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Nik Blosser, Celilo Group Media
Change agent breaks the case by Nik Blosser - 5.1.05
The journey of Derek Smith and Hillsboro, Ore.-based Norm Thompson’s
corporate responsibility program is a fascinating one. Even with CEO
support and a budget for some of the best consultants in the country,
it is interesting to see both how much can be accomplished and to
recognize that things can’t be changed overnight. Integrating sustainability throughout a large company is like
trying to change the tires while you’re speeding down the freeway.
Given this fact, it’s not surprising how many companies don’t attempt
real change in the first place. It’s too scary. But Norm Thompson may
be the most thorough example to date that it can be done. Their
experience also provides good perspective for people within larger
corporations and governments about reasonable expectations for the pace
of change. Recently elevated to director of communications and corporate
sustainability at the direct marketing company, Derek Smith always had
the support of company president and CEO John Emrick. For someone whose
job it is to infuse sustainability throughout a $200 million company,
that support is perhaps the most important thing to have. Many larger
companies have hired sustainability managers in the past few years —
which is a good thing — but too many seem to have done so without the
complete buy-in from upper management or a clear charge for the new
position. Derek was lucky enough to have his CEO’s support. But even
that support and a relatively clear goal in mind didn’t mean the job
could be done quickly or easily. Smith was given a small budget, and while people knew he had
the support of the CEO, it was also made clear that the company had to
remain profitable and that he had no clear authority to actually make
anyone change anything. One of the first things Smith did was hire a former Patagonia
R&D person, Mike Brown, to help him build a tool kit for evaluating
the sustainability aspects of every product in the Norm Thompson system
(and there are several thousand). Brown has a Ph.D. in human
toxicology. Together they developed the overall concept and a ranking
system by product category. All products are sourced from other
suppliers, and every product in the company gets assessed by this tool
kit. The major benefit of the kit has been to help the company’s
merchandisers — those who purchase the products that go on sale in the
catalogs and on the web site — be more knowledgeable of what they were
buying. The tool kit specifically did not prohibit anything, it just
gave information to the buyers. Initially, this helped Smith assess where the merchandising
divisions were in terms of sustainability. Over time, the system has
dramatically helped the buyers have what he calls “conversations” with
the company’s suppliers. Today, far-larger companies such as the Gap
(NYSE: GPS), Ikea and Eileen Fisher are using it as a model for their
merchandising teams. Over time, these “conversations” have led to
dramatic changes by suppliers to do better in the tool kit ratings, for
example, by removing toxic substances.
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