Organization Survival: Double Meaning Of Sustainability Gregory Balestrero IIL Strategic Advisor Sustainability, Corporate Consciousness, Leadership PMI WASHINGTON DC CHAPTER PROOJECT MANAGEMENT SYMPOSIUM 13 September 2013 Crystal City, Virginia, USA ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 1 WHAT TO EXPECT FROM THIS PRESENATION A dose of reality about the future An understanding about “double meaning of sustainability” A feeling of uneasiness and discomfort A sense of hope ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 2 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 3 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 4 Bruges, Belgium ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 5 ABU DHABI, U.A.E. ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 6 AMAZON RAINFOREST ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 7 AMAZON RAIN FOREST ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 8 AMAZON RIVER BASIN: ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 9 THE POWER OF THE FORESTS The world’s forest ecosystems provide environmental services that benefit, directly or indirectly, all human communities, including watershed protection, regional climatic regulation, fibre, food, drinking water, air purification, carbon storage, recreation, and pharmaceuticals.20 Ahmed Djoghlaf, Executive Secretary of the Convention on Biological Diversity ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 10 ANTARCTICA ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 11 ANTARCTICA ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 12 MASDAR CITY PV ARRAY ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 13 PROLIFERATION OF ELECTRIC VEHICLES ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 14 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 15 SO WHAT’S NOT TO LIKE? ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 16 CLEAR CUTTING ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 17 ROBOTICS AND CLEAR CUTTING ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 18 Forestry and Its Impact The world’s forest ecosystems provide environmental services that benefit, directly or 13 million hectares (30 million indirectly, all human communities, including acres) of forests are destroyed watershed protection, regional climatic regulation, human activity every year carbon fibre,by food, drinking water, air purification, 20 UN’srecreation, Food and Agriculture Organization storage, and pharmaceuticals. Ahmed Djoghlaf, Executive Secretary of the Convention on Biological Diversity ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 19 THE CHALLENGE OF MANUFACTURING ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 20 REALITY OF POWER TODAY - CHINA ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 21 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 22 Of all the debate and arguments over the IPCC reports, science have proven the following: Forests, plants and oceans absorb CO2 in the atmosphere Greenhouse gases, especially CO2 emissions, are warming the surface and waters of the planet As planetary temperatures rise, so goes the seas of the world Acidity of the oceans are increasing, due to excessive absorption of CO2 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 23 SOURCES OF CO2 EMISSIONS WW 3% FORESTRY 17% AGRICULTURE 14% INDUSTRY 19% ©2012 International Institute for Learning, Inc., All rights reserved. ENERGY SUPPLY 26% TRANSPORT 13% BLDGS. 8% Intelligence, Integrity and Innovation 24 : 1 Meter Rise 40 Million People $3 Trillion Assets 136 Cities ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 25 SAO PAOLO – CONCRETE JUNGLE ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 26 HONG KONG – THE CROWDED CITY ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 27 POVERTY AND WEALTH – SIDE BY SIDE ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 28 “As our gadget dependency grows, so does our appetite for these bits of earth. In fact, demand for the 14 mostcritical minerals for today’s electronic technologies may as much as triple over the next 20 years, according to the European Commission.… “The era of access to easy resources is over,” says mining analyst Paul Bugala of Calvert Investments.16 “How a Handful of Countries Control the Supply of the Earth’s Most Precious Resources,” ; Kate Rockwood ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 29 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 30 STARTLING FACTOIDS ABOUT 2013 IN THE US, EVERY MINUTE WE LOSE 2 ACRES OF ARABLE LAND TO DEVELOPMENT CHINA HAS SURPASSED THE US IN TOTAL CO2 EMISSIONS BY 40% 15-18 PEOPLE DIE PER MINUTE ONLY 4 COUNTRIES HAVE MORE RELATED TO HUNGER THAN 1 ACRE PER PERSON OF GLOBALLY ARABLE LAND…AND THE US IS NOT ONE OF THEM SHOCKING! NOT ACCEPTABLE! INDIA IS FOURTH IN THE WORLD IN TOTAL CO2 AND YET, US PER EMISSIONS, BEHIND CAPITA EMISSIONS CHINA, USA, AND THE EU. ARE 300% GREATER THAN CHINA, AND 10X GREATER THAN INDIA ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 31 A LOOK AHEAD TO 2050 9 Billion people by 2050...60% I ncrease 70% of w orld population w ill be living in cities by 2050 55% M iddle Classes by 2050 Dom inant Grow th in Asia and the Far East Grow ing Unem ploym ent in Educated Youth globally M iddle Classes in Developing W orld Bring New I nternal M arkets and Dem ands ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 32 LOOK AHEAD TO 2050 Global unrest due to unequal wealth, health, and resources. Insufficient Sanitation in Developing Nations Insufficient Crop Yields to Support Food Demand for all Nations Depletion of Many Species of Marine and Animal Life Global Warming Causes Severe Damage to Global Economy Limited materials to meet Urbanization Demands Fresh Water Scarcity and Crisis Areas Expand ©2012 International Institute for Learning, Inc., All rights reserved. Limited sustainable communities in developing nations Insufficient Production Raw Materials Intelligence, Integrity and Innovation 33 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 34 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 35 ORGANIZATIONS WORLDWIDE ARE DOING SOMETHING ABOUT THIS SITUATION…AND BUILDING HOPE ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 36 SOCIAL Aligning Business Values I AM SURE YOU HAVE HEARD OF THE “TRIPLE BOTTOM LINE (TBL)” with those of Individual and Community Stakeholders Sustainable Future ENVIRONMENTAL ECONOMIC Assuming Responsibility Transforming business for Contributing to a Sustainable Future ©2012 International Institute for Learning, Inc., All rights reserved. into a valuable investment based on clear principles of sustainability Intelligence, Integrity and Innovation 37 WELL, TPL IS NO LONGER ENOUGH… GOING FORWARD, ETHICS BECOMES THE REAL GAMECHANGER STAKEHOLDERS DEMAND IT THE WALLS OF PRIVACY HAVE COME DOWN ACCOUNTABILITY IS NOT OPTIONAL ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 38 “Even the m ost rational approach to ethics is defenseless if there isn't the w ill to do w hat is right” Alexander Solzhenitsyn: author ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 39 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 40 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 41 41 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 42 42 ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 43 43 Common Traits of the Sustainability Leaders Utilizes an integrated strategy that embraces and embeds social, environmental, economic and ethical responsibility Utilizes a long-term business view to make strategic decisions Invests in deployment of strategy, vertically and horizontally throughout the organization Invests in risk management in all aspects of the operations. Takes responsibility for the complete value chain and supply chain Demonstrates rigorous transparency and accountability for results and actions Nurtures innovation in all aspects of operations Embraces synergetic collaborations ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 44 WHAT DOES THIS MEAN FOR PM Project leaders will become increasingly responsible for sustainable change There are many stakeholders beyond your customers Stakeholders will judge results, through transparency, demanding accountability Ethics and values will become paramount in the execution of project work Knowledge of value and supply chains will be fundamental in all work Risk assessment and mitigation must become an organizational competency Moments of clarity that will test organization will and beliefs Excellence in PM is a “table stake”, not optional behavior Be cautious of “Green PM” ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 45 BUILDING AN INTEGRATED STRATEGY ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 46 “I see no other long term choice for industry to survive ... Each of us has a role in this transformation. We must all learn to make peace with the earth, not to make war on it, or we will lose.” Ray Anderson, Interface, Inc. ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 47 “LEITH” Indo-European Root of “Leadership, to Lead TO STEP ACROSS THE THRESHOLD WILL YOU STEP ACROSS THE THRESHOLD TO BUILD HOPE IN YOUR COMPANY? ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 48 Available to Pre-order NOW on Amazon! ©2012 International Institute for Learning, Inc., All rights reserved. Intelligence, Integrity and Innovation 49