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Shamir Ghumra

Kingfisher: Follower or leader?

January 12, 2012 | Posted by Shamir Ghumra
Comments: 1
Kingfisher PLC

Ian Cheshire, CEO of Kingfisher is a man on a mission. Ian presented at the first Green Monday event of the year this week and spoke frankly and without much show-boating about all the great things they have done. It was a presentation with less bling and a bit more bang. B&Q has made huge strides in sustainability and in some ways are the leaders within the Kingfisher Group, which has most of its interests outside of the UK.

 

The development of sustainable business models

 

Having a new business model is all the rage. People are beginning to see the value in leasing and renting (especially cars). For Ian Cheshire there is a question whether people will hire a drill  - imagine the down time for all the power tools we keep tucked away in the garage. Past experience (as Ian told us) is that consumers were not ready for such a move when they tried it in the past. For construction materials and products there are different business/procurement models for temporary works which have to be more sustainable.

 

As a business Aggregate Industries has made great efforts with responsible sourcing certification, but this stops at the factory gate. So how can we ensure we take our responsibility as product manufacturers into subsequent life cycle stages; how do we move to a model of product stewardship? There are of course product guarantees, but if manufacturers work with clients and occupiers of buildings and take a long term view (say 60 years) then the concept of sustainable products could look very different to how it appears today.

 

There is too much short term-ism in business and only the real leaders in sustainability see the long term opportunities to strengthen their businesses. This is the approach Ian Cheshire is taking, will he lead Kingfisher to the top of the pile? Only time will tell.



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1 Comments


Debby Lloyd | Monday 16 January 2012

Well meaning and good intentioned BUT how do you move today's supertanker into a new business model era when you have shareholders screaming for dividends today! And its not just retail that's struggling with this problem ... place your money on more agile businesses for the future ...

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