When Henry Kravis and his business partner George Roberts established Kohlberg, Kravis, Roberts & Co (KKR) in the mid-seventies with the help of the First Chicago Corporation, their specialization was in bootstrap buyouts. Moving on, in a drive to make their acquisitions more environmentally friendly and more profitable as well, they have set in motion an extraordinary green project that has dramatically transformed the method by which business concerns and environmental activists carry on their everyday business. Environmentally sound business processes became major topic last year when KKR’s Henry Kravis and the independent Environmental Defense Fund (EDF) merged. These companies was forged to help resolve crucial issues hurting the environment, which include global warming, hazardous waste, extravagant water consumption, and resource depletion. Eco-efficiency (a phrase initially introduced by the WBCSD) is the methodology leveraged to achieve these aims, through employing techniques such as maximum use of renewable resources, reducing the intensity of materials and increasing the durability of products. The Green Portfolio Project was successful, nevertheless the KKR and EDF did not even realize the totality of the program’s benefits until the head of the program and global public affairs, Ken Mehlman, assessed the program after a full year in operation. Outdoing all expectations, Ken found that this program not only helped in preserving the local environment, but was increasing the profits from all their businesses besides. To date, KKR and Ken Mehlman have almost every associated business organization taking part in the program. If you consider that this group of business concerns is valued at almost $100 billion USD, you may be sure that this was no easy feat.
The Green Portfolio project has evolved beyond its initial remit and now includes new ventures. The Climate Corps Program set up by the Environmental Defense Fund is an example of this, it advances cost efficient, earth friendly techniques to students studying for an MBA.
In recent months, Ken Mehlman has been in close collaboration with Kohlberg, Kravis, Roberts & Co to formulate metrics and other related products which companies can utilize to evaluate resources. These tools let management to measure their progress and identify any underlying issues. Henry Kravis, the KKC, and the Environmental Defense Fund have made going green easier for business organizations in every sector. In summary, the work of these organizations has made green business practice not only viable, but commercially desirable, and their revolutionary ideas are setting a new standard in today’s business community.