My recently released report CSO Back Story explored the somewhat amorphous title of chief sustainability officer. As GreenBiz Executive Editor Joel Makower noted earlier this week, "the elevation of sustainability inside companies is in large part a testament to the commitment and resourcefulness of CSOs and their ilk" Weinreb Group's research shows the senior-most sustainability leader trending more senior over time -- as high as the chief title.
But where is this profession headed? Is the growing prominence of the Chief Sustainability Officer a sign that an executive-level position dedicated to sustainability is here to stay? There is a spectrum of possibilities. One on end, the position can disappear -- sustainability could be embedded in the culture, self-governed and owned by everyone. In the middle, the function can remain in the hands of the chief sustainability office. On the other end, the position could be held by the CEO.
The Obsolescence End of the Spectrum
EMC's CSO Kathrin Winkler strives for the obsolescence end of the spectrum. Nothing will be more satisfactory than her title becoming obsolete one day. She envisions a corporation where sustainability is as obvious and intuitive as operational efficiency. After all, who doesn't want an efficiently run business?
The other side of the spectrum, however, is that the sustainability role breaks the final frontier of corporate hierarchy and becomes the responsibility of the CEO.
Examples exist in the "CEO as CSO" camp -- but none are perfect fits.
The CEO as CSO End of the Spectrum
Coca Cola CEO Muhtar Kent has often emphasized that as a CEO, sustainability is part of his job. In a recent interview with Forbes, he said that he considers himself the company's CSO, adding, "I have not appointed another one and never will. That's me" His reasoning: "That's my responsibility. It starts at the top and it is driven and permeates through the entire organization from the top"
Well, he may have misread his crystal ball on at least one point there: This summer, Coca-Cola Enterprises appointed Bea Perez as its first Chief Sustainability Officer.
But over the years, Kent's determination to lead sustainability from the top has helped establish the beverages producer as a compelling leader in addressing social and environmental issues like water scarcity, recycling, and stakeholder engagement.
Next page: PUMA's CEO has two executive roles
I agree with B. Klafter.
I agree with B. Klafter. Having a CSO is not an indicator of business commitment to and leadership of sustainability starting and stopping with the CSO. Change in mindsets, behaviours and investments requires focused effort, strategy and leadership that other executives including the CEO cannot sustain every day. The role of a CSO is to support the business in planning and making the change. And because it's a process of change, it will mean that some companies will embed sustainability in their DNA, while others are still working out what the S word means. So over time CSOs will come and go as a function of the maturity of a firm, not the relevance of the role - whatever it's called.
Let's get real - we are a
Let's get real - we are a long ways from CSOs or dedicated sustainability functions becoming obsolete. I am encouraged and inspired by the Coca-Cola and Puma examples, but those examples are by no means representative of the majority of companies where integrating sustainability is very much a work in progress. It's somewhat akin to my daydreaming about emulating the performance of world-class athletes - nice thought, but it's not going to happen any time soon --- or ever! As in many things, it is somewhat perilous or at least unreliable to draw conclusions from a small number of data points, particularly when those points may be outliers.