Friday, March 14, 2014

Review of [Ted Talk] Let's go all-in on selling sustainability

Steve Howard: Let's go all-in on selling sustainability

Link: http://www.ted.com/talks/steve_howard_let_s_go_all_in_on_selling_sustainability#

Notes:

- Speaker leads the sustainability effort at Ikea, helping the low-price-furniture giant to bring sustainable products to millions of people. 
- 3 billion people joining the global middle class.
- 6 degree of global warming issue. 
- 12 cities in the world back in old days.
- Sustainability became nice-to-do to must-to-do
- IKEA shows a good example of positive impact of business can do on the world on sustainable aspects.
- Customers concerns daily issue > global sustainable issue.
- Make sustainable to be easy approach, affordable and attractive.
- Example 1. Unlike old light bulb produce more heat than the light LED light produce more light and last more than 20 years -> soon to 100% banned halogen in products -> use supply chain to change the customers behaviour and make it affordable to anyone.
- Example 2. Consider natural raw material -> Production of cotton working back to from farm -> 60% of cost consumed in production process can be chemical input by low income farmers -> start from beginning of the supply chain and take care of 
- Example 3. Wood -> unavoidable forestry -> take responsibility of what you consume ->  collaboration with NGO and work with supply chain partner to produce safe forestry 
- Example 4. Use natural resource -> use sun and the wind which would exist permanently -> wind farm and solar panel -> produce free electricity -> benefits on CFO for business as well
- Example 5. Provide good working condition and concern on human right -> child labour -> better quality life requires good foundation and consistent support







CRITICAL REFLECTION

The review of this video is an extension of my interest from very first blog post relate to new 
perception of promoting sustainability in the market. Ikea has successfully produced quality
furniture at affordable price in global scale. Inspirational design has allowed company to grow
as the world's largest furniture retailer with principle of being eco-friendly. It is a great example
of the producer of the product use the supply chain to do good for environment while attracting
customers with simple and universal design. However to allow this to happen once the 
product is showcased it relies on consumers decision. Behaviour of consumer should be 
decisive and be smart and aware of the consumption. To become a must-to-do sustainability
it would require both consumer and producer to give an effort to be responsible with their 
action. 

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