By Joseph t.Straub and Raymond f.Attner

ENVIRONMENTAL RESPONSIBILITY

Environmental preservation, mainte­nance, and restoration must rank high on any corporation's list of social concerns. The advent of synthetic chemical compounds and materials and of exotic manufacturing processes means that the environment has become polluted. Ac­tions have to be taken to eliminate the causes, and firms that are responsible must be held accountable. With this realization, there has been much environmental progress. Since Earth Day 1970, when Americans first began to "think green":

• Miles of polluted rivers and streams have been brought back to life.

• The number of cities with adequate sewage treatment plants has more than doubled.

• The pumping of sewage sludge into the ocean has ceased.

• Major air pollutants have been considerably reduced.

The business sector must continue its commitment. There are still problems in the ar­eas of hazardous and solid waste and environ­mental maintenance.

Hazardous Wastes

The problem with hazardous wastes—waste materials containing toxic substances—is one common to land, water, and air pollution. According to recent estimates, industrial opera­tions produce more than 50 million tons of haz­ardous waste each year, an average of 14.2 tons for each square mile of land mass in the forty-eight contiguous states. While generating prod­ucts that benefit consumers in various ways, many manufacturing processes produce toxic chemical waste faster than it can be disposed of. Farsighted business leaders see this situation and give more than lip service to environmental concerns.

Recent data from the Environmental Pro­tection Agency show that the toxic releases of U.S. manufacturers are falling. What's more, chemical makers that pump out the largest share of these poisons cut their emissions by 35 per­cent between 1987 and 1992.

One factor that has led to this decrease is the chemical industry's voluntary program to re­duce toxic air pollutants below the standards set by the 1990 Clean Air Act. Nine of the nation's biggest polluters, including Du Pont and Mon­santo, signed on with the understanding that they could use the technology of their choice. At the same time, the Chemical Manufacturer's As­sociation committed to pollution control. The results speak for themselves.

Solid Wastes

Besides hazardous waste, there is the basic problem of solid waste generated through pack­aging, bottling, and product construction. Expe­rience and mistakes with waste disposal over the last three decades have shown that waste cannot be simply thrown away. About 64 percent of the country's growing mountain of waste is paper and paperboard, metals, glass, and plastics.

In response to difficulties with solid waste disposal, organizations have attempted to pro­vide alternative packaging that can help in the decomposition of products. Another area of em­phasis has been to limit the manufacturing of new products by recycling, the practice of reclaim­ing or producing materials from previously manufac­tured products and using them to make other items. At the present time only 11 percent of solid waste is recycled.

Recycling opportunities exist in all areas of a business. Instead of discarding its cocoa-bean hulls, Hershey Foods Corporation reportedly grinds them up and sells them as garden mulch. Fiberboard and pressboard made from sawdust and wood chips enable economy-minded forest products firms to convert virtually every splinter of a tree into a salable product. In some manu­facturing plants, heat from production processes is cycled through the heating system to heat the building. The Adolph Coors brewery once gen­erated most of its needed electricity from recy­cled waste materials. The cumulative effects of recycling are impressive:

• Mississippi River water is used at least eight times on its journey to the Gulf of Mexico.

• Forty percent of all new copper is made from recycled copper.

• Twenty percent of the glass we use comes from recycled scraps and shards that are melted down and mixed with new material.

Organizations that have committed to re­cycling are varied:

• Gardner's Supply, a mail order company in Burlington, Vermont, committed to a pro­gram that composts grass clippings and leaves for free in the local area. The program has been so successful that it collects 3,000 to 4,000 tons per year.

• Yakima Products, Inc., a car-rack maker in Arcata, California, was unable to avoid us­ing plastic and foam in packing its high-end roof-rack systems. The company cre­ated a way for customers to easily mail the packaging materials back—free. It then reuses the foam and polyethylene-shell por­tions of the container and recycles the outer chipboard.

• The Boston Park Plaza Hotel has become immersed in recycling. Wooden pallets on which food is delivered to the hotel—up to 100 each week—are now returned to the vender and reused. The housekeeping staff makes chefs' aprons from damaged table­cloths. And, guests' returnable bottles are recycled—resulting in the purchase of sev­eral new vacuums.

Environmental Maintenance

In addition to solid waste problems, in­dustry has another major social concern: overall environmental maintenance of water, air, and land. Business has begun to address this area. For example:

• E&J Gallo Winery gave $250,000 to the American Forestry Association's Global Re­lief Program, whose goal is to plant 100 mil­lion trees in the United States to counteract the greenhouse effect.

• Apple Computer donated $40,000 worth of computer equipment to Earth Day 1990.

• Timberland Shoes gave $250,000 to the Wilderness Society to assist in accomplish­ing its goals.

• Du Pont voluntarily spends $50 million each year on environmental projects beyond what the law requires, such as the $15 million it spent at a Texas plant to reduce the risk of dangerous gases being released.

ENERGY PROGRAMS

Companies have approached the energy situation from two directions: internal consump­tion efficiency and public programs. In the first area, organizations have attempted to use alter­native means of energy, if possible, but many more have focused on developing or purchas­ing more efficient equipment. For example, Fox River Mills, a manufacturer of gloves and athletic socks, spent $40,000 on measures to improve energy efficiency and reduced the company's monthly utility bill by about $3,000. The com­pany installed energy-efficient ballasts in 600 fluorescent lights, moved the lights closer to the work being performed, added six inches of insu­lation to outside walls, installed white steel inner walls to reflect light, and directed wasted heat from air compressors and boilers inside its facil­ity to heat part of the building in cold months.

In the second area, firms have encouraged the use of van pooling. This public program has a twofold benefit: it reduces the amount of fuel consumed by using one vehicle instead of six, and it reduces traffic congestion on already snarled streets and freeways.

CONSUMER PROTECTION

In recent years another major area of con­centration for businesses has been consu­merism—activities undertaken to protect the rights of the consumer. To genuinely partner with soci­ety, businesses cannot simply produce a product and place it on the market. Consumer protection involves consumer rights: the right to product safety, to be informed, to choose, and to be heard.

Product Safety

Businesses have spent time and money to improve the safety of products. Spurred on by the fear of lawsuits and consumer action, they have initiated a number of innovative ideas to en­sure product safety.

Companies spend millions of dollars re­searching product safety. The auto industry has developed padded dashboards, shock-absorbing steering columns, and stronger gasoline tanks. Many companies have delayed the release of products until conclusive results of testing have been obtained, have initiated product recalls when their testing has discovered problems, and have attempted to identify product purchasers to make recalls less difficult.

Consumer Information

Consumers have the right to have access to complete information about a product before they buy it, including information on potential dangers associated with the product. In response, companies have provided specific information on labels of food containers, and tags on clothing contain information on fabric composition and

care. In addition, companies have co-sponsored, with retailers, workshops or clinics where con­sumers can see demonstrations of products and receive answers to their questions. Companies have produced extensive operating instructions, safety procedures, and practical uses of products to be provided to consumers at the time of purchase.

Product Choice

Consumers have the right in the market­place to choose between products offered by competing producers and marketers. This right is assured through the competition in the pri­vate enterprise system and by government anti­trust laws.