1 Workspace Group PLC THE BUSINESS CASE FOR SUSTAINABILITY Matthew James Research & Sustainability Manager For Knowledge London Thursday, 27 th September.

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Workspace Group PLC

THE BUSINESS CASE FOR SUSTAINABILITY

Matthew JamesResearch & Sustainability Manager

For Knowledge LondonThursday, 27th September 2007

www.workspacegroup.co.uk/sustainability

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• Flexible, affordable, workspace to let throughout London

• London’s leading space provider to SMEs

• Own & manage 100+ business centres in London with 4,000 customers

• Buy estates & extract value by refurbishing, re-using or extending

• A core value is to be the first point of contact

• Customer focused & have a sustainable business model

About Workspace Group

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Our properties

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Our customers

The typical Workspace customer:

• operates in creative industries/professional services (knowledge economy)

• employs less than 10 people (50% employ less than 4)

• been in current unit less than 2 years but trading for 5+

• occupies 1,100 sq ft & pays an average rent c. £12,000 pa

• describes their business as “going for growth”

• considers Workspace to offer “value for money”

BUT, “typical” doesn’t exist!

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Sustainability

• Sociale.g. volunteering, community involvement

• Environmentale.g. waste management, green travel

• Economice.g. sustainable financial returns

• Climate changee.g. reducing CO2 emissions

“Sustainability is about more than just recycling!”

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Why is it important?

• Understanding impacts

• Assessing risk

• Identifying opportunities

• Encouraging positive change

• Addressing stakeholders’ needs

• Sustainable model for growth

“We believe the case for sustainability is as simpleas it is compelling: it makes good business sense.”

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Making the case

• Reducing costse.g. reducing resource consumption, waste

• Brandinge.g. Plan A (M&S)

Blue & Yellow Make Green (Workspace)

• Stakeholder demandse.g. customers, investors, staff, suppliers

• Policy & legislatione.g. EPCs, building regulations

• Local impacte.g. creating wealth, employment, etc

“We have responsibilities to our stakeholders and the environment.Being sustainable is about managing these responsibilities”

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Understanding the relationship

• 3rd Dimension (PMA/Upstream)

• Observer article (Co-operative Investment Services)

• Carbon Disclosure Project

• Business In The Community (CR Index)

• EIRIS (Ethical Investment)

“Creating a sustainable business model that addresses ourresponsibilities and can deliver sustained growth”

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Our customers & Us

• Best Foot ForwardEcological footprint – direct and indirect impacts

• Kingston UniversityCustomer research – customers want help from landlord

• Carbon Trust5-year Carbon Management Plan

• EnvirowiseWaste & energy reduction – customer engagement pilots

• London Better TogetherMaking London a better place to do business – customers, suppliers

“We are property owners, not occupiers. Neither are wesustainability experts. Partnerships are the key”

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Knowledge Transfer Partnership

• Metering

understand metering - problems and opportunities

use energy data to target reduction

• Customer Engagement

Customer engagement – addressing “indirect” impacts

Partnerships with specialist orgs. to encourage change

• Fabric & Refurbishment

Structural improvements

Refurbishment materials checklist

KTP Program with Kingston University – James Dixon-Gough

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The story of our year

A coherent strategy – customer focused engagement

2006 The London Plan – used as an external frame of reference

Stern Report states economic impact of climate change

Best Foot Forward calculates ecological footprint for WSG– reveals discrepancy between “direct” and “indirect” impacts

Carbon Trust help WSG to develop 5 year Carbon Management Plan

Kingston University conduct research into “green” attitudes of customers– reveals SME customers want to do more and want help from landlord

Staff survey carried out to understand employees perceptions of WSG

Blue & Yellow Make Green campaign launched

“Green Days” with Thames Water, Envirowise & Carbon Trust held acrossWSG centres…

2007

2008

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Questions

• How can we better understand the relationship between sustainability and business performance?

• Can we calculate its value?

• How can universities assist businesses in improving sustainable practices?

• How can universities access businesses?

• Do businesses communicate sustainability performance in the right way?

• And to the right people?