Tuesday, November 14, 2006

Well, I'll Be...

This is the hardest post I've written so far. The reason? I intend to say something nice about that Satan of the Corporatocracy, Wal-Mart. After reading this in yesterday's LA Times, I sat back in shock for at least ten minutes. Then I found myself smiling. It was as if Satan had inadvertently revealed the secret of redemption while trying to co-opt an innocent soul. But enough of the religious imagery.

AURORA, COLO. -- Wind turbines, rows of tall windows, a 200-foot-long dimpled-metal wall and shiny rooftop solar panels are just hints of what's to come.

Here, next to a busy freeway in suburban Denver, is tomorrow's Wal-Mart today. And it's getting a lot of attention.

For the last year, this experimental Wal-Mart Supercenter has been testing ways to be more environmentally sensitive in everything it does.

...And the changes are likely to spread beyond Bentonville, Ark.-based Wal-Mart Stores Inc. "It's transformational," said Charles Lockwood, an environmental real estate consultant in Los Angeles, whose article "Building the Green Way" appeared in June's Harvard Business Review. "By their size, they're forcing manufacturers to come up with more earth-friendly, energy-efficient products, which then become the industry norm."
[Emphasis added]

What's the catch? Well, Wal-Mart's motives aren't really all that pure.

"It cuts operating expense and it can be a spectacular success with shoppers," said Burt P. Flickinger III, managing director of retail consulting firm Strategic Resources Inc. "This can be the beachhead they use to rebuild consumer, community and political confidence."

...But Wal-Mart says that's not why it's going green. Above all, the retailer says, its earth-friendly initiatives will save the company and its customers money, which goes to the heart of the Wal-Mart business model.

...But as the nation's largest private purchaser of electricity, with an annual power bill of $1 billion, Wal-Mart says the successful experiments make the duds worthwhile.


And those reasons are all good enough for me. The company is using less electricity and part of the electricity it is using is coming from alternative sources. That's a start. Add to that the fact that they are publicizing this push for environmentally sensitive innovations now puts the pressure on their competitors to do likewise, and the societal benefits begin adding up. Oh, and by the way, Wal-Mart is being smart enough to pass on information on their successes and their failures to those same competitors.

"We're encouraged by Wal-Mart's new environmental initiatives because they could, if implemented, change the way American businesses approach environmental sustainability," said Nu Wexler, of the union-backed Wal-Mart Watch.

The first change is likely to come in the retail sector. Wal-Mart has given presentations and tours of its experiments to competitors such as Target Corp., Costco Wholesale Corp. and Food Lion in hopes of winning converts and driving prices down on the new technology, Zimmerman said.


And here's the beauty part. Wal-Mart is not only paying for this kind of research, it is also demonstrating what we've always maintained: being environmentally friendly does not have to sour corporate bottom lines.

Wal-Mart, that's a nice start towards being a responsible citizen. Now do something about your employment practices and benefits.

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