How Kohlberg, Kravis, Roberts & Co. Works in Co-Ordination with the Environmental Defense Fund
Kohlberg, Kravis, Roberts & Co (KKR) was set up in the mid-seventies and in those days the firm’s specialty was in highly leveraged transactions. But going on, in an outstanding effort to make their portfolio of companies have less of a negative ecological impact, KKR have set in motion a remarkable green project which has completely transformed the method by which businesses and environmental agencies work.
Green business practice became more generally acknowledged a year ago when Kohlberg, Kravis, Roberts & Co’s Henry Kravis and the independent Environmental Defense Fund (EDF) merged. Their objectives include encouraging businesses in opposing environmental threats e.g. toxic chemicals not to forget any excessive consumption of water resources.
Eco-efficiency (a phrase initially pitched by the WBCSD) defines the framework for their mission, employing policies like increasing the durability of products, maximum use of renewable resources and fuel economy. Irrespective of the fact that the program was an enormous success, managment just did not understand how incredible the consequences actually were until Ken Mehlman, the head of the program and global public affairs, examined the figures for the first 12 months. Much to everybody’s surprise, Ken realized that the program not only diminished environmental impact, but was also increasing the the profit from every business too. Nearly all of the firms associated with Kohlberg, Kravis, Roberts & Co and Ken Mehlman at present participate in the Green Portfolio Project. Seeing that this group of businesses has a value of almost 100.000,000,000 USD, you can see what an enormous achievement this really was.
The initial project now includes new enterprises. The Climate Corps Program founded by the Environmental Defense Fund is an example of this, it advances planet friendly business techniques to MBA interns. KKR and Ken Mehlman have been creating a package of metrics which manipulate resources. These tools can track a company’s ecological impact and discover any problem areas.
Henry Kravis, the KKR, and the Environmental Defense Fund really are trailblazers when it comes environmentally sound business techniques. Their developments have simplified the process for firms in any industry and illustrated that making profits need not entail the hefty price of damaging the environment.
