It’s a Small
World After All: Sustainability at Disney Corporation
Donna M.
Schaeffer, Cynthia Knott Eck and Raghu Srinivasan Raghaven
Marymount
University, Arlington, VA 22207
The Walt Disney Company provides an
interesting case study of sustainability. The company was founded in 1923 as a
movie studio. Just short of a century later, the company’s holdings are diversified
into media networks (including ABC and ESPN), 11 theme parks, over 50
resorts, and a cruise line, studio entertainment (movies, music, and theatre
productions), consumer products, and interactive media. A few years ago, the
corporation placed a focus on reducing their environmental footprint and
inspiring their employees, business associates, and consumers to take action to
help the planet. Their efforts have paid off, and in 2012, the company was
selected to be on the Dow Jones Sustainability Index. At the same time,
current media portrays unsafe factories and poor working conditions at Disney’s
supply chain partners.
In this case study, we will describe
Disney’s strategy in four areas with a focus on green information technology: the metrics and measurements the company relies on to show the business
value of its sustainability efforts, what
Disney is doing about electronic waste, how sustainability issues are factored
in vendor management, and the steps that have been taken to make green computing
and IT part of the corporate culture.
We conclude with some “quick wins”
that other organizations can implement in order to get visible results.
(Phil Simms,
New York Giants Super Bowl Champs, 1987)
· Over 120 million people visit the Disney parks each year
· Four
cruise ships with total capacity of 16,000 passengers (3% of2012 cruise market)
· Disney
World Florida comprises over 30,000 acres
|
|
Dow Jones Sustainability
Index
· First
appeared in 1999
· Based
on financial performance
·
Defines
Corporate Sustainability as an approach to creating long-term shareholder value
by embracing opportunities and managing risks deriving from economic,
environmental and social trends and challenges
·
Looks
at Supply Chain Management, Social and Environmental Reporting, Labor Practice
Indicators & Human Rights, and Sector-specific criteria
Disney
Metrics
· Its
Bottom Line:
o
6.6 percent decrease in electricity
consumption since 2006
o
goal is
a 10 percent reduction by 2013.
§ energy
management systems
§ new
lighting
§ updated
heating, air condition and ventilation (HVAC) systems
o
Disney
E-Waste
|
(Source: Walt Disney Company) |
·
Host e-Recycling Events in local communities ·
Disney On Ice collected 100,000 lbs of Recyclable
Electronics |
Vendor
Management
· International
Labor Standards
o
Disney-branded products are
produced at 25,000 facilities in 100 countries
o
1996 Code
of Conduct for Manufacturers
o
Conducted close to 6,000 audits, often
unannounced
· Product
Safety
· Product
Footprint
o
Sourcing of raw materials
o
Paper use
§ Minimize the consumption of paper
§ Eliminate paper products containing
irresponsibly harvested fiber, such as fiber from High Conservation Value Areas
§
Maximize recycled
content and fiber sourced from Forest Stewardship Council-certified forestry
operations
§ Established conservation programs in 112 countries, including more
than 70 projects in Indonesia to protect the Sumatran rainforest and work with
villages to effectively manage critical forest habitats.
§ Invested more than $27 million in forest carbon projects in the
United States, Peru, Brazil, Democratic Republic of Congo, and China.
Green
Culture
· Money
saving measure, e.g., ordering supplies electronically
· Organization
Chart has a Senior Vice President, Corporate Citizenship and a Senior Vice
President, Conservation & Environmental Sustainability
Quick Wins
- Employee involvement and engagement is the key to
success.
- Creative education and outreach are the most effective
tools.
- Competition spurs participation.
- Giveaways and contests go a long way.