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Srabonti sarker

Name ID

Srabonti Sarker (GL) 1207005

Amena Akter 1207018
Nipa Basak 1207047
Mariom Begum 1207049
Jannatun Nayima 1207052
Presentation on
Chapter- 7
The Greening of the Organization
Respond to the green challenge and meeting the needs
of green consumers have implications which extend far
beyond the boundaries of the marketing department. In
practice, however, grey marketing typically treats the
rest of the organization production hardware and
administrative software as something of a ‘Black Box’.
Environmental Marketing focus the marketer
internal perspective to change because the customer
viewpoint has changed. In grey marketing the
organization helps to keep the customer satisfied,
but usually according to the old proverb, “what the
eye does not see, the heart does not bleed about”.
Environmental Marketing requires a more open
and holistic approach in which the product and
production system are openly managed.
The physical environment in which a business or its customers exist
turns a hostile, its future can be jeopardised. During 1993 due to
floods, earthquakes and natural calamities in California were
temporarily put out of business by the environment. Every
organization has a physical presence which occupies land, Uses
resources to create pollution and waste. Service also creates waste.
Ex- 180 kilograms of waste paper disposal each year.
Reactive Approach= Grey Marketing
Proactive Approach= Green Marketing.

Grey marketing means technical

compliance oriented approach. Company
are investing to improve environmental
marketing, green design and corporate
Power & Cox (1994)- sustainability can not create
by pulling demand and pushing compliance. To reach
sustainability company should have to integrate proactive
approach in the strategies, culture of the organization.
Sometimes customer measure or discriminate company on
the basis of their eco performance and its create a
challenge to the company that follow reactive approach.
The Organizational dimensions of
The Organizational dimensions of greening can
be considered by using the Mckinsey Seven S
framework. Each ‘S’ factor is an important
influence on and component in the greening
In 1988 Mintzberg developed five concepts of strategy
which is known as ‘Five P’.
Plan- As a plan of written or remembered
Pattern- As a pattern of consistent actions which
emerge. Companies adopting TQM initiatives, lean
production, value engineering etc may be improving
their eco-performance more effectively than other
companies making high profile greening
Perspective- Marketers are thinking about
benefit & solutions rather than creating pollution,
waste & other problems.
Pronouncement- To secure resources, to
influence internal and external stakeholders and to
sustain in the competition marketers should go in
Position- To match or fit between the
organizational internal and external context.
Superordinate Goals

Superordinate goals are the fundamental ideas around

which a business is built. It means top level authority’s
mission statements. It is implicit but often it made
public through a corporate mission or philosophy.

Closely related to the organization culture is the style. Style is

set by a number of things, not least by what senior managers
 Davis (1991)- “Orchestral style”
 Ledgerwood et. Al (1992)
 Elkington (1991)- “Corporate Eco-chamber”
Amena Akter
ID- 1207018
The seven elements
Hard elements Soft elements

Strategy Shared values

Structure Skills
Systems Style
Mckinsey’s 7s Model
An organization is not just a structure but consists of 7 elements.
Ensuring all the parts of your organization work in harmony.

It can be used in a wide variety of situations-

 Improve the performance of a company
 Examine the likely effects of future changes within a company
 Align departments and processes during a merger or acquisition
 Determine how best to implement a proposed strategy
Green Circles-
Feasible and easy to understand.
They can be found in strategy statements, corporate plans,
organizational charts and other documents.

Four soft S’s-

Hardly feasible.
Difficult to describe since capabilities, values and elements of
corporate culture are continuously developing and changing.
The shape of the organization and the division of tasks and
responsibilities between different people and functional
groups. Ex- marketing, sales, production, R & D and finance.

• Create new responsibilities for environmental issues and

performance. Ex- Director of quality, director of operation.
• Create integration across functions and departments.
• Create green posts. Ex energy efficiency manager in japan.
• The responsibilities of new green roles- promoting
environmental ideas throughout the company.
• Advising on the development on the eco- friendly products.
• Planning and supervising the introduction of technical eco-
• Collaborating with development and investment projects.
• Fixing regular minuted meetings.
• Acting as an agent for change.
• Taking part in strategic planning.
• Providing an ecological dimensions to training programs.
Ex- British Airways have established green champions within different
parts of the business.
• Environmental awareness spreads throughout the organizations
• The need to empower each employee & to make each team self

Key structural changes-

 the creation or redefinition of strategic business units to take
advantage of green market opportunities. Ex- recycling packaging
materials causes waste reduction.
 Specifications of new internal and external information flows-
identification of change.
 A reduction in the amount of structure that exists within
organization. Ex- holistic structure.
Employees as a source of pressure, ideas & enthusiasm for
environmental improvement. Ex- 1) half of the 250 large companies
across Europe concern about corporate eco performance. 2) Linpac
plastics’ switch away from CFC- blown polystyrene.

For human resource managers, a greening strategy contains three

distinct challenges-
 First, they are responsible for ensuring that the company has the
Personnel & the skills to implement a green strategy.
 Second, they are responsible for ensuring that the working
environment does not damage the health of workers.
 Finally, implementing a greening strategy is a massive internal
communications challenge, & it is one in which the HRM
specialists can play an important role.
Skills- Technical skill
 The need to develop new product and processes, to run complex
pollution abatement technology, to run new & old processes -
all require a great deal of technical skill.
 Green challenge requires new challenge & understanding among
those for implementing.
 The green company will be high skill company.
 High level of skills requires a degree of investment. Ex- large
investments in cleaner technology.(American Company Geneva
 Green challenge requires training to improve staff understanding of
green issues & the company environmental standards and
performance. Ex- developing environmental auditing and reporting.
 Environmental education & training throughout the organization.
Systems are the procedures through which the daily work of the
organization is accomplished. Two key systems are- 1. environmental
management systems 2. environmental information systems

The organization must implement the following procedures-

o Commit itself to the establishment of an environmental management
o Conduct an initial review and assessments of the organizations
environmental policy. Environmental policy adhere to environmental
o Formulate an corporate environmental policy.
o Complete an inventory of the organization’s activities, assessment
of environmental impact in relation to the stated policy.
o Study the regulations to ensure compliance.
o Apply the management plan in company's operations.
o Maintain a cycle of audits of the company’s performance to test
whether objectives met or not.

Other systems-
Accounting & budgeting systems- Environmental cost.
Planning systems- Social objectives.
Reward &appraisal systems. Ex- cash bonus, dismiss.
New product development systems. Ex- commitment to innovation,
ensuring cost effectiveness.
• How is the company or team divided?
• What is the hierarchy?
• How do the various departments coordinate
• How do the team members organize and align
• Is decision making and controlling centralized or
What are the main systems that run the organization?

What are the controls and how are they monitored

and evaluated?

What internal rules and processes does the team use

to keep on track?
• What positions or specializations are presented within
the team?

• What positions need to be filled?

• Are there gaps in required competencies?

• What are the strongest skills represented within the company?
• Are there in skill gaps?
• What is the company or team known for doing well?
• Do the current employees or team members have he ability to
do the job?
• How are the skills monitored & assessed?
Use the information you have gathered, now examine
where there are gaps and inconsistencies between
elements. 7s model ensure that your organization works
effectively. Now you can really move your organization or
team forward.
Nipa Basak
Total Quality Environmental Management

What is TQM?
Total quality management describes a management
approach to long term success through customer
satisfaction. In a TQM effort all members of an
organisation participate in improving processes,
products, services and the culture in which they work.
What is total quality environmental management?
TQEM refers to business management practices that
reduce or prevent environmental pollution achieved
through TQM techniques.
It depends upon 4 basic elements:
Customer identification
Continuous improvement
Doing the job right first time
A systems approach
Total quality management is an existing
management doctrine which emphasises elimination
of waste by taking a holistic and customer-oriented
focus. To ensure sustainability organisation need to
follow efficiency & quality of resource utilization.
James(1994) draws 5 parallels between TQM and
environmental management.

1. TQM’s emphasis on the importance of customers
and the purchaser provide a useful framework for
considering and responding to the demands of
environmental stakeholders. Ex: Energy light
2. TQM’s commitment to continuous improvement is
very helpful to organisations. Ex: Car
3. TQM’s focus on eliminating the root causes of
problems rather than their symptoms fits. Pollution
prevention is often a better than pollution control
equipment. Ex: Arosol.
4. TQM’s belief that quality is everyone’s
responsibility fits well with the growing awareness
and they also have to make contribution to
environmental performance. Ex: Campaign

5. TQM’s concern with calculating the cost of quality

and provides a framework for considering the total
cost and benefits of environmental action or inaction.
As James notes that the problem lies TQM as a set of
tools and techniques which are applied
mechanistically rather than as a radical management
The evolution of the green organisation

Hunt and Auster(1991) describe the greening process

of organizations as a progression through several
stages. This progression is marked by changes to areas
such as the mindset of the manager, resource
commitment, support and involvement by top
management and his 5 distinct phases.
Low financial commitment
No involvement of top management
No environmental programs
Fire fighter
Ad hoc project funding
Minor top management involvement
No formal environmental programs
Resolve issues
Concerned citizen

Small consistent budget

Theoretically involved top management
Policies show corporate responsibility


Marketing within The Green
Polonsky at al challenged Against Hunt & Austers
life cycle approach –
 Organization can be in more than one stage of
environmental policies
 reacted with a response in creating
environmental department , function or post

 Resource & organizational commitment

 Critical scrutiny

 Money being Spent

The Evolution of the organizational role of marketing
represent Struggled against the other established &
entrenched Function.
The Evolution of Marketing Within Companies

Production Finance Production

Marketing Personnel

Production 2.Marketing as a more

1.Marketing as an equal
function important function


3.Marketing as the
major function


5.Consumer as the
controlling function &
4.The Consumer as the marketing as the
controlling function Customer integrative function

6.All function integrated as being of

interest to consumers
ID: 1207052
Green Strategy Iceberg

Significant change
Green C-level

Minimal change Systems

Staff & Skills
Corporate strategy
Organizational structure
Shared cultural values
and beliefs