Managing strategically for environmental sustainability: China (complete ppt)

Managing Strategically for Environmental Sustainability: Lessons from China BHAAI1018U

John Hulpke [email protected] Lau [email protected]

Summer 2014Copenhagen Business School

Day 1 - June 24, 2014

Note: if material is used without attribution please let us know, we would be glad to give credit where due. We used so many sources in preparing this course we may have missed noting source somewhere. Let us know!

• John Hulpke [email protected]• Cubie Lau [email protected]

mailto:[email protected]


[email protected]@gmail.com

3

room SP114 Tuesdays and Thursdays plus Friday July 4, times: 14:25 to 17:00


John F. Hulpke

Cubie Lau

• Old idea: I taught, therefore you learned

• New idea: You learned, therefore I taught

Today:

• Form groups• Get acquainted: HELLO sheets• Brief intro to course: why, how• See if your group can become a team, by a

field exercise• Report findings to entire class

Form groups:

• Ideally one from Denmark each group

• You chose ISUP because it is “I” so mix nations

• Gender? In past world run by men, but….

• If lucky, mix of majors: acct, mkt, ops mgt, etc

Get acquainted!

• Is this a typical first day who are you sheet?

• And what is that “bucket list” about?

• Trivia questions…

WHY?• Why did YOU take this course? Your expectations?

– Quote: Are you content with just "business as usual" or are you someone who is interested in business in changing the world?

– We're looking for people like you - people not content to do things the way they've always been done, the disrupters, innovators and visionary entrepreneurs. Leaders who think differently and know there's a better way to do business, and who are ready to embark on a business education that will prepare them to live differently, lead differently and profit differently.

• Why Environmental Sustainability?• Why China?

HOW?

• Powerpoint but that is not key

• No text but parts of several books on LEARN

• Lots of interaction

• Not much lecture

Learning resources?• Instructor. We have academic qualifications, experience, etc. But

think about it: for SURE each person in the class knows things the instructor does not know. So, you will learn from…

• Classmates. You will discuss topics in class, and provide actual business examples

• PowerPoint slides. Subject to change of course

• Daily life! Read newspapers, watch leaders at your work

• Cases! The main instructional resource in this class

1-11

PowerPoint slides great. However,

• PowerPoint? Yes, but avoid overreliance on PowerPoint, and slides will change

• Others worry about PowerPoint too, including the US Military

• One Wall Street Journal article had the headline–“Death by PowerPoint”

• Another article (New York Times) had these comments:

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“PowerPoint makes us stupid”

Brig. Gen. H. R. McMaster, who banned PowerPoint presentations, likened PowerPoint to an internal threat. “It’s dangerous because it can create the illusion of understanding and the illusion of control,” General McMaster said. “Some problems in the world are not bullet-sizable.”

Elisabeth Bumiller. April 27, 2010, page A1 New York Times

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Exam question? analyze & explain this PowerPoint slide

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Review, what is on today?


field exercise• Report findings to entire class

LET’S EXPLORE!

Are companies or other organizations around here doing anything? Any lessons we can learn? LET’S EXPLORE!

WE VISITED ____________________________(tell us which organization you will visit NOW, before you leave, to prevent duplications. We do not need 5 teams to look at McDonalds)

LET’S EXPLORE!

WE VISITED ______________________________________

This organization is doing some interesting things relating to environmental sustainability, such as (SOME MAY NOT BE DOING ANYTHING INTERESTING!) However, we think this organization could do better. For example, PREPARE ONE SLIDE OR A FEW SLIDES (MAXIMUM 5 SLIDES) TO SHARE WITH CLASS

WHAT DID WE LEARN?

• WHAT DID WE LEARN?

• HOW DID WE LEARN?

• WHO WAS THE TEACHER? (WHO WERE THE TEACHERS, PLURAL)

• in future we will also learn by reading

Learning with Cases in a “case” you identify who needs help or advice, you analyze, then you recommend.

to a large extent this is a CASE course. You may want to look up “how to do cases” in Google.

OR, look at the following slides.

What Is a Case?• A description of an actual situation, commonly

involving a decision, a challenge, an opportunity, a problem or an issue faced by a person (or persons) in an organization.

• Allows you to step figuratively into the position of a particular decision maker.

• Field-based with the visit of an organization and collects the data.

• The product of a carefully thought-out process.

Why Do We Do Cases?

• Examine real life situations• Practice our analytical tools• Engage in discussion of issues/answers• Develop professional attitudes

Inventory of Skills Developed by the Case Method

• Analytical skills• Decision making skills• Application skills• Oral communication skills• Time management skills• Interpersonal or social skills• Creative skills• Written communication skills

Case analysis? What NOT to do• Do NOT update the case• Do NOT rehash the case, simply giving the

reader a condensed version of the case• Do NOT go to the web. BUT if you cannot resist,

go ahead, but FOR SURE any phrase you copy, say exactly where and put in quotes.

• Following may help in TEAM case study

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Analyzing a company issue, analyzing a case - 7 Steps (ONE author says)

• Defining the issue (or issues, preferably one)• Analyzing case data with focus on causes and

effects as well as constraints and opportunities• Generating alternatives• Selecting decision criteria• Analyzing and evaluating alternatives• Selecting the preferred alternative• Developing an action and implementation plan

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Analyzing Data• Causes and Effects

– To work backward to determine what may be the “root” causes.

– Fishbone Diagram:

EffecttCause

Equipment People

Methods Materials

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Analyzing Data (Continued)There are MANY models, frameworks, you may use. Such as this famous one:Structural analysis of competitive forces

– Porter’s five forces model

Potential entrants

Suppliers Buyers

Substitutes

Threat of new entrants

Bargaining power of buyers

Threat of substitute products or services

Bargaining power of suppliers Industry

competitors

Rivalry among existing firms

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The McKinsey 7-S Framework

STRUCTURE

SHAREDVALUES

SYSTEMS

STYLE

STAFF

SKILLS

STRATEGY

Deliverables• Issue identification

note: Issue identification is KEY TO case analysis! What is the main thing needing attention? If you do not say what needs working on, your suggestions will be hard to evaluate

• Analysis and alternatives• Recommendations for action

– Another note: a KEY point!• Implementation plans

Defining the Issues• Produce a clear and comprehensive statement

of the issue(s) involved in the case.• Clearly identified key concern(s), problem(s),

decision(s), challenge(s) or opportunity(ies).• 3 things to be considered:

– Immediate and basic issues– Importance– Urgency

Generating Alternatives

• Be creative and think widely• Consider constraints and opportunities• Be realistic and plausible

Selecting Decision Criteria• Provide the basis for evaluation or assessment measures• Common decision criteria:

– Quantitative:• profit, cost, return on investment, market share, capacity,

delivery time, risk, cash flow, inventory turn, productivity, staff turnover, time to complete, growth rate, quantity

– Qualitative:• competitive advantage, customer satisfaction, employee

morale corporate image, ease of implementation, synergy, ethics, flexibility, safety, visual appeal, obsolescence, cultural sensitivity, motivation, goodwill

Analyzing and Evaluating Alternatives

• List the key advantages and disadvantages of each alternative.

• Compare and contrast each alternative against the selected criteria

• Short vs long term• Predicting outcomes• Quantitative vs qualitative analysis

– note: all sounds good, but a bit theoretical.

Developing an Action and Implementation Plan

• Be specific• Focus to produce the advantages and minimize

the disadvantages• Planning the implementation

– Provides a schedule and milestones for the action plan.

– Provides the measures or signals for the progress.

What next class?

• Again, teams

• Again, not exactly a normal lecture class

• Come ready to be creative

June 6 day 2 of Managing Strategically for Environmental

Sustainability: Lessons from China

WELCOME [email protected] [email protected]



John F. Hulpke

Cubie Lau

Day 1:


field exercise• Report findings to entire class - STARTED but

did not finish

Day 2, June 26:• Report findings to entire class CONTINUED

• Then, again, teams

• Again, not exactly a normal lecture class

• Come ready to be creative

• Last segment: first look at KPMG report

LET’S EXPLORE!

WE VISITED ______________________________________

This organization is doing some interesting things relating to environmental sustainability, such as (SOME MAY NOT BE DOING ANYTHING INTERESTING!) However, we think this organization could do better. For example, PREPARE ONE SLIDE OR A FEW SLIDES (MAXIMUM 5 SLIDES) TO SHARE WITH CLASS

We visited physically or virtually

• Copenhagen Municipality• Pstereo (virtual visit)• Fotex• Radisson Hotel• Fredericksberg Park• CBS

We learnedWe visited + and - What’s next?

Copenhagen Municipality

Pstereo (virtual visit)

Fotex

Radisson Hotel

Fredericksberg Park

CBS

WHAT DID WE LEARN?





LAB ASSIGNMENT 26 June 2014Two pieces of BAD NEWS!!! Humans are messing up the environment, and it’s scary. What sort of things we humans have done to screw up our planet? Each team will find TWO news items or blog entries or ?? showing BAD NEWS about the environment. One BAD NEWS example should be about something in China. This can be from a source anywhere in the worldOne piece of BAD NEWS, using an example from ASSIGNED REGION. This can be from any source WITHIN YOUR ASSIGNED REGION.You will make 2 short “bad news” reports, perhaps two or three slides each. You may follow a format such as1.Here’s an example, a piece of BAD news about the environment in China: Title of article or web site:Reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief (around 100 words?) reaction or comment IN OUR OWN WORDS A PHOTO or short video illustrating bad news about environment. Photo may be related to the article above or possibly unrelated, your choice. Again, show exact source, and give your brief reason for selecting this photo 2. Here’s an example, a piece of BAD news about the environment in ______: Title of article or web site:Reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief reaction or comment IN OUR OWN WORDS (100 words or less) A PHOTO or short video illustrating bad news about environment. Photo may be related to the article above or possibly unrelated, your choice. Again, show exact source, and give your brief reason for selecting this photo

Two pieces of GOOD NEWS Humans are starting to wake up! At least from this example, we can see some positive actions are happening to save the environment. We repeat the exercise from above, but look on the bright side.One GOOD NEWS example should be about something in China. This can be from a source anywhere in the world. One piece of GOOD NEWS, using an example from ASSIGNED REGION. This can be from any source WITHIN YOUR ASSIGNED REGION. 3.Here’s an example, a piece of GOOD news about the environment in China: Title of article or web site:Reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief (around 100 words?) reaction or comment IN OUR OWN WORDS A PHOTO or short video illustrating bad news about environment. Photo may be related to the article above or possibly unrelated, your choice. Again, show exact source, and give your brief reason for selecting this photo 4. Here’s an example, a piece of GOOD news about the environment in ______: Title of article or web site:Reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief reaction or comment IN OUR OWN WORDS (100 words or less) A PHOTO or short video illustrating bad news about environment. Photo may be related to the article above or possibly unrelated, your choice. Again, show exact source, and give your brief reason for selecting this photo

result of lab project?Your specific news/examples should be fairly recent (2009 or newer). You can Google the news, or look at magazines or newspapers via databases like ProQuest or WiseNews. The news/examples will come from China (1 and 3) OR for 2 and 4 will come from the area of the world listed below:Examples for 2 and 4 will come fromTeam 1: Asia but not ChinaTeam 2: EuropeTeam 3: Africa or the Middle EastTeam 4: The Americas (but not the USA. Could include the Arctic)Team 5: Australia/Oceana. Could include AntarcticaTeam 6: USA End result? Each team will post 4 reports on LEARN. There will be a place for BAD news from China, GOOD news from China, BAD news from the rest of the world and GOOD news from the rest of the world.

Bad news, good news

Everywhere in the world, environment issuesChina seems to have all kinds of problems

Everywhere in the world, there is good newsEven in China, there is good news

What next class? Day 2 agendaAgain, teamsAgain, not exactly a normal lecture classCome ready to be creativeReport findings to entire class CONTINUED

Then, again, teamsAgain, not exactly a normal lecture classCome ready to be creative: BAD NEWS, GOOD NEWS

Last segment: first look at KPMG report

End the day with movies

The story of stuff 21 minutes, plus a few hours to discuss

http://www.youtube.com/watch?v=gLBE5QAYXp8&feature=kp

– Anyone recall seeing this before?

And if time remains . . .Tragedy of the commons

http://www.youtube.com/watch?v=KZDjPnzoge0

Field exercise• Denmark – well developed country with long history of

sustainability• How companies are doing?

– Copenhagen Municipality– Pstereo (virtual visit)– Fotex– Radisson Hotel– Fredericksberg Park– CBS

• We see:– Range of initiatives– Every industry can contribute– Importance of stakeholders

Lab assignments

• What are key environmental challenges received most attention?

• Good news, where?• Bad news, where?• Optimistic or Pessimistic? WHY?

KPMG article - Let’s think…

• What is sustainability? A fad or trend?• Drivers?• Benefits?• Barriers?• Stakeholders?

KPMG: a first look

• What is this report?

• Good news from page 3?• Is there a downside, bad news, on page 3?• Your takeaway from page 4?• My takeaway from page 4: • Why would KPMG do this? Page 5 hints

Executive summary

• Look carefully at page 13• Can you give an executive summary of this

executive summary? Can you find a sentence or two you would want your kids to remember?

The survey

• 2010• 378 senior execs (“very” senior)• Plus desk research and interviews

• The results? Pages 15 to 29

Conclusions? Seven steps

• Use scenario planning to identify potential risks to your business—and new opportunities to exploit

• Set ambitious targets—and lead by example• Start measuring environmental inputs and

productivity across your business• Tap into employee engagement—both

internally, and across business partners

Conclusions? 3 more steps

• Develop internal lessons into external products and services

• Explore other benefits that can be derived from action on sustainability

• Benchmark and report progress

Developed vs developing countries

• We have known something about Denmark, and about the world

• Perhaps, we should look at one emerging economy – China officially the People's Republic of China (PRC)

Is China different?

PESTLE – a popular tool in strategy

• Political• Economic• Social• Technological• Legal• Ecological

Peng, Mike W. et al. (2004). Ownership types and strategic groups in an emerging economy. Journal of Management Studies, 41(7):1105-1129, esp. 1110-1114

Ralston, David A., et al (2006). Today’s state-owned enterprises of China: Are they dying dinosaurs or dynamos? Strategic Management Journal, 27: 825-843, esp. 832-34

• Prior to China’s Open Door Policy in the late 1970s, only two types of firms: state-owned enterprises (SOEs) and collectively-owned enterprises (COEs) (Peng et al., 2004).

• SOEs dominate entire sectors of China's economy, and are frequently the recipients of favourable loans and treatment from the government (Li, Sun, & Liu, 2006; Riley, 2013). They are usually large and complex, with slack resources.

• In 2012, 54 Chinese SOEs made it into the Fortune 500.

POEs• Emerged in the 1980s due to the decentralisation policy in the 1980s (Li

& Yang, 2006).

• Usually operating in a less favourable environment. For example, they were denied entrance to certain industries, such as petrochemical and telecommunication, paid higher taxes, and had limited access to loans from state banks (Ralston et al., 2006).

• Were unburdened of their previous social responsibilities, and in some cases, became polluting and socially negligent in terms of health and safety standards (Wang & Juslin, 2009; Young, 2002).

• POEs contribute 60 percent to China's GDP (Moody & Chen, 2013). Many contemporary POEs are driven by affluent entrepreneurs and some are started as collectives (Ralston et al., 2006).

MNCs• Wholly-owned foreign companies and Sino-foreign

venture ventures have flourished in China in the late 70s.• Eyeing China’s 1.3 billion population and its low cost

workforce, MNCs have invested mostly in the manufacturing sector (more than 60% of the FDI volume), followed by the real estate sector (about a quarter of the FDI volume), and the distribution sector (less than 6%) (China-Invest, 2009).

• Compared to domestic Chinese companies, foreign invested enterprises are more likely to follow foreign culture and values, and employees are more likely to experience western management styles (Ralston et al., 2006).

JVs• Under joint venture partnerships, the Chinese

partners usually provide land, buildings, and local knowledge and network (guanxi), while the foreign partners contribute technology, know-how, capital, management expertise, and goodwill (Ralston et al., 2006).

• Depending on the nature of the partnership, some JVs may be driven by short-term profit maximisation, whereas others may be more influenced by long-term sustainable development.

July 1, 2014

Copenhagen Business School

WELCOME [email protected] [email protected]



John F. Hulpke

Cubie Lau

July 1, 2014 AGENDA• One more review of day 1 field exercise• Bad news good news: findings?• Pessimistic? Optimistic? Look at KPMG report• How is China different?

day 1 field visits reviewWe visited + and - What’s next?

Copenhagen Municipality

Pstereo (virtual visit)

Fotex

Radisson Hotel

Fredericksberg Park

CBS

WHAT DID WE LEARN?





field exercise take-aways• Denmark – well developed country with long history of

sustainability• How companies are doing?

– Copenhagen Municipality– Pstereo (virtual visit)– Fotex– Radisson Hotel– Fredericksberg Park– CBS

• We see:– Range of initiatives– Every industry can contribute– Importance of stakeholders

LAB ASSIGNMENT 26 June 2014Two pieces of BAD NEWS!!! Humans are messing up the environment, and it’s scary. What sort of things we humans have done to screw up our planet? Each team will find TWO news items or blog entries or ?? showing BAD NEWS about the environment. One BAD NEWS example should be about something in China. This can be from a source anywhere in the worldOne piece of BAD NEWS, using an example from ASSIGNED REGION. This can be from any source WITHIN YOUR ASSIGNED REGION.You will make 2 short “bad news” reports, perhaps two or three slides each. You may follow a format such as1.Here’s an example, a piece of BAD news about the environment in China: Title of article or web site:Reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief (around 100 words?) reaction or comment IN OUR OWN WORDS A PHOTO or short video illustrating bad news about environment. Photo may be related to the article above or possibly unrelated, your choice. Again, show exact source, and give your brief reason for selecting this photo 2. Here’s an example, a piece of BAD news about the environment in ______: Title of article or web site:Reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief reaction or comment IN OUR OWN WORDS (100 words or less) A PHOTO or short video illustrating bad news about environment. Photo may be related to the article above or possibly unrelated, your choice. Again, show exact source, and give your brief reason for selecting this photo

plus two pieces of GOOD NEWS Humans are starting to wake up! We see some positive actions to save the environment. Look on the bright side. One GOOD NEWS example should be about China. This can be from any source. One piece of GOOD NEWS from ASSIGNED REGION. This can be from any source WITHIN YOUR ASSIGNED REGION. 3.Here’s an example, a piece of GOOD news about the environment in China: Title of article or web site:, reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief (around 100 words?) reaction or comment IN OUR OWN WORDS A PHOTO or short video illustrating bad news about environment. Photo may be related to the article above or possibly unrelated, your choice. Again, show exact source, and give your brief reason for selecting this photo 4. Here’s an example, a piece of GOOD news about the environment in ______: Title of article or web site, reference, exact place where we can see this item:A short excerpt from the article or web site to give you an idea about this topic:Our brief reaction or comment IN OUR OWN WORDS (100 words or less) A PHOTO or short video illustrating bad news about environment. Again, show exact source, and give your brief reason for selecting this photo

lab project findings?Your specific news/examples should be fairly recent (2009 or newer). You can Google the news, or look at magazines or newspapers via databases like ProQuest or WiseNews. The news/examples will come from China (1 and 3) OR for 2 and 4 will come from the area of the world listed below:Examples for 2 and 4 will come fromTeam 1: Asia but not ChinaTeam 2: EuropeTeam 3: Africa or the Middle EastTeam 4: The Americas (but not the USA. Could include the Arctic)Team 5: Australia/Oceana. Could include AntarcticaTeam 6: USA End result? Each team will post 4 reports on LEARN. There will be a place for BAD news from China, GOOD news from China, BAD news from the rest of the world and GOOD news from the rest of the world.

Should we show 24 reports now?• No, but all 24 are available for your review• Each team will present ONE of their 4 reports

Team 1: Asia but not China GOOD NEWSTeam 2: Europe BAD NEWSTeam 3: Africa or the Middle East GOOD NEWSTeam 4: China BAD NEWSTeam 5: China GOOD NEWSTeam 6: China BAD NEWS

Bad news, good news

Everywhere in the world, environment issuesChina seems to have all kinds of problems

Everywhere in the world, there is good newsEven in China, there is good news

Lab assignments

• What key environmental challenges received most attention?

• Good news, where?• Bad news, where?• Optimistic or Pessimistic? WHY?

KPMG article - Let’s think…

• What is sustainability? A fad or trend?• Drivers?• Benefits?• Barriers?• Stakeholders?

KPMG: a first look

• What is this report?

• Good news from page 3?• Is there a downside, bad news, on page 3?• Your takeaway from page 4?• My takeaway from page 4: • Why would KPMG do this? Page 5 hints

Executive summary

• Look carefully at page 13• Can you give an executive summary of this

executive summary? Can you find a sentence or two you would want your kids to remember?

The survey

• 2010• 378 senior execs (“very” senior)• Plus desk research and interviews

• The results? Pages 15 to 29

Conclusions? Seven steps

• Use scenario planning to identify potential risks to your business—and new opportunities to exploit

• Set ambitious targets—and lead by example• Start measuring environmental inputs and

productivity across your business• Tap into employee engagement—both

internally, and across business partners

KPMG conclusions? 3 more steps

• Develop internal lessons into external products and services

• Explore other benefits that can be derived from action on sustainability

• Benchmark and report progress

If time permits we will look at this again later

China!

• Every country I have lived in is different• China is DIFFERENT

• SOON WE WILL LOOK AT CHINA!

• Hong Kong: a great mix of China + the world• Come visit!

Hong Kong University of Science and Technology

Inconvenient Truth• You know a LOT!• Any burning comments, things you REALLY

want to say?• Submitted by YOUR class: https://www.youtube.com/watch?v=cjuGCJJUGsg

» Thanks Matt Leslie and group

• My favorite part: Antarctic ice, 650,000 years• My favorite web site: www.co2now.org

• Bad news, but to shippers, good news? – http://www.youtube.com/watch?v=b-0p7GbPJ14

https://mail.cbs.dk/owa/redir.aspx?C=rbXa-Lv7nkKqmMMI7cglOA8oD047aNFIZJe-1fBxlqmD9fHuWif4SYpCvbGki8CuHnWDS3M7Fg8.&URL=https://www.youtube.com/watch?v=cjuGCJJUGsg

https://mail.cbs.dk/owa/redir.aspx?C=rbXa-Lv7nkKqmMMI7cglOA8oD047aNFIZJe-1fBxlqmD9fHuWif4SYpCvbGki8CuHnWDS3M7Fg8.&URL=https://www.youtube.com/watch?v=cjuGCJJUGsg

http://www.co2now.org/

http://www.youtube.com/watch?v=b-0p7GbPJ14

http://www.youtube.com/watch?v=b-0p7GbPJ14

Climate change: Friedman

• Award winning New York Times writer• Best known: The World is Flat• This book: Flat, Hot, Crowded

• Memorable sentence?

Looking ahead• Midterm exam FRIDAY. Closed book no notes• Makeup possible Tuesday 8 July 5 PM• Another makeup possible 10 July 5 PM• What to study? PPT, cases, class activities

• Future classes will involve each team making a presentation about one firm

Your team, your company1: Thursday 3 July - China Mobile questions led by team 6

2: Friday 4 July – Interface (no case, see Anderson, LEARN) questions led by team 5

3: Tuesday 8 July – Walmart (case + LEARN) questions led by team 4

4. Thursday 10 July – Hyflux questions led by team 3

5. Tuesday 15 July – Broad questions led by team 2

6. Thursday 17 July – Cosco questions led by team 1

What to prepare?• Anybody been in a case competition?

• Team presentation, as if in a case competition• Typically 12 to 15 minutes, never more than 20• Followed by Q and A

Many possible formats• But always, YOU decide where to focus• Typically in a case competition you

– Decide who you are giving advice– Identify a key problem going forward– Recommend one strategic approach to that problem– Suggest specific steps to implement your idea

• These companies represent good news, so OK to discuss good side too, not only problems

For next class

• Be ready to discuss China Mobile

• Compare China’s business forms to your home country (mix of private vs government, etc)

• Might or might not have time next class to show some videos

July 3, 2014

July 3, welcome!

• Good news Bad news recap: 24 reports on web– Worth reviewing (for learning. Maybe test too)

• Report findings to entire class - STARTED but did not finish

• Climate change reflection papers: AMAZING! • How is China different?

– Break• China Mobile- Team 1 with Q led by Team 6• Exam thoughts for Friday

Even before good news bad news :• Remember our walk around town 24 July,

looking for sustainability examples?

Then good news bad news exerciseEach team found bad news and good news from China, plus bad news and good news examples from the world: Team 1: Asia but not ChinaTeam 2: EuropeTeam 3: Africa or the Middle EastTeam 4: The Americas (not US, Arctic OK)Team 5: Australia/Oceana. Could include AntarcticaTeam 6: USA what stands out? Any problem seen everywhere?

24 reports, 6 teams. Here are 6:Basically Illegible but may help you remember

103

Reflection papers: good news bad news?AMAZING set of papers! REALLY impressive!

The Climate Change issue: You see bad news and good news

Bad news: climate is changingBad news: average person doesn’t care, or worseGood news: Al Gore’s Inconvenient Truth woke us up

Good points in EVERY paper!• Julia Schaller: fantastic job of…• *Chimene: 12 experts say… published in…• Matt: Nov ‘14 we may send to Congress:• Hanne: Dr Rignot says…• Josephine (and 10 others): Washington Times

says… • Agnese: even if not yet, …• Janina: The danger with this kind of analysis is• Tom Hodgson: at a critical point, but 9 states…

A tipping point?

• What is a tipping point?• a good book by Malcolm Gladwell• a point in time when direction changes

107

108

http://www.youtube.com/watch?v=aKoch_iEos8

http://www.youtube.com/watch?v=aKoch_iEos8

109

110

April 9, 2007

Time Oct 1, 2007

111

Where is the problem now? Where will it be in 20 years?

America has 4% of the world’s population and consumes 24% of the resources and is the largest producer of carbon dioxide (CO2). China was the second largest

producer of carbon dioxide and the largest producer of sulfur dioxide (SO2) in the world. Today’s case says:

Photo and text: Richard Welford HKU

And wikipedia.com

C)2: see

http://co2now.org/

When a billion Chinese jump…• Jonathan Watts, Guardian reporter, sayshttp://www.youtube.com/watch?v=G0ogXO1Wyfc

And my favorite photo:http://www.theatlantic.com/international/archive/2012/07/a-stunning-visualization-of-chinas-air-pollution/259455/

• Back to Al Gore, former US Vice President: What’s the worst that could happen? If China pollutes as much per capita as the US, then?

http://www.youtube.com/watch?v=G0ogXO1Wyfc

http://www.youtube.com/watch?v=G0ogXO1Wyfc

http://www.theatlantic.com/international/archive/2012/07/a-stunning-visualization-of-chinas-air-pollution/259455/



113

why worry about global warming?? we’re improving! But, if too late?

• Passenger pigeon: “the most plentiful creature ever to inhabit the earth”

• 1600: nine billion (9,000,000,000) in North America

• 1890s: started to fix the problem (overhunting, not pollution)

• but: TOO LATE! Last one died 1914. EXTINCT• The point of this story: will we start to fix the NEXT

problem too late? (such as global climate change)

http://www.si.edu/resource/faq/nmnh/passpig.htm

114

Passenger pigeon: “the most plentiful creature

ever to inhabit the earth”

115

Or the trend may be irreversible. In the passenger Pigeon case, the result was EXTINCTION

Don’t start fixing a problem too late! From Nine Billion to None: American History Magazine

116

Tipping point? More reflections

• Melody: film became a turning point…• Carl: the part I liked was at the end…• Martin: governments CAN act: the harbor

Possible lifetime question, for YOU

• (this may also be a nice final exam question)• How bad is the environmental situation?

– A: V V V bad especially climate change – A: US was the worst, but China now leading!

• So, is there no hope?– A: there IS hope! Do not quit this class now!– A: even in China we found good news

118

Is China different? How?

PESTLE – a popular tool in strategy

• Political• Economic• Social• Technological• Legal• EcologicalCould talk about China on each one, but…Briefly # 3, # 1 and 2 combined

Types of firms?

• Privately owned? • Privately owned publically traded, “listed”? • Etc etc

• What types do we see in your home nation?• What do we see in China?• Might we expect one type to be more green?





• In 2012, 54 Chinese SOEs made it into the Fortune 500.


& Yang, 2006).











China Mobile!

• Welcome team 1

Exam?

• Closed book, no notes, 30 minutes, paper and pen, no electronics

• Answer 3 questions, briefly (only 30 minutes)

• Will have some choice (probably 3 out of 4)

• Review syllabus, things on LEARN up to 4 July

July 4 FRIDAY

room SP114 Tuesdays and Thursdays 14:25 - 17:00 plus

Friday July 4! This is it!


John F. Hulpke

Cubie Lau

3 July - China Mobile case: connecting China, sustainability,

and climate change

Thanks Team 1

China Mobile case:also thanks to Team 6

Think…

• What was interesting about the China Mobile case?

• What did you learn?• Any reflections?

That was July 3

• What should we do July 4?• Celebrate birthdays? YES• Look at another company? YES• Take an exam? YES

• Next: a really unusual company

Case presentation

• Team 2 and Interface Carpets• Reading on LEARN from book by Ray Anderson• Who? Let’s find out!

• Q and A will be started by Team 5• Let’s go!

Ray Anderson, Interface Carpetslike climbing a mountain with 7 (8?) faces, or sides

1: Eliminate all forms of waste, every area of business.

2: Reduce emissions by eliminating toxic substances.

3: Operate using renewable energy.

4: Redesign processes so products are not thrown out at end of their lifecycle.

5: Transport people and products efficiently to reduce or offset emissions.

6: Shift mindsets, make sustainability part of our culture

7: Redesign commerce to create a marketplace that values sustainability.

137

Does the market value sustainability?

1. New carpet in in Hong Kong University

of Science and Technology

2. Japan example

8-138

Ray Anderson, Founder, Interface. Good example of a strategic thinking

leader

139

THANKS TEAM 2• Thanks also team 5, thanks everybody

• Does this company relate to this course? Managing Strategically for Environmental Sustainability: Lessons from China

• Where did Cubie see Ray Anderson?• Why was he there?• Now another look at China, types of firms

• SOEslow or fast depending on

• POEslow

• FIE– JV

fast– WOFE wofe

• Collectives COE fast if big





• In 2012, 54 Chinese SOEs made it into the Fortune 500.• In 2013, more than 100 Chinese firms, again mostly SOES

http://fortune.com/global500/ansteel-group-corporation-493/


& Yang, 2006).











Slight shift in topic:

• How does sustainability fit with strategy?• Wheelen and Hunger pages help explain• Will look at this Thursday July 10• The Hart article good place to start today• Will look at Hart Tuesday July 8

Hart et al., 2003. Academy of Management Executive.

Creating sustainable value

“For most firms, the pursuit of enterprise sustainability remains difficult to reconcile with the

objective of increasing shareholder value”. p.57

Is that TRUE? Remember the China Mobile Case

Hart sees problems

• Many! Invididuals, firms, societies• Find one?• Reflections had similar, including - - - - - - - - - -

• But Hart turns this positive (later)

Hart ends up positive

• Not everybody is optimistic

• We mentioned several videos day 1 includingThe story of stuff http://www.youtube.com/watch?v=gLBE5QAYXp8&feature=kp

Tragedy of the commons http://www.youtube.com/watch?v=KZDjPnzoge0

Someday . . .




Midterm?• no book no notes no iPads no phones• answer 3 of 4, short essay questions• 30 minutes so 10 minute per question• graded pass/fail. Hopefully all pass

4 . We looked at China Mobile and at Interface. Choose ONE of these firms and discuss how these cases can help us learn about strategies for environmental sustainability.

July 4: midterm

Feedback on mid-term

• Go to different Powerpoint slide file

• From answers, we see people are LEARNING

• Very impressive, all in 30 minutes!

Good answers

Good answers

Good answers

Good answers

Good answers

Good answers

Good answers

Good answers

Good answers

Good answers

Feedback - mid-term evaluationLike Suggestions

Class is very interactive and funInformative and interesting storiesCase method, readings and examples etcGroup projectsClass discussionField workUnderstanding of ChinaVideosPictures

Less readingMore structure, organizationTime managementMore theoriesLonger breaksMore class debate or open discussionTips for final examMore in-class exercisesFeedback on case presentationsLess ppt presentationsMore videosMore focus on local Chinese companies

July 8

Welcome Back

Great, we survived half way through this course :D


John F. Hulpke - Cubie Lau

Thanks to Team 2 and 5

Case studies

• We’ve looked at two companies; China Mobile and Interface (one more today)

• Anything in common?

Friday July 4

• Interface Carpets: team 2, q started by team 5• Reading on LEARN from book by Ray Anderson

• Presentation slides also posted on LEARN

Agenda

a.History of Interface Incb.Ray C. Andersonc. The World Todayd.Environmental Focus Interfacee.Future Improvement and Recommendations

Now Tuesday July 8:

• How does sustainability fit with strategy?• Wheelen and Hunger pages help explain• Will look at this Thursday July 10• Started with Hart article July 4• Will look at Hart again today Tuesday July 8• Also today: Wal-Mart, Rondinelli, maybe more

Hart et al., 2003. Creating sustainable value, Academy of Management Executive

“For most firms, the pursuit of enterprise sustainability remains difficult to reconcile with the

objective of increasing shareholder value”. p.57

Is that TRUE? Remember the China Mobile Case + Interface Inc.

Hart sees problems

• Many! Invididuals, firms, societies• Class saw similar problems, including - - - - - - - - - -

• One way to look at that challenge: Hulpke story

176

World Population Big and Growing

1800: 1 billion1950: 2.5 billion1990: 5.3 billion2000: 6.1 billion2020: 7.5 billion2050: 9.3 billion2100: ????

http://www.census.gov/ipc/www/img/worldpop.gifhttp://www.census.gov/cgi-bin/ipc/popclockw and esa.un.org

1955: Hulpke in High School? World 2.5 billion

http://www.census.gov/cgi-bin/ipc/popclockw

http://esa.un.org/unpp/p2k0data.asp

177

Hart sees this as big minus but maybe + too

The Sustainable Value Framework

Sustainable Value: A Huge Opportunity

• Growing Profits and Reducing Risk Through Pollution Prevention (e.g. Chevron, 3M)

• Enhancing Reputation and Legitimacy Through Product Stewardship (e.g. Collins & Aikman Floorcoverings, Nike)

• Accelerating Innovation and Repositioning Through Clean Technology (e.g. Toyota, Honda, Dupont)

• Crystallizing the Firm's Growth Path and Trajectory Through a Sustainability Vision (e.g. Grameen Bank, Unilever)

Timothy F. Slaper, Ph.D. The Triple Bottom Line: What Is It and How Does It Work?

Indiana University, Kelley School of Business

• The TBL (John Elkington) is an accounting framework that incorporates three dimensions of performance: social, environmental and financial.

• Growing interest across governments, non-profit organizations and businesses.

Environmental Measures • represent measurements of natural resources and reflect potential

influences to its viability.

Specific examples include: • Sulfur dioxide concentration • Concentration of nitrogen oxides • Selected priority pollutants• Excessive nutrients • Electricity consumption• Fossil fuel consumption• Solid waste management • Hazardous waste management • Change in land use/land cover

Managing stakeholders

• Who are stakeholders?• Remember one recommendation for China

Mobile– Change the organizational culture– Engaging consumers

• For Interface Inc.– Cultivating a sustainable culture by engaging

employees

If BIG, be ready for criticism• Who makes BIG Mac? Always criticized! • Wal-Mart? Same. Critics everywhere• It’s the Real Thing? Water in India, etc etc

4-184

A mini-case: BEER• The environment! VERY important to a beer

company. You have done many things to make the manufacturing process as clean as possible, to insure your employees know the significance of environmental protection, and you even help educate the public in your company museum, part of your very very popular company tours

A mini-case: BEER• Now your Chinese company has been purchased

by a big multinational firm, so you are part of a global business. Now you also have to consider global environmental ideas and standards.

• Can you think of other things you might do related to the environment?

Stakeholders?

Who are the stakeholders of a beer company? List 4 or 5 most important groups of stakeholders

Are there stakeholders the company should pay special attention to?

What you see on our factory tour

4-188

All photos from company tour June 2010

We explain why this is important

4-189

We talk about more than beer!

4-190

We talk about problems and SOLUTIONS:

reduce, reuse, recycle

4-191

4-192

In our beer museum we tell how the world

woke up to environment,

“germination of recycle idea”

We tell our employees why & how!

4-193

employee environmental handbook, 2010

booklet is easy to understand

4-194

Not just water, air too

4-195

If BIG, be ready for criticism• firm A does the following:

Require suppliers to care about chemicals, water, etcRequires distributors to care for environmentUse waste products for bio-tech, animal feed, artTrain all employees on carbon footprint, CO2 issuesPlan for clean packaging, water based ink, recycle etcClean all waste water. Law says below 500, we go to 60 And we TELL THE WORLD!

4-196

Stakeholders?You have done a great job! It was not easy, but your beer company cleaned up production, changed the culture, and even included “environment” in your company museum. But now a group calling itself “Green Choice Consumer Action” has asked your company to hire their recommended “water testing” company “to certify” how clean you are. It would cost LOTS of money, and you already exceed all governmental requirements, and much more. But they are “stakeholders.” So you have to consider the request. Hmmmmm…..

Green Action: what do you do?

• A• B• C• D

• Let’s vote

thanks to firm, tell GA get lost?• Hulpke idea, we SHOULD say thanks• We should support good companies• And if companies do good, then stakeholders

will appreciate, right?

• Answer: no• Especially if you are big• And good news isn’t news, BAD news is news.

So, media loves bad news. CNN?4-199

Solution?

• Don’t let this happen!

• Rondinelli has many useful ideas

• [ran short on time here, postpone Rondinelli]

Welcome Team 3

• Wal-Mart in China

• See team presentation slides on LEARN

Welcome to Wal-Mart! World’s biggest. World’s

worst or world’s best? Many stakeholders!

team project today looks at W-M and our topic, strategies for environmental sustainability

202

Welcome to

Nanjing Wal-Mart!

203

But low prices may have ….. 204

If we have time

• mid-course evaluation• We mentioned several videos several times

includingThe story of stuff http://www.youtube.com/watch?v=gLBE5QAYXp8&feature=kp

Tragedy of the commons http://www.youtube.com/watch?v=KZDjPnzoge0

Ray Anderson of Interface

http://www.ted.com/talks/ray_anderson_on_the_business_logic_of_sustainability

Someday . . .







Snowstorm case?• Syllabus says July 8, “if we have time”

• Nope, maybe later in course, not today

And if we still have time

• Help us with our research• This survey has been given to students in

Hong Kong, USA, Sri Lanka, Singapore, Ireland, Germany and now Denmark

• Takes about 7 minutes• NOT JULY 8, MAYBE LATER

10 July

What did we do, 8 July ?

• Hart et al article on creating sustainable value– 2x2 matrix

• Who are stakeholders, especially green stakeholders?

• Lessons from Tsingtao Beer• Case discussion on Walmart’s sustainable

operations in China



Don’t ignore one very powerful stakeholder


Overview of this session, 10 July• What did we learn from Walmart’s sustainable operations in

China?• Thoughts on case presentations• Rondinelli and London. 2003. How corporations and

Environmental groups cooperate: Assessing cross sector alliances and collaborations

• How to build green capabilities?– Wheelen & Hunger chapter on resources and capabilities

• In-class exercise• Case discussion on Hyflux• Review mid-term exam and evaluation• Group project discussion

Walmart ChinaA good lesson learned: engaging stakeholders is importanthttp://money.cnn.com/video/fortune/2010/04/12/bsg_walmart_china.fortune/

http://money.cnn.com/video/fortune/2010/04/12/bsg_walmart_china.fortune/





IS WAL- MART IMPORTANT?

Wal-Mart Takes Top Spot in Fortune Global 500 July 8, 2014 10:59 am

ANNOUNCED SAME DAY AS OUR PRESENTATION!

NUMBER 1, Fortune Global 500, 2014

Big means powerful

• Some see negatives• Possible positive influence

everywhere• The deodorant story

W-M: One more look

• Previous Wal-Mart CEO Lee Scott• As team said, Scott had specific goals• Had specific targets• Managing strategically for environmental

sustainability, IN CHINA

– http://money.cnn.com/video/fortune/2010/04/12/bsg_walmart_china.fortune/

Remember? Sustainable Value Framework


Green capabilities

✔

Presentations: some thoughts MESSAGE most important but . . • In case competitions, presentations KEY• This class: all teams can improve• Can add life, interaction• Possibly add video clips (case comp: if SHORT)

• In Q and A….• More thots from points posted on LEARN

Preparing slides choose top 3 or 4 points (ideally)limit number of slidessimplify, limit number of words avoid all capital lettersuse photos, charts and graphsmake sure presentation runs on any computer

before presentingKnow your materialRehearse Know the roomKnow the equipmentKnow your presentationCopy presentation to desktop BEFORE NEEDEDBackup: print, flash drive, emailhttp://presentationsoft.about.com/od/powerpointinbusiness/tp/bus_pres_tips.htm

http://presentationsoft.about.com/od/powerpointinbusiness/tp/bus_pres_tips.htm



while presentingWatch timingUse remote controlLook at audience not at slidesKeep audience focused, interestedAll team support presenter: look at presenter

Bottom line: all good, all can be better

Thoughts for “questioning team”

• Not terrible but could be much better• Make sure each member of QUESTIONING team

knows case• Each should think of questions BEFORE class• If question not satisfactorily answered, probe• This should make LEARNING better for all

– OK back to today July 10! Rondinelli Article

Dennis A. Rondinelli and Ted London 2003

How corporations and Environmental groups cooperate: Assessing cross sector alliances and collaborations

• How has the relationship between NPOs and businesses changed?

• Why are corporations and NPOs collaborating on environmental activities?

• How to manage cross-sector collaborations effectively?

improving cross sector alliances and collaboration

• tension and mutual distrust. • “Corporate relationships with nonprofit

organizations and corporate involvement in public problem solving have broadened and deepened in both content and form in recent years” p.62

• Partnerships range from low-intensity "arm's-length" relationships to highly interactive collaborations

WHY collaborate?• NPOs can be a source of knowledge and

information• environmental responsibility is an increasingly

important issue for stakeholders• opportunities for cost savings, plus better

– community relations, access to political and strategic, scientific & technical information, and environmental programs

HOW to manage cross-sector collaborations effectively?

• identify specific projects for collaboration • transparency of criteria for partner selection• develop mutually acceptable procedures for

collaboration (for judging relational risk) • measure, monitor, and review performance

throughout the partnership• focus on a manageable set of tasks that can be

implemented quickly• maintain confidentiality and build trust

Corporate-NPO collaboration decision path

Can’t read? No problem, see text to read

What about China?

• Parts of study by Cubie Lau to be presented August, Academy of Management, USA

• What are firms in China doing about NPOs?

• Fine print, but we will explain big picture

231

232

a HOT topic: SWOT analysis, helps in identifying Opportunities

SWOT analysisAnalysis of an organization’s strengths, weaknesses (internal), opportunities, and threats (external) in order to identify a strategic niche that the organization can exploit

SWOT overlaps EXTERNAL and INTERNAL analysis. You will see SWOT often

The Theory Behind Internal Analysis

The Resource-Based View

• developed to answer the question: Why do some firms achieve better economic performancethan others?

• assumes that a firm’s resources and capabilitiesare the primary drivers of competitive advantageand economic performance

• used to help firms achieve competitive advantageand superior economic performance


Resources and Capabilities

Resources:

• tangible and intangible assets of a firm» tangible: factories, products intangible: reputation

• used to conceive of and implement strategies

Capabilities:

• a subset of resources that enable a firm totake full advantage of other resources» marketing skill, cooperative relationships



Firm Assets:

Machinery

Collective Product Design Skill

Recruiting Skill

Engineering Skill of Individuals

Mineral Deposits

Are these resourcesor capabilities?

?

?

?

?

?


Four Categories of Resources (Barney and Hesterly, 2012)

• Financial (cash, retained earnings)

• Physical (plant & equipment, geographic location)

• Human (skills & abilities of individuals)

• Organizational (reporting structures, relationships)

In-class exercise – Warby Parker

• What are some of the key capabilities of Warby Parker?

• http://media.pearsoncmg.com/ph/streaming/bp/2013/MGMT/Strat/Strat2012_Warby_Vision.html

http://media.pearsoncmg.com/ph/streaming/bp/2013/MGMT/Strat/Strat2012_Warby_Vision.html




Welcome Team 4

• Time for another presentation!• Case: Hyflux

• Team 3, you get the FIRST questions• But not only Team 3• Hopefully ALL can ask at least ONE question



Feedback on mid-term evaluationLike Suggestions

Class is very interactive and fun FunInformative and interesting storiesCase method, readings and examples etcGroup projectsClass discussionField workUnderstanding of ChinaVideosPictures


Today’s BIG job:• Each team choose firm, preliminary outline • Syllabus says

– Class will discuss cases in groups, and each group will analyze environmental issues facing one Chinese company

– Syllabus gives possible title: XYZ Corporation and the Environment: Past, Present, and Future

Today, choose, first come first served Not a firm already covered in class A firm IN CHINA (possible interpretation)

What to prepare for next class, 15 July

• Group project FINAL outline• Case discussion: BROAD Group: Chinese Innovation in

the Air (very interesting company, must read)• Article “Senge, Peter, T Smith, Brian, Nina Kruschwitz, Joe

Laur, Sara Schley, The Necessary Revolution: How Individuals and Organizations Are Working Together to Create a Sustainable World. (2010). Relevant section posted on LEARN

• Group presentation sequence

15 July

What we did, 10 July

• Thoughts on case presentations• Rondinelli and London. 2003. How corporations

and environmental groups cooperate: Assessing cross sector alliances and collaborations

• Wheelen & Hunger chapter on resources and capabilities (Video on Warby Parker)

• Case discussion on Hyflux• Mid-term exam and mid course evaluation• Group project discussion

Thanks to Team 4

Source: The Peak, 11 April 2011, p61


Hyflux's Solution to Water Scarcity - CNBC

Think about - Key resources and capabilities of Hyflux?

http://video.cnbc.com/gallery/?video=3000132781



Group Projects

Group Company1 Lenovo2 Vanke3 BYD4 SAIC5 CNPC (PetroChina)6 Cathay Pacific Airways

Overview of this session, 15 July

• Vision and Leadership• Senge, Peter, T Smith, Brian, Nina Kruschwitz, Joe

Laur, Sara Schley The Necessary Revolution: How Individuals and Organizations Are Working Together to Create a Sustainable World. (2010)

• Mini-case• Case discussion on - BROAD Group:Chinese

Innovation • Group project presentation sequence

The Sustainable Value Framework (Hart and Milstein, AME, 2003)


Green capabilities

✔

✔

Vision and Leadership

Green to gold ✔


Key Take-Aways ?

Reflection?

• People see the importance of sustainability differently• We need animateurs/leaders, they could be

– Local line managers– Internal net-workers– Managers of specialty functions– Executive leaders

• “For something as big and complex as sustainability, making the effort a team exercise is crucial”– Search for like-mined people– Engage your internal stakeholders first– Build shared visions– Continually create new ideas and engage essential players

Mini-cases – No idea??• Vanke?• Haier?• Nine Dragon lady?• Suntech• Baosteel

• http://cloudinstitute.org/fish-game• The Fish Game was used against this backg

round, to communicate the role of servant leadership in resource mobilization and sustainability; to demonstrate the power of unselfish leadership in economic development, and the power of collaboration and re-union between the government and the people of Kenya in resource mobilization, utilization and sustainability

http://cloudinstitute.org/fish-game











Maybe something like ??? A dialogue about implementing a green initiative

• Maybe an exercise with a controversial scenario?

• Oppositions from different employees..• How to win their support?

Welcome Team 5

• BROAD Group: Chinese Innovation in the Air

Final thought on group project?• Is the company interesting to YOU?• What issues do you want to discuss?• Can you find relevant information from

primary and/or secondary sources?

• Is your final project outline ready now?


• Case study: COSCO: Implementing sustainability.

• Supplementary readings:– Goodall, Chris. The Green

Guide for Business. One section posted on LEARN.

– Young, Scott, and Kanwalroop Kathy Dhanda. Sustainability: Essentials for business. See the pages posted on LEARN.

17 July

What we did 15 July

• Vision and Leadership• Senge, Peter, T Smith, Brian, Nina Kruschwitz, Joe Laur, Sara Schley

The Necessary Revolution: How Individuals and Organizations Are Working Together to Create a Sustainable World. (2010)

• Mini-case• Case presentation and discussion on - BROAD

Group: Chinese Innovation • Group project presentation sequence

Thanks Team 5 and 2

Broad

• The name “Broad” equals to protect life. • Zhang Yue (CEO) wants to see changes in the

world. http://vimeo.com/23304458– “There was a serious debate 10 years ago with

employees about producing non-electric a/c or electric a/c. He said “there won’t be any discussion on this, we won’t go against our company goal”

– Interesting entrepreneur, let’s look at his company

http://vimeo.com/23304458


Army soldiers?

Group ProjectsGroup Company date

1 Lenovo Thurs 24 July #6

2 Vanke Tues 22 July #1

3 Nine Dragons Paper Tues 22 July #3

4 SAIC Tues 22 July #2

5 Midea Thurs 24 July #5

6 Nine Dragons Paper Thurs 24 July #4

Green into Gold?

In class exercise. We asked• How can environmental problems be turned

into business opportunities?• How can we make money and at the same

time improve the environment?

• Hopefully ideas generated here can spark more ideas later

Green ideas

Overview of this session, 17 July• Reflection paper• Case discussion: COSCO:

Implementing sustainability• Supplementary readings:

– Goodall, Chris. The Green Guide for Business. One section posted on LEARN

– Young, Scott, and Kanwalroop Kathy Dhanda. Sustainability: Essentials for business. See the pages posted on LEARN

put it in perspective

• We have choices!

https://www.google.com/webhp?sourceid=chrome-instant&ion=1&espv=2&es_th=1&ie=UTF-8%23q=environmental%20sustainability%20we%20have%20choices

Personal Vision Statement

How you will integrate what you learn in this class into your life? In a maximum of one page, reflect on your own current and future career choices and possible linkages between those prospects and who you are. In other words, please develop a five and ten year goal of where you see yourself, and then describe the path that you might take to reach those goals.

(excerpted and adapted from “Ethics, Values and Sustainability” syllabus by Tom Eggert, University of Wisconsin, downloaded from caseplace.org)

personal values important

The intent of this assignment is for you to consider potential futures for yourself. Your futures could include things like additional school, your job, a description of what your ideal job looks like, where you want to live, what kind of family life would you choose, and what responsibilities do you see yourself taking on. Importantly, it should include a vision statement of the kind of person you hope to be and how you intend to lead your life, lead others, lead your organization and lead sustainably within society. Basically, this is a plan on where your life is going over the next 10 years.

Why are things not easy?

• Another minicase

• Learn from an old classic economics story: the tragedy of the commons

Commons Dilemma• Harvest from a common resource pool• “Tragedy of the Commons”

– Open access to a common parcel of land on which herdsmen’s cattle grazes

– Each individual herdsman has interest to keep as many cattle as possible on the commons

– The commons is damaged as a result – http://www.youtube.com/watch?v=MLirNeu-A8I :57 to 1:10– http://www.youtube.com/watch?v=L8gAMFTAt2M

279

http://www.youtube.com/watch?v=MLirNeu-A8I



What can happen when individual self interest threatens collective well being? A Real Example: Small Village in the Netherlands; Population 150, Winter 1978/1979

280

photo not a small village, but it gives you the idea, lots of snow

SNOW! Big trouble ahead. UNLESS, they take your advice

• In the Winter of 1978/1979 due to unusually heavy snow, a small village in the Netherlands was completely cut off from the rest of country: no electricity for light, heating, television, etc. However, one of the 150 inhabitants owned a generator that could provide sufficient electricity for all the people in this small community if and only if they exercised restraint in their energy use.

• Please come up with four ideas that may help the village to be collectively better off (and not to let the generator collapse).

281

Actual energy use in each house: Burning several lights Heated water Heating to 21 degrees Watching TV

Required energy use for the generator not to collapse: Only one light per household No heated water Heating to 18 degrees Curtains closed

282

Generator collapsed. Most people used hot water, lived comfortably at 21 degrees Celsius, watched TV, and used several lights. After being without electricity for a while citizens repaired the generator, and this time appointed inspectors to check whether people were using more electricity than agreed. But even then, the generator eventually collapsed due to overuse of energy. Again, all inhabitants suffered from the cold and lack of light, and of course, no TV.

Did they take your advice? What happened then?

What can happen when individual self interest damages collective well being?

A small planet, in a small solar system. We’d like to save this planet, as (so far as is known) it is the only planet to have chocolate, so this planet is certainly worth savingIn the long run everyone would benefit from a cleaner environment, yet how many are prepared to voluntarily reduce their carbon footprint by saving more energy or driving or flying less frequently?• But, what if things we do individually will burn out the

planet’s generator? Will we all freeze in the dark? • Well good news! We WON’T FREEZE! • (But we may bake). Do not forget our discussion on climate change

283

284

285

• the sum total of all activities and choices required for the execution of a strategic plan

We need to think about:

• Who are the people to carry out the strategic plan?• What must be done to align company operations in

the intended direction?• How is everyone going to work together to do what

is needed?• When

Strategy implementation

Eight Components of Strategy Execution

Source: Gamble et al., 2014

Welcome Team 6

• COSCO: Implementing sustainability

Previous reading key take-aways?

The harder you push, the more opposition you encounter

Ask one key question – worst case scenario

Reflection point? Address different perspectives

Team process – engage the whole company

Source: Sustainability

report 2013

Interesting points?


– Young, Scott, and Dhanda, K. K. Sustainability: Essentials for business. See pages posted on LEARN

Good points from Goodall

1 Be Ambitious2 Know Your Stakeholders3 Your Carbon Footprint4 Energy Use in Buildings5 Large Scale Building Change6 Travel and Transport7 Reduce Revise Recycle8 Your Green Credentials

More Goodall points

• Let employees set light/heat/AC levels• What if it is a favorite? NOT EASY! (Alps story)• And…

– Good housekeeping– Quick wins– BIG green project– Rethink processes– Entirely green

Next years text:?

Many ideas in this newer book: Young, Scott, and Dhanda, K. K. Sustainability: Essentials for business.

Mentions people we know! Peter Senge, Ray Anderson

What you see on LEARN is basically an index, an intro

https://learn.cbs.dk/mod/resource/view.php?id=176808

What to prepare for 22 July

• Fun day Tuesday July 22– Group 2, Vanke– Group 4, SAIC (Shanghai Automotive Industry

Corporation)– Group 3, Tsingtao Beer


• Another fun day, Thursday July 24– Group 6, Nine Dragons Paper– Group 5, Midea– Group 1, Lenovo

22 July

review of 17 JulyReflection: personal vision statementShort video: We have choicesTragedy of the Commons; snow minicaseCase: COSCO: Implementing sustainability

Supplementary readings:– Goodall, Chris. The Green Guide for Business.

One section posted on LEARN– Young, Scott, and Kanwalroop Kathy Dhanda.

Sustainability: Essentials for business. See the pages posted on LEARN



Team 6





3 Tsingtao Beer Tues 22 July #3




agenda for 22 July

Tuesday July 22– Group 2, Vanke– Group 4, SAIC (Shanghai Automotive Industry


What types of firms today?

• Types of firms today?– Vanke– Tsingtao Beer– SAIC

• Important drivers to go green?– Vanke– Tsingtao Beer– SAIC

Coming up 24 July


• Last day of class• Discuss exam (sorry, will not say “study this”)

To think about: The Story of Stuff

• http://www.youtube.com/watch?v=gLBE5QAYXp8

• What are some of the major problems discussed in the video? Business level Society level Individual level

http://www.youtube.com/storyofstuffproject

The Story of Stuff: second thoughts

• QUESTION: Anything mentioned or implied in video you disagree with?• Story of Stuff is NOT balanced, but gives things to think about• Is “consumption” the problem? • Remember quote, US Council of Economic Advisors: America needed to SHOP

SHOP SHOP? Annie Leonard thought that was insane. Was it? When was that statement made?

• What is Europe saying about consumption? Should we “keep it down” or do we rejoice when we see signs of consumers buying buying buying? Next two slides


iPhone 5 to boost US GDP 1/3 to 1/2%?

news: Michael Feroli, the chief economist at JPMorgan Chase, estimated that the iPhone 5 could add one-quarter to one-half of a percentage point to the annualized growth rate of America’s gross domestic product next quarter… sales of iPhone 5 could boost Q4 GDP by $3.2 billion, or $12.8 billion at an annual rate. This would boost annualized GDP growth in Q4 by 0.33%-point. Our Q4 GDP growth projection is 2.0%.How might Annie Leonard react to this story?How might President Obama react?How might Hulpke’s brother Mike react?So, is consumption, that golden arrow, the enemy?

“Sector shows strong growth potential amid rising domestic consumption”

China Daily 12 September 2102 Li Jiabao

“Li Na, a young teacher in Changsha, Hunan province, finally got her iPad 2 recently after making a down payment of 1,800 yuan ($283) and paying monthly installments of 416 yuan over the next year. The teacher, who doesn't have a credit card, found about the loan - which came with a fee of 25.7 percent of the price the iPad - from a saleswoman at a electronics store. Li is one of the 1.75 million clients of Home Credit, a Czech financial company that has tapped China's consumer finance market. Analysts say that the market is set to boom in the coming years supported by increasing personal incomes and the government's efforts to expand domestic consumption."China is now shifting the driving force of its GDP growth from investment to domestic consumption… “ in line with the “government's plan to stimulate overall domestic consumption.” [End of quotes from China Daily]

yes, there are side effects of “consumption.” But if China’s economy falters, the world will face serious economic problems. CONSUMPTION is one answer. The Story of Stuff misses that. Next question, how to CONSUME without DESTROYING THE PLANET

The Story of Stuff and critics

• There is more to criticize, not just Golden Arrow. Video full of errors• One critique that makes me think: http://www.youtube.com/watch?v=c5uJgG05xUY (we

will check part I, 8:45 to 10:50)

• This critique not balanced either! Neither is Glenn Beck, another critic• The truth? Probably somewhere in the middle. • yes, there are side effects of “consumption.” But if China’s economy falters, the

world will face serious economic problems. If the US does not recover, my brother Mike has no job. CONSUMPTION is one answer. The Story of Stuff misses that. Next question, how to CONSUME without DESTROYING THE PLANET.

http://www.youtube.com/watch?v=c5uJgG05xUY


24 July


Welcome back• MAIN job today: Continue group presentations

• Nine Dragons Paper• Midea• Lenovo

• The Story of Stuff: points to consider, plus . . .• A few more thots on the UNGC• Preview: UN Climate Conference 2014• Preview: exam• Wrap up course: what could be improved?

review of 22 July TuesdayThree company presentations:

Vanke, SAIC, Tsingtao

team

team

team

Vanke• Interesting company• Good company introduction and its sustainability focus• Liked video and interaction• Limited information in English• Could say more on its founder as it is a POE

SAIC• Nice presentation, slides, tables, charts• Good summary of company• Great small class exercise (thought-provoking question)• Focus less on slides, more on audience• Teamwork (looked at your teams when they present?)

Tsingtao Brewery• Nice company background• Goals and results, perhaps expand on “HOW”• Highlighted pressure to go green as a MNC in China• Limited in information• Bigger font sizes (sorry, we violate this rule too!)• Read slides less, focus on audience more

team 6: Nine Dragons Paper

Team 5 - Midea

Team 1: Lenovo

Review

China Mobile

Interface Wal-Mart Hyflux Broad COSCO

Environmental performance

Type of ownership

Driver(s)

Stakeholder management

Key resources/capabilitiesLeader

Financial performance

Others?

Review (2)Vanke SAIC Tsingtao Nine

Dragon Papers

Midea Lenovo


Type of ownership

Driver(s)

Stakeholder mgt

Key resources

Leader


Others?

Interesting observationsIn past recruits not so concerned about a company’s environmental record. Today interested in sustainability, esp younger generation.Lots of job opportunities in sustainability. eg, BASF: hiring PR person with a good understanding of sustainability, a PR manager who understands sustainability

consulting jobsRecruitment

HeadhuntersInternal promotionReferralsApplication letters (In recruitment process, we fill out a questionnaire, what should steel industry head for, and have four choices to pick to see if you share the same value as xxx etc etc.)

Networking plus cold calls

323

Summary of interviews:Don’t worry abut small font, we will explain

Informants:Average company tenure: 8.9 yearsAverage industry tenure: 13.3 years

324

Think about…• How should developing countries manage their

natural resources (i.e., air, water, rain forests, agricultural land, etc.) in an environmentally sustainable manner?

• Why do their behaviors matter? • How can the developed world and their firms

help the developing world to go green?

What types of firms Tuesday? Today?

• Types of ownership? Drivers to go green?– Vanke– Tsingtao Beer– SAIC

• Same questions for today?– Nine Dragons paper– Lenovo– Midea

Added thots on UNGC:A troubling observation

• We asked students, what areas most important to you?

• Survey given in Germany, US, Hong Kong, Sri Lanka, Singapore, Ireland and now in Denmark

• Key question was, “do interests differ globally?”• Almost as an aside, an afterthought, we asked,

“how much do you know about UNGC?”

LEADERS OF TOMORROW: where should we put our emphasis?What do you think? As tomorrow’s leaders, you will decide the role of business in society. The United Nations Global Compact lists TEN areas where it says businesses should be responsible. In your own opinion, which of these ten are MOST IMPORTANT?Businesses should… (CIRCLE ONE OR TWO OR THREE OR FOUR)Principle 1: support and respect human rights Principle 2: make sure they are not complicit in human rights abuses Principle 3: uphold freedom of association and the right to collective bargainingPrinciple 4: support the elimination of all forms of forced and compulsory labourPrinciple 5: support the abolition of child labourPrinciple 6: support the elimination of discrimination in employmentPrinciple 7: support a precautionary approach to environmental challengesPrinciple 8: undertake initiatives to promote greater environmental responsibilityPrinciple 9: encourage development and diffusion of environmentally friendly technologies Principle 10: work against corruption in all forms, including extortion and bribery Have you heard of this United Nations Global Compact before?No, I do not recall ever hearing of this beforeI think I have heard of it but am not familiar with itYes, I have heard of it and know generally what it is trying to doI know about this United Nations Global CompactI am VERY familiar with the United Nations Global Compact THANX! Your opinions will be combined with others and presented at a conference. To help organize the hundreds of surveys please tell me the following:Your nationality (where is your passport from):Countries where you have lived (for one month or more)….

Have you heard of this United Nations Global Compact before?

No, I do not recall ever hearing of this before 55%I think I have heard of it but am not familiar with it

41%Yes, I have heard of it and know generally what

it is trying to do 1%

I know about this United Nations Global Compact 1%I am VERY familiar with the United Nations Global Compact

1%

to convince businesses to think about sustainability

• Ethics? • Law? • Voluntary action by corporations?

– Especially “ Multi Stakeholder Initiatives” such as the UNGC?

• Ethics? Results not impressive so far• Law? Worse• MSIs, the biggest of which is UNGC? Maybe,

but if nobody knows about it . . .

More topics 24 July• Story of Stuff: takeaways, plus afterthots


• major problems discussed in video– Business level– Society level– Individual level

http://www.youtube.com/watch?v=gLBE5QAYXp8
























Thursday July 24

DONE:• MAIN learning today: 3 Chinese companies• A few more thots on the UNGC• The Story of Stuff: points to consider, plus . . STILL TO DO:• Preview: UN Climate Conference 2014• Preview: exam• Wrap up course: what could be improved?

United Nations New York Sep 23, 2014

Will anything happen?

• Yes

• No

• Maybe

UN Summit has potential1. Improve building energy efficiency2. Make climate change focus of Arctic Council3. Reduce global poverty through climate action4. Phase down heat-trapping HFCs under the Montreal Protocol

Plus a big sub-agenda on use of big data!

Exam? Why exams?

New York Times: to really

learn, quit studying, and . . .

Jan 20, 2011

TEST HELPS BRAIN.htm

Why this class? IT CAN HELP YOUWhy exams? They motivate, and you learn

from the exam process!Remember, LIFE IS NOT ABOUT EXAMS! Go to the beach!

• NOW WE TALK ABOUT EXAMS• How to take exams (ANY exams)• How to prepare for THIS exam• How to prepare for LIFE (well, may not really

cover this today)

24 July


Our Exam?• Review all slides• Review articles and cases (many fewer pages

than if we had text)• Review all slides (again)• Be ready to THINK, give opinions, and support

your opinions with examples• Four hours, 3 out of 6 questions? You might

spend 30 minutes planning, three hours to write, 30 minutes to review

Essay exam tips for ANY class• RTDQ!!!! • Find ONE main idea per topic, make it clear• Use real examples! (EASY in any class. Golden Arches rule)• Short intro OK• Short conclusion OK• Some have 2 or 3 supporting points (optional)• Include YOUR IDEAS not just info from readings or cases• If give up, Hulpke’s Famous BS rule: no idea at all? Rewrite

the question in your own words, then say something true, close to the question. SAY SOMETHING! Then conclude.

Jail?

And of course, we send very few people to jail

Last agenda item today

• On a blank piece of paper (recycled paper preferred) write ONE thing we could do to improve this course

Any questions? Email us, we’re open for business 24/7/365

Good Luck and Thank You!!!!

348

ciao, arrivederci adios

dzai jensalaam

sayonarabye bye

au revoirauf veder zehn

ahn yong i ka say o (annyongi kasesyo)

aloha…. [email protected] [email protected]



10 July

What did we do, 8 July ?

• Hart et al article on creating sustainable value– 2x2 matrix

• Who are stakeholders, especially green stakeholders?

• Lessons from Tsingtao Beer• Case discussion on Walmart’s sustainable

operations in China



Don’t ignore one very powerful stakeholder


Overview of this session, 10 July• What did we learn from Walmart’s sustainable operations in

China?• Thoughts on case presentations• Rondinelli and London. 2003. How corporations and

Environmental groups cooperate: Assessing cross sector alliances and collaborations

• How to build green capabilities?– Wheelen & Hunger chapter on resources and capabilities

• In-class exercise• Case discussion on Hyflux• Review mid-term exam and evaluation• Group project discussion

Walmart ChinaA good lesson learned: engaging stakeholders is importanthttp://money.cnn.com/video/fortune/2010/04/12/bsg_walmart_china.fortune/






IS WAL- MART IMPORTANT?

Wal-Mart Takes Top Spot in Fortune Global 500 July 8, 2014 10:59 am

ANNOUNCED SAME DAY AS OUR PRESENTATION!

NUMBER 1, Fortune Global 500, 2014

Big means powerful

• Some see negatives• Possible positive influence

everywhere• The deodorant story

W-M: One more look

• Previous Wal-Mart CEO Lee Scott• As team said, Scott had specific goals• Had specific targets• Managing strategically for environmental

sustainability, IN CHINA

– http://money.cnn.com/video/fortune/2010/04/12/bsg_walmart_china.fortune/

Remember? Sustainable Value Framework


Green capabilities

✔

Presentations: some thoughts MESSAGE most important but . . • In case competitions, presentations KEY• This class: all teams can improve• Can add life, interaction• Possibly add video clips (case comp: if SHORT)

• In Q and A….• More thots from points posted on LEARN

Preparing slides choose top 3 or 4 points (ideally)limit number of slidessimplify, limit number of words avoid all capital lettersuse photos, charts and graphsmake sure presentation runs on any computer

before presentingKnow your materialRehearse Know the roomKnow the equipmentKnow your presentationCopy presentation to desktop BEFORE NEEDEDBackup: print, flash drive, emailhttp://presentationsoft.about.com/od/powerpointinbusiness/tp/bus_pres_tips.htm




while presentingWatch timingUse remote controlLook at audience not at slidesKeep audience focused, interestedAll team support presenter: look at presenter

Bottom line: all good, all can be better

Thoughts for “questioning team”

• Not terrible but could be much better• Make sure each member of QUESTIONING team

knows case• Each should think of questions BEFORE class• If question not satisfactorily answered, probe• This should make LEARNING better for all

– OK back to today July 10! Rondinelli Article

Dennis A. Rondinelli and Ted London 2003

How corporations and Environmental groups cooperate: Assessing cross sector alliances and collaborations

• How has the relationship between NPOs and businesses changed?

• Why are corporations and NPOs collaborating on environmental activities?

• How to manage cross-sector collaborations effectively?

improving cross sector alliances and collaboration

• tension and mutual distrust. • “Corporate relationships with nonprofit

organizations and corporate involvement in public problem solving have broadened and deepened in both content and form in recent years” p.62

• Partnerships range from low-intensity "arm's-length" relationships to highly interactive collaborations

WHY collaborate?• NPOs can be a source of knowledge and

information• environmental responsibility is an increasingly

important issue for stakeholders• opportunities for cost savings, plus better

– community relations, access to political and strategic, scientific & technical information, and environmental programs

HOW to manage cross-sector collaborations effectively?

• identify specific projects for collaboration • transparency of criteria for partner selection• develop mutually acceptable procedures for

collaboration (for judging relational risk) • measure, monitor, and review performance

throughout the partnership• focus on a manageable set of tasks that can be

implemented quickly• maintain confidentiality and build trust

Corporate-NPO collaboration decision path

Can’t read? No problem, see text to read

What about China?

• Parts of study by Cubie Lau to be presented August, Academy of Management, USA

• What are firms in China doing about NPOs?

• Fine print, but we will explain big picture

373

374

a HOT topic: SWOT analysis, helps in identifying Opportunities

SWOT analysisAnalysis of an organization’s strengths, weaknesses (internal), opportunities, and threats (external) in order to identify a strategic niche that the organization can exploit

SWOT overlaps EXTERNAL and INTERNAL analysis. You will see SWOT often

The Theory Behind Internal Analysis


• developed to answer the question: Why do some firms achieve better economic performancethan others?

• assumes that a firm’s resources and capabilitiesare the primary drivers of competitive advantageand economic performance

• used to help firms achieve competitive advantageand superior economic performance



Resources:

• tangible and intangible assets of a firm» tangible: factories, products intangible: reputation

• used to conceive of and implement strategies

Capabilities:

• a subset of resources that enable a firm totake full advantage of other resources» marketing skill, cooperative relationships



Firm Assets:

Machinery

Collective Product Design Skill

Recruiting Skill

Engineering Skill of Individuals

Mineral Deposits

Are these resourcesor capabilities?

?

?

?

?

?


Four Categories of Resources (Barney and Hesterly, 2012)

• Financial (cash, retained earnings)

• Physical (plant & equipment, geographic location)

• Human (skills & abilities of individuals)

• Organizational (reporting structures, relationships)

In-class exercise – Warby Parker

• What are some of the key capabilities of Warby Parker?

• http://media.pearsoncmg.com/ph/streaming/bp/2013/MGMT/Strat/Strat2012_Warby_Vision.html





Welcome Team 4

• Time for another presentation!• Case: Hyflux

• Team 3, you get the FIRST questions• But not only Team 3• Hopefully ALL can ask at least ONE question



Feedback on mid-term evaluationLike Suggestions

Class is very interactive and fun FunInformative and interesting storiesCase method, readings and examples etcGroup projectsClass discussionField workUnderstanding of ChinaVideosPictures


Today’s BIG job:• Each team choose firm, preliminary outline • Syllabus says

– Class will discuss cases in groups, and each group will analyze environmental issues facing one Chinese company

– Syllabus gives possible title: XYZ Corporation and the Environment: Past, Present, and Future

Today, choose, first come first served Not a firm already covered in class A firm IN CHINA (possible interpretation)


• Group project FINAL outline• Case discussion: BROAD Group: Chinese Innovation in

the Air (very interesting company, must read)• Article “Senge, Peter, T Smith, Brian, Nina Kruschwitz, Joe

Laur, Sara Schley, The Necessary Revolution: How Individuals and Organizations Are Working Together to Create a Sustainable World. (2010). Relevant section posted on LEARN

• Group presentation sequence

15 July

What we did, 10 July

• Thoughts on case presentations• Rondinelli and London. 2003. How corporations

and environmental groups cooperate: Assessing cross sector alliances and collaborations

• Wheelen & Hunger chapter on resources and capabilities (Video on Warby Parker)

• Case discussion on Hyflux• Mid-term exam and mid course evaluation• Group project discussion

Thanks to Team 4



Hyflux's Solution to Water Scarcity - CNBC

Think about - Key resources and capabilities of Hyflux?




Group Projects

Group Company1 Lenovo2 Vanke3 BYD4 SAIC5 CNPC (PetroChina)6 Cathay Pacific Airways


• Vision and Leadership• Senge, Peter, T Smith, Brian, Nina Kruschwitz, Joe

Laur, Sara Schley The Necessary Revolution: How Individuals and Organizations Are Working Together to Create a Sustainable World. (2010)

• Mini-case• Case discussion on - BROAD Group:Chinese

Innovation • Group project presentation sequence

The Sustainable Value Framework (Hart and Milstein, AME, 2003)


Green capabilities

✔

✔

Vision and Leadership

Green to gold ✔


Key Take-Aways ?

Reflection?

• People see the importance of sustainability differently• We need animateurs/leaders, they could be

– Local line managers– Internal net-workers– Managers of specialty functions– Executive leaders

• “For something as big and complex as sustainability, making the effort a team exercise is crucial”– Search for like-mined people– Engage your internal stakeholders first– Build shared visions– Continually create new ideas and engage essential players

Mini-cases – No idea??• Vanke?• Haier?• Nine Dragon lady?• Suntech• Baosteel

• http://cloudinstitute.org/fish-game• The Fish Game was used against this backg

round, to communicate the role of servant leadership in resource mobilization and sustainability; to demonstrate the power of unselfish leadership in economic development, and the power of collaboration and re-union between the government and the people of Kenya in resource mobilization, utilization and sustainability












Maybe something like ??? A dialogue about implementing a green initiative

• Maybe an exercise with a controversial scenario?

• Oppositions from different employees..• How to win their support?

Welcome Team 5

• BROAD Group: Chinese Innovation in the Air

Final thought on group project?• Is the company interesting to YOU?• What issues do you want to discuss?• Can you find relevant information from

primary and/or secondary sources?

• Is your final project outline ready now?


• Case study: COSCO: Implementing sustainability.

• Supplementary readings:– Goodall, Chris. The Green

Guide for Business. One section posted on LEARN.

– Young, Scott, and Kanwalroop Kathy Dhanda. Sustainability: Essentials for business. See the pages posted on LEARN.

17 July

What we did 15 July

• Vision and Leadership• Senge, Peter, T Smith, Brian, Nina Kruschwitz, Joe Laur, Sara Schley

The Necessary Revolution: How Individuals and Organizations Are Working Together to Create a Sustainable World. (2010)

• Mini-case• Case presentation and discussion on - BROAD

Group: Chinese Innovation • Group project presentation sequence

Thanks Team 5 and 2

Broad

• The name “Broad” equals to protect life. • Zhang Yue (CEO) wants to see changes in the

world. http://vimeo.com/23304458– “There was a serious debate 10 years ago with

employees about producing non-electric a/c or electric a/c. He said “there won’t be any discussion on this, we won’t go against our company goal”

– Interesting entrepreneur, let’s look at his company



Army soldiers?




3 Nine Dragons Paper Tues 22 July #3




Green into Gold?

In class exercise. We asked• How can environmental problems be turned

into business opportunities?• How can we make money and at the same

time improve the environment?

• Hopefully ideas generated here can spark more ideas later

Green ideas

Overview of this session, 17 July• Reflection paper• Case discussion: COSCO:

Implementing sustainability• Supplementary readings:


– Young, Scott, and Kanwalroop Kathy Dhanda. Sustainability: Essentials for business. See the pages posted on LEARN

put it in perspective

• We have choices!


Personal Vision Statement

How you will integrate what you learn in this class into your life? In a maximum of one page, reflect on your own current and future career choices and possible linkages between those prospects and who you are. In other words, please develop a five and ten year goal of where you see yourself, and then describe the path that you might take to reach those goals.

(excerpted and adapted from “Ethics, Values and Sustainability” syllabus by Tom Eggert, University of Wisconsin, downloaded from caseplace.org)

personal values important

The intent of this assignment is for you to consider potential futures for yourself. Your futures could include things like additional school, your job, a description of what your ideal job looks like, where you want to live, what kind of family life would you choose, and what responsibilities do you see yourself taking on. Importantly, it should include a vision statement of the kind of person you hope to be and how you intend to lead your life, lead others, lead your organization and lead sustainably within society. Basically, this is a plan on where your life is going over the next 10 years.

Why are things not easy?

• Another minicase

• Learn from an old classic economics story: the tragedy of the commons

Commons Dilemma• Harvest from a common resource pool• “Tragedy of the Commons”

– Open access to a common parcel of land on which herdsmen’s cattle grazes

– Each individual herdsman has interest to keep as many cattle as possible on the commons

– The commons is damaged as a result – http://www.youtube.com/watch?v=MLirNeu-A8I :57 to 1:10– http://www.youtube.com/watch?v=L8gAMFTAt2M

421




What can happen when individual self interest threatens collective well being? A Real Example: Small Village in the Netherlands; Population 150, Winter 1978/1979

422

photo not a small village, but it gives you the idea, lots of snow

SNOW! Big trouble ahead. UNLESS, they take your advice

• In the Winter of 1978/1979 due to unusually heavy snow, a small village in the Netherlands was completely cut off from the rest of country: no electricity for light, heating, television, etc. However, one of the 150 inhabitants owned a generator that could provide sufficient electricity for all the people in this small community if and only if they exercised restraint in their energy use.

• Please come up with four ideas that may help the village to be collectively better off (and not to let the generator collapse).

423

Actual energy use in each house: Burning several lights Heated water Heating to 21 degrees Watching TV

Required energy use for the generator not to collapse: Only one light per household No heated water Heating to 18 degrees Curtains closed

424

Generator collapsed. Most people used hot water, lived comfortably at 21 degrees Celsius, watched TV, and used several lights. After being without electricity for a while citizens repaired the generator, and this time appointed inspectors to check whether people were using more electricity than agreed. But even then, the generator eventually collapsed due to overuse of energy. Again, all inhabitants suffered from the cold and lack of light, and of course, no TV.

Did they take your advice? What happened then?

What can happen when individual self interest damages collective well being?

A small planet, in a small solar system. We’d like to save this planet, as (so far as is known) it is the only planet to have chocolate, so this planet is certainly worth savingIn the long run everyone would benefit from a cleaner environment, yet how many are prepared to voluntarily reduce their carbon footprint by saving more energy or driving or flying less frequently?• But, what if things we do individually will burn out the

planet’s generator? Will we all freeze in the dark? • Well good news! We WON’T FREEZE! • (But we may bake). Do not forget our discussion on climate change

425

426

427

• the sum total of all activities and choices required for the execution of a strategic plan

We need to think about:

• Who are the people to carry out the strategic plan?• What must be done to align company operations in

the intended direction?• How is everyone going to work together to do what

is needed?• When

Strategy implementation

Eight Components of Strategy Execution

Source: Gamble et al., 2014

Welcome Team 6


Previous reading key take-aways?

The harder you push, the more opposition you encounter

Ask one key question – worst case scenario

Reflection point? Address different perspectives

Team process – engage the whole company

Source: Sustainability

report 2013

Interesting points?


– Young, Scott, and Dhanda, K. K. Sustainability: Essentials for business. See pages posted on LEARN

Good points from Goodall

1 Be Ambitious2 Know Your Stakeholders3 Your Carbon Footprint4 Energy Use in Buildings5 Large Scale Building Change6 Travel and Transport7 Reduce Revise Recycle8 Your Green Credentials

More Goodall points

• Let employees set light/heat/AC levels• What if it is a favorite? NOT EASY! (Alps story)• And…

– Good housekeeping– Quick wins– BIG green project– Rethink processes– Entirely green

Next years text:?

Many ideas in this newer book: Young, Scott, and Dhanda, K. K. Sustainability: Essentials for business.

Mentions people we know! Peter Senge, Ray Anderson

What you see on LEARN is basically an index, an intro

https://learn.cbs.dk/mod/resource/view.php?id=176808


• Fun day Tuesday July 22– Group 2, Vanke– Group 4, SAIC (Shanghai Automotive Industry




22 July

review of 17 JulyReflection: personal vision statementShort video: We have choicesTragedy of the Commons; snow minicaseCase: COSCO: Implementing sustainability

Supplementary readings:– Goodall, Chris. The Green Guide for Business.

One section posted on LEARN– Young, Scott, and Kanwalroop Kathy Dhanda.

Sustainability: Essentials for business. See the pages posted on LEARN



Team 6





3 Tsingtao Beer Tues 22 July #3




agenda for 22 July

Tuesday July 22– Group 2, Vanke– Group 4, SAIC (Shanghai Automotive Industry


What types of firms today?

• Types of firms today?– Vanke– Tsingtao Beer– SAIC

• Important drivers to go green?– Vanke– Tsingtao Beer– SAIC

Coming up 24 July


• Last day of class• Discuss exam (sorry, will not say “study this”)

To think about: The Story of Stuff


• What are some of the major problems discussed in the video? Business level Society level Individual level




















24 July


Welcome back• MAIN job today: Continue group presentations

• Nine Dragons Paper• Midea• Lenovo

• The Story of Stuff: points to consider, plus . . .• A few more thots on the UNGC• Preview: UN Climate Conference 2014• Preview: exam• Wrap up course: what could be improved?

review of 22 July TuesdayThree company presentations:

Vanke, SAIC, Tsingtao

team

team

team

Vanke• Interesting company• Good company introduction and its sustainability focus• Liked video and interaction• Limited information in English• Could say more on its founder as it is a POE

SAIC• Nice presentation, slides, tables, charts• Good summary of company• Great small class exercise (thought-provoking question)• Focus less on slides, more on audience• Teamwork (looked at your teams when they present?)

Tsingtao Brewery• Nice company background• Goals and results, perhaps expand on “HOW”• Highlighted pressure to go green as a MNC in China• Limited in information• Bigger font sizes (sorry, we violate this rule too!)• Read slides less, focus on audience more

team 6: Nine Dragons Paper

Team 5 - Midea

Team 1: Lenovo

Review

China Mobile

Interface Wal-Mart Hyflux Broad COSCO


Type of ownership

Driver(s)

Stakeholder management

Key resources/capabilitiesLeader


Others?

Review (2)Vanke SAIC Tsingtao Nine

Dragon Papers

Midea Lenovo


Type of ownership

Driver(s)

Stakeholder mgt

Key resources

Leader


Others?

Interesting observationsIn past recruits not so concerned about a company’s environmental record. Today interested in sustainability, esp younger generation.Lots of job opportunities in sustainability. eg, BASF: hiring PR person with a good understanding of sustainability, a PR manager who understands sustainability

consulting jobsRecruitment

HeadhuntersInternal promotionReferralsApplication letters (In recruitment process, we fill out a questionnaire, what should steel industry head for, and have four choices to pick to see if you share the same value as xxx etc etc.)

Networking plus cold calls

465

Summary of interviews:Don’t worry abut small font, we will explain

Informants:Average company tenure: 8.9 yearsAverage industry tenure: 13.3 years

466

Think about…• How should developing countries manage their

natural resources (i.e., air, water, rain forests, agricultural land, etc.) in an environmentally sustainable manner?

• Why do their behaviors matter? • How can the developed world and their firms

help the developing world to go green?

What types of firms Tuesday? Today?

• Types of ownership? Drivers to go green?– Vanke– Tsingtao Beer– SAIC

• Same questions for today?– Nine Dragons paper– Lenovo– Midea

Added thots on UNGC:A troubling observation

• We asked students, what areas most important to you?

• Survey given in Germany, US, Hong Kong, Sri Lanka, Singapore, Ireland and now in Denmark

• Key question was, “do interests differ globally?”• Almost as an aside, an afterthought, we asked,

“how much do you know about UNGC?”

LEADERS OF TOMORROW: where should we put our emphasis?What do you think? As tomorrow’s leaders, you will decide the role of business in society. The United Nations Global Compact lists TEN areas where it says businesses should be responsible. In your own opinion, which of these ten are MOST IMPORTANT?Businesses should… (CIRCLE ONE OR TWO OR THREE OR FOUR)Principle 1: support and respect human rights Principle 2: make sure they are not complicit in human rights abuses Principle 3: uphold freedom of association and the right to collective bargainingPrinciple 4: support the elimination of all forms of forced and compulsory labourPrinciple 5: support the abolition of child labourPrinciple 6: support the elimination of discrimination in employmentPrinciple 7: support a precautionary approach to environmental challengesPrinciple 8: undertake initiatives to promote greater environmental responsibilityPrinciple 9: encourage development and diffusion of environmentally friendly technologies Principle 10: work against corruption in all forms, including extortion and bribery Have you heard of this United Nations Global Compact before?No, I do not recall ever hearing of this beforeI think I have heard of it but am not familiar with itYes, I have heard of it and know generally what it is trying to doI know about this United Nations Global CompactI am VERY familiar with the United Nations Global Compact THANX! Your opinions will be combined with others and presented at a conference. To help organize the hundreds of surveys please tell me the following:Your nationality (where is your passport from):Countries where you have lived (for one month or more)….

Have you heard of this United Nations Global Compact before?

No, I do not recall ever hearing of this before 55%I think I have heard of it but am not familiar with it

41%Yes, I have heard of it and know generally what

it is trying to do 1%

I know about this United Nations Global Compact 1%I am VERY familiar with the United Nations Global Compact

1%

to convince businesses to think about sustainability

• Ethics? • Law? • Voluntary action by corporations?

– Especially “ Multi Stakeholder Initiatives” such as the UNGC?

• Ethics? Results not impressive so far• Law? Worse• MSIs, the biggest of which is UNGC? Maybe,

but if nobody knows about it . . .

More topics 24 July• Story of Stuff: takeaways, plus afterthots


• major problems discussed in video– Business level– Society level– Individual level

























Thursday July 24

DONE:• MAIN learning today: 3 Chinese companies• A few more thots on the UNGC• The Story of Stuff: points to consider, plus . . STILL TO DO:• Preview: UN Climate Conference 2014• Preview: exam• Wrap up course: what could be improved?

United Nations New York Sep 23, 2014

Will anything happen?

• Yes

• No

• Maybe

UN Summit has potential1. Improve building energy efficiency2. Make climate change focus of Arctic Council3. Reduce global poverty through climate action4. Phase down heat-trapping HFCs under the Montreal Protocol

Plus a big sub-agenda on use of big data!

Exam? Why exams?

New York Times: to really

learn, quit studying, and . . .

Jan 20, 2011

TEST HELPS BRAIN.htm

Why this class? IT CAN HELP YOUWhy exams? They motivate, and you learn

from the exam process!Remember, LIFE IS NOT ABOUT EXAMS! Go to the beach!

• NOW WE TALK ABOUT EXAMS• How to take exams (ANY exams)• How to prepare for THIS exam• How to prepare for LIFE (well, may not really

cover this today)

24 July


Our Exam?• Review all slides• Review articles and cases (many fewer pages

than if we had text)• Review all slides (again)• Be ready to THINK, give opinions, and support

your opinions with examples• Four hours, 3 out of 6 questions? You might

spend 30 minutes planning, three hours to write, 30 minutes to review

Essay exam tips for ANY class• RTDQ!!!! • Find ONE main idea per topic, make it clear• Use real examples! (EASY in any class. Golden Arches rule)• Short intro OK• Short conclusion OK• Some have 2 or 3 supporting points (optional)• Include YOUR IDEAS not just info from readings or cases• If give up, Hulpke’s Famous BS rule: no idea at all? Rewrite

the question in your own words, then say something true, close to the question. SAY SOMETHING! Then conclude.

Jail?

And of course, we send very few people to jail

Last agenda item today

• On a blank piece of paper (recycled paper preferred) write ONE thing we could do to improve this course

Any questions? Email us, we’re open for business 24/7/365

Good Luck and Thank You!!!!

490

ciao, arrivederci adios

dzai jensalaam

sayonarabye bye

au revoirauf veder zehn

ahn yong i ka say o (annyongi kasesyo)

aloha…. [email protected] [email protected]

