The long-term transition to environmental sustainability has begun
While the transition from today’s services and brain-based economy to an environmentally sustainable economy will take decades to complete, the change has already begun. It is important to understand the time scale of change. My perception of time scales is based on a process of change that I and many New York City residents have unknowingly experienced. This is New York’s painful evolution from a manufacturing city to a city with a completely different economic foundation.
From the end of World War II to 1980, New York City lost more than 1 million manufacturing jobs.in a Analyzing New York City’s “Clothing Clusters”, Harvard graduate students Cassie Collier, Helena Fruscio, Helen Lee and Janet Tan write:
“New York City was once a city that produced 95 percent of the nation’s apparel — due to high costs of doing business, space constraints, and cheaper options overseas — and now produces only 3 percent of the nation’s apparel. America. ”
The economic transition of the 1960s and early 1970s was marked by unemployment and the near bankruptcy of New York City in 1974. By the 1980s and 1990s, we began to see services such as finance, media, and information replacing manufacturing, healthcare, education, design, consulting, and insurance. at 21stone Over the centuries, social media and e-commerce companies have come along with a growing number of tech start-ups.
The forces behind the change include low-cost labor elsewhere, but also technological change. The city’s west terminal was too small for container shipping, and factories became more automated, requiring a larger floor space for more automated assembly lines. Until the 1960s, New York produced clothing, bicycles, cars and appliances. Today, manufacturing is only a small part of New York’s economy. Changes in the city’s economy are unplanned, coinciding with civil unrest, increased crime, and out-migration to local suburbs and other states. The decline was seen at the time as a trend that would not be reversed. But abandoned loft factories in SoHo became artist studios, then mansions. Spaces that once housed factories found other uses, and by the first decade of the 21st century, New York City had been revived as America’s most cosmopolitan city and a gateway to the global economy. The city’s population began to grow. In 1950, New York City was home to approximately 7.9 million people. By 1980, it had dropped to just over 7 million. 8 million in 2000. It peaked at 8.5 million in 2016 and fell to around 8.3 million in 2021. Post-COVID, I expect New York’s population to return to growth as the city’s economy continues to transform.
In fact, New York’s role has shifted from being a clothing manufacturer to being an important center for the global fashion industry. Cassie Collier, Helena Fruscio, Helen Lee and Janet Tan noted this in their (pre-COVID) study of the New York clothing business.according to their analyze:
“although New York City no longer competes in high-volume apparel manufacturing, the city has a strong competitive advantage in proofing and low-volume production, defined as production of fewer than 50 pieces…because the New York City apparel cluster is Close to fashion consumers, industry players can try on new styles, get quick feedback, and iterate quickly design.This rapid transformation was made possible thanks to New York City’s highly concentrated network of clothing experts For example, a designer is allowed to sketch a dress and then take it to the office across the street for a skilled Sample makers can bring designs to life within days.The speed and flexibility that NYC offers A smaller market serving highly differentiated and pricier fashion products is a key strength of the cluster… NYC stands out globally for its wholesale and showroom concentration place. About 578,000 individual wholesale buyers and fashion event attendees visit New York City each year, and the wholesale market alone contributes $16.2 billion in direct spending annually. ”
These changes in urban economies have not been ignored by losers and winners during the transition, but the extent of the transition is not well understood by the public or elected leaders. I believe this evolution continues as our services-led economy takes its first steps towards environmental sustainability. New York City’s sustainability plans are underway, but relatively unknown. The development of bike sharing and bike lanes is one initiative. The New York City government’s energy efficiency rating for large buildings is another sustainability initiative. Other environmental sustainability initiatives include:
- Gas connections in new buildings are prohibited.
- Electric heating pilot projects in two NYCHA developments.
- Work to decarbonize the city’s own buildings and vehicles.
- A major initiative our electric utility is taking with small businesses and homeowners to save electricity – funded by state electricity taxes.
- An upcoming wind farm on the South Shore of Long Island.
Many private companies have begun to examine their production process supply chains for waste, toxic substances, energy use, water use and greenhouse gas emissions. Many businesses see opportunity in a green economy. New technologies, new services, new knowledge and new jobs are constantly emerging. Old, bulky, polluting chimneys once represented the economic power of the 20th century. twenty onestone– The Century Edition is a passive solar design building with park views, housing companies developing smartphone apps, marketing strategies, healthcare facilities and ride-sharing services.
While the transition to a renewable resource-based economy is well underway, there are still a lot of unsustainable practices and businesses in the world. The transition to a sustainable, renewable resource-based economy will take decades to complete. The organizations we serve will give operational meaning to the changes we need. Just as our organizations have learned to incorporate occupational safety, financial reporting, performance measurement, customer relations, employment law, social media marketing and many other elements into their standard operating procedures, they too need to focus on the physical dimension of sustainability. They will be more Focus on the use of energy, water and other materials. They will consider recycling and design reuse of limited materials, and employees will put a lot of effort into reducing the environmental impact of the organization’s output. These changes will take place in service industries such as universities and hotels, as well as in manufacturing. Changes will be slow and steady, and, like the tortoise, probably won’t get much attention until the hare finally passes.
Many companies are advancing environmental sustainability initiatives. Of the hundreds of companies I might choose, I would like to mention Walmart because it is a company located in the heartland of the United States. Walmart, the world’s largest brick-and-mortar retailer, chose Environmental Sustainability because they saw the potential for economic gains from renewable energy, waste reduction and other environmentally sustainable practices. Walmart has long used its massive presence in the marketplace to push suppliers toward environmental sustainability. Their experience leads operations to engage with the sustainability issues their suppliers face. In December 2021, it launched a program with HSBC to provide its suppliers with low-cost funding to facilitate supplier sustainability initiatives.according to Walmart’s website:
“Walmart raised the bar for climate action today by creating a supply chain finance program that not only reduces greenhouse gas (GHG) emissions, but uses science-based targets for the first time to achieve a 1.5-degree Celsius pathway… Eligible suppliers can contact HSBC, which requires prepayment of Walmart-approved invoices and pricing of financing based on supplier CDP scores, set targets and reported impact. Ambitious suppliers will be able to take advantage of getting the lowest prices.”
This in-depth look at the supply chain and financial issues that can limit environmental sustainability demonstrates the company’s leadership in the field. Its approach to reducing waste and climate change is impressive and appears to be an integral part of its corporate culture. It’s increasingly common to see the roofs of Walmart retail stores covered in solar panels. Walmart’s The company’s corporate website states:
“In 2019, Walmart added the most solar of any company in the U.S., increasing our solar usage by more than 35%, according to the Solar Energy Industries Association…In 2020, renewable energy supplied approximately 36% of our global electricity demand. ”
The cost savings due to the adoption of renewable energy are not disputed and do not require an acknowledgement of the reality of climate change. So instead of fighting climate change, Walmart could just focus on harnessing low-cost energy. Nonetheless, the company’s understanding of climate change and the company’s goals to reduce its carbon footprint are straightforward and clear.according to Walmart’s Enterprise website:
“As a retailer with operations in more than 20 countries and sourcing globally, Walmart is deeply committed to addressing climate change. We are focused on strengthening business resilience and advocating for climate action and goals zero emission By 2040, in our global operations, not relying on carbon offsets…because most of the retail industry’s emissions come from the product supply chain, not stores and distribution centers, we are also working with suppliers…more than 3,100 suppliers business has been signed. ”
What’s particularly important about Walmart’s involvement in environmental sustainability is that it’s not what many of its customers and employees expected. There may be a large number of Walmart customers who are climate deniers who don’t “believe” in climate change. Still, in the case of Walmart, environmental sustainability is an integral part of its business strategy. This is good business practice that transcends political ideology.
The road to a circular, renewable resource-based economy will be long and difficult. But I am optimistic that the seeds of change have been planted and the process of a generation has begun.
