinary. And Ouroussoff's ultimate conclusion?

"Ever since the notion that thoughtful planning could improve the lot of humankind died out, sometime in the 1970s, both the megarich and the educated middle classes have increasingly found solace by walling themselves off inside a variety of mini-utopias. This has involved not only the proliferation of suburban gated communities, but also the transformation of city centers in places like Paris and New York into playgrounds for tourists and the rich. Masdar is the culmination of this trend: a self-sufficient society, lifted on a pedestal and outside the reach of most of the world’s citizens."

Why can't more people write like this?

9.27.2010

Bonus gem

In a rare moment of environmental insight, the New York Times actually notices the newly anointed (and newly cast out) members of the Dow Jones Sustainability Index. As I wrote earlier this month, BP has been removed--but its replacement, fantastically enough, is none other than Halliburton.

But here's the real gem:

"Also joining Halliburton on the sustainability index was Nalco, the manufacturer of the oil dispersant Corexit. Nearly two million gallons of the chemical were sprayed on or under the surface of the gulf by BP in a bid to break up the oil gushing from its well."

That's right, the makers of Corexit--which the EPA ordered BP to stop using, due to 'unknown effects' of the chemical being used in such large quantities.

“It is gratifying to be selected among the top sustainability companies in the world for a third time,” J. Erik Fyrwald, Nalco's chairman and chief executive, said in a statement.

This is case in point why rankings are causing way more problems than they are helping to solve--enabling companies such as Nalco to deliver self-congratulatory statements without any kind of actual progress.

Gem of the day

In a truly magical example of pure hypocrisy, here's what Halliburton has to say about Deepwater Horizon:

"Halliburton, the oilfield services company, said BP missed “red flags” and used “flawed calculations” in examining the cement that was supposed to seal the deep sea well."

Another non-environmental wonder

A masterful--and typically dramatic--piece of analysis from the New York Times yesterday examining Karl Rove's reemergence onto the GOP scene. The title alone is ingenious: 'Rove Returns'. Here's the gem though:

"In 2004, the Republican master strategist Karl Rove led weekly sessions at his Washington residence where, over big plates of his butter-smothered “eggies” and bacon slabs, he planned the re-election of President George W. Bush — and what he hoped would be lasting Republican dominion over Democrats."

Bacon slabs, eh? So what was on the table this year?

"Over takeout chicken pot pies, the group — the Republican fund-raiser Fred Malek, the onetime lobbyist and Bush White House counselor Ed Gillespie, and former Vice President Dick Cheney’s daughter Mary Cheney, among others — agreed on plans for an ambitious new political machine that would marshal the resources of disparate business, nonprofit and interest groups to bring Republicans back to power this fall."

9.24.2010

Bonus gem

The sheer title of this GreenBiz entry is worth gem status alone:

"Why Money is the Key to Growing Low-Carbon Economies"

Another non-environmental wonder

The first line of the ingenious new wonder that is the GOP's Pledge to America:

"America is more than a country."

Gem of the day

The Pew Global Center on Climate Change. Not one of the usual suspects for sourcing gems, but here it is, courtesy of Climate Compass blogger Tim Juliani. Here's how he starts off:

"For those of us who have been working on passing climate legislation for the past several years, these can be depressing times."

Exactly. So what's the light at the end of the tunnel he's seeing?

"Yet, in the midst of all of this, I was encouraged last week when 28 of the 46 member companies of the Pew Center’s Business Environmental Leadership Council (BELC) were named to this year’s Dow Jones Sustainability Index: ABB, Air Products, Alcoa, BASF, Baxter, Bayer, Boeing, Citigroup, Cummins, Daimler, Deutsche Telekom, Dow Chemical, Duke Energy, DuPont, Entergy, Exelon, GE, HP, Holcim, Intel, IBM, Johnson Controls, Novartis, PG&E, Rio Tinto, Toyota, TransAlta, and United Technologies."

Ah, the DJSI--home to such sustainability leaders as Halliburton, Duke Energy and Dow Chemical.

9.23.2010

Something that's actually good

Rising out of the ashes of professional commentary on Deepwater Horizon, there's finally--at long last--a voice of reason. Yes, it's still a discussion focused on image, but it's something.

David Jones, power CEO of firm Havas, delivers his perspective on BP as a case-in-point of what he calls the decade of damage'--where greenwashing no longer cuts it. My favorite quote:

"I'm not saying the oil business is easy and if tomorrow we all had to live without oil we would be in serious trouble. But you don't have to change your logo to a flower and give everyone the impression that you press wild daisies for a living. That's one of the reasons why the backlash against them was so harsh."

Just to add some context to his discussion, however, here's his glowing take on Wal-Mart's achievements:

"It completely re-engineered its reputation in North America and became one of the most respected and admired companies in terms of what it was doing. A decade earlier, it had real [image] problems," he says. "The critical point was that it was genuine and it probably did more to change its supply chain and logistics in terms of sustainability than any major company has ever done."

Indeed, the sheer visibility and scale of Wal-Mart's environmental commitments has done practically more than anything else to change the American corporate landscape on sustainability. But Wal-Mart is still painfully missing major commitments to the social dimension of sustainability. This article still rings true, even 6 years later, analysing the extraordinary lengths to which Wal-Mart has gone to dominate American retail and, in doing so, sell its workers wretchedly short.

Another non-environmental wonder

The Wonk Room at CAP breathlessly describes old Bill at the annual Clinton Global Initiative:

"Clinton, relaxed and slim, held court with a dazzling mastery of policy details, wit, and storytelling."

Gem of the day

Breaking news: BBC adopts a reverse-leadership position, as Joe Romm reports today.

"For 2011, BBC has "explicitly parked climate change in the category 'Done That Already, Nothing New to Say'."

9.22.2010

Another non-environmental wonder

Resident wonk David Gergen on the potential for Rahm Emanuel to quit the White House for the fairer grasses of lovely Chicago:

“I happen to be a big Rahm fan."

Bonus gem

I don't cruise the ExxonMobil 'Perspectives' blog often, mostly because at a fundamental level it's 100% continuous gems and thus overwhelming. But I have to tip my hat to VP of Public and Government Affairs Ken Cohen's post on industry taxes last week--it's an uber-gem. The title alone is worth gem status:

"Correction: American oil and gas companies DO pay higher tax rates than most other corporations"

Here's the sub-title that is missing: If and when they pay.

Cohen goes on to support his thesis with data points including:
  • According to the government’s own Energy Information Administration, from 2004 to 2008, 27 American oil and gas companies – which actually make up under half the total oil and gas production in the U.S. – paid almost $150 billion in U.S. income taxes.
  • A Compustat North American Database analysis shows that the 2009 income tax rate for U.S. oil and gas companies was about 48 percent, which was 20 points higher than the rest of the S&P Industrials.
$150 billion over 5 years? That's $30 billion per year. Just to place that number in context, in 2007 alone, the American oil industry recorded revenues of approximately $1.9 trillion. Those numbers don't exactly work out, do they. Right.

Gem of the day

The commentary continues:

"For BP to survive now in the US – it might mean no more than a name change. BP is still facing pressure from many in the US to rename its American service stations or provide those who sell BP brand items with tools to counter the loss of customer loyalty."

And here's the branding expert analysis of how BP can forge this superficial route forward (AIG, anyone?):

"“Some things definitely need to go. … So here’s an idea that just might work. Bring back the Amoco name. You purchased the brand some years ago, and ultimately shuttered it. It may be ready for a new look and a comeback,” said Jamey Boiter, a brand strategist at BOLTgroup, in a FastCompany report."

Thanks for that insight, Jamey. But wait! It gets even better:

"There are even some analysts who argue that BP will come out of this disaster “reinvigorated”."

I need more coffee.

9.21.2010

Another non-environmental wonder

The extraordinary joy that was the patriotic uprising of the Tea Party protest two weeks ago in Washington. Visual highlights appear below. For those who would fain explore further such delights, look no further than here.

Bonus bonus gem

The faces of energy regulation in the UK.



Bonus gem

In an ingenious maneuver certain to bring clarity to the climate debate and seismically shift American perceptions on the need to act, White House science guru John Holdren delivers this gem:

'In a speech in Oslo on Sept. 6, Dr. Holdren called “global warming” a “dangerous misnomer” because it implied that the impact of greenhouse gases would be gradual, uniform across the planet and “quite possibly benign.” A better term would be “global climate disruption,” Dr. Holdren said.'

Right.

Gem of the day

Mind-blowing diagnosis of the way forward for BP from luminous mainstay of the American media, the beloved Wall Street Journal:

"It must finish cleaning up the Gulf, mend fences with Congress and the Obama administration and fight off the hundreds of oil spill-related lawsuits it now faces."

Fight off lawsuits? Really, WSJ?

9.20.2010

Bonus gem

Today we're treated to this incredible headline in the FT:

"BP leak just a bump in the road for the oil industry"

The thesis of the article lieth here:

"For the global oil industry, it looks like being no more than a bump in the road towards further exploitation of deepwater oil reserves, even in the Gulf of Mexico."

Two things: 1, the tepid regulatory changes that have been proposed are going to have no effect on these companies. 2, any internal changes that do result for these companies  are being implemented only for reputational purposes. Case in point delivered:

"At last week’s World Energy Congress in Montreal, some executives called for new global safety standards for the industry in order to restore public confidence."

Right.

Gem of the day

CRD Analytics has released its mega-ranking of the Global 1000 Sustainable Performance Leaders. Here's their methodology:

"Companies included on the list must be publicly traded on a major global exchange, have a market capitalization of at least $1 billion, and publish a sustainability or corporate responsibility (CSR) report.
Companies that meet the criteria are force-ranked by total Sustainable Performance Value (SPV) calculated as the average of four performance dimensions: financial, environmental, social and governance."

The key element of this ranking is that it is the average of those four dimensions. Therefore, a company with immense profits, as we'll see below, can triumph on the ranking despite having fundamentally unsustainable core products and services.

Not surprisingly, the top 10 are dominated by companies in financial services and healthcare with relatively small footprints compared to other sectors: Merck, Novartis, Credit Suisse, Glaxosmithkline PLC.

But the top 50 is where it really gets interesting. Please find my shortlist below of most extraordinary placements on the ranking:
  • Newmont Mining Corp (seriously?): 15
  • ExxonMobil: 48
  • British American Tobacco: 49
Let's examine ExxonMobil more closely. Oh, how the mighty have fallen! In 2008, the corporation ranked 21. In 2007, it ranked a mind-blowing 16. How could an oil company perform so well on such an index? I think the answer is extreme profits and market capitalization, combined with self-proclaimed effective governance and accountability.

This kind of ranking is a serious issue. Not only does it send misguided, short-term investment signals, it basically says to companies like ExxonMobil that business as usual should continue. After all, if ExxonMobil can already be considered a global sustainability leader, there's no work to be done. Right?

Note, as well, this gem of a caveat (I wonder what could have triggered it...):

"CRD Analytics reserves the right to remove any companies that are involved in a significant public crisis without notice."

9.17.2010

Bonus gem

A must-read on how Wal-Mart is reinventing marketing through sustainability communications. The gem:

"Again, feel free to hate the company, but it is inexorably working toward making itself impossible for consumers to live without."

Christ.

Gem of the day

 FT wows us with this headline:
"BP's competitors tempt fate with provocative advertising"

And delivers us this gem, in the post:

"Risk management is sort of like being pregnant - you can make all the preparations you want but you cannot really know what to expect."

9.16.2010

Bonus gem

Ode to incremental innovation of the day, courtesy of Hershey:

"Over the past four years, Hershey has reduced the overall weight of its recyclable 22-ounce Hershey’s Syrup bottles by 7.6 percent through a redesign of the bottle cap and removing material from the body of the bottle. These changes eliminated the need for 12.5 metric tons of high-density polyethylene in 2009 alone."

Don't get me wrong, I understand Hershey is at the start of its CR journey, for better or for worse. But does that incremental achievement really deserve rockstar showcasing status?

Gem of the day

"BP report says there's plenty of blame to spread around"

Ingenius.

9.10.2010

Another non-environmental wonder

New York Times' The Caucus blog analysis of Obama's press conference today:

"In the end, Mr. Obama takes questions for more than 75 minutes, an unusually long marathon session for any president. It’s almost as if to say to cranky reporters who often complain about how few news conferences he holds, Fine, you want a news conference? Bring it on."

Something that's actually good

Shell has been removed from the DJSI. Here we have the SocialFunds commentary with a rare nugget of true insight:

"The question of why companies with such poor environmental records would be included in a sustainability index in the first place was highlighted earlier this year, when BP was removed from the DJSI World following the Gulf of Mexico oil spill. Index rules allow for elimination of companies from the DJSI following extraordinary events."


But unfortunately, something that's actually good has to come with drawbacks. And so we find there has been an 'interesting' assortment of companies added this year to the DJSI. Including--wait for it:


Halliburton.

9.09.2010

Another non-environmental wonder

 David Brooks with a comment that somehow, inexplicably, is related to the Tea Party rallies:

David Brooks: Here in D.C., it’s press 1 for English, press 2 for Swedish, and if you press 2 the tax collectors sweep in, take half your income and force you to read those books about the girl with the dragon tattoo. (I liked the first one, but the second one is as slow and lifeless as a Nordic winter.)

Bonus bonus gem

Gazprom is single-handedly changing the face of CR communications with its online site. I encourage you to visit it immediately. If you don't have time, here's the truly extraordinary nuggets in it, and no this is not a joke:

  • "Every year Gazprom actively participates in social support projects by creating new jobs, rendering assistance to economically disadvantageous people"
  • "Gazprom daily pays over RUB $1.5 billion to Russia's budget"
  • "The “Gazprom to Children” Program is a key social project intended for backing Russia’s children and youth" 
 And just a note on that second nugget: yes, it would seem that Gazprom is saying to the CR community "we pay taxes. that's our approach."

Which, it's true, might just have currency as a groundbreaking, industry-leading perspective compared to Exxon Mobil...

I don't even think I can call this greenwash. It's simply beyond explicable under any known classifications.

Bonus gem

Dear OgilvyEarth,

Congratulations on your game-changing rating by Verdantix as a leader in the US market for sustainability communications. You must be over the moon--such an accomplishment. And what with years of major campaigns under your belt--including, of course, the legendary BP Beyond Petroleum triumph--now is the time to celebrate.

I'll raise a glass to you for your most recent tour-de-force, the new APP corporate site. It's a celebration of our world's lushest forests and plumpest birds, complete with birdsong. The only problem, ahem, is that APP is probably the first corporation ever to be rejected by the Forest Stewardship Council. But hey, when it comes to reputational enhancement and using communications as a defensive shell against NGO inquiries, the world of OgilvyEarth knows no limits.

My sincerest regards,

Natalya

Gem of the day

Breaking news: "BP’s internal inquiry reveals that a perfect storm of mistakes, mechanical failures and design faults led to the accident on April 20 in the Gulf of Mexico."

A perfect storm, eh? So no historic record of shameful lack of respect for basic health & safety measures, greenwashing or any of those other fun dalliances?

Right. No further comment.

9.07.2010

Another non-environmental wonder

I googled Dick Cheney today to check up on how it's going for our favorite ex vice-prez. Check this out: in a stunning twist of fate, his former chief of staff, the lovely David Addington is now--sharp intake of breath--headed for the Heritage Foundation. I'll now take a pause for a period of ungovernable Olympian mirth.

And if tepid press inquiries are any indicator, he's headed for prime 'uncontactable' star status:

"A Heritage spokesman referred all questions today to a voice mailbox with Addington’s name"

Wow, his own voice mailbox? Did we mention digital? Yes, the Heritage Foundation has computers. And phones with mailboxes, too.

But get this, here's the cherry on the cake:

"He is succeeding Stuart Butler, a policy analyst who is starting a new “think tank within a think tank” at Heritage."

Zing!

Something that's actually good

Read this and read it now. Our old friend Michael Braungart rises out of nowhere and conquers the superficial territory of faux commentary that is usually GreenBiz.

I'm not saying it's a tour de force, but there's a lot going on in there. And it's looking pretty damn good to me.

9.06.2010

Gem of the day

As I noted previously, the profoundly illogical Wall St Journal op-ed by Dr. Aneel Karnani--'The Case Against Corporate Social Responsibility'--continues to get a volume of responses, with varying degrees of effectiveness. Some of my favorite responses (you'll be able to tell why just from the title) include these two gems:


Unfortunately, for the most part, the responses from the green business community largely miss the point. Most of them recycle the basic sustainability = profit arguments--intangible value to brand from reputational enhancement, the importance of long-term views for managing risk, energy efficiency delivers cost savings, etc.

I have to ask, what about the impact on the sustainability 'debate' from the mere fact that an article with this kind of title is published in one of America's most significant news outlets? This is a communications disaster. Especially considering that 'the case against CSR' as a title doesn't accurately reflect what the purpose of the article actually is.

Here's to hoping that article dies a long slow death and fails to attract any more attention.

9.03.2010

Gem of the day

Breaking news: someone in the loathsome vortex of Congress actually says something intelligent. Here's what BP is currently contending:

BP is warning Congress that if lawmakers pass legislation that bars the company from getting new offshore drilling permits, it may not have the money to pay for all the damages caused by its oil spill in the Gulf of Mexico."

Here's what Rep. George Miller's chief of staff has to say about that:

“The risk of having a dangerous company like BP develop new resources in the gulf is too great,” said Daniel Weiss. “Year after year after year, no matter how many incidents they’re involved in, no matter how many fines they’ve had to pay, they never changed their behavior. BP has no one to blame but themselves.”

Zing!

9.02.2010

Gem of the day

Blessed highlights from oil industry-sponsored--read: our favorite friends at the American Petroleum Institute and the Citizens for Affordable Energy campaign--protests against the pending drilling moratorium yesterday:

Attendants donned red T-shirts handed out at the door that proclaimed: “We are energy nation.’’ Others wore the “I am an energy citizen’’ and “Rally for jobs, our jobs, our future,’’ included in the gift bags. [Yes that's right--there were gift bags.]

They roared when several speakers noted President Obama’s Air Force One flew on fuel the industry produced and the nation watched his speeches on televisions powered by industry fuel. [So what?]

“So why are we cutting off the Gulf of Mexico?’’ said John Hofmeister, former president of Shell USA and chief executive of Citizens for Affordable Energy. “You cut off your nose to spite your face, Mr president.’ ’[This makes absolutely no sense]

9.01.2010

Bonus bonus gem

The crisis management experts are still getting calls to interpret BP's experience in the aftermath of the disaster. Incredible stuff, really--especially now that the House Committee on Energy and Commerce has demanded BP provide a quote for how much the company has spent on advertising since April. Word to the wise: it's looking to be around a cool $1 million weekly. Magically enough, here's Gene Grabowski, senior vice president and chair of the crisis and litigation practice at Levick Strategic Communications, on why that figure shouldn't raise any eyebrows:

"A million dollars a week is nothing. I don't know how much they're spending, but it's probably less than they would have spent on a global ad campaign to advertise the benefits of what they generally do."

So what kind of advertising is this apparently well-spent money going towards?

"In a crisis, issue-based advertising is essential. You have a relationship with your customers, and implied in that relationship in the 21st century is a conversation."

Incredible. But it still gets better. Here's the subsequent summary of Grabowski's commentary provided by CNN Money:

"Grabowski says there's a critical moment in advertising after a crisis when people are still tuned in to the product, but aren't anxious anymore. This is when companies start to release more product promotion ads to regain trust. BP isn't there yet by a long shot."

Isn't there yet? So hopefully the crisis aftermath will dissolve quietly soon, so that BP can get back to selling its core product: oil. And continue the veneer of 'doing the right thing' for consumers.

To cap it off--sorry I couldn't resist--here's what Grabowski has to say about Congressional demand for the numbers from BP:

"I'm frankly surprised that Congress would do this," Grabowski says. "I think that for executives at BP and throughout the oil industry, this might appear to be piling on."

Bonus gem

Lame CR practitioner BP commentary of the day:

"It’s quite likely that there were ethical lapses that contributed to the blowout and the oil spill that resulted."

And it gets even better from there. Here's the conclusion:

"Ethical decisions are never made in a vacuum. And in some cases, they’re made in the middle of a hurricane."

So what about the decisions made in the decade leading up to the spill? Right.

Gem of the day

More intra-industry competition coming our way. The Outdoor Industry Association--a vortex of leading consumer brands, including Nike and Adidas--has launched its own Eco Index (truly imaginative title). Its competition? The Timberland Green Index (no comment) which the company already established three years ago. Timberland's initiative is highly commendable. And three years in, wouldn't it make more sense to leverage the resources already being thrown at it and, I don't know, share some best practices and lessons learned? Instead, we now have yet another independent index. It's confusing to consumers and, from a basic corporate perspective, it's inefficient.

The transformational innovation needed to achieve truly sustainable design for every product in every company ain't gonna happen on a private, individalual basis. It requires real collaboration--and it needs to happen now.