Remember when Tom Hanks was in comedies? Ah, good. I see a few hands at the back. One of his most famous was “Big.” You know the one. Little boy makes a wish at a penny arcade machine to be an adult and wakes up as Tom Hanks, who then gets a job at a toy company.

In the film, Hanks is in a meeting where this guy is pitching a line of transforming toys that turn from skyscrapers into robots. Hanks tells the guy the idea is boring because no kid wants to play with a building. Now, I don’t know if what I’m about to say makes UPS boring or geeky, but we really enjoy playing with buildings. There’s a lot of stuff you can do with them. In fact, we’ve been playing with our corporate office since it was built in Atlanta, Ga., in 1994.

Our corporate office, despite being almost 20 years old, has earned Gold Status certification from the Leadership in Energy and Environmental Design (LEED) as well as the Energy Star stamp of approval for energy efficiency.  You might wonder how a two-decade-old structure could hope to stay ecologically friendly. Well, let me give you the Behind the Music treatment on this one.

The UPS Corporate Office started life way ahead of its time. While every other new office complex in the 1990s was clear cutting forests on its way to short-term glory, the footprint of the UPS headquarters was carefully cut out of the forest so that only six of the 35 acres on the property were impacted. The rest remain untouched Piedmont Forest to this day, including a natural brook that was preserved. The trees begin a mere 15 feet from the building on all sides. If our windows opened, I could probably touch one with a pool cue.    

The roof decks of the complex are made from Albedo concrete, which unlike tar reflects the sunlight to keep cooling costs down in those hot Georgia summers. Concrete sun shading and tinted exterior windows further reduce energy costs.

In the years since, UPS’s engineers have continually come up with other innovations to keep the building on the forefront of efficiency. Plumbing fixtures have been upgraded since 2005, reducing the building’s water usage by 39 percent. Lighting throughout the complex is fully automated to conserve power during off hours, and UPS engineers continually document the building’s energy efficiency!

So, Mr. Hanks, say what you want about playing with buildings, but they are far from boring. The rewards a lot more than “big,” they are epic!

Kermit the Frog famously sang that “It’s not easy being green.” However, the participants at our #GreenHoliday Twitter party could likely inspire Kermit to sing a new tune. Dozens of smart, practical ideas were shared … including a few from UPS Chief Sustainability Office (CSO) Scott Wicker.

Journalist Aman Singh (@amansinghCSR), joined by four fantastic panelists, kicked off the conversation. Scott Wicker shared insights about UPS’s environmental efforts, such as carbon neutral shipping. And The UPS Store offered practical guidance on how to choose eco-friendly materials for packing your shipments (hint: soy and starch-based packaging peanuts can decompose when exposed to moisture such as snow or humidity).

Here are some of the top tweets and tips shared during the party:

Today, everyone talks about being “#green.” How do you use it, if at all, as a criteria when you shop?

@LeonKaye: @AmanSinghCSR At this time of year, doing my best to shop locally and being smart about how I ship, and wrap! #greenholiday

@UPS: UPS CSO: Before I shop, I research purchases online to plan my driving route. Saves time + gas. #GreenHoliday

@candacki: @AmanSinghCSR q1 try to by green products, bring your own bags, shop at stores close together! #greenholiday

@diamondslady812: #GreenHoliday  i also buy online w/free shipping so i save gas and wear and tear on my car

@LeonKaye: By the way, in 2009 I used old & vintage post cards & turned them in2 greeting cards: http://t.co/UbilQAvr #greenholiday (instead of buying)

@TheUPSStore: Nothing like a homemade gift! RT @HealthyVoyager: @AmanSinghCSR Homemade gifts are budget + Eco friendly and a lot of fun #Greenholiday

@LeonKaye: We have to remember that when shopping online, we can support small business like those on Etsy, etc. #greenholiday

@msmary1962: I am a big freecycler and other sites that let people who want something you don’t have it. (matching what with have is hard) #greenholiday

@Julias_Child: I made my own recyclable wrapping paper, since most commercial (shiny) paper cannot be recycled. #GreenHoliday

 #Sustainability is a word that consumers don’t always relate to. How do we bridge the disconnect b/w consumers #brands?

@UPS: UPS CSO: Give people practical options. Shipping ground emits less CO2 than air shipments. #GreenHoliday

@UPS: UPS CSO: Also, options for smart packing – small boxes vs big boxes, recycle pckg peanuts, reusable express envelopes. #GreenHoliday

@UPS: UPS CSO: Sustainability is using resources wisely – socially, environmentally + economically. #GreenHoliday

RT @AmanSinghCSR: @UPS defines #susty in 140 characters! It is using resources wisely: socially, environmentally+economically. #GreenHoliday

Scott, what is carbon neutral shipping? How can people use this service during the holidays?

@UPS: UPS CSO: Good question. For just 5-cents extra, UPS offsets carbon associated w/ the delivery of your shipment. #Greenholiday

@UPS: UPS CSO: Carbon neutral shipping is available at most @TheUPSStore locations and at ups.com #GreenHoliday

@UPS UPS CSO: With carbon neutral shipping, UPS buys certified CO2 offsets to balance out emissions from transporting shipments #GreenHoliday

@UPS: UPS CSO: Planes are 8x more carbon producing vs trucks. Trains are 1/4 less vs trucks and ships are 1/2 of train. #GreenHoliday

What creative ideas do you have to reuse holiday leftovers, like wrapping paper and greeting cards?

@GingerCM: Q7 I have a year round box of wrapping & make tags with old cards. I haven’t bought paper or bags in years! @ups #GreenHoliday

@ChildMode: RT @AmanSinghCSR:Cards are great 4 cutting out + using 4 crafts or art projects. Bows can almost always be reused!

@kpswagger: I like to turn greet cards into place mats to use for next year. Something to keep the kids entertained, but is really neat! #GreenHoliday

@MOM4EVEREVER: q7 we take homemade ornaments roll in pb & seed them for bird after the tree goes down no waste #GreenHoliday

@janettwokay: @AmanSinghCSR Q7: Turning old wrapping paper inside out gives it a second life. #greenholiday

Looking for more practical ideas? Join UPS and The UPS Store on January 3 for #HolidayReturns Twitter party. Our moderator, blogger Melissa Dawn Lierman (@TimeOutMom), and a group of panelists will help get the conversation rolling.

During O.A.R.’s 2011 summer tour, UPS measured O.A.R.’s existing carbon footprint and developed a transportation strategy to increase fuel efficiency and offset emissions. Overall, UPS helped neutralize more than 67 metric tonnes of CO2 during the 28 concert dates.

Sometimes nice guys DO finish first.

David Guernsey, a member of UPS’s Corporate Sustainability Team, has been honored by the U.S. Environmental Protection Agency for his long-term contribution to advancing the EPA’s SmartWay program. The SmartWay program helps businesses assess and reduce fuel use and emissions from shipping. Created in 2004, the program addresses the marketplace’s growing need for a transparent and sophisticated level of carbon footprint assessment.  This is the first time the agency has honored individuals as “SmartWay Champions.”

According to the EPA website: “Dave Guernsey has been actively engaged in SmartWay since its inception, providing valuable stakeholder input into the program’s development and encouraging his organization to join as a SmartWay Charter Partner.  As Senior Sustainability Manager, Dave supports his organization’s efforts to work with EPA on projects to improve the emissions and fuel efficiency of commercial trucks with hybrid and other advanced technologies.  By adopting advanced technology, alternative fuel and operational strategies into his organization’s trucking operations, Dave was instrumental in improving overall environmental performance.  Dave’s insight into industry and supply chain carbon accounting and his willingness to participate in stakeholder discussions made him a valuable contributor to EPA’s recent enhancement of its SmartWay partner tools.  Dave has also educated many others about the economic and environmental benefits of sustainability and how the SmartWay program can help businesses to assess and reduce fuel use and emissions from freight shipping. “

In other words, Dave championed UPS’s sustainability efforts and then drove  change within the industry for more than a decade. That’s why his nickname is affectionately “the father of UPS sustainability.”

“Dave is truly a pioneer in the field of transportation sustainability,” said retired UPSer Mike Herr, who was Dave’s manager in the beginning of UPS’s sustainability journey. “He invented our energy consumption metrics and designed and produced the first sustainability report in 2003. For Dave, sustainability is not a job or a scholarly endeavor, it’s a passion. He turned me from a conservative engineering type into a tree hugger like him. “

More than a decade ago, Dave was an environmental affairs manager in the Plant Engineering department. Through his job, he began to understand the power of environmental data and foresaw the increasing demand for information about a company’s environmental impact. Because of its obsession around number and metrics, UPS was uniquely prepared to be a pioneering participant in the EPA’s SmartWay program.

He encouraged the company to join emerging groups like the SmartWay Transport Partnership, the Clean Cargo Initiative (a part of the Business for Social Responsibility organization) and the Carbon Disclosure Project. He also was a key supporter of following the new Global Reporting Initiative, which is the framework for modern sustainability reporting today. Through these and other organizations, he collaborated with his counterparts at other interested companies to benchmark and then recommended how to set efficiency and energy saving targets. 

These relationships have served UPS well. We have influenced how guidelines and standards were established and we’ve learned from others about how we improve our performance.

He also led a project with the Environmental Defense Fund that increased the amount of recycled content we have in our envelopes and boxes – he was doing “stakeholder engagement” before it was cool!

Many times Dave has been a lone voice, advocating new ideas and action that are far ahead of the marketplace.

UPS’s Chief  Sustainability Officer Scott Wicker echoes the thought: “We are fortunate to have David as the heart of our sustainability program at UPS.  He was here from the beginning, almost by himself.  Over the past decade he has educated himself, our company and the community on how to be more sustainable.  Back in 2007 it was David Guernsey who educated us as to why we needed to evolve our sustainability program at UPS.  We followed his advice and just last month, UPS received the highest score in the country from the Carbon Disclosure Project.”

Dave is a pioneer in sustainability, a change agent and yes, a nice guy, too.  Congratulations to Dave.

Earlier this month, UPS was informed by the Carbon Disclosure Project that it had received the highest score (99 out of 100) on its Global 500 Leadership Index. UPS is one of only four companies with that top score.  

The Index is comprised of companies that “have displayed the most professional approach to corporate governance regarding climate change information disclosure practices. Companies are scored on their climate change disclosure, and high scores indicate good internal data management and understanding of climate change related issues affecting the company.”  We are always grateful for high scores from third-parties, especially one as prestigious and credible as CDP.

In this case, the CDP score represents more than just an external accolade. It also is an achievement earned through thoughtful action on the company’s part.

Several years ago, UPS made a commitment to be more transparent about its environmental impact, specifically reporting about the carbon associated with its emissions not only with the CDP but in our report and to other organizations. The pledge was based on the growing demand on UPS and our customers to report, manage and then mitigate their carbon footprints. Since most companies ship goods, UPS’s data is vital if they wanted to understand their TOTAL environmental impact – not just within the walls of their operation but also up and down the supply chain, from sourcing to end-delivery and even beyond to the product’s disposition.

Thorough carbon data also helps UPS to both manage and mitigate our own environmental impact, since the majority of our carbon is associated with the vehicles and aircraft that moves our shipments.

Over the past few years, our Sustainability team has worked diligently to uncover all the thousands of data points that are connected with carbon. This includes electric bills from thousands of UPS facilities and fuel use for our fleets around the world. We also have worked with our contracted transportation partners, commercial agents, and business partners who also use fuel and energy on our behalf in order to deliver customer goods to more than 200 countries. We invested in sophisticated software to help us manage the massive amounts of data.

Because customers may be using our data in their own Sustainability Reports, we wanted to make our numbers as credible as possible. We used the international Green House Gas (GHG) Protocol reporting standards. We also had our GHG inventory assured by Deloitte & Touch LLP and verified by SGS, an expert in carbon reporting.

Our carbon footprint is detailed annually in our sustainability report and we also offer a “Carbon Impact Analysis” service to customers.

Of course, we also use this data to help us address our own carbon impact – information that has been critical to measure our success cutting fuel use, miles driven and flown, and improving the fuel-efficiency of our fleet. These numbers enlighten our business plans because we are now just as conscious about our operations’ environmental impact as costs.

So when our sustainability team is busy crunching numbers for the CDP survey and other third-party recognitions, we are focused not only on the rankings that we achieve but also the benefits we can derive for our company, our customers and our earth.

UPS Chief Sustainability Officer Scott Wicker is the author of an opinion piece published on the GreenBiz.com.

If you know anything about engineers, you know we measure everything. Engineers are meticulous, calculated and apply logical thinking to most tasks. Most things we come in contact with and use each day had some kind of engineering behind it. That’s the mentality I bring to my role as UPS’s first chief sustainability officer and I believe an engineer’s approach can be effective in creating a credible sustainability program.

Building a strong sustainability program is akin to constructing a building. The same techniques apply:

1) Determine the primary purpose. In the case of your sustainability program, is it for brand protection? Competitive differentiation? Saving costs? Once you understand your company’s vision for sustainability, document that vision and get support from the organization.

2) Next, create a blueprint. A blueprint lays out the inner workings of the building -– the electrical, plumbing, structural systems, and all those essential measurements required to construct it. For a sustainability program, this means mapping out a plan to go from vision to action — goals, budgets, governance and necessary staffing details as well as plans for your stakeholders — company partners, third-parties, NGOs, assessors. Remember, this plan could go out for the next five to 10 years to illustrate your company’s long-term view.

3) Know your data. All construction projects are dependent on certain data. For example, site data, energy data, mechanical data, etc. must be collected first. In a design of a building, data is used to define how the site soil may impact the foundation, how wind loads may impact the steel structure. Similarly, energy data is used to define how a company impacts the environment and is a key ingredient to building a sustainability program.

You cannot begin to manage or mitigate your company’s climate impact without having a good account of the energy and carbon data that defines and shows how a company impacts the environment.

4) Build it. To build a sustainability program, you need a core team of people that understand your purpose and are willing to use their expertise to help your organize achieve its sustainability goals. From the most senior executives to employees on the front line, you need to embed sustainability into your business — make it relevant to employees.

This could mean conservation programs for those employees closest to a particular resource (think fuel and those folks in brown uniforms) or it could mean educating an entire sales and marketing team about how understanding sustainability translates into more sales. To get the work done, you’ll need to define a process that establishes structure and accountability across the organization. Steering committees made up of executives and senior management can help map out the sustainability strategy and make decisions on critical issues. Convening working committees can allow for idea sharing between different functions and ensure ongoing collaboration.

Once you’ve got the building constructed, it’s time to…

5) Prepare for the inspector. With all the work to implement your program and get the data, it will do no good if no one sees it. The report is where it all comes together — your goals, Key Performance Indicators (KPIs) and performance record. People expect your report to be public — not only easily accessible, but easy to understand.

Translate the data — use charts, graphs, infographics — whatever it takes to put it into context so that your stakeholders reading your report understand its significance. Whether it’s a customer asking about your carbon footprint or a supplier inquiring about your human rights position, do not underestimate the value in the analysis of your report. From the casual reader stumbling across your report to the 3rd party assessor completing a ranking of companies in your industry, your report must serve many audiences.

Although there are no requirements to do so, I recommend following the GRI (Global Reporting Initiative) format because it is universally accepted. So even if your “building” is only half done, stakeholders want to know your progress. We probably go overboard on the footnotes in our sustainability report on statistics, measurements and numbers but they add credibility and diffuse those looking for examples of “greenwashing”. Finally…

6) See a return on your investment. At UPS, we found that our numbers, the raw data in our sustainability report, show how our sustainability efforts save us money in time, fuel, and energy. It also shows potential customers how we are helping to improve the planet while increasing efficiency, and as a result, many of our customers want to invest in our products and services to improve their own sustainability profiles. Our sustainability efforts and data transparency also help mitigate risks and even engage and retain our employees.

So in closing, a strong sustainability program requires the building blocks of purpose, design, planning and structural integrity — all the things that engineers get excited about.

Finally! The day has arrived – as the editor of the UPS sustainability report, I’m pleased to announce that  after many months of gathering details and checking facts, we’ve launched the 2010 edition, themed “Sustainability Is…”  

So, sustainability is what, exactly?  I’d say it depends a lot on who’s talking and who’s listening. Sustainability, really, is in the eye of the beholder. What is important to you may depend on whether you are an employee, a customer, an investor or a sustainability expert. For many, sustainability is a synonym for environmental responsibility. For others, it is all about corporate philanthropy.

For UPS, it is delivering each package with less fuel. Logging the same amount of volunteer hours – 1.2 million hours – with a smaller workforce. Making choices to better serve customers while using fewer resources. Applying our logistics know-how to humanitarian crises to get food, water and other critical supplies delivered effectively and efficiently when it matters most.

It probably isn’t surprising that our report is driven (and supported) by UPS’s century-old focus on measuring things.  In sustainability, the million+ lines of data analyzed by our spreadsheet wielding engineers, allow us to figure out where we are and where we need to go. At UPS, metrics and sustainability go hand in hand.

But there’s another side to sustainability at UPS. Or rather, another face. Lots of faces really. UPS employees around the world whether they are wearing brown uniforms or suits and ties, work together every day to act responsibly. We consider the Earth, we play fair, we focus on safety and we give back.

UPS is committed to do right by the people, communities and environments where we operate.  By closely monitoring our performance, we have been able to save money, operate more efficiently and spark innovation. And, we continue to push ourselves to improve our data and transparently report our progress. Most importantly, behind this philosophy are 406,000 committed employees.

One of those committed UPSers is Scott Wicker, our new Chief Sustainability Officer. In the video below, he talks a little more about the way UPS thinks about sustainability.  Enjoy!

It’s Sustainability Report season again. Companies around the world are sending out notices of their web-posted reports, highlighting their achievements with colorful charts, graphs and photos.

These reports represent the best and worst of the sustainability movement. At their worst, reports are shallow marketing pieces that breathlessly brag about one-off programs designed to be proof points for corporate responsibility. At their best, sustainability reports provide a transparent, quantified, balanced view of the company’s impact and ambitions.

To know the difference, readers need to be aware of what makes a credible Sustainability Report. Here’s my check list. The report…

Is balanced in content. The report will present the company’s performance as an employer, as a corporate citizen, as an environmental steward and as a business.

Is data-rich.  The numbers need to be specifically defined in terms of scope (all business units, all geographies?) the methodology used to calculate the numbers, and the importance and impact of that data within the context of the business. Numeric goals and key performance indicators in particular need to be specific and thoroughly explained. Yes, dear readers, that means reading footnotes.

Presents both good and bad.  To be credible, companies should present positive and negative developments. Missed goals, accidents, reputational gaffes and misguided strategies should be included. Nobody assumes that a report is a tell-all but at least some of the content needs to be retrospective and self-critical.

Follows international reporting standards.  The Global Reporting Initiative and Green House Gas Protocols are just two of the widely-accepted standards that now exist for sustainability reporting. Failure to follow these guidelines erodes the credibility of a report and indicates a lack of understanding about today’s market expectations. The standards also remove any ambiguity about what topics and issues should be included in reports. Are they cumbersome and technical? Yes. Are they essential? Yes, if a company is committed to being a sustainability leader.

Is audited, reviewed or “assured” by a third party. Best-in-class reports earn credentials by utilizing a major accounting firmto review their data and claims. This helps to squelch any criticismfromoutsiders about whether the company is “spinning the numbers” or “green-washing.” It also is an indication that the company is invested in providing trustworthy information that is more valuable for its stakeholders.

Looks ahead as well as backwards.  Annual reports shouldn’t be focused only on a single 12-month period. Companies claiming sustainability commitments should be citing longer-range goals and multi-year progress from previous years.

Connects sustainability with its business model. Sustainability is about how a company manages its resources – human, financial and in the marketplace. Ultimately, a sustainability report can be a persuasive and strategic tool to present the business case about a company’s value. Well-written sustainability reports give readers insights into how well a company is managed today and what its vision is for the future.  

So when your email box fills up with sustainability report notices this season, use this checklist to bring out your inner skeptic.

I also encourage you to use the same checklist for UPS’s Sustainability Report, which will be posted at sustainability.ups.com later this month.

How do you judge the credibility of a sustainability report?

When Superman is your favorite superhero, life can be pretty lonely. Every kid besides me preferred Batman. Didn’t matter that Supes could fly and lift mountains. Batman had money, a fast car and a cool mask. In 2011 though, I think Superman can have the last laugh because he’s an alternatively fueled superhero.

Superman’s powers of strength, flight, invincibility and that rocking awesome heat vision come from Earth’s yellow sun. He soaks up the solar energy like a living battery and jets off for truth and justice with no pollution trailing that red cape. By contrast, the Batmobile burns jet fuel…Holy gas-guzzling, Batman!

Although the song says never to do it, UPS is tugging on Superman’s cape a little bit with the installation of solar panels on the roof of our facility in Lakewood, New Jersey. Located about an hour outside of the original Metropolis, New York City, the 70,000 square-foot package center has been outfitted with more than 62,000 solar modules on the roof contained in more than 1,000 individual solar panels.

UPS engineers have determined the new panels provide the equivalent of almost 30 percent of the facility’s annual energy needs. The 250 kilowatt system is expected to produce roughly 270,000 kilowatt hours of electricity annually. During the day, the panels send that energy to the grid for everyone else to use.

UPS engineers are constantly re-evaluating and re-engineering their cars, trucks, buildings and gadgets to make them as energy efficient as possible. One of the main priorities is reducing dependence on imported energy. The Lakewood facility is a sequel of sorts to our first solar foray in Palm Springs, California in 2004, where we installed a 100 kilowatt solar array.    

We are continuing to look for other suitable places to install solar out of our 1,800 domestic sites. The hope is to eventually have an additional 3 megawatts of solar power generation throughout UPS’s operation – now that’s Superman-scale sun power! In the meantime, the New Jersey facility is the next step in the right direction, with solar panels that could give Snooki that signature flash-fry tan in a fraction of the time it takes one of her tanning beds.

Memories of the forest….

….. falling asleep in a bed of soft pine needles under the sinking sun

….. trekking gorillas in the highlands of Uganda

….. awestruck at the majesty of the mighty California redwoods

….. swinging on vines as a kid in the Maryland woods near home

These personal reflections were the beginning of a two-day workshop about the universal appeal of nature, conservation and the power of the world’s forests to combat climate change. UPS sponsored the event that included employees, customers and three non-profit organizations.

The workshop, conducted by the environmental research group Earthwatch Institute, gave participants the opportunity to learn about the science of climate change, to experience field research, and to share best practices about how corporations can help mitigate their environmental impact by supporting forestry projects. Participants met at the Gault Nature Reserve in Mont-Saint-Hilaire Quebec.

“As an energy-intensive industry, we at UPS want to be part of the solution,” said UPS sustainability director Steve Leffin. UPSers pledged to go back to their operations and share information about how forests store carbon, how the company is working to mitigate its carbon production, and how conservation efforts can help alleviate the impact of climate change.

“Our goal is to inspire confident ambassadors who are passionate about supporting climate awareness in their organizations and communicating it to others,” said Ed Barker, Earthwatch director of corporate partnerships.

Carbon dioxide, produced by fossil fuel emissions and by nature, is one of the major greenhouse gases that is considered a major contributor to the warming of the planet, reported Dr. Mark Chandler, international head of research for Earthwatch Institute. Using scientific data, he showed the quantitative evidence that the planet’s climate is shifting.

Dr. Martin Lechowicz, director of the Gault Nature Reserve and McGill University professor, taught the group about the forests of the reserve and how different tree species can store carbon, mitigating climate change.

The group then was dispatched into the rocky hillsides to measure the trees of the forest so that carbon storage could be calculated. In quadrants defined by earlier researchers, participants were asked to “hug” the trees with tape measures and record the diameters. “Now, I have a different idea of what tree hugging really means,” said UPSer Suzan Sherburn. Dr. Lechowicz then translated the data into the amount of carbon stored by tree species.

Later, teams planted trees along the banks of the lake, created by a glacier thousands of years ago. Along the way, participants witnessed a snapping turtle laying eggs, an owl calling to a mate at dusk, muskrats and beavers on the lake banks, and a snake along the path.

Mary Lim Ormiston, a UPS solutions manager in Canada, said the trip has inspired her to share the experience with her colleagues. “Going in, I had very little knowledge about sustainability. Now I have a good understanding of what we are doing as a company and what we can do as individuals. I now have the ability to talk about climate change – from a simple tree to the impact it has on the environment.”

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