Contents

Part 1

Chapter 1:Sustainability in 2020 and Beyond

The Drivers: Economics 101

Sustainability: Four Big Buckets

The Huge Business Opportunity

Mixed Signals

How to Get Started

Chapter 2:Why Bother?

Opportunity of the Century

Global Risk Review—WEF

But Wait—Delhi, Delft, Des Moines

Why Have Companies Pursued ESG?

The Business Case for Sustainability

Investors Speaking Up

Customers Speaking Up

Approaching the Tipping Point

Chapter 3:Terminology—What Does Sustainability Really Mean?

The Jargon

What Is Sustainability?

ESG and the Triple Bottom Line

Two Sides of the Coin: Stop and Go

From Farm to Fork

Today’s Sustainability Conversation

Chapter 4:What Does Sustainability Mean to Your Industry?

The 30,000 Foot View

The Common Denominator: More Profit—Less Stuff

Tomorrow’s Industry Sectors

Tomorrow’s Industry Sectors—Today

Counterpoint: The Skeptics …

Positioning for Growth

Chapter 5:Governance and Leadership: The “G” in ESG

The Situation: Governance and Sustainability

Governance: The Key Elements

Investors’ Dilemma: Failing the 80/20 Rule

Governance at a Glance: Tomorrow’s Leaders Today

The Scorecard: Governance and Leadership

Chapter 6:Strategy and Execution: The Missing “S” in ESG

The Situation: Beyond ESG

Strategy: The Key Elements

The Opportunity: Strategy and Sustainability

Strategy and Execution at a Glance: Tomorrow’s Leaders Today

The Scorecard: Strategy and Execution

Chapter 7:Environmental Stewardship: The “E” in ESG

The Situation: Overdose on Environmental Issues

Materiality Assessment

Environment: The Key Elements

Environmental Stewardship at a Glance: Tomorrow’s Leaders Today

The Scorecard: Environmental Stewardship

Chapter 8:Social Responsibility: The “S” in ESG

The Situation: Looking Back—Not Looking Ahead

Social Responsibility: The Key Elements

The Opportunity: Glass Half Full

Social Responsibility: Tomorrow’s Leaders Today

The Scorecard: Social Responsibility

Chapter 9:The New ESG Regulators

Investors: The New EPA?

The Global Regulatory Landscape

Private Sector Collaborations

The Impact of Millennials

Summary

Part 2

Chapter 10:Introduction to the Corporate Sustainability Scorecard—C-Suite Rating System

What Is the Corporate Sustainability Scorecard?

Why this Scorecard?

Who Is the Scorecard Intended for?

How Is the Scorecard Structured?

The Four-Stage Transformation Model

How Should the Scorecard Be Used?

Will the Scorecard Change over Time?

Organization of Part 2

Chapter 11:Vision, Mission, and Values

Public Statements

Private Actions to Reinforce Sustainability in Vision, Mission, and Values

External Recognition

How Do Companies Stack Up?

Chapter 12:CEO Leadership

CEO Engagement with Sustainability

Managing Board Agendas

Structuring the Sustainability Organization

How Do Companies Stack Up?

Chapter 13:Board of Directors Leadership

Board of Directors Sustainability Structure and Resources

Board of Directors’ Assurance Processes

Board of Directors’ Commitment of Time to Sustainability

How Do Companies Stack Up?

Chapter 14:Goals and Metrics

Goal-Setting Process

Time Horizon of Sustainability Goals

Content and Impact of Sustainability Goals

How Do Companies Stack Up?

Chapter 15:Culture and Organization

Management Accountability for and Attention to Sustainability

Key Culture Indicators Related to Sustainability

Sustainability Organization

How Do Companies Stack Up?

Chapter 16:Stakeholder Engagement

Why Engage?

With Whom to Engage?

What to Engage On?

How and When to Engage

How Do Companies Stack Up?

Chapter 17:Disclosure, Reporting, and Transparency

Disclosure of Sustainability Risks, Posture, Programs, and Plans

Reporting of Sustainability Progress and Performance

Transparency

How Do Companies Stack Up?

Chapter 18:Strategic Planning

Sustainability Positioning and Strategy

Business Drivers for Sustainability Within the Company

Sustainability Inputs to Corporate Planning Process(es)

How Do Companies Stack Up?

Chapter 19:Innovation, Research, and Development

Role of Sustainability and Innovation

Processes and Methodologies

Sustainable Innovation Investments

How Do Companies Stack Up?

Chapter 20:Customers and Markets

Sustainability Linkage to Customers

Core Approach

Shaping Future Market Opportunities

How Do Companies Stack Up?

Chapter 21:Products, Services, and Solutions

Basic Product Positioning

The Product Development Process

Existing PSS

How Do Companies Stack Up?

Chapter 22:Environmental Footprint—Operations

Managing Purchased Resource Inputs

Managing Own Physical Footprint

Managing Nonproduct Outputs

How Do Companies Stack Up?

Chapter 23:Environmental Impacts—Supply Chain

Posture and Management Processes

Addressing the Most Material Supply Chain Environmental Impacts

Nature and Extent of Supplier Sustainability Partnerships

How Do Companies Stack Up?

Chapter 24:Environmental Impacts—Products

Overall Product Stewardship Approach

Product Design Process

End-of-Life Product Management

How Do Companies Stack Up?

Chapter 25:Own Operations—Workplace

General Workplace Environment

Core Workplace Programs

Sustainability Capability-Building Initiatives

How Do Companies Stack Up?

Chapter 26:Supply Chain Social Impacts

Posture and Management Processes

Addressing the Most Material Supply Chain Impacts

Supply Chain Partnerships

How Do Companies Stack Up?

Chapter 27:Community Investment

Community Policies and Programs

Community Investments

Benefits to Society

How Do Companies Stack Up?

Chapter 28:Conclusion: Tomorrow’s Elite Corporation

Fit: Visualizing Success

Trim: Decoupling Growth and Profitability from Resource Intensity

Resilient: Capacity to Innovate Among Disruptions

A Few Words on Climate Change

The Path Forward

Appendix A: Definitions

Index

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