The need for Environmental Leadership
There is no escaping the fact that responding to climate change (and breaking through the inertia associated with climate change action) is now a global priority for all governments, businesses and organizations. The global ability to develop and deploy environmental leaders into societal beneficial roles within public and private organisations must now be a priority in our response. There is a great need for a hightened focus on environmental business management.
There are a myriad of environmental leaders out there holding down responsible posts in business, political, and public leadership. Thier work focusing on a wide variety of environmental policy and management issues, single issue activism, the regulation of licensed activities and service provision. This Blog’s intention is to help define WHAT comprises an Environmental Leadership mindset amd core capability. The objective is to help professional leaders and managers who have Environmental Leadership responsibilities develop a skills portfolio. I work with many professionals who understand the science, but seek leadership training in the practicalities that will helpthem Get ‘Green Done’.
What is Environmental Leadership
A wide variety of ‘Leadership’ concepts and models have evolved over the last century. In reality, there is no universally definition of what leadership is, or what makes a ‘leader’. There is however a need to adapt and uopdate some of the older business models and leadership styles to address climate change and today’s business realities.
Leadership practices and the economic business models that have evolved possess a significant misconception. They revolve around a bias that firstly natural resources are limitless, and secondly, that Business leadership behaviours are separate from environmental responsibility for any adverse outcome. The polluter may pay after only prosecution, but the level of ecosystem damage is rarely compensated for. This has given rise to a long catalogue of environmental mismanagement case studies, the pollution of ecosystems and examples of social harm through industrial activities. The risk remains that in a significant proportion of leadership and managhement training that the continued exploitation of natural resources and their eco-systems as free commodities remains. As the unintended consequences of industrial activity arise there has been a transformative shift towards more Responsible Management practices and behaviours. Many arising only after societal opinions have determined that what is was once acceptable economic behaviour must now change. This does not confine environmental leadership towards a business negative approach, it seeks to place a greater onus on a sustainable balance between economic activity and the wider environment.
The external dimension
This raises an interesting distinction between traditional business practice and more environemntally minded leadership practice. The majority of organisational ‘leaders’ are employed to focus on internal management issues arising from day to day operations. Environmental professionals and executives with environmental accountabilities are employed to manage external activities and influences, as well as internal. To be an environmental leader you must possess not only an internal mindset that is concerned with issues of waste, pollution, resource management and efficiency. You must also retain an external focus that respond to a wide range of holistic factors. Factors which safeguard the rights and safety of other communities and the environments they inhabit. Holding the organisation responsible in part or entirely for these factors, citing an ethical responsibility to safeguard the wellbeing of others. The outward focus of environmental leadership is rarely mentioned when compared with other leadership models.
With experience comes wisdom. How do you gain experience? often through repeated lack of experience! One of the most startling concepts of environmental leadership, one that many experienced environmental leaders come to realise, is that environmental and social issues permeate virtually all organisational boundaries and activities. These often comprise the intangible factors in business management,
What are the intangible factors?
Businesses often own a variety of physical assets, such as buildings, machinery, computers and equipment. These things are tangible — they can be touched or seen. They also operate and are aligned along established pathways – Production, Marketing, Finance, IT or Transport. These groups tend to operate in a similar manner across all business sectors. These roles are tangible in that they have established goals and roles, that are accepted and common to most organisational frameworks
Companies also own a variety of assets that cannot be touched or seen; these are intangible assets, such as goodwill (employee or customer), patents, trademarks, copyrights and more. They also have undefined activities, responsibilities and services that merge between business units or are external to the organisation. Ill-defined in nature or emerging they can have a critical impact on business success ands future growth.
Key Intangible Asset groups
To help simplify matters, these asset groups can be summarised between three common types
- Human capital – the value driven by the accumulated skills, knowledge and experience of a business’s employees
- Relationship capital – the value tied up in positive relationships between an organisation and its employees, suppliers, partners and customers
- Brand capital – the value realised through consistent visual and verbal communications, and idiosyncratic corporate behaviours
Collectively these intangible asset groups can now comprise the majority share of corporate value. Despite impacting on Value, intangible assets are not widely understood or managed by leadership teams. Equally important in todays business world – many of these intangible parameters have an environmental or social (sustainability) origin! The lack of ‘ownership’ and accountability for environmental risks means that they are often downgraded by senior management teams.
Environmental Leadership – The Management of Tangible and Intangible Value
It is common for environmental management posts to be set at mid or junior levelss within organisations. Many operate as sole traders without any direct line responsibilities for other staff. In these roles the post holders are expected to influence without any defined authority, set the environmental culture and process organisational change across departmental boundaries. The expectation is that they exert influence up & down and across established management power chains, and through peer-to-peer contacts inside and outside their organisation.
Few other roles in organisational management have such an undefined change management role and are positioned at such a distance from the senior leadership. In such circumstances, the more traditional transactional command-and-control leadership models that exist — the “I leader, you follow” approach — doesn’t get an environmental advisor, manager or director with environmental accountability very far!
Berry and Gordon stated that leadership, at least in terms of environmental leadership, is not yet sufficiently contained within any accepted theory of leadership for it to provide a reliable basis for thought and action. In their view environmental leaders were more reliant on their past experience, current observation, and individual thinking when undertaking their professional duties.
The Personal Values required in Environmental Leadership
Perhaps we can agree that at their core environmental leaders, in the absence of professional leadership training have:
- A central altruism and commitment to environmental beliefs, philosophy and approaches;
- The desire to utilise their personal capabilities and professional expertise to influence not only organisational and regulatory processes but equally:
- the values, culture and individual behaviours of a multitude of function holders within an organisation;
- to define a balance between the economic performance of an organisation with its social and environmental performance;
- the environmental governance controls on impacts arising from their employers activities currently and in future years; and
- to protect the interests of external stakeholders and their environments.
- To achieve these aims through a transformational, holistic and ethical approaches to leadership that fulfils social responsibilities and contributes ultimately to the concept of sustainability.
Environmental leaders who promote environmental sustainability infuse their desire to protect the natural environment into their decision-making and actions.
Becoming an Environmental Leader
A significant proportion of environmental professionals – now in leadership positions or with a portfolio that includes environmental leadership, have developed their career from undergraduate disciplines that focussed on biological sciences, earth sciences or natural resource management. Few in their initial training received any training in the relationship between leadership and the natural environment, and many have yet to receive any formal business management training within their organisations. Thus whilst the World Economic Forum Global Risks Report (2018) identified:
- Five environmental & social risks within its top 10 risks likely to influence global business stability (Extreme weather, Natural disasters, Failure of climate-change mitigation and adaptation, Large-scale involuntary migration and Man-made environmental disasters); and that
- Eight of the Top 10 business risks were attributable to environmental or social factors (Extreme weather events, Natural disasters, Failure of climate-change mitigation and adaptation, Water crises, Food crises, Biodiversity loss and ecosystem collapse, Large-scale involuntary migration, Spread of infectious diseases)
Few of those tasked with addressing environmental issues in business, government or society are likely to have attended leadership training courses. neither will they have recieved significant business management training!
Todays challenge for the environmental professions is how Higher Education, Professional Institutes and business in general can be encouraged, or retrofitted, to produce the Environmentally minded Leaders we will need in our collective future.
At Leading Green, our approach to environmental leadership training and consulting encourages our clients to look closely at their own internal leadership strengths. Helping them adopt an inquisitive state of mind and a toolkit that supporting them in how they lead organisations.