INSIDER. Knowledge. Lessons Learned from Corporate Environmental, Sustainability and Energy Decision-Makers. Sponsored by:

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1 INSIDER Knowledge Lessons Learned from Corporate Environmental, Sustainability and Energy Decision-Makers

2 INSIDER Knowledge Lessons Learned from Corporate Environmental, Sustainability and Energy Decision-Makers Environmental Leader LLC, You may reproduce this report (in its entirety, without editing or selecting individual pages or responses) for noncommercial purposes only, provided credit is given to Environmental Leader LLC, and includes this copyright notice.

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4 Insider Knowledge Report From environmental leader s publisher Welcome to Environmental Leader s Insider Knowledge Report, which provides corporate lessons learned from 132 environmental and energy management leaders. We received more than 350 submissions for this year s report. We wish we could have included all of the lessons learned that we received. It took many weeks for us to winnow that number down to the final report you re reading. We were again struck by the effort readers put into their submissions. Thank you to everyone who contributed. Your efforts will inspire the many thousands of people who read this report. Thank you to our sponsor,, for making the production of this year s report possible. Paul Nastu, Founder & Publisher Environmental Leader As with all of our work, we hope this report helps to make your job a bit easier and helps inspire innovation. Thanks for reading. Environmental Leader LLC, 4

5 Insider Knowledge Report From the sponsor Being the supplier to two-thirds of the Fortune 100 companies and more than 90,000 busineses, institutions and government agencies across the United States we get to see energy and sustainability trends from a unique perspective. Across the country, companies and agencies are grappling with how to make short-term decisions with long-term plans in a world of economic, policy and technological uncertainty. In response, energy and sustainability managers are looking for new ways to reduce consumption, limit emissions and utilize data to plan, forecast and manage their energy needs. That is one reason why companies from hospitality to manufacturing are now exploring creative ways to pay for efficiency projects through their electricity bill via innovative programs like Efficiency Made Easy. But, even in today s economic climate, many corporations and agencies continue to search for affordable, reliable and sustainable energy solutions as a way to improve brand, or comply with goals and mandates. We see many commercial and industrial customers implementing on-site solar installations that give long term price control and contribute to sustainability goals while government agencies are now engaging in public-private partnerships to implement outside the box contracting vehicles to meet net-zero goals and renewable energy mandates. Load Response is gaining more and more attention as businesses gain more insight into and control of their electricity demand. Some customers are taking the revenue generated from load response programs and re-channelling it to pay for additional efficiency projects. Many are implementing enterprise platforms like VirtuWatt TM that gives them real-time, site-specific, energy usage data and real-time market prices from Independent System Operators. Customers are now managing site-level demand centrally and can submit bids in Demand Response markets 24/7, even from a smartphone. And finally, energy procurement is undergoing a paradigm shift. Energy managers and financial officers are no longer content to leave money on the table or risk budgets to arbitrarily timed one or two-year fixed price contracts. More companies are signing up for SMART data-driven programs like i2i that analyze past usage, forecast potential scenarios and build dynamic procurement plans that help take advantage of energy markets. It is because we at Constellation believe that innovation, data and insight are the paths toward greener and more efficient energy future that we are proud to sponsor Environmental Leaders Insider Knowledge Report. As a sponsor, we have no editorial input, but we are delighted to help deliver this valuable information. Environmental Leader LLC, 5

6 Insider Knowledge Report index of categories... energy management 7 auditing & reporting 14 strategy & leadership 21 energy management 37 sustainability 41 facilities 48 supply chain 55 workplace 60 design & innovation 65 waste & recycling 70 water management 77 marketing 78 green it 82 index of authors 85 index of companies 86 Environmental Leader LLC, 6

7 Insider Knowledge Report supply chain The publically released sustainability goal for Nike Equipment product was to meet Bronze Level ranking by the year It was the reality of this distant goal and discussions with our supply chain partners that led us to embrace sustainability for our Global Bags business two years ago. Within two years, about 30 percent of our product is now sourced from a more sustainable supply chain. The insights from this journey fall into three areas of opportunity that brands should consider on their own journey. First of all, it is imperative to develop a Linda Keppinger Nike, Inc. sustainability strategy for your business. The threepart strategy must include people, planet and profit. Meaning that each of these critical aspects must be incorporated into the overall plan. Working with a consistent and long-term commitment, sustainability must be achieved in collaboration with profitability. Secondly, a way to measure progress or Index must be utilized. The scope of an Index comprehensively measures the impact on the supply chain for your specific business sector and/or function. Establishing business processes to measure the progress on a regular basis ensures that the scoring and metrics are communicated. Lastly, it is the power of the team that will bring the vision to reality. Take the time to educate, inspire and consistently communicate with your team members. Approach and engage on all levels within the team. This multi-tiered approach will engage and implement change. Sustainability is a game changer for your business. Environmental Leader LLC, 55