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Expanding the company’s global reach and maximising synergies

AUGUST 2019
www.csomagazine.com

SUSTAINABILITY
THROUGH
TECHNOLOGY

Phoenix Rising
CSO Mark Hartman reveals
how its 2050 goals are
making it one of the most
sustainable desert cities
in the world

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FOREWORD

W elcome to the August edition


of CSO magazine!
For our cover story this month, Dan
CPOs need to put sustainable
procurement on the agenda.
In this month’s issue, CSO Magazine
Brightmore sits down with the Chief takes an in-depth look at the world’s
Sustainability Officer for the City of top utility companies and the CEOs
Phoenix to learn how the Arizona leading them.
capital is striving to become We also examine the top
one of the most conferences and events 03
sustainable desert you won’t want to miss
cities in the world. this year.
Next, Armacell’s Don’t forget to also
Mark Hartman,
Amber Jesic discusses CSO, City of Phoenix check out our other
how the company is company profiles on
using technology to Prysmian Group, Refinitiv,
support sustainable the City of Brampton and more.
practices in its supply chain.
Do you have a story that you’d like
As innovation continues at its to share? If so, please get in touch at
blistering pace, CSO magazine sophie.chapman@bizclikmedia.com
takes a deeper look at how smart
Enjoy the issue!
city technologies are reimagining
Sophie Chapman.
urban life.
Elsewhere, Matt High examines
how, when it comes to procurement,

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CONTENTS

12
RISING TO THE
CHALLENGE
OF ITS 2050
SUSTAINABILITY
GOALS

32
How CPOs are
fighting to put
sustainable
procurement
on the agenda
of every single
company
40
How smart city
technologies are
changing the world

How technology 58
can enable a
more sustainable TOP 10
agriculture Utility
industry CEOs

72
The biggest
industry
48 events
CONTENTS

76
Prysmian Group

94 108
Armacell Simon Fraser
University
126
City of Brampton

140 154
Refinitiv ImpactAgri
The City of
Phoenix: Rising
12 to the challenge
of its 2050
sustainability
goals WRITTEN BY
DAN BRIGHTMORE
PRODUCED BY
CRAIG KILLINGBACK

AUGUST 2019
13

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CITY OF PHOENIX

The City of Phoenix is working


towards zero carbon, zero
waste, a 100-year supply of
water, clean air, and parks and
transit in every neighborhood.
CSO Mark Hartman reveals
how its 2050 goals are making
it one of the most sustainable
desert cities in the world.

hen the Chief Sustainability Officer for

14
W the City of Phoenix took up his post in
2014 the target was to become the most
sustainable desert city in the world. Five years
later, Mark Hartman and the very innovative
department heads across the City are setting their
sights on a sustainability roadmap for 2050 to
ensure progress for future generations in Phoenix.
“Back in 2016 when City departments adopted
these goals we asked: ‘What kind of city do we
want to be in 2050?’” explains Hartman. “Instead
of thinking ‘How did we get here?’, we want to be
able to say, ‘We planned to get to this place’ and
this is what the perfect city looks like — our 2050
environmental goals aim to articulate those long
term desired outcomes. Setting out the long-term
environmental goals of zero carbon, zero waste,
clean air, a 100-year supply of water, and parks
and transit in every neighbourhood will drive us

AUGUST 2019
15

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CITY OF PHOENIX

“Setting out the long- towards what we’re trying to achieve

term goals of zero as a sustainable desert city.”


A big part of that sustainability
carbon, zero waste,
journey is a series of major projects
clean air, maintaining including the 91st Avenue wastewater
our 100-year supply biogas project (the largest facility of
of water, and parks its kind in the US). “Our water depart-
and transit in every ment is capturing methane from our
neighbourhood will wastewater, putting it in a pipeline and
really drive us towards generating revenue by selling it to the
what we’re trying to California green energy market. It’s a
achieve as a city” great example of finding a use for the
methane from wastewater treatment.

Mark Hartman, In addition to the biogas, we actually
16 CSO, City of Phoenix reuse nearly all of the wastewater.

AUGUST 2019
CLICK TO WATCH : ‘BECOMING A CARBON NEUTRAL CITY’
17

We’re ahead of the curve, which would just build a treatment plant
encompasses how we focus our before releasing it into the waterways,”
approach in the desert.” Along with he says. “Instead, we’ve constructed
the biogas production, reclaimed the Tres Rios Wetlands. It’s significant
water is also being diverted into because we’re using nature to do the
irrigation for farming and agriculture work for us and at the same time,
and for cooling at the Palo Verde it transformed this desertscape into
Nuclear Generating Station. Mean- a beautiful wetland home to 150 species
while, the final by-products, the of birds. So in contrast to many of our
bio-solids which amount to 10% human behaviors that are slowly
of total waste, become fertilisers contaminating our ecosystem, we are
for non-food crops. being restorative and enhancing
Hartman also notes the city’s nature so that it can thrive.”
approach to the final polishing of It’s not just the city’s infrastructure
water has evolved. “Typically, you that is evolving. Phoenix is also

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CITY OF PHOENIX

18

supporting sustainable home devel- the winning design and the detail
opment with a series of initiatives as construction drawings from Imirzian
part of its vision to have all new Architects on our website so anyone
buildings net positive in both energy can download the pre-approved plans
and materials by 2050. “We ran a for free to build a net-zero energy
$100,000 competition to design a home at a cost similar to current
beautiful home that is sustainable and construction. And here in Phoenix, we
near net-zero, and yet can be built at won’t charge building permit fees for
the cost of typical construction,” says the first 25 homes. It’s an opportunity
Hartman, who notes that even with to encourage home buyers to think
adherence to the latest building codes differently about the energy savings
we’re a long way from buildings that from well-insulated walls and high-
need little energy to condition them. performance windows.” Hartman
“Our planning department has posted highlights this focus also extends

AUGUST 2019
to government buildings. “We’re doing implement new processes. “Public
deep energy retrofits in all of our Works recently installed a state-of-
facilities,” he says. “We’ve put forward the-art $15mn facility where we take
proposals on three specific sites organics and use a state-of-the-art
where the $30mn budget will actually Turned Aerated Pile (TAP) system to
be paid back through energy savings. ” produce certified compost faster
Phoenix is allied to the Covenant of than other composting methods,”
Mayors, the world’s largest movement he reveals. “In partnership with the
for local climate and energy actions, City’s Compost Facility operator,
which has over 9,000 cities in partner- WeCare Denali, we’re processing
ship worldwide to meet the commit- nearly 55,000 tons of inbound organic
ments of the Paris Agreement, chiefly waste to compost which is either sold
a 30% reduction in carbon by 2025. regionally, used at City parks and
Hartman takes inspiration from this properties, or provided to City
global quest as Phoenix looks to residents at special give away events .” 19

E XE CU T I VE PRO FI LE
Mark Hartman, Chief Sustainability Officer
Mark Hartman is Phoenix’s Chief Sustainability Officer,
charged to catalyse the long list of actions already underway
to help Phoenix become a global leader in sustainability.
Most recently, in April 2016, the council approved the 2050
Environmental Goals and now, Hartman is working with
departments and the community to develop interim goals
and complementary social and economic goals. Hartman
formerly worked at the City of Vancouver for eight years
in sustainability leading their carbon-neutral buildings
strategy and their green building code, as well as supporting
Vancouver’s ambition to become the greenest city in the
world by 2020. Mark holds an MBA from Heriot-Watt
University and is a LEED accredited professional.

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Hartman believes the biggest
challenge any city faces in pursuit of
$1.4bn
its sustainability goals is to break the
Approximate
cycle of the human propensity to do
revenue
things the way they’ve always been
done. “We are reluctant to embrace
change, even when we’re presented 1881
with amazing opportunities,” he says. Year founded
“We’re using more resources than is

14,000+
within the earth’s carrying capacity
which is not sustainable long term.
We need to start thinking about Approximate number
solutions to reduce waste in all of our of employees
systems, and inspire innovation to see
what’s really possible.” 21

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CITY OF PHOENIX

Collaboration is key for the ongoing


sustainable evolution of Phoenix.
“We’re working with established
partners to help us with technology
and innovation,” confirms Hartman.
“For our retrofits, we’re utilising the
expertise of Ameresco, Honeywell,
Trane, McKinsey and Noresco. They
bring decades of experience to help
us achieve our goals with systems that
are easy to use and operate.” These
efforts are part of the city’s 2020
goals to retrofit 185 City buildings
22 to make them 20% more efficient.
“Ameresco is also running our 91st
Avenue biogas facility as well as being
the contractor that build it,” he adds.
What sustainability trends has
Hartman identified globally, and
across the US, that can support
Phoenix with its 2050 goals? “I’m
excited about the potential to purchase
renewable energy,” he observes.
“We’re in a regulated environment,
so it needs to be in partnership with
our utilities. We’re looking at options
like virtual power purchase agreements
and ways you can procure energy
from renewable sources that are
equivalent to, or less than, current

AUGUST 2019
utility pricing. It is possible to save
money when you buy renewable
energy.” Allied to this, Hartman is keen
to make these opportunities available
through community solar projects by
partnering with a utility to implement
solar and help reduce electricity costs
in lower-income areas. “We also hope
to partner with Clearway Energy to
provide clean electricity to the district
cooling system to offer carbon-neutral
cooling to downtown buildings.”
Hartman believes that, from a
carbon pollution point of view, there 23
are huge opportunities to apply the
same learnings from making buildings
more energy-efficient to transporta-
tion. “There’s a real move towards
electrification of transportation,” he
notes. “Norway’s electric vehicle sales
now make up more than 70% of the
market and countries like China see
electrifying cars and buses as the
solution to pollution.”
Elsewhere, the Street Department
just completed an upgrade of its
95,000 street lights to LED. It may
have cost $30mn but Hartman points
out that it pays for itself out of the
energy savings, with the net savings

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exceeding $1.5mn per year over and


above the debt service cost, while
providing better quality and more
reliable lighting.
Another goal for Hartman is to see
Phoenix move towards a circular
economy: “What if all the products
and packaging we purchase was
100% recyclable and everything went
back to the suppliers, and then, they
used them for reproduction?” He
notes that the Public Works department
is visionary as it was the first city in
the US to join the Ellen MacArthur
CE-100 Network, an industry catalyst

AUGUST 2019
for the circular economy. In partnership “We’re looking at options
with the Arizona State University,
like virtual power
the City launched the RISN Incubator
purchase agreements
to work with early stage ventures with
a focus on waste diversion and
and ways you can
improvements in processing or
actually build and
utilisation of waste as a raw material contract to get energy
for new products or energy. As of from a solar plant that’s
1 May 2019, 13 new businesses have equivalent to, or less
generated $4.75M in revenue, raised than, current pricing”
$3.44M in capital, created 57 jobs,

launched 13 products, filed 3 patents, Mark Hartman,
and provided 43 internships. “We’re CSO, City of Phoenix
25

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CITY OF PHOENIX

20 50 GOALS
• Make walking, cycling and
transit commonly used in
every Phoenix
neighbourhood
• Create zero waste through
participation in the circular
economy
• Maintain a clean and
reliable 100-year supply
of water
• Reduce community carbon
emissions by 80-90%
26
• All residents to live within a
five-minute walk of a park or
open space
• Achieve a level of air quality
healthy for all residents and
the natural environment
• Maintain a sustainable,
healthy, equitable, thriving
local food system.

AUGUST 2019
working with the private sector
providing feedstock and land for lease
at attractive rates to turn palm fronds
into animal feed and mixed plastics
into fuel... It’s exciting to look at how
we can turn waste into resources
instead of dumping it in a huge hole in
the ground. Here in Phoenix we could
fill our baseball stadium seven times
with the waste we collect from
residential customers. What are the
resources we could take out of that
seven stadiums worth of waste?
Whether that’s up-cycling furniture or 27
using plastic bags to make decking—
we need to be creative. Meanwhile, the
trucks that pick up that waste travel the
equivalent of going to the moon and
back 14 times. People say ‘it’s free to
throw stuff away’, but it’s certainly is not
free. Imagine the fuel needed to travel
to the moon 14 times in a garbage truck.
One opportunity to address this fuel
use is underway for our landfill gas,
whereby the methane will be captured
and converted into cleaner burning
natural gas to fuel our garbage trucks.
This will ensure cleaner air and avoids
mining natural gas by replacing it with
methane produced in our landfill.”

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CITY OF PHOENIX

PA R T N E R I N F O

Phoenix: supporting renewable energy


and products through utilities
“We’re working with Arizona utilities invest in projects like
Public Service (APS) and Salt this, its producing clean energy
River Project (SRP),” explains while saving money.”
City of Phoenix CSO Mark Hartman hopes to see many
Hartman. “SRP wants to add more of these projects. Phoenix
1000MW of utility-scale solar already boasts 32MW of solar
over the next five years. The first on city land, more than any
100MW they made available to other US city, and aims to
their largest customers. The city double that figure. “We’re
28 will be able to purchase solar at planning to add solar to parking
2.7 cents per kilowatt hour for 20 lots, rooftops and unused land,”
years, and then sell it on the he pledges. “We’re also looking
market at prevailing rates, which to lease out landfill property to
today averages over 3 cents, utilities and renewable energy
which means a large credit on developers as a means to
our bill. As both customers and provide clean energy.”

AUGUST 2019
29

In the short term, the city is on track to sustainability as articulated in the


meet its target of 40% waste diversion City’s General Plan — community
by 2020. Meanwhile, Phoenix is health and education, equity, civil and
working hard with energy service human rights, and safe communities
companies (ESCOs) to reduce — in order to become a truly sustain-
building energy use by 20% for next able desert city.
year and targeting 15% for renewable
energy used city-wide from diversified
sources. Ultimately, Hartman stresses
the need to also prioritise economic
and social sustainability. “Environmen-
tally there’s much we can do to raise
awareness and make positive change
but those outcomes must be achieved
alongside economic and social

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S U S TA I N A B L E P R O C U R E M E N T

How CPOs are


fighting to put
sustainable
procurement
32
on the agenda
of every single
company
When it comes to procurement,
focusing on price or service levels
is no longer enough; smart CPOs
must build sustainability into
their procurement function.

WRITTEN BY M AT T HIGH

AUGUST 2019
33

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S U S TA I N A B L E P R O C U R E M E N T

“F
irms that align their business models to the
transition to a carbon neutral world will be
rewarded handsomely; those that fail to
adapt will cease to exist.” This was the warning
given by Bank of England Governor Mark Carney
at his annual Mansion House speech on
21 June. While Carney’s focus was on the wider
opportunities – and challenges – of transitioning to
a carbon neutral economy, his words reinforce the
broader message for businesses: environmental,
corporate and social responsibility and a focus on
sustainability will drive success.
For the procurement function, this is no different.
Over the last decade, the role of the Chief Procure-
34 ment Officer (CPO) has seen increasing time spent
on implementing sustainable practices into the
procurement function.
“Sustainability is no longer ‘a nice to have’,
it’s a business imperative,” says Vaughan Lindsay,
CEO of ClimateCare, which works with organisations
on climate and sustainability issues. For Lindsay,
many industries’ most significant impacts are
“beyond their four walls, in their supply chain and
the use of their products.” A procurement team
is uniquely placed, he believes, to act on sustainability
as it already provides a framework for evaluating
suppliers against more traditional parameters, such
as cost or service levels. Lindsay explains sustain-
ability performance must be given the same weight
as those traditional parameters, requiring a change
in thinking from a ‘do no harm’ approach – which

AUGUST 2019
“Sustainability
is no longer a
‘nice to have’,
it’s a business
imperative”

Vaughan Lindsay,
CEO, ClimateCare
35

ensures suppliers comply with existing


policies – to rewarding against environ-
mental and sustainability credentials.
For most businesses, drivers of
sustainable procurement fall broadly
under the ‘risk management’ banner:
improving internal and external
standards, building a sustainable and
more efficient supply chain, meeting
the demands of increasingly conscien-
tious consumers and investors, screen-
ing suppliers that pose a potential risk
and facing up to intense focus on
brand reputation.

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S U S TA I N A B L E P R O C U R E M E N T

“First and foremost, Typically, modern procurement


functions leverage a broad range of
a successful purchasing and partnering policies.
sustainable These include new supplier codes of

procurement conduct and self-assessment that


guide procurement strategies and
strategy needs to choice of supplier, drawing on data

align with a and technology, such as blockchain,

company’s core
to give a greater overview of supplier
and procurement functions. This
values and culture” increases the focus on collaboration
– both internally so that every

Timo Worrall, individual within the organisation is
Director of Supplier Social Responsibility, working towards the same goals and
Johnson & Johnson externally across the supply
36

AUGUST 2019
CLICK TO WATCH : ‘JOHNSON & JOHNSON PARTNERING WITH
SUPPLIERS FOR SUSTAINABILITY’
37

ecosystem – and investing in social and science.” This, Worrall adds,


enterprises or philanthropic causes. “is the guiding light for our sustainable
Timo Worrall, Director of Supplier procurement programme.”
Social Responsibility at Johnson & It’s no empty gesture either. To date,
Johnson has been at the forefront the company has spent US$1.5bn with
of the global healthcare company’s diverse suppliers across the world and
sustainability drive. “First and foremost,” committed 3% of its purchasing spend
he says, “a successful sustainable in the UK on social enterprises to help
procurement strategy needs to align support 150 jobs. Not only does this
with a company’s core values and meet business imperatives (building
culture.” For Johnson & Johnson, diversity in suppliers, gaining access to
that vision is being the most trusted new innovations), it promotes a positive
company for transforming lives in organisational culture that contributes
underserved communities through to wider society. Johnson & Johnson is
its expertise in healthcare, wellbeing also a founding partner

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S U S TA I N A B L E P R O C U R E M E N T

“Our ambition
is to put
sustainable
procurement
on the agenda
of every single
company”

38 Timo Worrall,
Director of Supplier Social Responsibility,
Johnson & Johnson

of the Buy Social Corporate Challenge overlooked: “ambitions will only be


(BSCC), led by SEUK, which aims realised through a coordinated internal
to redirect corporate supply chain effort involving procurement personnel,
spending to deliver support for some category leads, commercial teams and
of the most disadvantaged groups supply chain teams. This is under-
in the UK. pinned by support from colleagues in
As to the practicalities of successful Corporate Social Responsibility, Global
sustainable procurement, Worrall cites Community Impact and Government
collaboration as “indispensable”. Affairs.” Externally, the business uses
Focusing internally, he says, is an its advocacy of sustainable procure-
important first step that’s often ment to build global awareness with

AUGUST 2019
says, emerging technology such as the
Internet of Things (IoT), blockchain and
artificial intelligence (AI) will play a
major role in addressing environmental
concerns through “complete traceability
to allow sustainability decisions to be
made, therefore increasing productivity,
lowering costs, while minimising
environmental footprint and impact.
In a world moving towards a more
sustainable future, those which don’t
embrace the necessary technologies
now risk getting left behind.”
Sustainability continues to be a key 39
driver of the procurement processes
for businesses, seeigreater emphasis
on the role of CPOs and the teams they
work with. In an increasingly global
business environment where suppliers
the aim of “placing [it] firmly on the stretch across emerging markets that
business agenda” in growing markets challenge only amplifies. The pay off,
such as China and India. of course, is well worth that challenge,
At a more granular level, a greater as Worrall explains: “our ambition is to
focus on data and new technologies is put sustainable procurement on the
being used to build more trust in the agenda of every single company. It is
procurement function. The biggest far from charity work; it serves a specific
challenge, according to Industries business purpose, and it serves it well,
President at IFS, Antony Bourne, is and this is the type of example that
the “ability to acquire and trust the data every company should be setting in
collated on suppliers”. As a result, he the coming years”.

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TECHNOLOGY

40

How smart city


technologies
are changing
the world
WRITTEN BY SOPHIE CHAPM AN

AUGUST 2019
41

As technologies continue to advance


across the globe, CSO Magazine
evaluates the innovations smart
cities have to offer

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TECHNOLOGY

SIDEWALK LABS
Owned by Alphabet, Sidewalk Labs is one of the
most prominent smart city-focused companies.
The firm aims to improve urban living by addressing
issues such as rising rent prices and environmental
damage. “New technology can help, but people
can’t afford to wait for digital advances to trans-
form the urban environment. So we’re creating a
new type of place to accelerate urban innovation
and serve as a beacon for cities around the
world,” the company claims. Debuting its technol-
ogies in Toronto, Canada, the company is
42 working on a project on the Eastern Waterfront.
Sidewalk Labs is working with Waterfront
Toronto and the local community to improve
mobility, housing and real estate, city services
and public spaces by making them more safe,
sustainable and efficient.
The firm recently released its Master Innovation
and Development Plan (MIDP) for the project,
including a breakdown of job prosperity and
energy management. Whilst anticipating to create
44,000 jobs in the area, the plan sees an 89%
reduction of the city’s carbon emissions and an
80% reduction of waste going to landfill through
innovations and technologies. Sidewalk Labs has
outlined an energy-efficient building strategy that
will see a reduction in energy demand, and intends
to ease the issue of fossil fuel reliance with an

AUGUST 2019
43

“We’re creating a new type


of place to accelerate
urban innovation and serve
as a beacon for cities
around the world”

Sidewalk Labs

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TECHNOLOGY

advanced power grid that uses solar South Korea was the first nation to
energy, battery storage and real-time adopt the technology on a large scale,
energy pricing. The firm is working on but has been closely followed by
digital management tools to combat countries from across the world.
energy waste and smart disposal European telecommunications
chains to manage landfill waste. companies, such as EE and Deutsche
Telekom, have already launched 5G
5G technology in the UK and Germany.
As technology finds its way to the Telecom Italia partnered with Ericsson
forefront of smart cities, more and to open Italy’s first 5G-connected
more locations are preparing infra- airport, the Leonardo da Vinci Fiumi-
structure to support 5G connectivity. cino Airport in Rome. Telstra launched

44
“As spending on smart cities
expands along with technology,
it is expected the market will
be worth US$189.5bn by 2023”

AUGUST 2019
CLICK TO WATCH : ‘SIDEWALK TORONTO: THE NEIGHBORHOOD
OF THE FUTURE STARTS WITH YOUR IDEAS’
45

the first 5G smart hub in Australia. ENERGY


The technology is also being As spending on smart cities expands
introduced to car racing, gaming, along with technology, it is expected
and drone taxis. that the market will be worth
Forbes recently released data on US$189.5bn by 2023. According to
the impact 5G technology is having the Worldwide Semiannual Smart
on the countries using it. The US Cities Spending Guide released by
is seeing the most success with marketing intelligence company IDC,
maximum download speeds reaching smart city funding will mostly be
1,815Mbps, followed by Switzerland invested in energy projects, infra-
and South Korea at 1,145Mbps and structure, intelligent transport and
1,071Mbps respectively. Australia is public safety. As renewable energy
hitting figures of 792Mbps, but is the projects now account for 63% of all
only nation to have its 4G users hit new power capacity, according to
higher maximum download speeds. the International Renewable Energy

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TECHNOLOGY

Agency (IRENA), the proliferation


of smart grids will only continue at
a faster pace. With the technology
connecting utilities and consumers,
digital is enabling energy grids to better
respond to electricity demand. Smart
grids are designed to transmit electric-
ity more efficiently, reduce costs, lower
peak demand, restore power quicker
in the event of disturbances, better
integrate renewable projects, and have
heightened security.

SMART GRIDS
46 By 2025, the smart grid industry is
anticipated to be the largest emerging
market, according to the Global Smart
Grid Market study released by Big
Market Research. The industry was
worth US$66.96bn in 2017 and is
expected to be worth $169.19bn by
2025, growing at a compound annual
growth rate (CAGR) of 12.4% between
the two periods, Allied Market
Research claims. Despite North
America contributing the most to the
market in 2017, the APAC region
is expected to grow at the highest
speed, with its CAGR set to reach
13.9% in the review period. Compa-
nies such as Wipro Limited, Cisco

AUGUST 2019
Systems, Siemens, Schneider Electric,
Honeywell International and Oracle
were highlighted in the report as key
market players – being commended
for mergers, acquisitions, partnerships
and new product launches.

URBAN FUTURE
The mass technological growth
currently underway is extending to
all industries and sectors, influencing
future innovations and markets. This
certainly applies to the smart city
industry, as digital is enabling more
sustainable practices in some of the 47
world’s busiest locations. Heightened
energy efficiency, reduced carbon
emissions and the development of
smart grids are all becoming more
prominent, as well as improved safety,
less traffic and better housing. As this
continues, it is unclear whatthe future
holds for the smartest cities across
the globe.

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S U S TA I N A B I L I T Y

How technology
can enable a
48
more sustainable
agriculture industry
Against multiple risk factors and
changing consumer behaviour, the
agricultural sector’s focus on corporate
social responsibility is increasing

WRITTEN BY
M AT T HIGH

AUGUST 2019
49

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S U S TA I N A B I L I T Y

I
s global agriculture fit for the future? According
to the World Economic Forum, by 2050 the
global demand for food will be 60% greater
than today. The United Nations (UN), as part of
its Sustainable Development Goals (SDGs), has
earmarked ending world hunger and achieving
food security as key priorities.
There are further significant, and interconnected
risks and impacts that the agricultural sector
also faces. According to Simon Davis, Principal
Sustainable Agrifood Consultant at global
50 sustainability consultancy Anthesis: “65% of poor
working adults make a living in the industry; it has
been estimatedto be responsible for 25% of
global GHG (greenhouse gas) emissions and 70%
of total water use; there’s been a 60% biodiversity
decline in the last 40 years; one third of all food
produced is wasted and 46% of trees have been
felled since humans started cutting down our
forests, in large part to make way for agriculture.”
The sector also faces considerable pressure
in terms of its transparency, largely driven by
shifting consumer preferences for responsibly
sourced and environmentally-friendly goods.
The UK, for example, has seen shoppers transition
away from typical agricultural commodities
towards ‘free-from’ or alternative options that
combine health, sustainability and quality.

AUGUST 2019
51

“One third of all


food produced is
wasted and 46%
of trees have been
felled since humans
started cutting
down our forests”

Simon Davis,
Principal Sustainable Agrifood
Consultant, Anthesis

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S U S TA I N A B I L I T Y

“Through the use of It means that farmers worldwide


must work harder and smarter in
satellite data, remote
embedding corporate social respon-
sensing and mapping, sibility (CSR) practices into their
farmers, businesses operations. Davis, who through
can harness the most Anthesis delivers financially driven

relevant and useful sustainability strategies, strongly


believes that sustainability is no longer
information to improve a choice. “The agricultural sector is
and adapt practices and intrinsic to a wide range of global
ensure sustainability” systems, societies and economies,”
— he says, adding that those organisa-
Andre Laperriere, tions that do not embed sustainability
52 Executive Director best practice into their supply chains
of Global Open Data,
Agriculture & Nutrition will face “increasing risk of price
volatility, security of supply, commodity
shortages, fraud and uncertainty.”
To counter this, he urges businesses
to develop CSR founded on a core
set of principles that enable
sustainable practices to be
successfully adopted at
a pace and scale that
mitigates those risks
discussed.

AUGUST 2019
CLICK TO WATCH : ‘ANDRÉ LAPERRIERE AT SWAT4HCLS CONFERENCE’
53

Data is proving a particularly useful and best practice on carbon


tool in this regard. Take the Cool Farm and water reductions strategies.
Tool, for example, which is a global, Andre Laperriere, Executive
free-to-access online greenhouse Director at Global Open Data for
gas (GHG), water and biodiversity Agriculture & Nutrition (GODAN), says
footprint calculator used by farmers that, while many farmers have CSR
in more than 115 countries worldwide strategies embedded in their farm
to enable effective management of management processes, others have
critical on-farm sustainability chal- “left it on the back burner”. GODAN
lenges. Member organisations such is a government-supported initiative
as Pepsi, Tesco and Danone aggre- advocating the proactive sharing
gate their supply chain data to report of open data to provide access to
total agricultural footprint against key information about agriculture and
sustainability metrics – outputs from nutrition available to meet food
which are used to share knowledge security concerns.

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S U S TA I N A B I L I T Y

Laperriere believes technology,


particularly developments in artificial
intelligence (AI) and data, will be
game-changing for the farming
industry in terms of building both
sustainability and resilience. While
open data has been used to stream-
line business operations for some
years, he says its capabilities have yet
to be fully considered in farming.
“The potential for the use of open data
to combat food issues is continuing
to be recognised, not only because
54 of the relevant historical data open
data can harbour, but also its potential
to help increase the production of
crops,” he explains.
“With increased access and sharing
of data, farmers will be enabled to Data aside, Laperriere also stresses
harness the data for practical uses the importance of more traditional
such as monitoring water supplies CSR-led agricultural practices.
and anticipating changes in the Organic farming techniques such
weather. Through the use of satellite as crop rotation, which can better
data, remote sensing and mapping, care for the land, or improving soil
farmers, businesses and consumers quality, plant growth and natural
in the agricultural industry can diversityby natural animal raising are
harness the most relevant and useful equally important, he says, as is being
information to improve and adapt responsible locally. For example,
practices, make better decisions and small-scale farming can still use toxic
ensure sustainability.” chemicalsand not necessarily follow

AUGUST 2019
55

the same rigorous standard when it forefront of policy agendas.


comesto areas such as water usage. “A mix of entrepreneurial mindsets
Whether local or global, however, the and integrated thinking coupled with
onus on CSR has never been greater technology, data and incentives will
for those in the agricultural sector. futureproof the sector for further
Both Davis and Laperriere concede generations,” Davis notes. “We need
that the responsibility lies chiefly with to be collectively ambitious enough to
those in the industry to ensure their ensure we are delivering value at the
CSR practices meet the challenges scale and pace of change required,
posed. Government and policymakers but I’m confident we have the right
must also ensure that sustainability level of passion and purpose within
in the wider sense remains at the the sector to make this happen.”

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UNDER THE PATRONAGE OF H.H. SHEIKH KHALIFA BIN ZAYED AL NAHYAN
PRESIDENT OF THE UNITED ARAB EMIRATES

BE A PART OF THE MOST INFLUENTIAL


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ABU DHABI, 9-12 SEPTEMBER 2019

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THE GLOBAL LEADERSHIP FORUM THAT DEFINES THE STRATEGY


FOR A COLLABORATIVE, SUSTAINABLE AND INNOVATIVE ENERGY FUTURE,
THAT ENABLES SOCIETAL, COMMERCIAL AND COMMUNITY PROSPERITY.

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The 24th World Energy Congress
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T he Congress programme has been


developed to provide an environment
to provoke the world’s energy leadership
unique content experience.
With no agenda, political
The programme has been curated to
deliver an experience that requires the
attendance of industry’s leadership. Do not
to re-evaluate their strategic planning. expect to agree with everything you hear,
Although we expect to welcome 4,000 or preconceptions, the but do expect to have to evaluate whether
your existing values and beliefs are correct.
delegates, the programme is designed programme will deliver the
with an audience in mind that consists information and interpretation Side Events
of just four people – an energy minister, that allows better decisions
a producer CEO, a user CEO and a
to be made. The programme
bellwether financier. The programme
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TOP 10

58

AUGUST 2019
Utility
CEOs 59

Providing power to households across the


globe, the utility industry is a lucrative
market to be in. CSO Magazine takes an
in-depth look at the world’s top utility
companies by market value, according to
Investopedia, and the CEOs leading them.

WRITTEN BY LAURA MULLAN

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TOP 10

60

Christopher Crane
[ E X E L ON ]
Headed up by President and Chief Executive Officer Christopher
Crane, Chicago-based Exelon touts itself as ‘America’s leading
competitive energy provider’, doing business in 48 states as well
as the District of Columbia and Canada. In 2015, Crane was named
among the 100 most powerful Chicagoans in the city and today,
he oversees a family of companies including Exelon Generation,
one of the largest competitive US power generators, Constellation,
which provides energy products and services to around two million
customers and Exelon’s six utilities.

AUGUST 2019
61

Thomas Fanning
[ S OU T HE R N C OMPA N Y ]
Headquartered in Atlanta, Georgia, the Southern Company brings
electricity and gas to nine million customers every day, making it the
second-largest utility company in the US in terms of customer base.
With more than 35 years of experience in total at the firm, Thomas
Fanning has been Chairman, President and CEO of the business
since 2010, overseeing a 32,000-strong team. Fanning also serves
as chair of the Federal Reserve Bank of Atlanta.

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TOP 10

62

Jose Ignacio Sanchez Galan


[ IBE R DR OL A ]
Hailing from Bilbao in Basque Country, Spain, Iberdrola is an
international energy leader that produces and supplies electricity
to more than 100 million people. Led by Chairman and CEO, Jose Ignacio
Sanchez Galan, the firm owns subsidiaries such as Scottish Power,
Avangrid and Neoenergia, amongst others. The company recently
unveiled plans to invest €13bn in its renewable energy business by 2022.

AUGUST 2019
63

Thomas Farrell
[ DOMINION ENERGY ]
Dominion Energy, commonly dubbed Dominion, is one of the largest
producers and transporters of energy in the US. Boasting the fourth
largest solar fleet in the country, more than 85% of the firm’s current
energy generation comes from clean energy sources or natural gas.
Thomas Farrell first joined the company in 2004, and now he’s the
firm’s chairman, president and CEO. In 2018, Dominion Energy
contributed more than $30mn in 2018 to community causes throughout
its footprint and beyond.

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TOP 10

64

Francesco Starace
[ E NE L ]
Under the guidance of CEO and General Manager, Francesco
Starace, Enel Group has gone from strength to strength. During his
tenure, Starace has helped to oversee the initial public offering (IPO)
of the Italian energy company and its listing on the Milan and Madrid
Stock Exchanges, with a market capitalisation of €8bn. Enel’s
operations span 34 countries across five continents, and it has
almost 73 million end-users around the world.

AUGUST 2019
65

Simone Rossi
[ E DF ]
Électricité de France SA, commonly known as EDF, is a French state-
owned energy firm led Simone Rossi. In 2017, he was appointed as
Chief Executive Officer of EDF Energy and he is also a member
of the Executive Committee of EDF Group. A worldwide brand, EDF
is present in countries including France, Belgium, the United States,
Poland, Italy, China, Vietnam among others.

w w w.c so ma ga z i n e. com
TOP 10

66

James Robo
[ NE X T E R A E NE R G Y INC . ]
A pioneering investment company, NextEra Energy Inc. is a Fortune
200 firm located in Juno Beach, Florida. The US firm claims to be
one of America’s largest capital investors in infrastructure, with
plans to invest $40bn by 2020. Guided by Chairman and CEO,
James Robo, the firm owns two electric companies in Florida,
Florida Power & Light Company and Gulf Power Company, as well
as a competitive energy business called NextEra Energy Resource.

AUGUST 2019
67

John Pettigrew
[ N AT ION A L G R ID ]
London-based National Grid PLC is a multinational electricity and
gas utility company which, as of June 2018, had around 25,000
employees, $20bn in revenue and a $37.99bn market capitalisation.
John Pettigrew joined the firm as a graduate nearly 26 years ago
and today he stands as the firm’s Chief Executive. In July 2019,
National Grid completed its $100mn acquisition Geronimo Energy,
a leading wind and solar developer in North America.

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TOP 10

Isabelle Kocher
[ E NGIE ]

Reporting turnover of €60.6bn in 2018, Engie has earned its stripes


for its low-carbon energy and services. French businesswoman
Isabelle Kocher joined the group in 2002 and she now stands as the
firm’s CEO. Kocher is the only female CEO of a CAC40 company,
and also one of the youngest. Her long-term goal is to make Engie a
leader in the energy revolution.

68

AUGUST 2019
69

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TOP 10

Lynn Good
[ DUK E E NE R G Y ]

With an impressive market capitalisation of around $64bn, Duke


Energy is one of the largest electric power holding companies in
the US, providing electricity to around 7.7 million retail customers in
six states. The firm is headed up by chairman, president and CEO,
Lynn Good, who Fortune Magazine named as the 11th ‘Most
Powerful Women in Business’. “Under her leadership, Duke Energy
70 has intensified its focus on serving its customers and communities
well today while leading the way to a cleaner, smarter energy future,”
the company’s website says.

AUGUST 2019
71

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EVENTS &
A S S O C I AT I O N S

The biggest industry events and conferences


from around the world EDITED BY SOPHIE CHAPMAN

2–3 SEPTEMBER
Sustainable Foods
Summit Asia-Pacific
[ BALI, INDONESIA ]
27–29 AUGUST The APAC edition of the Sustainable
72 Intersolar South America Foods Summit is now in its third itera-
2019 tion, this year with a focus on ethical
[ SÃO PAULO, BRAZIL ] sourcing and supply chain transparency.
With 11,500+ visitors, 1,500+ conference The event includes conference ses-
attendees and 180 exhibitors, Intersolar sions on ingredients, packaging and
has become the most important platform more. With sister events taking place in
for manufacturers, suppliers, distributors, Europe, Latin America and North Amer-
service providers, investors and partners ica, the organisers, Ecovia Intelligence,
of the solar industry. Intersolar South promise that the Bali event will be car-
America takes place at the Expo Center bon neutral, with any impact measured
Norte in São Paulo, Brazil in August has and offset. Globally, the summit has
a focus on the areas of photovoltaics, been going since 2009, and Ecovia
PV production technologies, energy also provides research publications on
storage and solar thermal technologies. topics like cosmetics, textiles and sus-
tainable packaging.

AUGUST 2019
16–17 OCTOBER
Ethical Corporation’s
9–10 SEPTEMBER Sustainability Reporting
Offshore Wind and Communications
Executive Summit Summit 2019 73
[ HOUSTON, TX, USA ] [ AMSTERDAM, NETHERLANDS ]
Bringing together decision makers from Join over 300 global CEOs, investors
wind and offshore oil and gas, both from and heads of business for this two-day
the US and Europe, the Offshore Wind event to learn how businesses can pro-
Executive Summit looks at technology mote greater transparency and shape
innovation, design, foundations, vessels, the future of sustainability reporting
cabling and workforce skills. The sum- and communications. Speakers at this
mit provides the forum to establish new year’s event include Frances Way, Chief
business relationships. Discussion Strategy Office at CDP, Rasmus Skov,
points include project development, Head of Group Sustainability at Orsted,
important policy issues and supply as well as Fiona Wild, Vice President,
chain management. Climate Change and Sustainability at
BHP Billiton.

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EVENTS &
A S S O C I AT I O N S

17–20 OCTOBER
IEEVChina
[ BEIJING, CHINA ]
IEEVChina, or the International New
Energy and Intelligent Connected
Vehicles Exhibition, dubs itself as the
74 “largest professional event in Asia”. It
will include exhibitors covering topics 12–14 NOVEMBER
such as intelligent transportation, inter- BSR Conference 2019
net and communications, AI and new [ SAN JOSE, CA, USA ]
energy. The event will operate across This year marks the 27th annual BSR
five indoor exhibition halls, 10 feature conference, one of the most prestigious
exhibition areas and one outdoor test sustainability events in the business
driving experience area. Concurrent calendar. The theme for this year’s event
forums will also take place across is ‘The New Climate for Business’. BSR
China. This year’s event is hosted by speakers will include global leaders
the China Council for the Promotion spanning business, sustainability and
of International Trade Machinery Sub- civil society. Last year’s event, saw
Council, the China Electrotechnical speakers including Kate Brandt, Google
Society, Autoknow Magazine, Global Sustainability Officer at Google and
Auto Group and China Automotive Marie-Claire Daveu, Chief Sustainabil-
Engineering Research Institute Co Ltd. ity Officer and Head of International
Institutional Affairs at Kering.

AUGUST 2019
4–5 FEBRUARY
19–21 NOVEMBER edie Sustainability
POWERGEN International Leaders Forum 2020
exhibition & summit [ LONDON, UK ]
[ NEW ORLEANS, US ] The edie Sustainability Leaders Forum
With over 14,000 people attending last is set to host over 300 sustainability
years’ event, POWERGEN International leaders from CEOs and sustainability
is a must-see summit for generators, directors to policymakers and NGOs. 75
utilities and solution-providers The forum includes global names like
engaged in power generation. Unilever, Coca Cola, P&G, NG, AXA and
“The exhibit hall provides an interactive more. The event is organised by edie, a
experience personalised to connect sustainable business media organisa-
attendees with the latest technology tion which provides research and
and innovations in the conventional reports for sustainability professionals.
and renewable markets from around It also organises industry awards which
the world,” reads the event’s website. recognises those who are “redefining
“The summit and knowledge hubs what it means to be a sustainable, ethi-
deliver transformative content includ- cal and responsible business”. The
ing disruption from conventional and awards include categories such as con-
emerging, clean and sustained energy sultancy of the year, carbon reduction,
sources, niche technologies and the energy efficiency, rising sustainability
fluctuation of economics and policy.” star and sustainable supply chains.

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PRYSMIAN GROUP
76
GOES GLOBAL
WITH ITS LATEST
ACQUISITION
WRITTEN BY
DAN BRIGHTMORE
PRODUCED BY
DENITRA PRICE

AUGUST 2019
77

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PRYSMIAN GROUP

PRYSMIAN GROUP’S SUPPLY CHAIN


DIRECTOR, GIANMICHELE ALIVIA,
AND CPO, NA BRIAN SCHULTIES,
REVEAL HOW ITS MERGER WITH
GENERAL CABLE HAS EXPANDED
THE COMPANY’S GLOBAL REACH
AND OFFERED THE OPPORTUNITY
TO MAXIMISE ITS SYNERGIES

rysmian Group is now a global force in

P the energy and telecom cable systems


industry. Boasting nearly 140 years’
78 experience, the company’s wide service offering
has driven sales exceeding €11bn via a
29,000-strong workforce operating in over 50
countries across 112 plants worldwide. Since the
$3bn acquisition of General Cable in 2018, the
group is embracing the complex transformation
required to merge company cultures and meet the
needs of a global footprint, while managing the
synergies between procurement processes,
supply chain and operations.
Prysmian’s CPO, NA Brian Schulties worked
at General Cable, starting in 2006, so he has
a unique perspective on the challenges ahead.
“While the re-organisation was challenging, it was
timely,” he reveals. “We’re merging two cultures
into one and it’s not something you do in 30 days…”
Senior Supply Chain Director Gianmichele Alivia

AUGUST 2019
79

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Bekaert is a strategic and long-term
partner for us on steel wire and cables.
Their high quality, focus on research and
innovation, new product development
and responsiveness enable Prysmian/
General Cable to be successful in
serving the market. We truly appreciate
the relationship and push to be stronger
together for many years to come.”
Arvind Parsa, Director of Metals

Bekaert is a global producer of steel wire and cable products including energy and telecommunications solutions.
Our products meet industry quality standards and can be refined to meet specific product or production requirements.

1x3,
• 1x7, 1x19 wire strand Static
• strand, including Alumaclad

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• staples

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• generation ACSR Messenger
• strand/wire
Guy• strand/wire, including Alumaclad A wide
• range of coatings, including Bezinal ®

Get in touch! www.bekaert.com/powersolutions


CLICK TO WATCH : ‘PRYSMIAN GROUP AND GENERAL CABLE JOIN FORCES’
81

agrees: “Setting up the new organisation less what the legacy Pirelli company
was only a part of the work that had was doing globally. All of the challenges
to be done. We’re now starting the are mastered here. Since the acquisition,
discussions about merging the ERP we’ve been working to bring these two
systems and the tools we need.” entities together. North America is where
Following its acquisition by Goldman the bulk of the general cable business
Sachs in 2005, the former Pirelli was and so this is where the majority
Cables & Systems (where Schulties of the effort has been placed.” That
also worked prior to General Cable) effort has included the integration of
was renamed Prysmian. “The company 5,000 staff while managing fixed costs,
has grown tremendously in the past something that has been key to Prysmi-
year,” explains Alivia. “We generate an’s success as a lean organisation.
approximately $4.1bn in revenue in Schulties admits a $3bn acquisition
North America, which was more or invites a period of instability.

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PRYSMIAN GROUP

82

AUGUST 2019
“Expectations since the merger are
high, and we only have two years from
start-to-finish to work on the synergies
– beyond that it becomes the normal
course of business.” He cites the
success of the integration of Draka
into Prysmian Group in 2011 and notes
that CEO Valerio Battista has stated
the progress with synergies is ahead
of schedule. Alivia adds that the same
challenge is being tackled on the
supply chain side “The first step was
to look at inventory (since the merger
inventory locations have dropped
from 77 to 70) but now we’re analysing 83
more complex points including the
rationalization of our network where
inventory is kept, our flows, product
location and distribution. We need
to ensure we make the right product
in the best facility,” he explains.
Prysmian is engaged in setting new
contracts with carriers and working
on their implementation with third-party
logistics companies essential for
managing the network. “It’s not only
the logistics network,” adds Alivia.
“We are reviewing every single facility
and product to make sure we service
the customer from where it makes the
most sense; we’re looking at cost of

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When atoms come together, forming stronger cable insulations
and jackets, we benefit from the energy that connects us.

Advancing a world of possibilities.

lyondellbasell.com
“WE ARE GOING STATE-OF production and factory efficiencies,
but also the cost of delivery.”
THE-ART WITH THE LATEST
Beyond the strategic change
VERSION OF SAP, WHICH
triggered by the merger, Alivia notes
IS IOT (INTERNET OF how Prysmian is always open to
THINGS) READY. THIS WILL dynamic change in the quest for
ALLOW US TO BUILD ONTO greater efficiencies through the
IT AND LOOK AT THE implementation of new technologies.
POTENTIAL FOR PREDICTIVE “We’ve run idea pilots with augmented
ANALYTICS, MACHINE reality in our factories and trialed
LEARNING AND AI” smart devices, such as sensors, both
in our production lines and out in the

Brian Schulties, field.” The group is keen to implement
CPO NA, Prysmian Group machine learning to help with its
logistics network, though Alivia 85

E XE CU T I VE PRO FI LE
Gianmichele Alivia
Alivia started his career at Pirelli in Milan with the
corporate supply chain team. Since 2006, he has moved
back and forth between Italy and the US working mostly
on supply chain and managing the company’s B2B website.
Alivia spent time at the former US headquarters in South
Carolina during the merger with General Cable. At the time,
he was in charge of the regional supply chain of Legacy
Prysmian, North America, and then, after the acquisition
of General Cable, Alivia moved to current headquarters
located in Highland Heights, KY and took a role
in the new organisation where he is working
on the synergies project following the merger
between General Cable and Prysmian Group.

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PRYSMIAN GROUP

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CARING for our people and communities


ACTING responsibly for the planet
BUILDING a better future together

Learn more at cabotcorp.com/sustainability

©2019 Cabot Corporation

A leading manufacturer of protective materials


for high reliability applications since 1946.

Tapes, laminates, Wire and Cable Electronic and Anti-corrosion


sealants and tapes and moisture Industrial coatings coatings for
coatings block compounds Infrastructure

www.chasecorp.com We make a material difference

AUGUST 2019
concedes the cable industry is quite “EXPECTATIONS SINCE
conservative and only implements
THE MERGER ARE HIGH,
technology when it can serve a proven
purpose. “One of the most interesting
AND WE ONLY HAVE TWO
things we’re doing is putting tracking YEARS FROM START-TO-
devices on our cable drums to be able FINISH TO WORK ON THE
to monitor where they are at all times SYNERGIES – BEYOND THAT
and ensure there is a faster turnaround
IT BECOMES THE NORMAL
of these assets once the cable on the
drums has been used,” he reveals.
COURSE OF BUSINESS”
Meanwhile, Schulties believes there’s —
potential to harness AI capabilities to Brian Schulties,
CPO NA, Prysmian Group
reduce the need for remedial tasks.
Almost a year on from the acquisition,
Prysmian Group is preparing the 87
significant step of merging its ERP
systems. “It will generate efficiencies

E XE CU T I VE PRO FI LE
Brian Schulties
Brian Schulties is the head of Purchasing for
Prysmian Group North America. Schulties
has more than 30 years of experience
in the procurement field in the automotive,
foundry and wire and cable markets.
Prior to joining the company, he was the
vice president of sourcing for General Cable.
Brian holds a bachelor’s degree in business
administration from Cleary University
and has a lifetime C.P.M. certification.

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PRYSMIAN GROUP

with everyone operating the same way


on a shared system; obstacles will be
removed giving us a better foundation
to build for the future,” confirms Alivia.
“We are going state-of-the-art with the
latest version of SAP, which is IoT
(Internet of Things) ready. This will
allow us to build onto it and look at
the potential for predictive analytics,
machine learning and AI.”
Beyond the challenges of the
merger, innovation remains a high
priority for Prysmian with 25 R&D
centers across the globe and a
88 commitment to patenting new cable
designs. Schulties is keen to act on
the voice of the customer and see the
company leveraging its supply base,
as far as its technology and ability
to provide innovation with delivery
to market. On that quest, Prysmian
works with 3PL, transportation and
supplier partners. “We’re in discussion
with companies like UPS,” says Alivia.
“How do we create more than just
a supplier/customer relationship?
How do we form a strategic partner-
ship with the extended supply chain
team to come up with solutions?
We’re having whiteboard discussions
to find ways of solving shared problems

AUGUST 2019
89

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PRYSMIAN GROUP

M A R KS THE SP OT
Raw Materials, All Over Again Since 1918

At PMR our mission is to reintroduce useful raw


materials for the metals and plastics industries,
reduce the scrap generator’s waste stream and play
a major role in the greening of our environment.

Headquarters 99 East River Drive, East Hartford, CT 06108 • 860 622-7626


Offices & Plants: East Hartford, CT • Orangeburg, SC • Canastota, NY • Miami, FL
Willimantic, CT • South Windsor, CT • Wilmington, DE • Hickory, NC
AUGUST 2019
€11.bn
across the entire infrastructure of
our organization.”
Focusing on shared sustainability Approximate
goals is also key for a company revenue
ranked third in its sector by the 2018

1879
Dow Jones Sustainability Index (DJSI).
Prysmian is working with procurement
to identify ways it can increase the Year founded
percentage of return of recycled
plastic and wood from pallets.
Meanwhile, it is engaging with freight
providers who invest in new trucks
29,000
to improve mileage efficiency and
Approximate number
reduce emissions. “We’ve also joined
of employees
91

CLICK TO WATCH : ‘PRYSMIAN GROUP SHOWS ITS ADVANCED VESSELS FLEET’

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PRYSMIAN GROUP

92
S U S TA I N A B I L I T Y

Prysmian third in the Dow Jones Sustainability Index

Prysmian works with its partners sustainability issues; adopting


for a common goal: achieving inclusion and diversity policies;
sustainability now and for the implementing a Code of Business
future. It has improved its Conduct designed to disseminate
ranking due to numerous actions responsible business practices
completed in the environmental, along the supply chain; reducing
social and governance fields. emissions of ozone-depleting
These include, amongst other substances; extending the KPIs
things: vesting the Board of adopted in its own Sustainability
Directors’ Compensation and Report, drawn up according to
Nomination Committee with the G4 guidelines of the Global
tasks such as: overseeing Reporting Initiative.

AUGUST 2019
93
the SmartWay,” adds Alivia. “It’s an tion. The fact that we’ve just made a
EPA (Environmental Protection big purchase doesn’t mean we’re not
Agency) program whereby companies analyzing the next potential acquisi-
work collectively to reduce emissions tion two or three years from now.”
and improve efficiency.” SmartWay The strategy is set: making links in
offers an integrated set of no-cost, the chain is building a bright future
peer-reviewed sustainability account- for Prysmian and its customers.
ing and tracking tools to help compa-
nies make informed freight transporta-
tion choices across their supply chain.
Looking ahead, Prysmian’s strategy
is to be “consolidators of the market,”
says Alivia. “We want to squeeze
efficiencies out of the companies we
acquire, generate cash, pay the debt
and get ready for the future acquisi-

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Creating value
and sustainability
through technology
in the Armacell
94

supply chain
WRITTEN BY
HARRY MENEAR
PRODUCED BY
DENITRA PRICE

AUGUST 2019
95

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ARMACELL

Amber Jesic, General Manager,


Supply Chain, Americas at Armacell
discusses using technology to
pursue best sustainable practice
in the company’s supply chain

he global perception of the supply chain

T has undergone a revolution over the past


decade. What was once a series of
independent nodes in a scattered network
of buyers and suppliers conducting transactional
96 deals has transformed into something far more
delicate, complex and effective. “Organisations
are becoming more sophisticated in the supply
chain space. As they become better at supply
chain and inventory management, they’re becoming
more aware of the opportunities associated with
the supply chain becoming more interdependent
and approached from an end-to-end perspective,”
says Amber Jesic, General Manager, Supply
Chain, Americas at Armacell. “The increasing
availability of real-time reporting and visibility,
as well as increasing customer expectations,
has certainly caused supply chains to evolve in
recent years.” As the global supply chain industry
changes, this newfound maturity opens up
avenues for companies to fulfil ambitions and
live up to core values in new ways.

AUGUST 2019
97

Production lines in Mebane, NC Armacell manufactures structural PET panels


in Brampton, Ontario, Canada.

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ARMACELL

As a global leader in the insulation


market, Armacell’s products are vital
“Sustainability
to making projects in the construction is not only
and manufacturing space more energy-
efficient, and therefore sustainable.
personally
For Jesic, her role at Armacell was important to
the perfect fit. “Sustainability is not
only personally important to me, but
me, but also
it’s also the basis of how Armacell the basis of
operates,” she says. “The company
has a culture of global collaboration
how Armacell
and innovation that was appealing and operates”
they’re also open to change. I saw the —
role as a chance to make contributions Amber Jesic,
General Manager, Supply Chain,
98 to the organisation, and an opportunity Americas, Armacell

Elastomeric foam sheets and rolls are stored before shipping


out of Armacell’s component foam plant in Conover, NC

AUGUST 2019
CLICK TO WATCH : ‘MAKING A DIFFERENCE AROUND THE WORLD’
99

to leverage our holistic network and officially incorporated in 2000, its


supply chain to drive competitive origins can be traced back to the
advantage and drive efficiencies. 1860s and Armstrong World Industries.
A lot of our products drive sustain- In 1954, Armstrong was responsible
ability. Our ArmaFlex closed cell foam for the invention of ArmaFlex, the
insulation saves 140 times more world’s first flexible insulation product,
energy over the course of its life than carving out its own industry niche
needed to manufacture and transport that it has dominated ever since.
it.” We spoke to Jesic about the In addition to making flexible products,
ways in which Armacell is harnessing Armacell is committed to ensuring that,
cutting-edge technology in order as a company, it stands by its principles
to drive supply chain innovation, not of sustainability. “As a multi-materials
only to create value, but make the and multi-product company, we
company more sustainable. apply world-class practices every day
Although Armacell itself was and expand into adjacent technical

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ARMACELL

“Technology
provides an
opportunity to
simultaneously
reduce costs
and improve
service”

Amber Jesic,
General Manager, Supply Chain,
Americas, Armacell

100

insulation end markets, continuously sustainable technology and strategies


extending our temperature range across Armacell’s supply chain, from
and equipment verticals,” Jesic says. converting the company’s shipping
“We substitute the legacy materials lines to an intermodal approach and
of our competition with our innovative reducing miles travelled, to recycling
solutions and reinforce our premium over one billion plastic bottles into
brand position to create value for polyethylene terephthalate (PET)
equipment owners, specifier engineers, products. “Beyond the benefits we
contractors and investors.” seek to realise through technology,
Jesic’s role provides a broad mandate we also are committed to best practices
and list of responsibilities, as she that impact the environment. To reduce
oversees purchasing, planning, distribu- waste, we have cases where we also
tion, transportation and compliance. donate our scrap to prevent it from
She and her team are working to deploy going into landfills,” says Jesic. “It can

AUGUST 2019
be used in the carpet industry as
a padded base for installations,
sometimes it’s used for the foam
padding in children’s playgrounds –
the breadth of application is mind-
boggling sometimes, given all the
different areas you can use foam.”
The core of the company’s innova-
tions and sustainability initiatives
involve applying technology to create
value in a sustainable way. “Technology
provides an opportunity to simulta-
neously reduce costs and improve
service. We’re driving automation 101

E XE CU T I VE PRO FI LE

Amber Jesic, General Manager


Amber Jesic is the General Manager of Supply Chain, Americas,
at Armacell. Jesic’sinnovative and analytical approaches have
redefined and optimised the value of supply chains within select
Fortune 500 companies.
A key strategist with an award-winning career in supply chain
management, she has proven that with ingenuity, solutions to
complex issues can be developed.
She is a thought leader, having led an autonomous truck
program as featured in the New York Times.
Amber holds a Six Sigma Black Belt and an MBA
from NYU Stern School of Business.

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ARMACELL

$686mn
Approximate
revenue

2000
Year founded

3,000
Approximate number
of employees
102

AUGUST 2019
103

Armacell makes foam for gaskets for


use in the aerospace industry

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ARMACELL

Armacell makes foam for gaskets for use in


the transportation industry

CONTRIBUTING TO THE EARTH’S FUTURE


WORKING HAND IN HAND WITH OUR CUSTOMERS

Congratulations Armacell on your fine article!

THE WORLD’S LARGEST


PVC PRODUCER & RIGID
VINYL COMPOUNDER
Resin Sales – Domestic & Export 713 965 0713 K-Bin KBcustomerservice@k-Bin.com
“Beyond the PA R T N E R FA C T S

benefits we seek Shintech


to realise through The modern supply chain
technology, we also is becoming more
are committed collaborative and
interconnected. As Jesic
to best practices notes, “multifaceted
that impact the partnerships are much

environment” more common.

— We work with our


Amber Jesic, suppliers to develop
General Manager, Supply Chain,
mutually beneficial plans
Americas, Armacell
for the management, 105
inventory management as
wherever possible and easing the well as delivery.” Founded
process of doing business with in 1974, Shintech has
Armacell, predominantly through EDI grown to become a leader
integration, but also through our in its field in much the
digitalization efforts regarding load same way as Armacell.
planning and shipment consolidation It is currently the
to reduce miles travelled and largest producer of PVC
condense shipments,” Jesic explains. in the US and has been
As a company that has never been partnered with Armacell
afraid to carve its own way using the for more than five years.
latest technological developments on “Their consistent service
offer, Jesic points out that Armacell is has been an asset to our
watching the development and testing business,” says Jesic.
of autonomous freight vehicles with
great interest. “They can definitely

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ARMACELL

drive sustainability benefits,” she says.


“Autonomous trucks will let you better
handle fuel usage, there’s less starting
and stopping, you can have a bigger
fuel tank without a driver, and of
course an autonomous truck will be
able to provide much more accurate
track and trace capabilities.”
Gathering data from a fleet of
autonomous trucks may be years
away for Armacell, but Jesic stresses
how vital data from other sources has
become for the company today, and
106 the importance of having the analytics
to draw actionable insights. “We’re in
the design and development phase
of using forecasting tools that will
provide predictive analytics which will
be used in our production planning
and inventory management to better
service our customers,” she explains.
As the leader in the $13.5bn
equipment insulation market, Armacell
is constantly striving to pursue its
multi-pillar growth strategy. Its
dedicated R&D teams are continually
driving the company’s portfolio growth
of intellectual property, having more
than doubled the number of patents in
the company’s name over the past five

AUGUST 2019
years. Looking to the future, Jesic is
excited to continue bringing Armacell’s
open, innovative approach to the
workings of its supply chain and
management of her team. “I encourage
a culture of openness to change and
present things in a perspective that
highlights the benefits of why that
change is being introduced. So, in the
instance of digitalisation, if it improves
the ease of doing business with
Armacell, our suppliers and customers
then I’ll emphasise those benefits to
the teams so they understand why 107
we’re pursuing these changes. Also,
benefits like automated reporting help
keep our focus on best, not budget,”
she concludes. Armacell’s future is
bright, as it continues to work towards
creating not only value, but a bright
future for the planet too.

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SIMON FRASER
108
UNIVERSITY
AN ENGAGED
UNIVERSITY

AUGUST 2019
WRITTEN BY
JOHN O’HANLON
PRODUCED BY
CRAIG KILLINGBACK

109

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SIMON FRASER UNIVERSITY

SIMON FRASER UNIVERSITY’S


SUSTAINABILITY OFFICE IS
A FOCUS OF ACTION AT THE
INTERSECTION OF PLANETARY
REGENERATION, HUMAN
HEALTH AND SOCIAL JUSTICE

ne can’t help thinking that the sustain-

O ability team at Simon Fraser University


(SFU) have some of the best jobs in the
world. Most of the world’s young people, at least,
are now swinging behind the awareness that we
110 are living during a time of climate crisis and that
time is running out to change our behaviour if we
are to avoid or mitigate the consequences of
biodiversity loss, pollution, and climate change.
That awareness is not unique to SFU, of course,
but few higher education institutions have
embraced sustainability principles so intelligently
or realistically. The Province of British Columbia is
committed to reducing greenhouse gas emissions
to 80% below 2007 levels by 2050 and, in 2011,
its capital Vancouver, home to SFU, set the goal of
becoming the greenest city in the world by 2020.
SFU is a partner in these broader goals.
The University itself has adopted sustainability
as one of its six core values, which means it is
embedded in the fabric of the institution and the
day-to-day decisions taken by every department.

AUGUST 2019
The green wall by SFU’s Saywell Hall 111

The University is also in the process


of developing a 5-year climate action
plan to address the most urgent
sustainability issue of our time.
SFU recognise that its institutional
responsibility extends beyond its
boundaries to include the social,
economic and ecological sustainability
of its campuses and the communities
in which they operate. Therefore,
these plans are being developed with
the recognition that sustainability
work broadly, and climate action
specifically, cannot be done without

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SIMON FRASER UNIVERSITY

“THE MOMENT addressing social inequities, racism,


reconciliation and partnership with
YOU STEP ON local Indigenous nations.
CAMPUS AS A To implement SFU’s sustainability
NEW COMMUNITY values, eight very committed

MEMBER YOU GET professionals are led by Director of


Sustainability Candace Le Roy – they
INTRODUCED TO provide planning, consultancy, and
THE CONCEPT OF support services to SFU community

SUSTAINABILITY members to help them develop, scale,


or promote their sustainability work
AS A CORE VALUE” and lead sustainability projects across
— the university. It’s by no means an act
Candace Le Roy,
of enacting top-down policies, she
Director of Sustainability,
112 Simon Fraser University hastens to say. “We recently finalised
our 20-year Sustainability Vision,
which identifies 20 strategic goals
following a year-long community
engagement progress involving
all University stakeholder groups:
thousands of people took part from
students up to the Board. Everything
we do in the Sustainability Office
is in collaboration and partnership
with the faculty, staff, students, and
communities we are embedded in.
Sustainability at SFU is a shared
responsibility and a joint effort.
Our office merely facilitates this joint
effort so that it is coordinated,
connected, and inclusive.”

AUGUST 2019
CLICK TO WATCH : ‘SFU OPENS NEW SUSTAINABLE BUILDING’
113

PARTNERS IN ENGAGEMENT awareness to what SFU is doing,


It’s this level of commitment, she listen to their ideas, and help remove
observes, that makes the job so barriers to their contributions in
rewarding. Every new student and practice. At SFU, students aren’t seen
member of staff receives sustainability as ‘end-users’ to be trained and
education through orientation: “The delivered, but as partners in learning,
moment you step on campus as a new discovery and community engagement.
community member you get intro- The tripartite social, economic and
duced to the concept of sustainability ecological view of sustainability is
as a core value. We want them to see something that all alumni have an
how each individual can contribute in opportunity to take with them into the
their area.” However she acknowledges world beyond. To ensure that the work
that most people come in with a high at SFU is connected with global goals
level of awareness these days – all the the 20-Year vision and the emerging
team needs to do is connect this 5-year plan have been developed in

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SIMON FRASER UNIVERSITY

alignment with the UN’s Sustainable alternative to the diesel-fuelled bus


Development Goals. service. This project has been finally
Engagement with major British approved in principle by Burnaby city
Columbia institutions is key to SFU. council, and would speed up travel
For example, the Pacific Water times and cut emission levels.
Research Centre (PWRC) recently Another promising project is the
hosted a seminar on Vancouver’s Rain development of the Corix biomass
City Strategy to embrace rainwater as district energy system on the Burnaby
a valuable resource and to conserve Mountain campus which will reduce
90% of its annual rainfall. The the campus greenhouse gas emis-
University also aims to support major sions by 60%-80%. This — along with
shifts in behaviour such as its advocacy the University’s achievement of
for a funicular (gondola) to connect reducing the carbon footprint of the
its University campus on the top University’s investment portfolio by
114 of Burnaby Mountain, providing an 50% below the baseline measurement

SFU’s Academic Quadrangle

AUGUST 2019
reported as of 31 March 2016 — Sustainable Offices adopt practices
demonstrates how the university is that improve their environmental,
committed to working with on and off economic and social performance.
campus partners to make big shifts in They receive a toolkit, support and
the way they operate as an institution. resources and that encourages others
A major project underway encour- to participate.” This certification
ages ‘sustainable spaces’ across the program has now been extended into
university’s facilities which integrates events, vendors, and soon into labs.
sustainability principles into the Large events such as the President’s
day-to-day actions of staff members. annual staff appreciation BBQ are
Becoming a Certified Sustainable certified sustainable events further
Office is a great way to encourage demonstrating that all levels of
staff collaboration on sustainability the University are contributing to
and to create a more robust, engaged these efforts.
workplace, says Blok. “Certified The bottom line, says Manager of 115

E XE CU T I VE PRO FI LE

Candace Le Roy, Director of Sustainability


Guiding the institution-wide approach to sustainability
leadership, Le Roy consults on risks and opportunities
to integrate sustainability into the University’s core
business. Over her 16 years at SFU, Candace has been
dedicated to facilitating university-wide efforts to
innovate and contribute meaningfully and measurably
to the shift toward a regenerative, circular, and
equitable society and economy. Candace works
collaboratively with partners both within and outside
the university to identify, develop and deliver major
cross-portfolio projects that contribute to this work.

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SIMON FRASER UNIVERSITY

116

Campus Sustainability, Kayla Blok, When our students graduate are they
is that sustainability should be leaving with a holistic understanding
integrated into all projects, research of sustainability? These are the type of
and teaching. It is also central to questions we are asking.”
procurement, with all contracts and
purchases over $100,000 required THE ROAD TO ZERO WASTE
to be considered from a sustainability It is never going to be possible to
point of view. “Whenever we go out recycle 100% of waste, but by
to tender we have questions and adopting ‘circular economy’ practices
requirements for suppliers, and SFU is heading towards a goal of 10%
I support multiple request for proposal waste minimisation and 90% diversion
(RFP) committees by advising on how from landfill. SFU started its zero
that should be done. When we under- waste journey in 2012 at a time when it
take a project, are our staff seeing their had only a two-stream waste diversion
work through a sustainability lens? system and most items were being

AUGUST 2019
sent to the landfill. Within 18 months,
the initiative was diverting more than
70% of SFU’s landfill waste and had
introduced circular economy principles
to look at purchasing, and require
suppliers to work towards recyclable
and compostable packaging.
Today, across the campus, there are
four-stream waste stations allowing
for food and compostables, paper and
cardboard, recyclables and landfill
garbage. It’s not hard to get buy-in
these days, with the media full of
reminders about things like plastic
pollution and extinction rates, but 117
people still need to be helped to
“WHEN OUR understand the circular economy –

STUDENTS that is where the Sustainability Office


steps in to educate and encourage,
GRADUATE ARE affirms Kayla Blok. The team, in
THEY LEAVING conjunction with a large stakeholder

WITH A HOLISTIC group that includes departments


across the university, is currently set to
UNDERSTANDING launch an initiative to eliminate single-
OF SUSTAINABILITY?” use plastics and products from all three
— campuses, making them the first
Kayla Blok, university in Canada to act on this issue.
Manager of Campus Sustainability, Research, business expertise,
Simon Fraser University
software engineering and the spur of
environmental perils have come
together in an exciting project that

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Responsible
Investing for
a sustainable
future.

BMO Global Asset Management is a brand name that comprises BMO Asset Management Inc., BMO Investments Inc., BMO Asse
constitute a solicitation of an offer to buy, or an offer to sell securities nor should the information be relied upon as investment
registered trademark of Bank of Montreal, used under licence.
Invest. Avoid. Improve.
As a founding signatory to the United Nations Principles for Responsible Investment (UNPRI), BMO Global Asset
Management is boldly committed to solving our clients’ sustainability challenges with the prudent management of
environmental, social and corporate governance (ESG) issues integrated into our overall investment philosophy:
Invest in companies that demonstrate responsible business.
Avoid companies with activities that harm society or the environment.
Improve companies’ management of their ESG issues through engagement and voting.
For over 35 years, this approach to responsible investment has driven long-term value by aligning our clients’
financial goals with their ethical values.

Let’s connect:
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et Management Corp. and BMO’s specialized investment management firms. The information provided herein does not
advice. Past performance is no guarantee of future results. All Rights Reserved. ®”BMO (M-bar roundel symbol)” is a
SIMON FRASER UNIVERSITY

promises to contribute a great deal


to achieving zero waste. And each of
these facets has come out of SFU.
The founders of Intuitive AI Hassan
Murad and Vivek Vyas are both alumni
of SFU, where they first developed
software to tackle the problem of
recycling. SFU itself may have made
great strides but globally only around
3% of waste is recycled. Even in a
four-stream system, waste identification
remains a problem – what is recyclable,
what is not, where should you put it? Erica Lay, Associate Director at SFU’s
They began with a simple vision, Sustainability Office presenting at a 20-year
sustainability visions and goals session.
120 to create a zero waste world. This led
them to develop an AI platform driven
by sensors that empower spaces to
be more sustainable. consultations providing key facts,
Murad and Vyas launched Oscar, giving operational and logistical
an AI-powered visual sorting system, feedback, and providing expertise.
with a camera that detects people The testing phase was carried out on
approaching a bin, automatically our downtown Vancouver campus and
identifies each item and tells people we were successful in providing space
where to place it. “This is a true for them to test the platform and
innovation story from SFU,” explains promote their message.” The Surrey
Blok. “They spent a great deal of time campus now houses the first higher
formulating this idea at our labs on education Oscar waste station in
the Surrey campus. We were able Canada and have been taken up
to support this project right from at coffee chains and an airport in
the ideation phase, and the Sustain- Toronto. Intuitive is currently part
ability Office was there at the initial of the Next AI accelerator in Toronto

AUGUST 2019
and the VentureLabs business
accelerator at Simon Fraser University.
Oscar is as much about data as it is
about making life easier for the
consumer of a cup of coffee. The
software can identify brands, patterns
of consumption by area and demo-
graphic information all of value to the
airport, shopping mall or university
where it is located – garbage in,
valuable data out. It’s by leveraging
this data that Intuitive AI will monetise
its software in the future. “Perhaps the
most promising part of the technology
is that it provides robust data,” says 121

E XE CU T I VE PRO FI LE

Kayla Blok, Manager of Campus


Sustainability
Overseeing the Campus Sustainability portfolio,
Blok liaises with operational functions across
all three campuses to implement and scale
sustainable decisions and practices. Her work
ensures that the University operates in alignmen
with its sustainability plans, visions, and goals.
Blok offers consulting services for all SFU
Community members and works closely with
internal and external partners on signature
projects and initiatives.

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SIMON FRASER UNIVERSITY

Kayla Blok. “We look forward to


seeing how we can apply this data
to influence design, planning, and
purchasing decisions, for example.
Our hope is that it will help our
operational as well as sustainability
goals by creating targets to improve
waste management at the campus.”

AWARENESS AND PERCEPTION


Oscar has attracted a lot of media
attention thanks to its visibility. “This
is a really good example of the kind
of thing that happens at SFU due to
122 our culture of, and commitment to,
innovation, community engagement,
and student empowerment,” says
Candace Le Roy. “Our students get
to work on projects that they take out
into the wider world and the benefit
comes back to the institution through
new projects and initiatives and the
application of technology. In the 16
years I have been at SFU, I have seen
the students always at the forefront of
major initiatives at SFU and then they
carry this leadership to the communi-
ties and organisations they serve
when they leave.”
Even with the impetus provided by the
rapidly increasing media coverage of

AUGUST 2019
the climate crisis, getting sustainability
thinking embedded in a large, transient
and diverse university population is
not a simple feat. It might seem like
a no-brainer to ban plastic bottles, but
many overseas students come from
cultures where bottled water is the
only safe water. “We constantly have
to customise our communication
tactics and infuse them with humanity,”
she says. “On the one hand, we have
to keep up with innovations in industry,
research, politics and international
targets and do things like ban single
use plastics and dramatically reduce 123
our greenhouse gas emissions and on
the other hand we also have to bring
people along with us on this journey.
We need to help people understand
how their consumption decisions
affect the planet and people, but we
can only do this if we make an effort to
understand them not has consumers,
but as people who have unique
backgrounds, experiences, and
perspectives. Sustainability efforts
have been rightly criticised for being
led primarily by rich white people
who come from a particular (mostly
SFU’s Morris J. Wosk Centre Western) perspective. If we are to truly
for Dialogue address sustainability issues we need

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SIMON FRASER UNIVERSITY

to design solutions from all perspectives


and with all people in mind.”
Justifiably proud of the nuanced
and holistic way in which the organisa-
tion has taken the lead on advancing
sustainability best practice, Candace
Le Roy, her team, and their colleagues
at SFU work tirelessly to gain the
support of all stakeholders. “Getting
a major initiative off the ground at
a university is usually the first and
biggest hurdle because we value the
engagement of all relevant stakeholders
and engagement takes time. But the
SFU’s Asia Pacific Hall in the Morris J. Wosk
124 effort put in is well worth the quality Centre for Dialogue
that is the result,” she says. She points
to the cross departmental teams that
have been formed to work on initia-
“SUSTAINABILITY
tives like the BC Cool Campus
challenge, spearheaded by SFU but
GIVES UNIVERSITIES
spread across British Columbia, to AND COLLEGES
reduce energy consumption by simple A COMPETITIVE
actions and the Fair Trade and ADVANTAGE AND
Changemaker Campus designations MAKES US MORE
SFU has achieved.
In the end, all of this is about
RESILIENT TO
changing the way we see the world
INTERNAL AND
and our place in it. Virtually every EXTERNAL THREATS”
decision we make has an impact on —
people and the planet, good or bad, Candace Le Roy,
Director of Sustainability,
she concludes. “At the end of the day
Simon Fraser University

AUGUST 2019
125

it’s not about recycling or using less political and ecological climate.
energy. Sustainability work is about Addressing sustainability challenges,
understanding how to make better like the climate crisis, gives universities
decisions based on a strong under- and colleges a competitive advantage
standing that humans are a part of by making us more relevant to our
nature not outside of it. We need to communities and more resilient to
learn from, respect, and apply internal and external threats.”
Indigenous ways of knowing and leave
no one behind. This means constantly
being aware of the interconnections
between ecology, politics, economics,
and social inequities. It’s planning to
ensure we survive on this planet and
our institutions survive in the current

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THE CITY OF
BRAMPTON:
MANAGING ENERGY
AND EMISSIONS
FOR SUSTAINABLE
126
OUTCOMES

WRITTEN BY
WILLIAM SMITH
PRODUCED BY
CRAIG KILLINGBACK

AUGUST 2019
127

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CITY OF BRAMPTON

CHUN LIANG, SUPERVISOR


OF ENERGY MANAGEMENT
AT THE CITY OF BRAMPTON,
ONTARIO, DISCUSSES THE
ROLE SUSTAINABLE ENERGY
HAS TO PLAY IN MEETING
EMISSIONS TARGETS
limate change matters pertaining to

C emissions and sustainable sources of


energy are high in the public conscious-
ness. Energy generation measures such as solar
128 panels and wind turbines serve as symbols of
energy that are more sustainable because they
reduce emissions at large, with an emissions
strategy often functioning as the vanguard for
sustainable outcomes. Chun Liang is Energy
Management Supervisor at the City of Brampton,
Ontario, and is responsible for the energy and
emissions strategy of City owned buildings.
He credits the urgency of global warming as
inspiring his entry into the field. “Right before I got
into energy performance contracting, the Kyoto
Protocol came into effect and said two things:
global warming is happening and human activity is
contributing to it. Warming is related to emissions
which are generated by the energy that we use,
especially the burning of fossil fuels, so I thought
to myself, ‘this is a great time to get into energy

AUGUST 2019
Photos courtesy of the City of Brampton

129

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CITY OF BRAMPTON

performance contracting – the world


is moving on this, and I can join the
movement to help the planet and
recover energy costs’.”
In his current role, Liang has used
his energy background to help rectify
some of the challenges Brampton
faces. This includes a large portfolio
of older buildings that have a number
of energy performance issues
including building envelope and
building automation systems. Some
have outdated automation systems
130 so Liang initiated a technology

“TOO OFTEN WE WORK IN SILOS WHEN


WE COULD BE SHARING KNOWLEDGE
AND LESSONS LEARNED”

Chun Liang,
Supervisor, Energy Management,
City of Brampton

AUGUST 2019
CLICK TO WATCH : ‘UNLOCKING DOWNTOWN BRAMPTON’S POTENTIAL:
CONCEPTUAL VIDEO’
131

investigation including discussions has brought his experience to bear on


regarding a unified display portal properties in Brampton, and one of
(single pane of glass view) with key the major potential energy efficiency
stakeholders to determine the best improvements comes from heating.
solution for the City of Brampton. “When you look at the energy and
“The hope with a unified display is that emissions pie chart of a building,
building operators will have an easier especially in an Ontario, Canada
time managing the control of many context, much of it is from heating
different buildings, improve energy since we’re burning fossil fuels for
performance and increase occupant eight months a year. That is a major
comfort.” With an energy performance consideration for us because it
and modelling background to ensure applies to both of our objectives: to
buildings meet targets, including reduce energy use while also reduc-
energy performance targets under ing our emissions. The focus for the
the LEED building rating system, Liang next five years – the term of the City’s

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CITY OF BRAMPTON

132

Zero Carbon Transition Plan – is new structures are built to high


finding ways to reduce natural gas performance standards. “The City
use in the City’s existing buildings. of Brampton is designing, building
A recent successful project done and renovating many new community
by the energy management team centers, fire stations, etc. due to
was the installation of heat recovery population growth. The energy
system. “This system recovers heat management group works closely
from swimming pool drain water at with our building design and construction
one of the City’s community centres,” division, collaborating with them,
says Liang. to integrate energy design into the
While effective measures can be buildings.” To achieve the energy
taken to improve the energy perfor- targets required, Liang and his team
mance of existing buildings, future have introduced parametric energy
gains can be achieved by ensuring modeling that uses cloud computing

AUGUST 2019
as one of the central tools. “The
benefit of energy modeling on the
cloud is that it can quickly simulate
interactive effects, thereby drastically
reducing the amount of time it takes to
produce options that not only provide
optimal energy performance but can
also illustrate paths for emissions
and operating cost reductions. If we
change lights to LED or we use more
daylighting, what effect does that have
on the heating? Strategic use of
daylight for a building can also be
a passive form of heating which can 133
help to reduce emissions associated

E XE CU T I VE PRO FI LE

Chun Liang, Supervisor,


Energy Management
Chun Liang is an energy management professional
with over 20 years of experience in the building
industry, including HVAC design and construction,
energy performance contracting, building energy
modelling and LEED consulting. He is currently
the Supervisor of Energy Management at the City
of Brampton responsible for strategic planning,
project delivery, energy procurement, utility
management, third party funding and reporting.

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CITY OF BRAMPTON

134

AUGUST 2019
“I T’S NOT JUST
ABOUT ENERGY
EFFECTS, BUT
ALSO OCCUPANT
COMFORT”
— 135
Chun Liang,
Supervisor, Energy Management,
City of Brampton

w w w.c so ma ga z i n e. com
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and the federal government has set an
“W E’RE IN A RACE
80% reduction target by 2050, which
AGAINST TIME TO HIT is in line with the Paris Agreement to
THE PROVINCIAL AND limit the global temperature rise to 1.5
FEDERAL EMISSION degrees Celsius by 2050. Our Zero
REDUCTION TARGET, Carbon Transition Plan is predicated
WHICH IS BASED ON around these targets. We’re looking at
THE PARIS AGREEMENT, reducing our energy use for new and
existing buildings by 30% by 2030.
SO WE NEED TO
We’re targeting various measures:
TRANSITION TO ZERO
heating, ventilation, air conditioning
CARBON AS SOON systems and building envelope.
AS WE CAN” We’re going to use heat recovery:
— recycling waste heat wherever
Chun Liang, possible. Once you get the energy 137
Supervisor, Energy Management,
City of Brampton demands of the building down, then
the next step is to look at renewable
technology. That’s the most efficient
with heating.” Aside from utilising way to approach it. It’s energy
sustainable energy, such measures management 101.” Other innovations
have the knock-on effect of improving geared towards meeting the city’s
the experience of citizens, as with the targets include innovations in passive
natural light provided by daylighting. heating. “The SolarWall is a matte
“These are the types of things that we black surface that can be put on top of
also look at. It’s not just about energy a building’s exterior wall, leaving an air
effects, but also occupant comfort.” gap,” says Liang. “The sun hits this
Such measures are to play a vital black surface, and transfers energy to
part in achieving the city’s ambitious the wall and air gap. The air is heated
Zero Carbon Transition Plan. “The in that gap and then brought into the
provincial government has set a target building to preheat the air for ventilation.
of 30% emissions reductions by 2030, “We expect to verify the energy savings

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CITY OF BRAMPTON

for a system installed at a City of


Brampton building as it has found
success in other building applications.”
The system may be able to reduce
emissions associated with heating.
Regarding the reduction of vehicle
emissions, charging stations for
electric cars have been installed at
City owned buildings with a focus on
public facing sites such as libraries
and community centres.
“We’re in a race against time to hit
the provincial and federal emission
138 reduction target, which is based on
the Paris Agreement, so we need to
transition to zero carbon as soon as
we can,” says Liang. It is obvious that
Brampton is proactively contributing to
this effort, setting targets and bringing
in concrete measures to ensure their
achievement. Nevertheless, some-
times advancements can bring their
own drawbacks. “We have a number
of solar photovoltaic installations that
generate electricity for us, and they
provide a steady stream of revenue,
as well as reducing our electricity use.
The challenge is the cost of electricity.
If we switch over to electricity to heat
our buildings, electricity costs

AUGUST 2019
significantly more than natural gas per
equivalent energy unit, so the question
is, how do we bridge that gap? It’s kind
of an open question.”
One possible solution to this
conundrum is an improvement in
the way society works together.
“I’m hoping to see more collaboration
between municipalities, utilities, and
the private sector. Too often we work
in silos when we could be sharing
knowledge and lessons learned.
For example, a battery storage project
can provide resiliency for a building 139
and perhaps also provide part of
its energy needs for heating and
cooling. This approach provides
great co-benefits, if the costs of off
peak battery charging can be
lowered further. That’s something
I hope to see more of in the future.
As we collaborate and collectively
pool our resources, we accelerate
the case for sustainability.”

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Achieving
140
sustainable
finance with
Refinitiv
WRITTEN BY
WILLIAM SMITH
PRODUCED BY
CAITLYN COLE

AUGUST 2019
141

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REFINITIV

Refinitiv’s Head of Sustainability,


Luke Manning, explains the
centrality of the company’s
sustainability strategy in inspiring
its own practices and informing
the products it offers customers

he role of finance in sustainability cannot

T be understated. When capital reaches


sustainable enterprises and companies
are rewarded for sustainable behaviour through
investment, it is the world that reaps the benefits.
142 Such decisions, however, can only be made in the
presence of accurate, understandable information.
Refinitiv is the leading provider of environmental,
social and governance (ESG) data. Founded
in 2018 out of Thomson Reuters’ Financial and Risk
unit, the company has taken advantage of its rebirth
to institute an ambitious sustainability strategy.
At the same time, it is putting sustainability
at the heart of its business model, offering custom-
ers the sustainability data they need to make
the right decisions to drive positive and sustainable
business outcomes. Luke Manning, Head of
Sustainability and Strategic Initiatives, has worked
for the company since the Thomson Reuters days
and has overseen the positioning of sustainability
at the core of the firm’s operations.

AUGUST 2019
143

“Ensuring sustainability is at the


heart of building our culture
and our values is a privileged
position to be in”

Luke Manning,
Head of Sustainability and
Strategic Initiatives

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REFINITIV

“Our tagline “We look at sustainability through


two lenses,” says Manning. “The first
is ‘data is just is how we operate as a business

the beginning’ ourselves, and how we measure


our own impact. The second is how
and that couldn’t we drive sustainable behaviour beyond
be truer for the boundaries of our own footprint.”
Internally, Refinitiv seeks to hold itself
sustainability” to account across a broad range
— of factors, from efficient use of
Luke Manning, resources and recycling to community
Head of Sustainability and
Strategic Initiatives and charity support. “Activities that
traditionally sat under a corporate
responsibility banner now form part
144 of our sustainability strategy,” explains
Manning. Not content with altering its
own behaviour, however, Refinitiv looks
outward with its concept of ‘Sustain-
able Leadership’. “We want to make
sure we stand ourselves
up as a responsible
business – but
what do we do
as a business
that also
contributes
to the
greater
good?
That’s
where

AUGUST 2019
CLICK TO WATCH : ‘DATA IS JUST THE BEGINNING’
145

our data, technology and expertise energy in the same timeframe,


come in. We have positioned ourselves and we’re going to reduce our own
at the heart of an ecosystem of change carbon emissions by, on average,
makers, and use our data to empower 10% every year for the next five years.
investors to shift towards sustainable We have to hold ourselves to account;
finance. If we can do that, it really starts we have to put a marker in the ground
to unlock something that is meaningful that says ‘that’s what we’re aiming
at scale.” for and this is why we’re aiming for it’.
If you don’t set targets, that’s when
TARGETS things slip.” As part of its commitment
Internally, Refinitiv has instituted to representing and supporting
specific, time-dependent targets. the communities in which it operates,
“We’re going to be carbon neutral by Refinitiv has also promised to double
2020,” says Manning. “We’re going its community investment programme
to be 100% powered by renewable engagement by 2020, as well as have

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REFINITIV

146

40% of its senior leadership roles filled ing schoolgirls in India,” he says.
by women. “That’s where the real, true value
The organisation’s targets dovetail of measuring the impact of those
with the UN’s 17 Sustainable Develop- SDGs comes through.”
ment Goals (SDGs), but for Manning, The spirit of using targets to drive
simple alignment is not enough. “We’re performance extends to Refinitiv’s
trying to focus on the targets beneath product offering. “It’s always healthy
the logos. There are 169 underlying to benchmark performance; ESG
targets, and they are a lot harder to hit.” is no different,” says Manning.
To achieve this, Refinitiv’s sustainability “We have over 400 metrics that drive
team coordinates global, centralised transparency and comparability in the
campaigns as well as local action via market and that can only be a positive.”
volunteer teams. “It could be beach Beyond holding companies to account,
cleaning in the Philippines, or mentor- having an idea of competitors’ perfor-

AUGUST 2019
mance can have a clarifying effect. On the contrary, some of the challenge
“If you know what you’re comparing has simply been ensuring that enthusi-
against, you have a frame of reference, asm translates into definitive action.
and it’s much easier to make a decision. “There’s absolutely no shortage
What data does is drive clarity, and it’s of buy-in and support from across
clarity that can drive decisions. If you the business for the sustainability work
don’t have that data, all you’re really – right the way through from the CEO
going on is an opinion,” he adds. to the front line. Every day there are
new ideas originating throughout the
CULTURE business. It’s about how we bottle
Manning hasn’t encountered any lack up that enthusiasm and keep up the
of appetite for sustainability at Refinitiv. momentum.” Such is the prominence

E XE CU T I VE PRO FI LE
147
Luke Manning
Manning leads the sustainability function for Refinitiv,
as part of the global strategy leadership team – developing
Refinitiv’s position as a sustainable and responsible
business, addressing the effect of its operational and
environmental footprint, and harnessing its expertise,
technology and data to drive positive social change.
Formerly a freelance journalist, Manning has subsequently
specialised in developing and communicating core
business strategies with tangible commercial,
reputational and social impact. Prior to his current
role, he worked with a number of global organisations
in senior leadership and consulting positions,
including Thomson Reuters, Balfour Beatty, Barclays
Bank and Kier Group.

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REFINITIV

148

“We’ll make sure


that when it comes
to the provision of
sustainability-related
data and analytics,
we’ll absolutely
be best in class”

Luke Manning,
Head of Sustainability
and Strategic Initiatives

AUGUST 2019
of sustainability at the company that
it even plays a role in attracting talent.
“It’s a given that sustainability is the
right thing to do, and that’s what
people are demanding now. At every
point in the induction lifecycle when
people decide to come and work here,
these are the questions that come
up increasingly frequently: ‘What
do you stand for? What are your
policies, your goals and your pledges
when it comes to environmental
and social initiatives?’”
The community nature of sustainabil- 149
ity at Refinitiv can in part be credited
to its youth. “As a standalone business,
we are still brand new,” says Manning.
“We’re not even a year old yet. It’s really
a privileged position to be in, to be able
to make sure that sustainability is at
the heart of building our culture and
our values.” It’s clear that the opportu-
nity has been comprehensively
harnessed at Refinitiv, but in line with
its dual concept of sustainability,
Manning stresses the need for others
to do the same, and the company
provides the tools to achieve just that.
“Collective action is our mantra for this.
Data underpins the process and

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REFINITIV

our tagline is ‘data is just the beginning’.


We have a part to play, but we need
to do it with everyone else – whether
that’s other businesses, partners,
competitors, governments or individu-
als – we all have to do it together
to solve it. We’ll make sure that when
it comes to the provision of data
and analytics, we’ll absolutely be best
in class.”

SUSTAINABLE FINANCE
“Sustainable finance is shifting funding
to investments that take more than just
150 financial considerations into account –
investments which put a value
on environmental, social and govern-

$1.56Mn
ance (ESG) factors” says Manning.
Refinitiv offers the tools to make
sustainable finance a reality for First quarter
its customers across a range of ESG revenue ‘19
data and risk products. “If a customer

2018
is looking to invest in these sustainable
initiatives, we provide the transparent
data and analysis to allow comparabil-
Year founded
ity. This is fundamental in reorienting
capital to sustainable investments.”
The company’s ESG data must
overcome some hurdles to achieve London
parity with its more conventional Offices
financial data. “Globally, there’s very

AUGUST 2019
inconsistent reporting on ESG data.
When financial institutions come
to weave these data points into their
proprietary models, it’s still quite hard
to do so unless you provide a degree
of standardisation and harmonisation”
says Manning. This is where Refinitiv’s
work comes to the fore, ensuring
that data is transparent, usable
and relevant. The more ESG data
is used, the more its prominence
increases and the higher its quality
becomes, as Manning explains:
“Now, corporate, regulators, institution-
al investors and capital rating profes- 151
sionals are all becoming increasingly
aware of the importance of ESG data.
That’s driving up the standard as they’ll
have to use it day in, day out to get
positive financial outcomes.”
Refinitiv is trusted not only to provide
this information, but to present it in the
manner required by its customers.
“We’re the leading provider of ESG
data. We cover 8,000 companies,
represent 70% of the global market
cap and have over 400 data points
included. We also carry information
on ESG bonds, loans, carbon and
renewables pricing data and financial
crime information. This all aggregates

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REFINITIV

to provide a bigger picture,” Manning


explains. “For example, we create
a composite score consisting
of environmental, social and govern-
ance pillars, and things like ESG
controversies. We take that data,
we make it valuable and useful,
and then present it in such a way that
it can be easily consumed at speed
and at scale.” The global reach
of Refinitiv’s data has seen the firm
partner with organisations including
the European Commission, the United
Nations and the World Economic
152 Forum. With the latter, they have
created the Sustainable Leadership
Monitor, an analytics app which allows
the measurement of the long—term
sustainability progress of publicly
listed companies, underpinning and passion for sustainability, which
Refinitiv’s commitment to providing itself is integral to the sustainable
the information necessary for collec- finance products and services
tive leadership and decision making. it provides. Such clarity of purpose
Ultimately, Refinitiv’s clear and is vital when facing the rapidly evolving,
comprehensive strategy ensures unpredictable challenges sustainability
the cause of sustainability is placed presents. “From an environmental
at the very heart of its business model, perspective, it’s clear that we have this
with the values it holds being translated increasingly narrow window to address
into clear goals. These goals then help the threat that we face,” says Manning.
to inform and create the culture “Current models of consumption
of company-wide participation and industrialisation are not going

AUGUST 2019
153

to support the exponentially growing offers the opportunity to resolve


population. If you look at what busi- that tension and drive outcomes
nesses face, particularly, there’s that are positive in both a sustainable
a new paradigm that requires the and business sense.
creation of long-term practices that
respect the environment, the wellbeing
of employees and the prospects
of future generations, whilst still
making money, improving profitability,
funding innovation and achieving
an increased market share.” Refinitiv’s
implementation of sustainable finance

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154

IMPROVING
AGRICULTURAL VALUE-
CHAINS IN AFRICA
AND BEYOND
WRITTEN BY
DAN BRIGHTMORE
PRODUCED BY
RICHARD DEANE

AUGUST 2019
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ImpactAgri is on a mission to
bring together major companies,
investors and stakeholders to
create economically viable,
socially inclusive, environmentally
sustainable agribusinesses
across Africa
ining companies are some of the biggest

M landowners and economic contributors


in Africa. As such, they have a unique
opportunity, and responsibility, to develop economic
156 diversification strategies based on the sustainable
use of land and water resources. Agriculture should
be a core component of this strategy, where the
needs of mining and agriculture in rural areas overlap
in many ways and at all stages in the life of a mine.
ImpactAgri is working with the mining industry in
Africa, and increasingly elsewhere, to help mining
companies contribute to and benefit from the
economic, social and environmental impacts of
sustainable agriculture. ImpactAgri’s work plays
a key role in the development of responsible mining
strategies for many companies.
ImpactAgri Founder & CEO, Jon White, had 20
years of experience working in agriculture when he
recognised the need to find a new way to improve
logistics, access-to-market and financing for
emerging agribusinesses in Africa. He believes

AUGUST 2019
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“If you can create agriculture can be the catalyst to


deliver socio-economic development
high-value while caring for nature. “The best way

agri-processing to create real jobs in Africa and reduce


the impact on the environment is
that’s inclusive through well-designed farming

and maintains systems done in a socially conscious

employment levels
way,” says White, who notes the
challenge in breaking the cycle of
then those jobs ‘slash-and-burn’. “Much of the defor-

can last forever”


estation occurring is due to slash-and-
burn, where soils become poor after

Jon White, a few years of use, so they move to
158 Founder & CEO, ImpactAgri the next hectare, burn it down, plant,

AUGUST 2019
159

stay there a year, then move to the mining companies co-create sustain-
next hectare…” able self-standing agribusinesses,
Sustainable and economically viable driving a shift from subsistence
approaches to farming can create farming towards revenue-generating
long-term agri-employment and enterprises and greater employment.
environmental benefits, explains White. Governments across Africa are
“A mine can be a great employer for increasingly wanting to issue licences
20 years or more but when it closes to mining companies capable of
there’s nothing,” he warns. “If you can supporting the population around the
create high-value agri-processing mine. “It’s OK replanting trees when
that’s inclusive and maintains employ- you leave a mine site, but what happens
ment levels then those jobs can last to the many people employed there
forever.” It’s the creation of a genuine when it closes?” questions White,
long-term footprint that drives White who argues that new mines, often in
and his team; the opportunity to help environmentally sensitive areas, need

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160

AUGUST 2019
attractive alternative employment taking advantage of and spurring on
opportunities to deal with the inevita- the development of key infrastructure
ble migration of workers. “You can vital for the life of an industrial project
actually create a hub of agriculture and its local community. He advises
away from the mine to stop that drift, that addressing key questions can
and people will go there rather than help companies benefit from the
to the mine gate,” he reasons. “In agriculture sector. “Can agriculture
sensitive areas, like Guinea and provide sustainable jobs alongside this
Cameroon, to have a strategy that industrial activity? Can it contribute
creates a hub away from the mine, but to the social license to operate by
coherent with its situation and, to building community relations? Can it
a degree, supported by the mine, is provide solutions for post-mine
a positive thing to do for all concerned.” planning that deliver more than trees
ImpactAgri’s other Founder and and dry grassland with poor biodiver- 161
Director, David Hampton, is keen to see sity? How can agricultural technolo-
agriculture projects working alongside gies help rehabilitate land, stabilise
mining and other industries, both tailing ponds and help remove heavy

E XE CU T I VE PRO FI LE
David Hampton
David Hampton is a highly experienced strategy
consultant, company director and entrepreneur.
He has over 30 years of international experience and
expertise in strategy consulting primarily providing
advice to major global corporations in the energy,
mining and agri-business industries on the strategic
impact of sustainability and clean technology
developments on their business.

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“You can’t simply buy
into a project in Africa
sitting in an office – you
have to go out there
and make it happen” 163

David Hampton,
Founder & Director,
ImpactAgri

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LO
O G IE S
TE C H N
N E W
WITH

AFTER

AFTER

AFTER

E
BEFOR

E
BEFOR

E
BEFOR
“We believe you can metals? All the way through the value

take your CSR budget,


chain, there is a crossover between
agriculture and the different stages
and make it into mines and other industrial businesses
a cash generator. pass through when utilising the land.

Not a cost. That’s the The opportunities are there.”


In Guinea, ImpactAgri is working
advantage of working with Anglo African Minerals to support
with ImpactAgri” development of their corridor and
— bauxite mine. White hopes the proposal
Jon White, will limit migration and create thousands
Founder & CEO,
ImpactAgri of agriculture jobs. Working with
Vedanta in Zambia, ImpactAgri is
165

E XE CU T I VE PRO FI LE
Jon White
Jon White is an experienced CEO managing companies and
operations in Africa, Europe and the US. For the last 15 years he
has focused on agricultural and landscape solutions to increase
yields, save labour, and reduce energy and water consumption
whilst reducing runoff and pollution. White’s drive and initiative
combined with his vast experience, network and energy in the
field helps ensure ImpactAgri’s projects succeed. White’s corporate
background includes senior management roles, in world class
manufacturing operations at Pirelli in the production of Fibre
Optic & Power Cables, and as VP EMEA of Netafim, the world’s
leading precision irrigation company. He started his career in the
mining industry with British Coal. White has an Honours Degree
from the University of Leeds in Mechanical Engineering.

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developing a large-scale horticultural


operation utilising the water that is
already being extracted from the mine.
The goal is for the agribusiness to
employ more people than the mine
itself within a few years and create
a significant source of fruit and
vegetables for the region. Longer
term development will create high-value
tree crops such as nuts and citrus
for export. Elsewhere, ImpactAgri is
working with other companies to
identify the potential for agricultural
166 solutions to remediate land and add
value to legacy assets.
White explains that sustainable
intensification on ex-mining sites can
also be hugely positive: “In Zambia,
ImpactAgri is working with local
partners to plant specific tree types
on used and spent copper tailings. It
looks like the moon, but by replanting
the right type of crops, you can create
biofuels. In turn, those biofuels can
be a shared crop for our food crops.”
He stresses that it’s important to
value the natural capital with efficient
use of water, understand the value
of soil health and manage the impact
on natural ecosystems.

AUGUST 2019
Once these agribusinesses are
given the opportunity to flourish, it’s
vital to secure access-to-market by
building the value chain, asserts White.
“Sadly, there are many examples in
Africa – whether a cassava plant for
flour or a tomato factory – where the
whole value chain hasn’t been ad-
dressed. Whether it’s the upstream,
where they are going to sell, or the
logistics to move the products, an
integrated and holistic view of the
requirements at each stage of the
value chain are essential.” 167
New technologies and innovative
approaches are key. White is excited
about a couple of projects in devel-
opment that will mix solar PV with
agribusiness. “Mines need power, lots
of power… If you can install a 50 MW
solar panel installation with hydropon-
ics you can farm underneath the panels.
It’s a useful approach when land is not
suitable for traditional agriculture and
we can actually take some of that
energy and use it for processing crops
like cocoa and vegetables; for washing
them and for cooling. Having that energy
source on site can be a wonderful thing.”
Mining companies can spend millions

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C O M PA N Y I N F O

Making a difference with


impactful partnerships

“Our network enables us to bring in


big players to make big things
happen,” says ImpactAgri’s founder
and CEO Jon White. “For example,
AFGRI in South Africa is one of our
key partners providing agriculture
services across the region: grain
168 management and storage; equipment
and financialC Oservices
M P A N Y I N to
F O support
full-scale commercial farming. You
need alliances with organisations
capable of operational excellence
in each country who understand its
complexities to be able to deliver
results.” ImpactAgri is also working
with companies like Rubicon
Integrated Services, which offers
its expertise in community
infrastructure improvement, water
tech-nologies, disease vector
eradication and road building.

AUGUST 2019
of dollars on CSR schemes but too
often it’s wasted stresses White.
“Building hospitals and schools is
a great thing to do… But if there isn’t
a network in the community and a tax
system to pay for teachers and
doctors, every year they have to keep
financing the project. This ends up
being a cash drain while they’re being
vilified for not creating other jobs.” He
argues that projects need to offer real
jobs that generate tax to be self-sus-
taining. “We believe you can take your
CSR budget, and make it into a cash 169
generator. Not a cost,” he pledges.
“That’s the advantage of working with
ImpactAgri.”
Within each country it operates,
ImpactAgri identifies strong off-take
partners for specific crops… For
example, in Uganda, the company is
allied with one of the biggest traders
of macadamia nuts. “The ideal model is
to start with a farm as a commercial
entity that supports the business in
terms of paying for equipment, off-take
and processing,” says White. “But
as we expand, we’d rather work with
the farmers on their own land, under
contract to actually deliver services

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to them such as irrigation systems, ImpactAgri has developed a portfolio


equipment and help with off-take. that diversifies the risks but White
It’s very inclusive.” concedes it’s hard to find investors
Hampton highlights the constant for individual greenfield sites. To
challenge to secure financing. “On secure returns he recommends a
a US$40m project, the hardest funds minimum 10-year cycle as these are
to raise are the first $1-2mn for the long-term projects where you need
environmental assessment and to plan for a year when yields are
feasibility studies. No one wants to less than ideal, while Hampton warns
pay for that. It’s too small for most against the perception that brown-
investors, and the bigger investors field sites can offer a quicker turna-
want that to be done before they round: “In Africa, it’s often better to
consider getting involved…” build something from scratch than

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AUGUST 2019
try to turn around someone else’s tackle unique agricultural challenges
problem project.” alongside the communities we
ImpactAgri’s minimum goal is to engage with. Ultimately, you can’t
generate half a billion dollars of simply buy into a project in Africa
investment in agricultural projects by sitting in an office, you have to go
2025. The current pipeline is already out there and make it happen.”
over $300mn with more funding
imminent. “We’ve found a unique
proposition,” says Hampton. “We
have people in our team happy
talking to financiers and lawyers on
‘Wall Street’ but we also have people
capable of going out in the field to

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