Report from Jonathon Porritt

2010 proved to be a year in which Carillion took stock of progress made. The current sustainability strategy was developed back in 2005, and much has been achieved since then. The company continues to win awards and to gain recognition for continual improvement across a wide range of sustainability issues. Consistency over time brings its own rewards!

And it‘s a very different company today from Carillion 2005! Two big acquisitions (Mowlem in 2006 and Alfred McAlpine in 2008) posed substantial cultural and sustainability challenges, and the transition from a predominantly construction company to a support services company is making similar demands on senior managers today.

A real highlight for me in 2010 was the ‘S‘ Factor competition in November, involving a wide range of teams and individuals within the UK services business. As one of the judges (with no known connections to a certain Simon Cowell!), it was truly inspiring to see how creatively both the company‘s values and its commitment to sustainability are being taken forward by Carillion‘s employees.

One particularly encouraging area throughout the year has been the roll-out of Carillion‘s sustainability strategy in the Middle East, with some pioneering work – in a harsh operating environment – on environment management systems, health and safety, waste reduction and procurement. By contrast, Carillion‘s operations in Canada have been slow to adopt the Group targets, and will be in serious catch-up mode in 2011.

In fact, it will be a challenging year for the whole company. After a prolonged engagement process across all key divisions, a new sustainability strategy will be in place by June 2011. Forum for the Future and Carillion colleagues were in intense discussions about this, focusing on the question of the appropriate ambition level for Carillion. Did it want to be ‘a‘ leader in its respective sectors, or ‘the‘ leader, as it aspired to be back in 2005?

Two little words, ‘a‘ and ‘the‘, but a world of difference between them. By committing anew to being the leader, John McDonough and his Executive Directors are sending out the clearest message to every corner of Carillion: nothing less than the best is what is now required.

Jonathon Porritt

Founder Director of Forum for the Future: www.forumforthefuture.org.uk.