In preparation for “SB Issues in Focus: Building Credibility & Avoiding Greenwash,” SLM CEO Koann Skrzyniarz speaks with Yalmaz Siddiqui, Director of Environmental Strategy for Office Depot about their Green Purchasing Dashboard and their approach to eco-labeling.
Koann: Congratulations on the launch of your new Green Purchasing Dashboard, Yalmaz. Tell us a little about how this came to be and who you have been working with to ‘get the bugs out?.
Yalmaz: We developed the first dashboard or ‘Green Business Review’ in Q2′09, and have been honing it over the past several months with feedback from some of our key ‘green-minded’ customers. It helps customers understand what they spend with Office Depot on products with green attributes, and allows them to see how much of their purchasing was “light green,” “bright green” or “dark green.” We developed this Shades of Green Product System in collaboration with some of our greenest customers and stakeholders - including purchasing / environmental teams in the Cities of Seattle and Portland as well as experts form the Responsible Purchasing Network.
The Shades of Green Product System and Green Business Review are both relatively simple, but they work. Our shades of green system both simplifies and expands the conversation about what is green. The GBR allows us to have a different conversation with customers than before. Many of our large customers are excited about the Green Business Review because it makes their spending patterns more transparent internally, and allows them to focus on setting and meeting new environmental purchasing goals.
Koann: This kind of trend data is great information for everyone. Are you also tracking overall rolled up sales of your green book products at the same time?
Yalmaz: We’ve just recently started tracking green sales. In 2007, of $11.3 billion total North American sales, $1.3 billion, or about 12% was on products we consider either “bright green” or “dark green.” This is about the same percentage as in 2008 where we had $10.3 billion North American sales and $1.22 billion or 12% bright green or dark green. So while the economy has hit us, as it has everyone, green is not being disproportionately affected. This surprises some people.
Koann: This kind of dashboard is obviously a great service. How are you making it available to customers?
Yalmaz: At the moment, we are focusing on empowering existing large customers who spend over $2 million with Office Depot annually. Our Business Solutions Division representatives are communicating with specific customers about the Green Business Review, and we work on a case-by-case basis to develop them if a customer is interested. It’s a manual process right now and it does take time, but our hope is that ultimately we’ll be able to streamline the process and make the data available to any Office Depot customer who may be interested.
Koann: As you know, Yalmaz, we see the continuing need for companies to build credibility for their environmental (and social) claims as core to keeping the momentum building in the green marketplace. Retailers, most notably of late Wal-mart and others who are part of the Sustainability Consortium, have been working hard to find solutions for guiding suppliers and customers alike to build and buy smarter, greener, more sustainable products. Office Depot has been one of the leaders in building a portfolio of green product offerings. Can you give us your perspective on the dynamic landscape of eco-labeling and certifications?
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