Sustainability

Global resource challenges: Risks and opportunities for strategic management

November 15, 2016

Global

November 15, 2016

Global
Josselyn Simpson

Contributor

Josselyn has worked in the thought leadership and quantitative research team of the Economist Intelligence Unit for more than 15 years. She is an expert in creating engaging content for C-level and other senior executives. Among her areas of interest are organisation, governance, and the effects of technology on the workplace. She was also a Senior Campaign Manager at Booz & Company and a Senior Editor at McKinsey & Company. Through those roles she developed significant expertise in global thought leadership development and programme management. She began her career at The New Yorker. She is based in New York and holds an undergraduate degree with honors from Harvard College.

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“One hundred years ago, everything seemed unlimited and borderless, but that has changed,” - Tim Bodin, Chief Economist, Cargill

Many of the world’s most powerful brands were established when we had a seemingly endless supply of water, farmland and human capital. If companies wanted to expand their production or open a new facility, they did so with little concern about the availability of resources to support the operation. Today’s executives, however, are faced with a barrage of crises related to water and energy scarcity, talent shortages and extreme weather events that put their facilities and ability to meet customer demand at constant risk. 

This report explores labour, physical and natural resource challenges. It is based on a survey of 800 respondents in four industries and five regions around the world and on the Global Resource Management Index, which explores the interplay of indicators of resource use, sustainability, capacity and regulatory context in the same four industries and five regions. The included industries—food & beverage, hospitality services, consumer goods and healthcare services—are among those that typically face a mix of resource challenges globally and have proven innovative in addressing them. 

The EIU would like to thank the following interviewees for their time and insights: 

Jenny Ahlen, Environmental Defence Fund

Magdi Batato, Nestle

Tim Bodin, Cargil

Michael Dickstein, Heineken

Arnoud Herrmann, AccorHotels

Eva Sage-Gavin, Boston Consulting Group

Micahel Zerr, Cargill

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