The UK has a target of reaching net zero by 2050. It sounds a long way off, but with the use of fossil fuels, single-use plastics and other unsustainable practices still embedded in our business and social culture it’s a pretty ambitious goal. Start-ups and other small businesses, however, can play a huge role in achieving it.
SMEs make up over 99% of the UK business population, employing more than six in ten workers. They are in a very strong position to help the manufacturing and service industries waste less, use less energy and operate more greener supply chains. Too few are taking this chance, though, understandably concerned about competitiveness and profit margin. As small business leaders, we must step up to what is both a challenge and an opportunity.
Making the most of agility and passion
SMEs and, particularly, start-ups have a big advantage over larger, more established firms, when it comes to becoming more sustainable. There are fewer legacy practices to overhaul or huge infrastructure that have to be updated. There is also less bureaucracy.
Smaller, younger firms can be guided and driven more by the enthusiasm for green practices of individual leaders. One of my big motivations for starting Nourished, which produces single, personalised gummies containing the specific nutrients people need, was to cut down on plastic use and waste that is traditionally used in this industry. I wanted to get rid of all those plastic bottles of different vitamins, many of which go unused, piling up in consumers’ bathroom cabinets. Other founders and SME leaders can put that sense of purpose at the heart of what their business does much more easily than bosses of vast corporations.
Sustainable product design
Smaller teams can make for more collaborative, innovative thinking on greener service and product design. They should be looking for ways to incorporate recyclable materials into production and make sure items have long lifespans and can be refiled, repaired and upgraded easily.
Nourished’s nutrition gummies are all gelatine-free and almost all vegan. The exception is our collagen stacks which are made using upcycled eggshells. We don’t have single-use plastics in our packaging or production processes and our boxes are 100% recyclable.
There probably isn’t an SME or start-up out there that can’t make its products or processes more environmentally friendly, from clothes manufacturers using organic cotton or linen, to food companies preparing dishes with organic ingredients and builders decorating properties with low VOC-paint.
Challenge suppliers to go green
Don’t be afraid to ask companies in your supply chain about their environmental record. What are their emissions like? Do they use green transport? Where do they source materials and how sustainable are they? Are they in alignment with measures such as the ISO14001 international environmental management standard? If their answers aren’t satisfactory, consider working with someone else.
Reappraising your supply chain can throw up great opportunities to work with innovative, sustainable organisations. This could be anything from food producers using vertical farming techniques to companies using recycled glass in bottles.
At Nourished, we are fortunate to be able to manufacture our gummies completely on-site, using our 3D printing technology. This allows us to keep a close eye on sustainability. If taking more of the production of products in-house is feasible, it gives you greater control over eco-practices in the supply chain.
Engage staff
It’s vital that the impetus to act sustainability infuses everyone at a firm. Undertake detailed training for staff around practices and company goals. Demonstrate how they are boosting the firm’s reputation, long-term prospects and profitability. Create green activities and initiatives that empower staff members to take the lead. This can include anything from product-design challenges to finding ways to cut waste in the office.
Embedding sustainability into company culture may reduce staff turnover, as employees feel a greater sense of pride and social responsibility in what they do. It could help attract talented new recruits, too.
Connecting with customers
SMEs and start-ups tend to have closer relationships with clients and customers than large corporations do. They need to utilise this influence to tell them about the advantages of more sustainable products and practices, both to them as individuals and to society in general. Make your green credentials part of your marketing. You may find you are pushing against a door that is, at least, ajar. A recent PwC international survey found that 46% of consumers are buying more sustainable products to reduce environmental impact, and four-fifths are willing to pay more for them.
By reducing waste and creating eco-friendly products and packing, I feel Nourished places itself in line with customer concerns and values. This sort of customer engagement creates loyalty and, of course, can boost sales.
Putting sustainability at the heart of what you do should be seen as a duty for businesses as the impact of climate change becomes ever more apparent. But it is also a pragmatic move that could increase sales, create long-term stability and keep you ahead of the game in a fast-changing legislative landscape.
