Business and Eco-Efficiency — Kohlberg, Kravis, Roberts & Co. And the Environmental Defense Fund
Kohlberg, Kravis, Roberts & Co (KKR) was launched by Henry Kravis and his business partner George Roberts in the 70’s with support from the First Chicago Corporation. But only a year ago they have assembled a unique green project that concentrates not simply on maximum profit margins, but in addition on how ecologically friendly each of their companies are. When Henry Kravis from KKR and the independent Environmental Defense Fund (EDF) got together a year ago environmental matters all of a sudden turned into a mainstream topic. Issues like resource depletion and lavish water consumption are high on their agenda. To implement this, they apply a method called eco-efficiency; this makes use of concepts such as optimizing data centers for efficiency, recycling programs, and reducing the dispersion of toxic chemicals. The Green Portfolio Project was a great success, yet the management didn’t see the full benefits of the program until the head of the program and global public affairs, Ken Mehlman, reviewed the program after its first year in operation.
Ken who practiced environmental law for Akin Gump Stauss Hauer & Feld, has served as field director for George W. Bush’s 2000 presidential campaign, became Managing Director and Head of Global Public Affairs at Kohlberg Kravis Roberts & Co, LLP in 2008 and currently serves as a member of the Senior Advisory Committee of the Harvard University Institute of Politics, and the board of directors at the National Endowment for Democracy, saw that the Green Portfolio Project wasn’t merely reducing their impact on the environment, but it was also helping to save businesses a great deal of money, making the program virtually an immediate hit. To date, Kohlberg, Kravis, Roberts & Co and Ken Mehlman have almost each and every company in their portfolio participating in eco-efficiency techniques. Still, with a current business portfolio estimated at 86,000,000,000 dollars, you may be sure this was not an easy feat.
The original program now includes new opportunities. To illustrate, Kohlberg, Kravis, Roberts & Co got together with the Environmental Defense Fund’s Climate Corps Program an enterprise which teaches students studying for a Master’s in Business Administration how to promote cost effective, planet friendly techniques. Furthermore, Ken Mehlman has been in close collaboration with KKR to produce metrics which firms can employ to quantify and oversee resources. This type of info is critical as companies may easily evaluate their day-to-day processes and identify where they can resolve any issues while simultaneously tracking their progress. Henry Kravis, the KKR, and the Environmental Defense Fund are genuine visionaries in the business community. These innovations have set a benchmark for businesses in every sector and established that making profits need not entail the hefty price of negatively impacting our planet.
