Aligning Your Team Around Sustainability
As we continue to navigate the world of sustainability, it’s clear that understanding its principles is key to making an impact in the business world. Whether you’re just beginning to explore sustainable practices or are already integrating them into your strategy, the journey often comes with challenges—especially when seeking buy-in from leadership.
Steve Ramos, Sustainability & ESG VP at Perrigo, recently joined our own Wendy and Danny for a webinar to discuss this very topic. During the conversation, Steve shared insights from his journey at Perrigo and the company’s partnership with us at Foresight, shedding light on the importance of sustainability, the challenges professionals face in driving these initiatives, and strategies for developing sustainable practices.
The Evolution of Sustainability: From Opt-in CSR to Business Imperative
While sustainability isn’t a new concept, the expectations surrounding sustainability have rapidly evolved in the last ten years. When Steve started at Perrigo, his title was Head of Corporate Social Responsibility, and often, companies pursued sustainability with a “we should give back because we’re successful” mentality.
But, gone are the days when sustainability was a voluntary effort. Now, companies are seeing increasing regulations that demand transparency. Steve argues that, in reality, it has never been optional. Pressure from customers, investors, and even employees has been pushing businesses to be more sustainable for years – they just viewed it as an obligation, not an opportunity. In Perrigo’s case, it was a customer inquiry that brought Steve into partnership with Wendy 12 years ago, where they worked to create a sustainability roadmap.
Questioning Cost Assumptions
Despite this growing pressure, sustainability initiatives are still often met with hesitation, usually due to concerns about cost and resources. However, Steve encourages people to challenge that assumption. He notes that teams rarely offer concrete examples where costs were the actual reason for not implementing sustainable changes. While change does require an investment of time, money, and people, these changes are necessary, and it’s important to listen to concerns and find a middle ground between sustainability goals and business priorities. Balance is achievable if the right questions are asked.
Getting Buy-In Through Collaboration
Steve credits much of his success in getting buy-in on sustainability to asking the right questions and fostering collaboration. Too often, people assume they know the answer without even asking the question. Involving different departments and stakeholders in the conversation is critical. By engaging with others and integrating sustainability into the business from the start, even small teams can make a significant impact.
Shifting the Narrative: Success Through Sustainability
A pivotal moment for Perrigo came when the company shifted its mindset from “giving back because you’re successful” to “being successful because you’re giving back.” This shift reflects a growing trend: companies that proactively work to lessen their environmental impact and compile relevant data are seeing benefits across all aspects of business.
Steve cites Perrigo’s sustainable palm oil policy as a perfect example. By ensuring that all palm oil is sourced sustainably, Perrigo not only improved its environmental impact but also unlocked new business opportunities. The policy allowed the company to bid on projects it might not have qualified for otherwise and helped differentiate its products from competitors. Moreover, embedding sustainability efforts early in an employee’s journey has helped create a culture where sustainability is ingrained, benefiting both recruitment and retention.
Embracing Sustainability as a Strategic Imperative
In the evolving landscape of business, sustainability is no longer a peripheral concern—it’s a central strategic imperative. Steve Ramos’ insights from Perrigo underscore a crucial shift: sustainability efforts are not just about "giving back" but about creating lasting success through responsible practices. As regulations tighten and consumer expectations rise, companies that proactively embrace sustainability are not only enhancing their environmental impact but also gaining a competitive edge.
By questioning assumptions, engaging stakeholders, and integrating sustainability into the core business strategy, organizations can overcome the typical barriers to adoption. This approach highlights that sustainability is not a burden but an opportunity for innovation, differentiation, and growth. The journey towards a more sustainable future is complex and often challenging, but as Perrigo’s experiences show, it can lead to substantial rewards, both for the business and for the world.
As you reflect on these insights, consider how your own organization can shift from viewing sustainability as a hurdle to embracing it as a catalyst for success. The path to sustainability may be winding, but with the right mindset and strategies, it can lead to a more resilient, responsible, and, ultimately, more successful business.
