Competitiveness in a changing world.

The importance of environmental performance.

Objectives

• To offer some perspectives on: – Environmental performance and why

it matters.– The process of change and the

hurdles associated with it.– To tell some stories

Change ProcessVision: accepting the need to changeMental Models: change in thinking and beliefsSystems: change in structure and systemsPatterns: change in issues and problems raisedActivities: change in actions by individuals

Political agenda

Market forces Change

Vision: accepting the need to change

Gov’t Policy

Mediaattention

Consumerpreference

Sustainability

Legal Challenge

?

Vision: accepting the need to change

• Perception is reality

“Whether science ultimately produces hard evidence to support these [horror] stories is irrelevant”

Strategy & Business (2002) Global Warming: perception is reality

The Brent Spar

Deep water disposal- Cost – efficient- Minimal impact- Minimal OH&S Hazard

BUT - Negative public perception

The Brent Spar

Consequences

Occupation of Brent Spar by Greenpeace

Massive media coverage

Boycotts and fire-bombing of Shell Servo’s in Germany

Climb-down by Shell

Ignoring the signals from the public can be costly

(Even if the perceptions are wrong)

Sugar CaneSugar Cane

BananasBananas

CattleCattle

Coastal TownsCoastal Towns FishingFishing

TourismTourism

CyclonesCyclones

Crown of

Thorns

Crown of

Thorns

BleachingBleaching

Vision: accepting the need to change

Threats are re

al and m

ust be

managed

Change ProcessVision: accepting the need to changeMental Models: change in thinking and beliefsSystems: change in structure and systemsPatterns: change in issues and problems raisedActivities: change in actions by individuals

The “Problem”

ProtectionEconomic

Benefit

?

The “Opportunity”

Mental Models: change in thinking and beliefs

New objectives New dialogues New beliefs:

The role of science

New information

Management (Policy) Objectives• Total recovery of nutrient inputs• Increased profitability through input

cost-savings• A perception of environmental

responsibility for the industry.

New Objectives

Operational Indicators

• Recovery - Nutrient loss to waterways.

• Profitability -Money saved through environmental mitigation.

• Public Perception - Opinion polls.

New Objectives

New Dialogues

•Discussing operational goals is essential.

•Industry should take the lead.•ALL stakeholders should be

included.

•Conservationists and Farmers may well have objectives that are aligned more often than we imagine.

• An interesting tale•MPA’s in South Australia

New Dialogues

The role of scienceTo develop common

understanding and facilitate decision making

New Beliefs

Avoiding the “S” word

Science can never tell you what you should do

UNLESS, an operational objective has been agreed.

The role of science

Finding “Value Propositions”

•Better ecosystem – based management will come from creating better “value propositions” for industries.

3. Monitor and Evaluate

2. Product champion

A product champion to build a co-

development team of researchers and key

participants.

1. Plausible promise

Researchers develop a solution to a problem

that some farmers think might work

Learning and selection by

development team (esp key

participants) encouraged.

Learning&

Development

Adoption

New Information (solutions) and Beliefs

SummaryVision: accepting the need to changeMental Models: change in thinking and beliefs New Objectives

New DialoguesNew Beliefs

The role of science New Information

Delivering on Potential

•Learn new skills. •Appreciate alternative

perspectives•Communicate in new ways. •Take the lead

Wicked Problems

?

There is

no “r

ight” answ

er

(but s

ome a

nswers

are

more

right t

han oth

ers)

The Ythan Estuary(an informative tale)

Ythan Part 1• 1987-89 Scientists show Ythan river

now has nitrogen concentrations 2-3 x higher than in the late 1950s.

• Marked increase in algae in estuary.• Effects on shorebirds and invertebrates.• Finger points to nutrient run-off from

farming. • European Union starting to act on

eutrophication (EC Nitrates Directive)

Ythan Part 2• 1989 DoE “Not UK Policy” to have nutrient

enriched rivers (“data must be wrong”)• 1991 Scottish EPA review data and inform

European Union that Ythan is eutrophic.• UK Govt (DoE) – goes ballistic (“against

UK Policy”) • Scots react – become standard bearer for

eutrophication.• Ythan designated - the only eutrophic UK

river! (cf Denmark, which declares all its rivers)

Ythan Part 3• 1992 MAFF UK meet with NFU and local

farmers and send out 20 page document to 1000+ farmers threatening them to change their ways.

• Farming community polarised with huge backlash against scientists and conservation groups.

• Conservation groups lash back saying the “Ythan is dead”

Ythan Part 4• 1993 Minister visits Ythan along with

by Govt Dept officials, scientists, NFU & lobby groups – declares “its all a storm in a teacup”

• Confusion amongst farmers, some of whom have now seen for themselves that there is a problem.

• Positions become more entrenched – no action.

Ythan Part 5

• 1995 The “Formantine Partnership” established. – Local groups: NFU, Farmers, Gov’t

Depts & Conservation Groups– University decides not join, but stay

out as “honest broker”

• Bottom-up solutions start to be implemented.

Ythan Part 6• Bottom-up (stakeholder) solutions

look like they will work UNTIL• Lobby groups (outside the

partnership) decide to petition the EU to make the Ythan a “Nutrient Vulnerable Zone”.

• EU inform the Scottish Parliament of $150K a day fine unless they designate (so they do).

Ythan Part 6

• Farmers explode• Partnership collapses• Progress set back considerably and

improvement program halted.• EU inform the Scottish Parliament

of $150K a day fine unless they designate (so they do).

The Moral• It took a top down legislative

mechanism to accept there was a problem

• But solving the problem came from a bottom up partnership.

• Once partnerships are formed further legislative hurdles can de-rail progress.

• The dynamics of problem solving are extremely complicated!