Commercial Sustainability & Value Creation
Commercial Sustainability & Value Creation
Sustainability moves from the PR department into the Boardroom: Over the past 30 years, and attempts at corporate “greenwashing”, sustainability has moved to the top of every destination’s agenda. Tourism and hospitality have often resisted change, and felt the consequences of inaction.
Great destinations, hospitality and tourism companies, have embraced sustainability into their operations, as much a measure of management performance as employee retention and financial controls.
With hundreds of destinations, hospitality and tourism companies assessed and guided over the past 20 years, from SME’s to global hotel brands, to countries and single resort developments, we understand how global best practice is achievable at every level. It needs only a commitment to measurable, continual improvement and a sustainable strategy.
Operating cost reduction
Sustainable and renewable energy sources, waste reductions and recycling programs greatly reduce the scale and demand on local government infrastructure. For the developer' ROI (return on investment) from renewable power and resilience to water, waste and power cost increases, means they become measurably independent. ...
One fact is clear - investment into sustainable infrastructure, assets and operations never damaged a destination nor a resort development. It has always provided a clear advantage of "future-proofing" assets and infrastructure.
This verses the thousands of examples of polluted, impoverished and denuded destinations that have failed to adopt such planning and practices.Read more
Sustainable Procurement & Supply-chains
Under new Government Regulations (Corporate Due Diligence Directive) companies are expected to report their ESG impacts through their supply-chains. In development, design, construction and operations what is purchased, from whom and from where all has a impact on a destinations' or resorts' environmental and social footprint. ...
The principles adopted by destinations and tourism companies determine their sustainability and environmental impact, which has legal implications.
As example: Procurement of hotel F,F&E, (furniture, fittings and equipment) from certified suppliers, (those using sustainably harvested wood and ethical manufacturers for example), denies illegal and unethical suppliers with enormous environmental impacts from entering the supply-chain of goods and services. The decision to ‘buy local’ in a destination will on the other hand stimulate small industries, so long as these are environmentally and socially supportive.
When procuring goods and services a business takes on the Environmental, Social and C-footprint of their chosen supplier. Read more
Unethical products & Endangered species
Many destinations, hotel brands, airlines and travel organisations have rejected any association with the selling of unethical products and the trade in endangered and threatened species. Many leaders in the travel, tourism and hospitality industries have adopted these policies, and have elevated their businesses and brands beyond reproach, resisting lobbying, and sometimes even criminal threat. ...
It must be noted that unethical and damaging ‘luxury’ products never serve any destination well in terms of foreign revenue retention, and some of these products fuel illegal and criminal activity in other locations.Read more
Value creation
Sustainable practices create ongoing commercial value far in excess of the
investment. Improving, stable habitats have great value, (as real estate, and as attractions), while denuded, overcrowded and polluted locations do not. ...
Investment and regulation into the wide spectrum of sustainable practices and value creation is noticeably increasing. Utilisation of renewable energy, protection and reinstating valuable natural habitats or renovating and preserving archaeological and cultural sites, each incrementally adds to a destination’s values and value to the traveler. Read more
Sustainable Development
From the UN Convention on Climate Change, to Global Sustainable Development Goals (SDG) and The UN World Tourism Organisation efforts, the majority of nations concur on the need for global sustainability. We have worked with many such organisations, and have frequently contributed to UNEP and IUCN frameworks to create conservation models within destinations through actions on the local scale. ...
The greatest beneficiary of these efforts is tourism, and tourism is its first victim when no effort is being made, some even facing catastrophic failure, as is widely reported. Read more
Leveraging Natural Assets
Whether a city or remote wilderness preserving clean, unpolluted, natural spaces is obvious but frequently overlooked in the rush to tourism growth. Through careful planning and protection of natural landscapes, habitats and urban spaces, destinations leverage their greatest assets to the benefit of both visitors and local communities and see the greatest gains from tourism. ...
From New York’s Central Park to Tanzania’s Serengeti Plains, from coral reefs off Maldivian Islands, to mountain trails across New Zealand, natural attractions are amongst the strongest visitor motivations. These natural environments do not compete with each other, but form the natural context in which the history, heritage and culture of the destination is best presented to the visitor, while being preserved and enjoyed by the local communities. Read more
As an example: It simply is not ethical to serve shark-fin soup considering the massive slaughter and ecological impact across the globe of these disappearing but vital predators. Despite being the historic source of the dish, Asia’s leading hotel groups and airlines refuse association with this product, while many so-called advanced western hotel chains still take the profit over morals and ethics.
Across the luxury F&B sector, species such as Blue-fin tuna and turtle is now shunned and many destinations and hospitality groups disallow import or consumption. It is worth noting they see no commercial impact on their popularity, their revenues or tourism earnings.
It must be noted these ‘luxury’ products never serve a destination well in terms of foreign revenue retention, and many only fuel illegal, criminal activity in other locations and should not be allowed to tarnish the reputation of any destination for short-term individual commercial greed, especially when planning sound global tourism citizenship.