General Electric, Dow and other top companies are using enterprise-wide targets to drive topline growth from sustainability initiatives, according to research conducted by The Conference Board in collaboration with the Investor Responsibility Research Center Institute.
Revenue targets for portfolios of sustainable products and services are helping sample companies grow these revenues significantly, on average by more than 91 percent compared to 2010.
For example, GE set a goal in 2005 to grow Ecomagination-related revenues to $20 billion and at twice the rate of GE’s overall industrial revenue. Since the initiative’s launch, Ecomagination revenues have grown at four times the rate of GE’s overall industrial business.
In another example, Dow Chemical set a target in 2006 to derive 10 percent of total revenues from products that are highly advantaged by sustainable chemistry by 2015. This target was reached in 2013, with revenues from these products totaling almost $6 billion.