Green is The Colour of Money, Too

Done properly, going green means lower costs, not higher, says Dave Cox, operations chief at Blue Coat and the man driving the company’s BluePlanet eco-programme

For example, the company’s network devices are built by subcontractors in China. Previously they would then travel by sea to California for final assembly, testing and software installation, and would then be shipped to the customer by air.

Following a review, the company has now pushed the rest of the manufacturing and test process to China and moved software installation to its regional offices, so a device bound for Europe will now go straight there from China by sea. Cox claims this alone is saving $2 million a year.

Other initiatives that have saved Blue Coat both carbon footprint and money include consolidating some 80 servers into just three, and a switch from providing staff with free canned soft drinks to soda-fountains.

“We attach a very quantifiable ROI model to every initiative, and we also look at it as a competitive advantage,” he says. He notes that some customers demand environmental policies from suppliers, as do some potential employees, and that not all Blue Coat’s competitors can match it in this respect.

“In the case of the environmental subset of CSR [Corporate Social Responsibility], we need to connect the dots for people to show this is win-win for everyone,” he adds. “18 months ago I was sceptical; since then I’ve been amazed by what we’ve been able to do.”

But if there were so many cost savings just waiting to be seized, how come it took the BluePlanet initiative to bring them out? Cox says it’s easy in business to lose sight of the bigger picture.

“In our industry, you’re racing so fast and growing – it’s all about chasing revenue,” he explains. “It takes an initiative like this to pull people together, and it requires the CEO or someone at VP level to keep it going.

“A big part is the cross-functional thinking, while the motivation [for staff] is what’s in it for them. A lot of people are environmentally motivated, but you can also show them cost reductions, brand building for the company, and so on.

“So far, the only blockers I’ve come across have been people who don’t believe in global warming. They can have very strong political beliefs and some have challenged me. I say: if the carbon footprint element doesn’t motivate you, then how about the cost reduction element and how many new employees the company could hire with the $5 million we’ll save this year?”

Cox says that anyone else wanting to go lean-and-green should either find a consultant to help them get started – Blue Coat worked with TFI Environment – or simply start interviewing their staff to find out who’s already interested.

He adds: “If people can see the opportunity, you cannot afford not to do an environmental programme because you will be amazed how much it will benefit you. I didn’t believe it would win for the bottom line, but it does.”