A recent survey of 300 energy intensive businesses from the UK, Germany and the US has revealed a significant gap between the de-carbonisation aims and ambitions of the senior management and practical implementation at the operational level.
The survey, conducted by Sphera, found that 45% of businesses polled, in the construction, energy, minerals, manufacturing and chemicals sectors, had set or are developing Net Zero strategies, and a similar proportion had increased their budget available to achieve these ambitions, by at least 20%.
However, 59% of operations managers reported that there had been no significant operational changes implemented to support this.
Indications are that this disparity comes down to issues of embedding Net Zero ambitions in financial planning, training and operational protocols, and senior management adopting a very much ‘top down’ approach.
60% of the operational managers polled said they would not rank employee engagement with their organisation’s sustainability strategy or initiatives very highly. 40% said they personally receive “little or no encouragement” to contribute suggestions on improving the environmental sustainability of business operations, despite a desire to do so. 30% however said they are “highly supportive” of “radical” change to reach net-zero.
In our experience, this disconnect between senior management and the operational level activities is not uncommon in many aspects of business strategy, not just Net Zero, and it exists across all sectors, and all business sizes.
So, what can SME owners and Directors do to resolve this in order to implement Net Zero strategies that will actually deliver. Here’s a few Clean Tech Business Group suggestions.
Communicate the aims and ambitions to all the workforce.
Explain why it is important to the business, not just to the planet. You’re trying to change what people do, not what they think. Explain that it will reduce business costs, increase competitiveness and open up new business opportunities, enabling the business to thrive.
Engage all the workforce by encouraging and enabling their suggestions on where energy savings, waste reductions and process efficiencies can be made.
Establish a company-wide working group to focus on delivering the Net Zero strategy. Involve all levels of the business in this.
Report and Communicate progress – for example, monthly or quarterly interim carbon reporting, with progress against targets made visible to all. A simple graph or display in the staff canteen or reception area for example.
Analyse the reasons for successes and failures in meeting targets, using all the input from across the business.
Appoint ‘Carbon Champions’ in all divisions or departments, who will act as the focal point, and the liaison, between the shop floor and the senior management.
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*The Clean Tech Business Group acknowledges Edie.net in bringing these survey results to us.
Ewan Bent, 26th Jan 23