EMBEDDING SUSTAINABILITY: A CASE STUDY FOR ECOLAB INC.

Abstract

This paper takes a look at the sustainability efforts of a top US multinational, Ecolab Inc., based in St. Paul, Minnesota. As a market leader in the chemicals and services industry, Ecolab has, over many decades, taken great care in doing things responsibly and managing both shareholder and stakeholder expectations. As a company founded on the vision of one man, the company has earned its reputation on excellent service delivery to its customer base globally, technological innovations, sound values and impeccable financial returns for shareholders. Ecolab's diverse product portfolio and services, as a result of its recent acquisitions, places it at the center of the sustainability movement. Its acquisition of Nalco Holding Company in 2011 and Champion Technologies in 2013, leaders in water purification and upstream energy services respectively has lent urgency for the need to have a coherent and strategic global sustainability strategy that is embedded into its organization culture and reflected in the vision, operations, human capital and financials of the company. The dissertation asserts that Ecolab is a well-respected and responsible organization, as evidenced by its external sustainability reporting, adoption of key initiatives and its receipt of accolades and awards. However its Total Impact Approach (TIA) to sustainability, focusing on Water, Energy, Waste and Safety are predominantly applied to customer operations. This masks the opportunity that can be created by focusing on an inside-out approach to sustainability - articulating internally a sustainability energy, developing a sustainable value proposition, investing in technologies, training the 40, 000 strong workforce and creating an organization culture in which sustainability is deeply embedded. These initiatives in turn help Ecolab add greater value to customer operations and multiply the potential to sell more through a workforce educated in, and energized by sustainability. A relentless focus on embedding sustainability within its everyday activities and core processes will help Ecolab position itself as a nimble and flexible organization that is ever ready to help customers in their sustainability journey, adapt to rapid market shifts, endure downturns in the economy and extend in positioning as a responsible market leader.