Henry Kravis of Kohlberg, Kravis, Roberts & Co. And the Environmental Defense Fund - Groundbreakers in Green Business
January 2nd, 2010
When Henry Kravis and his business partner George Roberts founded Kohlberg, Kravis, Roberts & Co (KKR) in the seventies with some assistance from the First Chicago Corporation, the firm’s specialty was in bootstrap buyouts. But they have put together a unique proposal that centers not solely on profitability, but additionally on how ecologically aware each of their companies are.
KKR’s Henry Kravis and the non-profit environmental advocacy group Environmental Defense Fund (EDF) joined forces in 2008, with the mission of making environmentally sound business practices a commonplace principle. Their corporate mission is to encourage companies in opposing procedures which may threaten the environment e.g. hazardous waste not to forget any steep water consumption. Eco-efficiency (the term was initially introduced by the World Business Council for Sustainable Development) is the formula used to achieve these goals, by applying green policies like recycling programs, maximum use of renewable resources and fuel economy. Although the project was an enormous success, people simply didn’t recognize how incredible the effects were until Ken Mehlman, the head of the Green Portfolio Project and global public affairs, finished the first annual review.
As if to better all expectations, Ken realized that eco-efficiency not only helped in preserving the local environment, but was also increasing the the profit from every last company too. Well-nigh all of the companies owned by Kohlberg, Kravis, Roberts & Co and Ken Mehlman now apply eco-efficiency. And, when you consider that the group has a 2009 business portfolio worth $86 billion, you can be certain that this was no easy accomplishment.
The initial Green Portfolio project is expanding to include new and innovative enterprises. For instance, Kohlberg, Kravis, Roberts & Co got together with the Environmental Defense Fund’s Climate Corps Program that instructs MBA interns how to design and start cost-efficient, environmentally friendly techniques. KKR and Ken Mehlman have made the effort to formulate analytic tools that measure and oversee various resources. This type of data is invaluable as companies may without much effort assess their day-to-day activities and identify how any issues may be resolved while simultaneously allowing them to discover how far they have progressed.
The business community has been transformed by the ecologically focused efforts of these organizations. These developments have simplified the procedure for organizations in every sector and shown the world that making profits need not entail the hefty price of negatively impacting our planet.
Entry Filed under: Social Resources