You are the CEO and founder of Spectrum Sunglass Company.

While you generally feel good about the state of the business, you are beginning to think about your legacy. You are reading more and more professional articles emphasizing the importance of sustainable development for business and linking the themes of sustainability and innovation, such as “Why Sustainability Is Now the Key Driver of Innovation.” You are frustrated that you don’t have any new sunglass products to offer to the vocal customers who increasingly express concerns about Spectrum’s environmental impact. Not only does sustainable development make sense to you personally, from both a moral and an economic standpoint, you also see this as an opportunity to differentiate Spectrum’s products and company from your competitors, which focus primarily on price and design. You have a potential new product design that has received positive focus group feedback as well as some exciting branding deals with Hollywood celebrities in the works. Even still, you are preoccupied with sustainability.

During Spectrum Sunglass Company’s annual strategy retreat, you decide to pitch the idea of forming a task force to make the company and its products more environmentally sustainable. Your vision for Spectrum consists of three specific goals:

1. Eliminate 25 percent of waste by redesigning the manufacturing process.
2. Reduce the current level of greenhouse gas emissions by 15 percent.
3. Create a new product line based entirely on environmentally benign materials. You argue that these goals, while aggressive, are achievable within the next two years.

Andrew Chen (general counsel): In my professional opinion, the sustainability project might open up the company to unnecessary legal risks. If we go ahead with this, I advise we narrow the scope somewhat, and that we are very careful with how we publicly announce it.

Daisha Farook (VP of operations): We should first conduct careful due diligence around a product and process change that might increase raw material costs and disrupt existing production flows.

Louise Orysh (benefits administrator): Spectrum is still recovering, and has only recently begun rehiring workers; isn’t a dramatic shift in focus to sustainability premature?

You acknowledge your colleagues’ objections, and as a solution propose that you lead a five-person, interdisciplinary task force to look into the issues. As the task force chair, you will commit to devoting 50 percent of your time to this sustainability initiative while juggling your responsibilities as CEO. The remaining four task force members will devote 75 percent of their time to the project.

You add that, based on your current understanding, the task force will need to pursue the following activities:

1. Conduct energy audits and set aggressive milestones for improvement on the three goals.
2. Redesign processes and products to be more environmentally sustainable (and scale up successful experiments quickly).
3. Analyze environmental life cycles throughout the entire value chain inside the firm and with its suppliers.
4. Replace fossil-fuel energy sources with renewable energy sources.
5. Replace petroleum-based materials with biodegradable materials.

Mary Gopinath (VP of human resources): We need to give this initiative serious thought. I for one fully endorse your task force to find a compromise solution.

Eventually, everyone agrees to support your proposal. With your reputation on the line, you realize that success will be measured according to your team’s ability to achieve these three goals within the next two years. As the retreat ends and everyone heads to dinner, you start pondering the potentially numerous issues and obstacles you may need to overcome in implementing your sustainability vision.

Your central challenge is to convince your colleagues that a dramatic change in the organization’s strategy and products is necessary and that environmental sustainability is one of the keys to the company’s future. Fortunately, you have the requisite formal authority and widespread respect throughout the organization to tackle this challenge.

Scenario 2 Lever Details

  
 
 

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Scenario 2 Lever Details Walk the talk Scope of impact: entire org. Get consultant's support. Scope of impact: entire org. When the change agent's actions are aligned with the change initiative, trust is built and effective change is much more likely. If properly executed, pulling this lever can increase the change agent's credibility as well as positively influence targets in any stage if the change is first communicated. Conduct private interviews Scope of impact: 4 Weeks to implement: 2 Issue e-mail notice Scope of impact: entire org. Weeks to implement: 3 Sometimes outside experts can gain the attention of organizational members and jolt them out of their complacency better than internal authorities can. If properly executed, pulling this lever can increase the change agent's credibility as well as positively influence change targets before the trial stage. Hold town hall meetings Scope of impact: entire org. Weeks to implement: 1 Weeks before reuse: 8 Private conversations can reveal important information about the change target, such as who is in their social network and how the target feels about the proposed change initiative. If properly executed, pulling this lever can positively influence targets before the trial stage, as well as their friends. Weeks to implement: 1 Weeks before reuse: 4 Weeks to implement: 3. Weeks before reuse: 1 Organization-wide emails help convey the change vision and indicate progress. If properly executed, pulling this lever can positively influence targets before the trial stage. Weeks before reuse: 4 Weeks before reuse: 6 Town hall me can communicate the change vision and provide unity for -way dialogue about it. Attendance at these meetings is usually voluntary. If properly executed, pulling this lever can positively influence employees before the trial stage. Scenario 2 Lever Details Walk the talk Scope of impact: entire org. Get consultant's support. Scope of impact: entire org. When the change agent's actions are aligned with the change initiative, trust is built and effective change is much more likely. If properly executed, pulling this lever can increase the change agent's credibility as well as positively influence targets in any stage if the change is first communicated. Conduct private interviews Scope of impact: 4 Weeks to implement: 2 Issue e-mail notice Scope of impact: entire org. Weeks to implement: 3 Sometimes outside experts can gain the attention of organizational members and jolt them out of their complacency better than internal authorities can. If properly executed, pulling this lever can increase the change agent's credibility as well as positively influence change targets before the trial stage. Hold town hall meetings Scope of impact: entire org. Weeks to implement: 1 Weeks before reuse: 8 Private conversations can reveal important information about the change target, such as who is in their social network and how the target feels about the proposed change initiative. If properly executed, pulling this lever can positively influence targets before the trial stage, as well as their friends. Weeks to implement: 1 Weeks before reuse: 4 Weeks to implement: 3. Weeks before reuse: 1 Organization-wide emails help convey the change vision and indicate progress. If properly executed, pulling this lever can positively influence targets before the trial stage. Weeks before reuse: 4 Weeks before reuse: 6 Town hall me can communicate the change vision and provide unity for -way dialogue about it. Attendance at these meetings is usually voluntary. If properly executed, pulling this lever can positively influence employees before the trial stage.

Answer rating: 100% (QA)

Here are a few thoughts on how to address your colleagues concerns and move forward with the sustainability initiative Thank the colleagues for their thoughtful feedback Explain that sustainability is... View the full answer