Wal-Mart Is Leading the Way Toward Sustainability

I just read an article in the New York Times about Wal-Mart’s chairman and CEO from 2000 to 2009, Lee Scott.   Scott is credited with Wal-Mart’s major overhaul toward sustainability.  Some of his inspired goals include Wal-Mart’s commitment to reduce their carbon emissions from its global supply chain by 20 million metric tons by the end of 2015 and their pledge to use 100 percent of their power from renewable sources of energy and a promise to create zero waste. 

According to Scott, environmentalism is a byproduct of sound business.  He says that the effort has less to do with environmental altruism than a business-sense commitment to cutting inefficiencies and that wasteful excess should be the driver behind seeing sound environmental practices as an opportunity rather than a punishment.  In Wal-Mart Chairman: Go Green for Money, Not Image he states, “What Wal-Mart has done is approach this from a business stand point and not from a point of altruism. If we as a company focus on waste, we can make Wal-Mart a better company and at the same time, become a better citizen.” 

Scott also focused on engaging both consumers and employees in his substantiality efforts.  He contends that while there is the misconception that Wal-Mart’s consumers, who are generally lower- and middle-income Americans on tight budgets, are not usually associated with environmentalism is not necessarily true.  Scott hopes to reverse that view and link reducing waste with lower prices. 

Scott also asked for volunteers within the company to brainstorm ideas for improving efficiency.  This led to quarterly sustainability meetings in which these volunteers brainstorm with each other to find better ways to reduce waste.   He explains how a single employee decided to change the packaging on private label toys and eliminated 215 containers from shipping.  Wal-Mart’s private fleet of long haulers also managed to cut fuel purchases by 38 percent by loading more efficiently and choosing better routes.  He states of employee involvement, “We thought we were leading, but we weren’t.  They were waiting for us.” 

Wal-Mart indeed is making great efforts to be the leader in big box retailer sustainability, and their current CEO, Mike Duke, plans to follow Scott’s lead.  It just goes to show what one inspired, caring and dedicated executive can do.   If you lead, employees, consumers, everyone will follow.  Our goals should, in fact, be the same…a better future for all.