1) Leading companies have high levels of integration of product sustainability programs with executive leadership and corporate goals. This ensures corporate alignment. 2) Successful programs establish clear, measurable sustainability goals that are relevant to business units. Goals guide product development and procurement. 3) Key functions like product development and procurement must be engaged. Performance is measured using metrics like revenue from sustainable products and growth rates of sustainable offerings.

1. Winning Product Sustainability Programs, Approaches,
and Metrics
Tim Greiner, Pure Strategies @timgreiner
Glen Dowell, Cornell University @glen_dowell
Lori Michelin, Colgate-Palmolive @CP_News
Niki King, Campbell Soup Company @n_kelley
Ezgi Bercenas, Anheuser-Busch InBev

2. pure|STRATEGIES 2
Sustainable Brands New Metrics ‘15
Winning Product Sustainability Programs,
Approaches, and Metrics
Glen Dowell
Associate Professor
of Management and
Organizations
Cornell University
Tim Greiner
Co-Founder &
Managing Director
Pure Strategies
Ezgi Barcenas
Global Manager,
Sustainability
Anheuser-Busch
InBev
Lori Michelin
Vice President Global
Sustainability & EHS
Colgate-Palmolive
Niki King
Senior Manager,
CSR Program Office
Campbell Soup
Company

3. Tim Greiner, Managing Director
Pure Strategies, Inc.

4. pure|STRATEGIES 4
6x Growth
Revenues from sustainable
products and services grew
six times the rate of overall
company revenues between
2010 and 2013
Two-times the number of food
and beverage companies
have experienced increased
sales
13% Staff Productivity
Employee engagement
drives productivity through
improved retention,
enhanced recruitment, and
efficiency gains up to 13%
Top benefit earned from
productivity sustainability
programs

5. pure|STRATEGIES
Leading
programs
requires
• Corporate
Alignment
• Business
Integration
5
What can we learn from the Leaders?

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Top-performing companies have a high level of product
sustainability integration with executives and administration
Leadership
engagement is key to
corporate alignment

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Structured goals are
key to corporate
alignment
Percentage of companies with product
sustainability goals

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What are best practices
for structured goals?
Purpose/Aspiration: L’Oreal
Sharing Beauty with All: “L'Oreal has chosen
to integrate the principles of sustainable
development into its business model”
Biz Relevant Goals: L’Oreal
• By 2020, 100% of products will have an
environmental or social benefit

9. pure|STRATEGIES
Business
Integration
involves
• Key functions
• Performance
Measures
9
What can we learn from the Leaders
about business integration?

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Percentage of companies with a high or very high level of
sustainability integration in the product development process
Product development is
a key function

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Procurement another key
function
Communication
Capacity
Building
Collaboration
• Clear supplier priorities
• Supplier Scorecards
• Technical assistance
• Tools
• Joint goals with suppliers
• Shared projects
Three “Cs” of
supplier
engagement

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What are best practices for
integrating into performance
measures?
Revenue
• Amount of revenue
from sustainability-
driven products
Growth rate
• Rate of sustainable
products
(compared to rest
of company
portfolio)
Proportion
• Ratio of product
launches or
product portfolio
with sustainability
improvements
(over baseline)

13. Tim Greiner, Managing Director
Pure Strategies, Inc.
tgreiner@purestrategies.com

14. Glen Dowell
Center for Sustainable Global Enterprise
10/10/2015 NBA 6030 (Glen Dowell) 14
Sustainable Product
Innovation Programs

15. Our Study
• Lengthy, semi-structured phone interviews
with Fortune 500 companies
– Follow-up in-depth case studies ongoing (maybe
next NM Conference!)
• Key objectives were to understand:
– Structure - where in the organization these
programs fit
– Process – formal and informal means of
evaluation
– Evolution – how have they changed

16. Challenges Companies Are Telling Us About Fall Into Three Categories
Content Structure Motivation
Challenge Gap between
overall company
goals and
product-level
metrics
Where are these
programs
situated in the
organization?
How much do (or
don’t) customers
drive these
programs?
Implications for
Metrics
Sust metrics can
be ‘piled on’ to
existing ones
without a clear
link
Structure can
drive what gets
measured or how
metrics are used
How can metrics
support the
business case?
“Best Practices” Strategic Links Top Mgt support
with product-
level ownership
Moving from risk
reduction to “win
in the market”

17. The Tradeoff Firms Are Facing
Companies are
learning to ‘pick their
poison’ in this tradeoff
– they can’t maximize
on all three
Simple: Can be quickly and easily interpreted
Accurate: Represents the
situation preciselyGeneral: Applies to diverse
products
The best metrics figure
out where to allow
tradeoffs – might not fit
all products, but is highly
accurate and relatively
simple for the high-
impact products, e.g.

18. pure|STRATEGIES 18
Sustainable Brands New Metrics ‘15
Winning Product Sustainability Programs,
Approaches, and Metrics
Glen Dowell
Associate Professor
of Management and
Organizations
Cornell University
Tim Greiner
Co-Founder &
Managing Director
Pure Strategies
Ezgi Barcenas
Global Manager,
Sustainability
Anheuser-Busch
InBev
Lori Michelin
Vice President Global
Sustainability & EHS
Colgate-Palmolive
Niki King
Senior Manager,
CSR Program Office
Campbell Soup
Company