The four levels of sustainability

Many people are familiar with the four stages of competence as described by Steven Covey and others. As companies develop their energy management and sustainability programs they go through similar levels.

Level 1 – Unconscious Incompetence – These are the companies that just don’t get it. Management sees no payback in sustainable programs, so any interest by employees in this area is quickly extinguished. They don’t see the point to industry or government regulations and will often try to circumvent even the most basic of regulations. They’ll often have comments like “energy management/sustainability doesn’t apply or doesn’t matter to our business”.

Level 2 – Conscious Incompetence – At this stage management still isn’t sure that there is a payback to sustainable practices, but they’ll let interested employees develop programs and take some steps, as long as they don’t have to spend money and it doesn’t take too much time. Any green initiatives are usually started by individual employees who are passionate about the topic and are willing to put their own time and effort into promoting it. While they meet government standards and regulations, they’ll only meet minimum standards.

At this level companies will be doing things like replacing their lights (but only if it is paid for by government subsidies), putting up posters to promote energy savings, having brown bag lunches and other  “feel good” activities. Programs are heavy on clichés without any in-depth understanding of the issues. If the employees that started the programs leave, the programs will likely not continue.

The approach at this level is tactical (see our other blog Energy Management – Is a Tactical or Strategic Approach Best For You?), the belief that technology alone can make a difference. Savings due to green initiatives are often hard to prove and will often diminish with time.

Common comments heard from these companies are “you can do a lot without spending money”, “little things make a big difference” and “it’s hard to get people to change”.

Level 3 – Conscious Competence – Management is supportive of sustainable programs at this level and are willing to spend money and time, but results do have to have a return on investment. In larger companies there will be employees whose job description includes energy management or sustainability, and they might be as high up as middle management. Green Teams will be prominent and actually have some influence over how things are done. Programs are driven by policy, not individuals, so they will continue even if individuals leave the company. Senior managers may have goals related to energy efficiency or sustainability written into their annual objectives.

A deeper understanding of the issues is evident and companies are implementing systematic procedures and implementing software to identify baseline activities as well as develop long-term plans for identifying energy savings and other sustainable issues. Carbon tracking software is used in smaller companies while larger firms are implementing EMIS (Energy Management Information Systems) or M&T (Monitoring & Targeting Software) to identify trends, prioritize spending and maintain increased gains over time.

The approach at this level is strategic, and it is understood that behavioural changes are the key to long-term success and planning.

Level 4 – Unconscious Competence – The progression from tactical to behavioural continues, at this level sustainability is ingrained as a cultural issue. Everything from the company’s products to it’s buildings and offices are developed with energy management and sustainability being primary considerations in all decisions. Management wholeheartedly supports, promotes and leads by example in all areas of sustainability, and there will be someone at the “C” level whose primary function is in this area. Most if not all employees will have annual sustainability goals in their annual objectives.

They’ll often ignore government regulations because they feel that they set the bar too low!

Probably the best known example of a company at his level is Interface, Inc. and their CEO, Ray Anderson. They changed everything including their products and manufacturing processes to further their goals of sustainability. They’re also profitable and set a high standard for others to follow.

Unfortunately most companies never rise above Level 2. Where do you think your company stands?