Smart Supply Chain - Stopping the Value Leaks

THE INNOVATION:

Helping major brands and other companies in taking sustainability serious and deep – not as an add-on or nice-to-have or regulatory requirement – but embedding it to enhance  business and brand value, while decreasing environmental impact and contributing to quality of life in the world.

Gil Friend, CEO

Natural Logic, Inc. – Strategic Advisors to the Sustainable Economy
http://www.natlogic.com/

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• Increasingly, businesses are finding that a very significant part of brand value and share value is intangible…reputational. A lot of [forms of value] have not found their way to the balance sheet.  Smart companies are courageously moving ahead of the mechanics based on their sense of where the value lives…
• Typically people think of the value chain as 'where do you add value?'…. The question we’re asking is 'where is there value leakage?' such as excess resource spend, resources that make their way into the landfill instead of into the product, or lost sales opportunity, or that are one-shot instead of ten-year.   This is a systemic exercise.
• Sustainability holds the biggest business opportunity of the 21^st Century.  We are finding that we were understating the value.  The value is massive…  Both we and our clients were staggered by the kinds of value opportunities that this work has been opening up.
• Everyone wants to know the providence of everything….   You can’t get it now – due to difficulties technically, confidential business relationships, and people’s fear of sharing data. [A startup company we're working with] Open Data Registry is building an information infrastructure to make it possible and safe to access and share that information.  The question ODR is asking: What happens in the world when it is more valuable to share information that to keep it secret?   A very powerful question.
• Advice for other innovators? Pay attention to what you really care about.  A lot of people get distracted by the myth that it is only business… We know from personal experience and research data that the very best companies are driven by purpose…. Profit is the consequence, not the focus.   If you do something valuable and do it well, the money follows. So get to the heart of what matters to you, and then how do you bring that forward cost-effectively into the world…. There are some real human needs that need to be met, the folks who can do that, and do that well, are going to succeed.

See Gil’s posts at GreenBiz.com