A report launched by Envirowise has revealed that companies across Scotland recorded financial savings of over £29million in 20071 by adopting environmental best practise methods after taking their impact on the environment more seriously.
An independent study commissioned by the Scottish Government-funded sustainability expert illustrates there is a direct link between implementing simple resource efficiency measures and increasing profits which could be play a crucial role to aiding a business' long-term survival during the recession.
The current economic climate has made everyone sit up and take notice when it comes to their own financial health and many employers are realising it's essential that this attitude is also adopted in the workplace.
Companies that have taken advantage of the free services offered by Envirowise, have benefited the most with average financial savings of around £49,0002 a year through adopted measures. The study illustrates that by taking advantage of the advice available including: online publications, toolkits and onsite visits, Envirowise users have made cost savings up to three times higher than businesses that do not engage with the programme.
Many of the nation's businesses are still unaware how easy it is to get started on the road to a greener future but the study illustrates that a staff time saving worth £2.8million3 has been achieved by companies that have made good use of the programme and acted upon the expert advice received.
Commenting on the study, Envirowise programme manager for Scotland, Robbie Weir, said:
"The results highlight the fact that many businesses in Scotland are leading the way when it comes to improving resource efficiency. Total savings figures have risen by £11.5million4 from 2006 and this confirms that companies are becoming increasingly aware of just how important sustainable business practice can be and can add value to their bottom line.
"Envirowise can help companies to make, plan, implement and stick to their environmental goals. By focusing efforts on one area, measuring use, applying change and then re-measuring, companies will be able to see a significant reduction in costs. It makes sense that a business ready to reduce its environmental impact should get started with free advice from Envirowise. Almost 80% of respondents interviewed agreed that reducing their environmental impact can have significant cost benefits and the same percentage agreed that they already monitor the business' carbon footprint5.
"Even small, simple measures can have an immediate effect, and it needn't take a lot of time; just one hour a week can be enough to convert good environmental intentions into real financial savings.
"More and more businesses are finding that their environmental credentials are becoming increasingly linked to their reputation, securing new business and staying one step ahead of the competition. With a strong environmental reputation and such massive savings to be gained, companies will be hard pushed to find an excuse not to join those who have been leading the way to 'green' their business."
Cabinet Secretary for Environment Richard Lochhead said:
"£29 million would be an eye-catching figure in a more normal economic climate, but with Scotland in recession, there has never been a better time for businesses to consider how to minimise their waste.
"The potential savings that could be made, as well as, of course, the environmental benefits from reducing waste are clear.
"An excellent example is Edinburgh's Radisson Hotel, who, with the help of Envirowise, identified an annual saving of £40,000 by reducing its water use.
"In addition, Caltek Aluminum Systems in Livingston have implemented a recycling service that will divert almost 18 tonnes of waste from landfill, and reducing annual bills by £1684.
"Envirowise have also reported increased interest in the advice they offer, and research shows that savings made by businesses who use them are much greater than those who don't. Just think how much more could be saved if even more businesses used them.
"I would therefore encourage all businesses in Scotland to consider how to minimise their waste and pick up the phone to Envirowise. Individuals, the public sector and businesses all have a responsibility as we move towards becoming a Zero Waste Scotland."
Harper Collins, one of the UK's largest publishers, is leading by example when it comes to improving its green credentials. Since February 2008, the publishing giant has worked alongside Envirowise to design and introduce more sustainable packaging options. Its main UK distribution site at Bishopbriggs - which shifts over 90 Million books a year - has since slashed its distribution packaging costs by almost 25 percent.
Duncan Smith, operations and planning director at Harper Collins commented:
"Optimising our packaging not only makes financial sense but it also has a significant impact on the environment – unnecessary and throw-away packaging can be highly wasteful. By working with Envirowise to implement simple resource efficiency measures we've managed to minimise our impact on the environment and significantly cut costs.
"Cutting back on unnecessary packaging has been achieved by simple and straight forward methods such as replacing cardboard cartons with reusable plastic totes for deliveries to major wholesale customers and switching large cardboard envelopes with light-weight corrugated ones. These small changes have gone a long way as we anticipate potential savings of £353,000 and 12,585 tonnes of carbon over the course of one year.
"We're now firmly on our way to a greener future and we will continue to work with Envirowise to improve on other areas where we can progress waste management and our overall environmental performance. Given the right advice to implement change, companies will see how profitable a greener business can be."
- Ends -
Notes to Editors
For more information, please contact:
Laura McKenzie or Jennifer Niccolls at Trimedia on 0131-226-2363 / laura.mckenzie@trimediauk.com/ jennifer.niccolls@trimediauk.com
Sources:
1 - Envirowise Impact Assessment 2008, Summary of Results in Scotland
Total savings figure of £29.2million includes:
- £17.1million raw savings
- £1.3million from organisations managed as Key Accounts
- £2.8million worth of time
- £8million costs of obtaining information
2,3 & 5 - Envirowise Impact Assessment 2008, Summary of Results in Scotland
The report was carried out by Databuild Research and Solutions in December 2008.
The research was conducted through a telephone survey of 430 sites. The sites included in the survey were drawn from two sources:
- Envirowise's database of recorded users
- An industry database from which recorded users had been removed.
The report assesses Environmental savings made in the calendar year 2007 by a sample of companies in Scotland in which Envirowise has been active and reports on environmental savings that can be attributed to the work of Envirowise with those companies.
4 - Envirowise Impact Assessment 2006, Summery of Results in Scotland
About Envirowise:
Envirowise is a Scottish Government-funded programme dedicated to putting the sustainable use of resources at the heart of Scottish business practice.
Since 1994 Envirowise has helped UK businesses save over £1Bn by enabling them to significantly reduce their environmental footprints.
Envirowise offers businesses of all sizes and sectors a wide range of free, independent and practical advice designed to genuinely improve their processes, profitability and competitiveness. Services include:
- The Envirowise Advice Line on 0800 585794.
- An encyclopaedic website (www.envirowise.gov.uk/scotland
) of valuable and relevant information.
- On-site visits conducted by a nationwide team of expert advisors.
- Over 200 events each year, from Product Design Workshops to major exhibitions.
******** Case studies ********
Radisson SAS hotel in Edinburgh
Upon partnering with Envirowise in 2006 the company has identified savings of almost £40,000 in water, energy and waste conservation. The company recognised water as one of their most financially draining resources.
Alexandra Hammond, responsible business manager for the Radisson SAS, said:
"It's extremely important during the current recession that businesses implement or improve on their resource efficiency measures as small changes can really make a difference and can certainly go a long way to boosting your bottom line.
"Conserving water not only makes financial sense, but it also has a significant impact on the environment. Treating and transporting water is highly energy intensive, and even in Scotland where we have high average rainfall, water wastage has a high environmental price. By introducing new resource efficiency methods and engaging our staff with the issue, we've managed to cut our costs and minimise our environmental impact.
"Reducing water usage has been achieved through simple and inexpensive methods including minimising toilet cistern sizes and lessening the water pressure flow to guest taps. It really can be that simple. Last year, the hotel recorded a water reduction of almost 12 percent per guest, and saved almost 1.4 million litres of water.
"In January this year we launched a new food waste initiative in partnership with the Edinburgh Cyrenians, a local charitable organisation supporting Edinburgh's homeless community. So far we've managed to reduce waste to landfill by 45 percent simply by separating food into appropriate waste bins and disposing of it responsibly. We've been working to reduce our waste to landfill since March 2007 and during this time we've slashed our overall output by an impressive 72 percent.
This year we're also planning to invest just over £4,000 on new shower heads which will reduce the volume of water used by 20 litres per minute and at an identified cost saving of over £14,000. We’ll continue to work with Envirowise throughout 2009 to progress further opportunities to improve waste management and environmental performance."
Caltek Aluminum Systems based in Livingston
Caltek, the specialist manufacturer and supplier of aluminium architectural components such as windows, doors, and roofs, is leading by example when it comes to improving its green credentials. By enlisting the help of sustainability expert Envirowise and joining the Small Business Support Programme in June last year, the company has slashed its energy costs by £306 per year and implemented a recycling service that will divert almost 18 tonnes of waste from landfill, reducing waste bills by £1684 per year.
Andrew Gray, director of Caltek Aluminum Systems commented:
"Optimising our profit margins through resource efficiency not only makes clear financial sense but also ensures we are thinking more seriously about our impact on the environment. By working with Envirowise we’ve managed to make a substantial saving of up to almost 50% on our waste costs. We registered for free and received an informative site visit which has assisted us to plan and implement simple measures, helping us to improve the company's environmental performance."
"Straightforward practices like encouraging staff to recycle effectively and to be more aware of the amount of electricity saved when lights are switched off have gone a long way to help us realise cost savings. More recently we've started issuing quotations for work electronically which sees the company save paper. These small but effective changes have amounted to potential savings of over £3,000 per year being identified."
"We're now firmly on our way to a greener future and we're fully focused on continuing our improvement throughout the year. 2009 is set to be a tough year for many businesses and especially with the current recession hitting smaller companies particularly hard. It makes sense that small businesses should consider improving their use of resources not only to increase their bottom line but to send an important message to staff and customers alike about their commitment to the environment."