Partners for the Environment

Are awards and other forms of public recognition for environmental performance valuable to companies? Recent surveys suggest they are. According to the Conference Board, an international business membership and research organization, almost 80 percent of senior environmental, health, and safety (EH&S) executives predict that their companies' global EH&S reputation among stakeholders will become more crucial to their bottom line in the next 5 years. Another survey, by marketing analysis firm Walker Research, found that more than three out of four customers avoid businesses that have an irresponsible corporate environmental attitude.

"Participating in EPA's partnership programs is good for us not only because of the cost-savings, but also for the way it reflects positively on our corporate image."

Scott Seydel, Chief Executive Officer The Seydel Companies

Recognizing its potential value, many partnership programs offer recognition, such as national awards for exceptional performance. These awards typically generate positive press coverage for winners. And over the long term, they're often used as a basis for highlighting environmental commitment and achievement in corporate communications. Past winners, such as IBM, Dupont, and Dow, for example, feature their awards on their Web sites.

Enjoy Recognition

Brian Olson, owner of the 45th Avenue Cleaners in Portland, Oregon, knows first hand how public recognition for environmental achievements can have a positive impact on business. Since his dry cleaning operation received EPA Region 10's Evergreen Award for Pollution Prevention, Olson has seen a

tremendous increase in the volume of customers he services. By adopting a "reduce, reuse, and recycle" mindset, the company has reduced solvent use by 80 percent and solvent waste by more than 60 percent and virtually eliminated wastewater discharges. Along with EPA, recognition has come from other sources; shortly after EPA's award, the National Waste Prevention Coalition named 45th Avenue Cleaners to its list of the top 15 dry cleaning operations in the country.

Logos that can help companies distinguish their products in the market place provide another form of valuable recognition. The Energy Star program for example, offers a logo for placement on computers and other appliances that meet energy efficiency criteria. This distinction sends a signal to consumers and can be influential in purchasing decisions. A survey conducted by the American Council for an Energy-Efficient Economy showed that 80 percent of consumers concerned about energy efficiency are familiar with EPA's Energy Star logo, and 43 percent of consumers say they have looked for the Energy Star logo when purchasing a product.

"Numerous case studies show that companies leading the way in implementing changes that help protect the environment tend to gain disproportionate advantage, while companies perceived as irresponsible lose their franchise, their legitimacy, and their shirts."

Amory B. Lovins, L. Hunter Lovins, and Paul Hawken, Authors of "A Road Map for Natural Capitalism," in the May-June 1999 Harvard Business Review.

In addition to sharpening a company's image externally, receiving recognition can be helpful internally, too. In 1999, Carrier Corporation, a manufacturer of heating, ventilation, and air conditioning equipment, received an award from the WasteWise program for its waste reduction efforts. Company spokesperson Angie Scafidi commented that "the award helps me justify Carrier's waste management and recycling program to top management." She also noted the award's value in helping to boost employees' corporate pride and sense of accomplishment.

U.S. EPA Office of Policy, Economics, and Innovation
URL: http://www.epa.gov/opei
Last Updated: January 2000

Partners for the Environment

Partners for the Environment

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