Selling A Service? See How to Make it Sustainable
It’s simple to see how sustainability can apply to product-heavy companies. A mining company or direct-to-consumer start-up has a distinct environmental impact. But what about service-based companies and sustainability?
I see service-based companies either misinformed about where they stand in the space or how they can influence their sustainability. Service-based organizations have an array of options to influence and be influenced by sustainability.
Service-based organizations can take steps to improve sustainability. Don’t believe me? Check out the B Corp Directory to see how many service-based businesses are certified B Corps. The opportunity for impact exists! We can use Triple Bottom Line thinking to help understand service-based companies. Look at your “People, Planet, Profit” footprint to uncover sustainability. If you can make positive changes to any of these areas, you’re increasing your sustainability.
“Feeling stuck? We can use Triple Bottom Line thinking to help understand service-based companies. Look at your “People, Planet, Profit” footprint to uncover sustainability. If you can make positive changes to any of these areas, you’re increasing your sustainability. ”
At their simplest service-based companies are in the business of selling ideas or strategies. Think about consulting. You’re selling an idea and a strategy. Digital marketing or advertising is selling ideas.
Let’s break up service sustainability options into two categories, internal and external. Internal is internal business operations and external is external business operations. Internal includes office space, supply chain, employee travel, employee policies. External includes outside investment, customers and partners. Look at each of these areas to figure out where to make your impact.
Internal Actions
These are actions you can take that will provide concrete environmental benefits.
Travel
If you’re traveling to meet clients or sell potential clients, you’re having an environmental impact. A roundtrip flight from JFK to San Francisco airport emits 1.4 tons of carbon emissions. You can help reduce the impact of your employees’ travel in multiple ways.
Here are some suggestions:
Make a travel policy for the company that includes measures like giving rationale why this can’t be done over the phone, offsetting flights over a certain amount, using rental hybrid cars exclusively, or limiting travel to a certain number of miles annually.
Publish both air miles flown and your adjacent carbon offset
Educate employees on their travel footprints and how they can limit
Make a list of “important travel”-including conferences or industry events-and rate them against “less than important” travel opportunities
Employees
Sustainability includes the treatment of employees! (Remember “People?”) There’s a reason that sustainability certifications like B Corp and ESG investment rankings include employee treatment and benefits. Service-based organizations, especially consulting, is known for being high-energy, high intensity. Make sure you’re adequately rewarding employees and engaging them.
From a sustainability perspective, some employee actions to consider:
Check parental leave policies. Are you retaining employees after parental leave? Longer parental leave at Google led to a 50% higher retention rate of women post-leave.
Employee volunteer programs. They’re popular for a reason. They work at retaining employees and building teams.
Benefits directly related to the environment:
Commuter incentives for those that bike or take public transit
401k or retirement plans with ESG funds
Healthy snacks
Related: 6 Sustainability-Minded Benefits Your Employees Will Love
Office Space
In your office look at:
If you’re in an office, there are environmental upgrades you can make. Use employees to come up with and carry out office strategies.
Lighting
Computer and server energy use
Water consumption and water bottles
Single-use plastic in kitchens
Food waste separation
Snack options and disposal
Office furniture
Building policies- LEED certified
Quick change policies:
No more bottled water
Policy on turning off computers
Lights on timers
Adequate waste bins, including recycling
Office-wide memos and environmental communication
Suppliers
Again, this could be a small amount or footprint but it’s worth considering. Are you purchasing office equipment, catering or snacks from reputable companies? Have you checked the environmental footprint of your suppliers?
Supporting companies with positive environmental habits is sustainability. Make a list of suppliers and check. If they don’t align with how you see sustainability, consider another option. Waste management is an easily-identified supplier. Make sure you’re recycling and trash are getting sorted. Bonus points if you sort food waste.
External Actions
These can have less of a tangible impact but still make a difference. Deciding who to partner with, serve or invest in has significant environmental ramifications.
Partners
Partners can be non-profits you donate to, people you speak with at conferences, office mates or business partners. Like with suppliers, look at their environmental footprint to see if your values align. Seek our partners that have a positive environmental or social impact, either through a company policy or best practice guide.
It’s a simple analogy, but if you’re creating a new market to serve female-owned businesses, attending a conference sponsored by a sexual-harassment offender isn’t your best look.
Customers
Customers reflect on the businesses that serve them. Like partners, do your customers align with what you’re trying to communicate? One way to do good is by helping your customers do so. If you’re serving a customer with an environmental mission, you are helping their mission by making them the best customer they can be! This is very powerful and shouldn’t be underestimated.
Investment
Put your money where your mouth is. Are you investing in fossil fuel companies? Your dollars have an impact, so a review of where you're investing can send a powerful statement on values. Whether you’re working in venture capital, institutional investing or getting a business loan, check the organizations you’re tied to financially.
A Word On Identification
Identifying these areas is sustainability! Taking a step to review airline miles or which conferences you are attending is a sustainable action. Don't feel pressured to act right away or to put in massive changes. A good start is to review these areas and see where you stand.
“Identifying these areas is sustainability! Taking a step to review airline miles or which conferences you’re attending is a sustainable action. Don’t feel pressured to act right away or to put in massive changes. A good start is to review these areas and see where you stand. ”
Once you’ve reviewed and identified these items, you can then begin an audit and initiatives.
As a service-based organization, you have lots of options to improve your sustainability footprint and way of thinking. If this feels overwhelming, choose one area to make a change. Once that’s completed, move onto the next area.
Is there anything I missed? Do these reviews seem manageable? Share in the comments below.
If you’re interested in getting hands-on help in your service organization, check out our consulting services. They’re designed to get you on track.
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