Doing Sustainability Right - Lessons From Whole Foods and Wal-Mart

Industry has a tremendous impact on the- savings that can then be passed down to
environment, and thus, can have a tremendousWal-Mart. Since the competition for shelf space is
impact in improving it. As green goes mainstream,tough, and Wal-Mart favors suppliers that meet
companies of all shapes and sizes are looking forthese goals, there is a distinct advantage in
ways to incorporate the tenets of sustainability.compliance. The retailer has also set up systems
Be it an office recycling program or a globalto benchmark, measure and share what's being
sustainability initiative, every company has to startlearned. As a result, savings from packaging
somewhere. Fortunately, a few are getting itreduction (coupled with Wal-Mart's own
right, providing lessons for the rest of us.improvements in logistics) will save the retailer an
Whole Foods Markethundreds of millions each year.
Whole Foods is dedicated to providing quality foodCharacteristics of Successful Sustainability
in support of an interdependent world. LocalInitiatives
producers and suppliers play a key role, providingExamples such as these illustrate some
fresh fruits and vegetables, while furthering thecharacteristics shared by successful sustainability
sustainable agriculture industry that promotesprograms:
ecological health. Through their Local Producer- Green policies directly support business
Loan Program, Whole Foods provides low intereststrategies, and are material to the company's
loans to the growers that in turn support thecore business
grocer's ability to provide high-quality food in their- Core values align with those of its customer
stores - a strategic investment that benefitsbase
Whole Foods. The company also empowers- Holistic view of sustainability, looking across the
individual buyers to seek out and purchase fromcompany's entire operation, both up and down the
sustainable suppliers, engaging them directly insupply chain
Whole Foods' pursuit of sustainability.- Empower and engage employees through
Wal-Marttraining, knowledge sharing, and reward
Wal-Mart competes based on its ability to supplycompetition systems
products at a low price - their profit margin is- Encourage change in supply chain: share goals
famously low at around 2%. They achieve this byand knowledge, help suppliers meet goals and
wringing the lowest possible price from suppliersreward those that do
and cutting their own operating costs wherever- Establish benchmarking and measurement
possible. Their huge revenues are driven bysystems
volume. After years of bad press related to- Communicate results - both wins and challenges
these tactics, Wal-Mart has begun receiving- to all stakeholders
accolades for its sustainability policies, even thoughWhether you're looking to green your office or
its competitive strategy has not changed.take a multinational corporation down the path to
How? Wal-Mart has proved the old adage that asustainability, know that there's no need to
penny saved is a penny earned. By looking up itsreinvent the wheel - learn from those that have
supply chain and requesting a reduction ingone before you.
packaging, suppliers save money on raw materials