DENISE DANIELLE S.

GARBAN PH114MD
BSMEDTECH 2B 10:00 – 12:00 PM
MODULE 1.4

QUESTION #2

WHAT ARE THE PRINCIPLES OF SUSTAINABLE BUSINESS?

Principle 1: Be a Net-Contributor

Because of the global focus on reducing carbon emissions, there is

significant pressure on companies to make their buildings net-zero (i.e., to match
their renewable energy generation with their total power usage). The goal is to
offset electricity usage with renewable generation, thus reducing their negative
environmental footprint.

While being net-zero is a great idea in theory, the method often fails to
reduce the significant impact of businesses on both the grid and environment.
Even if net-zero businesses produce enough energy to offset their total usage,
they still create peak energy demands that force utilities to quickly ramp up
energy production during peak times which necessitates larger transmission and
distribution systems in order to sufficiently meet fluctuating use.

This daily scenario might not seem too bad, but it negatively impacts the rest of
us in two ways:

1. The massive shifts between peak renewable generation and peak usage
cause incredible strain on our aging grid.
2. Businesses unintentionally shift the burden of cost onto other energy users,
including residential ratepayers, as utilities are forced to increase pricing
and explore creative rate structures such as time of use and dynamic
pricing models to address these peak swings.

JOEY A. CABRERA 06/15/2021

DENISE DANIELLE S. GARBAN PH114MD
BSMEDTECH 2B 10:00 – 12:00 PM
The net-zero approach is a step in the right direction, but ultimately it is not
effectively meeting the desired goals that companies set out to accomplish. We
need a new solution.

To be a net-contributor, you must be more efficient in how and when you

use energy in addition to producing renewable energy to offset usage.

Self-regulating peak demand can be achieved locally by offsetting

demand with energy storage, being more efficient in your energy usage
throughout the day, and by producing enough renewable energy to cover the
total energy budget while using energy storage to keep from exporting excess
solar generation back onto the grid. Be aware. Be intentional.

Principle 2: Be Customer Centric

What do businesses like Netflix, Amazon, Spotify, Uber, and Google have in
common? Well, aside from being incredibly successful, these businesses all use
subscription based, customer-centric models. These businesses have found their
success in allowing customers to have control over their own experiences.

Put the needs and desires of your customers at the center of your business—
their priority should always be your priority. By giving customers satisfaction, you
receive success.

JOEY A. CABRERA 06/15/2021

DENISE DANIELLE S. GARBAN PH114MD
BSMEDTECH 2B 10:00 – 12:00 PM
Principle 3: Promote Mutual Thriving

The sustainability movement is growing quickly as more people recognize

the need to contribute toward reducing negative environmental impacts with the
end goal of a healthier planet. One of the areas in which many are seeking to be
more sustainable is through energy generation and usage. However, people
want to help the environment without sacrificing their own comfort.

Whatever your role may be in sustainable innovation, look for ways to

provide solutions for the mutual well-being of both the environment and the
consumer. The goal shouldn’t be that man lives without for the planet to thrive,
but rather that man thrives in an environment that heals the planet and creates
balance for all.

Businesses have the unique opportunity to support the sustainability

movement in a monumental way. By looking beyond their own footprint and
learning from and following these three principles, businesses can create
financially sound business models that will make the most of their potential and
impact the world for good.

JOEY A. CABRERA 06/15/2021

DENISE DANIELLE S. GARBAN PH114MD
BSMEDTECH 2B 10:00 – 12:00 PM
REFERENCE

CLIFTON, E. (2016, DECEMBER 14). Three Principles of Sustainable Business. Retrieve

from https://meetingoftheminds.org/three-principles-sustainable-business-
17739

JOEY A. CABRERA 06/15/2021