Customers are increasingly turning to businesses that embrace sustainability, writes Keeli Cambourne.
WHEN Vaughan Bowen's staff asked if they could go even "greener", the chief executive of M2, a private telecommunications company, decided to look outside the office walls.
"It's in M2's charter to be conscious of our place in the wider community, which we have acted upon with carbon and energy audits, reduction of paper billing and various other incentives," Bowen says.
"M2 has always been good at operating in niche markets, so I considered what would best fit into the market. At the time, there wasn't a mobile phone service that contributed to the fight against climate change.
"So we started GreenMobiles - Australia's first specifically environmentally targeted telecommunications provider, filling that gap in the market but also designed to be a program that provided a great service without the premium."
Bowen says that as an established service provider, the agreements to supply access to the Optus network were already in place, as were the back-of-house and support functions. He had to find the most appropriate supplier of carbon credits to ensure the program had the necessary credibility.
"We quickly formed an alliance with the Australian Climate Exchange, chosen for their method of operation and also the credits available. We've set up a method whereby 10 per cent of the customer's monthly access is used to purchase carbon credits - obviously, without any additional effort required from the customer," he says.
"Once customers realise that the cost of the caps is on a par with others in the marketplace, and that it's a real carbon offset at no extra cost, the reaction is very positive."
It's never too late for small businesses to go green, according to EcoBusiness chief executive Lou de Leeuw.
Through his Adelaide-based consultancy firm, de Leeuw shows businesses how they can become environmentally sustainable.
"It's never too late to rebrand yourself as green to differentiate your business in the market," he says.
"And businesses really now need to stay ahead of the pack instead of trying to catch up. It depends on what type of business you have and how much you want to spend but by making a few changes it benefits everyone."
De Leeuw says all businesses must consider their environmental footprint, with the emissions trading scheme due to start in 2010.
"Every business needs to review everything - their whole supply chain. If suppliers are going to be hit hard with the scheme, then small business could become uncompetitive," he says.
"SMEs need to find suppliers that are on top of it all so they can remain competitive and the best time to do it is now.
"They have to look at things like power supply, raw materials and their own carbon dioxide emissions," de Leeuw says.
"Businesses can make amazing reductions by doing things like just changing the type of light globes they use.
"But if businesses invest smartly over the next two years, they will reap the rewards."
Unity Management consultancy's managing director, Jon Hemming, says by spending a little money now, business will get long-term benefits.
"There is no time like the present to get on to environmental business practices.
"Global warming is not going to disappear and people are realising that their management systems and long-term decisions now need to be based around sustainability.
"For most businesses, it is now time to adapt or perish, because customers are increasingly asking for green credentials.
"They want to buy from business that they know are not destroying the environment."
Going green doesn't have to be a big job, according to John Downes, a partner with Deloitte Growth Solutions.
"One of the easiest things to do is to shut down. The simple task of shutting your computer down every evening is one of the most effective ways to save energy.
"Each PC left on overnight and over the weekend wastes up to $60 per year in electricity alone," he says.
"Turning off lights when you leave a room can reduce energy usage for lighting by up to 30 per cent."
Using recycled paper in printers, copiers and fax machines is another simple way to promote "green" practices in any business.
"Businesses should also encourage the use of reusable water bottles and branded mugs rather than paper or plastic cups for water, tea and coffee," Downes says.
"Provide recycling bins in the office and ask people to turn used paper over for scrap. Make it fun to be green. Create challenges in the office.
"This could be something such as a competition where team leaders try and make their particular team the 'greenest' in the company, with a prize for the winning team.
"Encourage people around you to be greener, use reminders to make sure teammates turn off their computers and electronic equipment.
"Use occasional brainstorming sessions to figure out how to be 'best in class' greenies," he says.
