Putting Sustainability to Work

A Short Program on Principles and Practice

On the first day of the Sustainability: Principles and Practice course last summer, participants and faculty began the task of defining sustainability. Assistant Professor Noelle Selin, who heads the short program offered by MIT Professional Education, says there is a popular United Nations version: in essence, sustainability describes actions that meet the needs of the present as well as the future. Yet developing options that fit that criterion is complex because results need to meet the triple bottom line of economy, environment, and equity.

“One theme of our class is to think not just in terms of what an existing business can do to mitigate damage to the environment from their potential activities,” Selin says, “but to think more broadly about what kinds of business models might be better suited to a sustainable world.”

Selin, who holds joint appointments in engineering systems and in atmospheric chemistry, co-teaches the course with Sloan Lecturer Jason Jay PhD ‘10, who coordinates the Sloan Sustainability Initiative, and with several other experts. In keeping with the topic and Professional Education’s own green philosophy, the professors provided digital handouts, not paper, and students received MIT-branded reusable coffee mugs.

Industry Context Guides Action

Both Selin and Jay say context shapes sustainability plans. Jay presents business cases on Walmart and Patagonia to illustrate sharply different approaches.

“Take Walmart, which is high volume and low cost,” Jay says. “They will look at sustainability as a cost-cutting strategy. They find new ways to reduce energy use, reduce packaging, and reduce costs. They have so much power in their supply chain that they can force their suppliers to invest in their own cost reduction. Proctor and Gamble redesigned their packaging schemes based on Walmart demands.”

Patagonia is the opposite, he says. “It is lower volume and higher price offerings. It is known for the highest performance clothing and equipment, from surfing to mountain climbing,” he notes. “For them, sustainability is all about differentiating and sometimes increasing the cost of products because they are going to last longer and they can be recycled. They will be more appealing to customers who want a higher-end product.”

To demonstrate a third facet of sustainability— protecting the supply chain—participants worked on a web-based Fishbanks game developed at Sloan. Using the cod fishing industry as a model, the students must learn to work cooperatively in teams because companies acting alone cannot prevent overfishing, which would destroy the industry.

Transforming Products into Services

A brainstorming exercise demonstrated another key to sustainable business strategy—converting the focus from products to services. For example, Zipcar, the MIT alumni-founded car services company, gives customers the option of the occasional use of a car rather than the purchase of one. A service company can buy in bulk and thus require manufacturers to minimize waste and boost recycling. Participants came up with their own examples including the idea of creating a television service, offering TV equipment much like cable companies lease DVRs.

How can businesses and organizations get tangible results? The course encourages students to set broad goals for model organizations as well as for their own workplaces. Thinking of sustainability as the “3Es” of environment, economy, and equity, companies may tend to focus on the environment and economy criteria, such as reducing CO2 emissions, using renewable energy options, or minimizing waste. However, the options are much broader, Selin says. Contributing to employment in a local community meets the third criteria, equity.

Some 44 percent of the sustainability participants, who ranged from recent graduates to career changers to senior managers, reported that they could apply course skills to their jobs within one month. What is an example of that? Learning how to design a good indictor, says Selin. Once you select a goal, you need to measure progress toward that goal and monitor it over time. To do that, you need a robust indicator of progress that accurately captures productive change. Defining indicators also gives the industry professionals a way communicate about sustainability options in the workplace.

Growing the 3Es in Industry

How widespread is interest in sustainability? The boost in enrollments in last summer’s Sustainability short program suggests that companies and organizations are taking the topic seriously.

“A majority of companies are saying something about sustainability, but it is still a small minority that is doing something seriously and creating value as a result,” Jay says. “Companies that sell to consumers tend to be quicker to talk about sustainability than the more business-to-business model because consumer-facing companies are vulnerable to boycotts and they put a lot of stock in their brand value.”

Motivating more businesses to transform their operations can lead to business success and a healthier planet—and the sustainability course gives participants the tools to do that.

Michelle Brown-Droese, CEO of a Massachusetts-based consulting firm, says the course will help her make a winning case for sustainability to her clients: “The knowledge I’ve learned at MIT will help me guide my small business and non-profit clients toward a successful and sustainable future.”