The Impact of Workplace Initiatives on Low Carbon Behaviours - Case Study Report

5 EAE

EAE is interesting as an example of a small company in an industry that generates a considerable amount of waste that has introduced substantial changes to reduce its carbon footprint. There are a number of differences that can be observed with cases of larger organisations. For example, to a large extent EAE's approach to low carbon activity has not involved the kind of formal structures such as green teams and committees that have been present in other case study organisations. The EAE case demonstrates what can be achieved through strong leadership and a very pragmatic approach to low carbon initiatives.

Background

5.1 EAE is a leaflet distribution company based outside Edinburgh with other locations north of Aberdeen along with 10 'home bases' in rural and remote areas of Scotland. Over the year they average around 47 staff, although this grows to around 54 in the summer (particularly during the Edinburgh Fringe Festival) and can fall to around 40 in winter. The company provides a range of services including leaflet delivery and display, marketing and design support and storage and warehouse facilities.

Low carbon initiatives

5.2 Sustainability has been a key concern of the business since it was founded in 1987 and has it developed and evolved over the last 24 years. The Managing Director was aware that waste would be a major issue given the short shelf-life and disposable nature of the company's products. More importantly the Managing Director himself has a strong personal commitment to environmental issues and wanted to ensure his business was run in accordance with his beliefs. Recycling, in particular, was an important principle adopted by the business from its start. In recent years, EAE has widened the range of waste recycled and the infrastructure available to make the system more effective.

5.3 The firm's original commitment to sustainability developed further when the firm moved to its current base in Loanhead in 2005. With new premises and a 25 year lease, the MD felt that they could introduce larger changes and plan further ahead. The showers were installed to encourage cyclists and investments in larger projects went ahead. For example, a wind turbine was installed in 2007. Since this point, EAE have consistently sought to identify new areas in which they can reduce their carbon emissions. Their overall aim is to be carbon neutral by 2015.

5.4 EAE do not organise their low carbon activities as specific 'projects' but they pursue green activities in a range of ways. Effective recycling is an important objective for their sector. Recycling bins are provided for work related waste, general waste (drinks bottles etc.) and compostable material. Staff are encouraged to bring material for recycling in from home. For example, battery recycling facilities were provided before the legal requirement to provide such facilities was placed on battery retailers.

5.5 The firm has also improved the carbon consumption of their delivery fleet through investing in low carbon vehicles including an electric van and biodiesel vehicles and this has been accompanied by a greater focus on fuel efficient driving. They have used both internal and external resources to train drivers and all drivers are provided with a card containing fuel efficient driving tips. Eco-driver training involves the manager going out with drivers in the electric van for their first week, at first demonstrating how to drive efficiently and then taking to the passenger seat to observe the driver. Because the electric van needs to be driven in a more efficient manner (due to the need get maximum distance between charges), it is a useful learning tool for fuel efficient driving. The habits learnt from driving this vehicle can be transferred across to petrol vehicles.

5.6 Staff are encouraged to cycle to work with a £50 contribution from the company to pay for cycling kit. Additionally EAE installed showers specifically for those cycling to work.

5.7 The company also runs a staff suggestion scheme under which staff receive rewards of £50 for suggestions which help the organisation become more sustainable. Additionally, there is an expectation that staff have a responsibility to demonstrate low carbon behaviours on a day-to-day basis. For example lights are turned off and heating and hot water are used sparingly, signage reminding staff to do so is present and new staff are informed of practices in this area. However, for the most part this is maintained informally with staff and managers reminding each other. As will be discussed later, experienced staff find this behaviour to be almost automatic.

5.8 Finally, EAE have invested in a number of renewable energy infrastructure projects, the most prominent of which is a 15 metre high wind turbine. Although this equipment does not require staff engagement or behavioural change, EAE have attempted to engage staff with the turbine as much as possible, for example by reporting the amount of electricity generated by the turbine in the staff kitchen. The aim of this was to encourage a sense of ownership of the wind turbine among staff. Other high profile green initiatives include a biodiversity garden around the edge of the EAE site. The biodiversity garden features a range of native wildflowers and also attracts a considerable amount of wildlife including foxes, voles, blue tits, field mice, toads and frogs.

Process of implementation

5.9 The Managing Director has been vital to the development of EAE's green activity and the majority of the green initiatives within the company appear to have come from his desire to ensure his business was run in a manner consistent with his beliefs.

'I'm lucky I've been able to mould this company to reflect my own personal beliefs... If you've got your own business, why would you run it contrary to your own lifestyle?' - Managing Director

5.10 Other staff and managers acknowledged the importance of the Managing Director and all were aware of his commitment to environmental issues. However, the schemes have also been helped by input from staff and managers, for example through staff suggestion schemes and managers taking charge of and developing specific areas such as fuel efficient driver training.

5.11 The company introduced fuel efficient driver training around two years ago and sought outside training from external organisations. One of these was a trainer who came in to talk to the drivers and the second involved the use of a driving simulator. Following this they set drivers a week long challenge to adopt fuel efficient driving principles to demonstrate how much could be saved, with some drivers improving their mileage by 10-15 per cent.

5.12 Due to management scepticism about the value of the external training, the firm has since largely relied on internal resources for driver training, particularly from the area manager for Edinburgh who also looks after the electric delivery van.

5.13 With the exception of the staff suggestion scheme, EAE do not have many formal mechanisms specifically for the implementation of green initiatives. For example, the Managing Director was fairly sceptical about the use of green teams and champions as a method for implementing low carbon activity, feeling that it was better to simply implement measures rather than spend too much time on procedures:

'We just get on and do it, instead of having a green team, like lots of other businesses do, they start off the wrong way round. They start with worrying about how they set up the protocols and the processes. It's very simple… just put the bloody bin out and say, look, recycle here. And if people don't then you just remove the rubbish bins' - Managing Director

5.14 This reflects an approach where control of infrastructure is used deliberately by the organisation to limit the choices available to employees.

5.15 Managers also reflected that because EAE is a small company there may be less need for green teams and eco-champions. The Managing Director has frequent contact with most members of staff, making it easier for him and other managers to implement changes.

5.16 Much of the 'formal' action to raise staff awareness takes place at the point of recruitment. Staff are made aware of the expectations relating to low carbon behaviour when they come to interview and the environmental programme is incorporated into the induction process for new staff. They are also informed about schemes such as the cycle to work incentives and the staff suggestion scheme. The Managing Director noted, however, that increasingly new recruits are aware of EAE's environmental track record when they apply for jobs and many are attracted to the company specifically because of its green credentials. As low carbon activity is such a key part of working at EAE this feeds into the recruitment process and helps them select candidates who will best fit into this ethos. Rather than having to invest in changing the values and behaviour of staff, instead the company is selecting employees whose values and attitudes are already consistent with those of the organisation.

5.17 EAE also report on the progress of green initiatives to staff through monthly staff meetings and the quarterly staff newsletter. This includes energy meter readings and wind turbine energy generation and staff are also aware of the introduction of higher targets for achieving reductions in the firm's carbon footprint, for example the aim to be carbon neutral by 2015.

5.18 Given the extent to which low carbon activity has been a core part of business for so long, staff awareness of low carbon practices is high and communication with long-serving staff is mostly informal. Managers occasionally give staff a 'gentle reminder' about, for example, recycling or fuel efficient driving technique when slips in behaviour are noticed. However, staff members are reported to remind each other to maintain low carbon behaviours.

5.19 Finally, more significant investment in infrastructure, particularly the wind turbine, has had at least some symbolic effect. While its main function is practical, the generation of electricity acts as a signal of EAE's commitment to environmental sustainability. The MD described the installation of the turbine as a 'tipping point' which helped generate staff enthusiasm for and awareness of green activity at EAE.

Staff responses

5.20 Of the interviewees, managers tended to be slightly more enthusiastic than staff about the initiatives. Staff were not in any way opposed to the green activity but tended to see it as simply a duty that was part of their job, rather than an activity to which they had a deep personal commitment. One employee described how his initial reaction upon joining the company had been 'oh Christ, they're telling me I've got to do this now… I can't believe we've got to separate everything down and recycle it' but over time he just got used to it, to the extent that now he felt it made more sense to recycle than to send everything to landfill. This reflects the fairly straightforward approach the company took to introducing recycling, of simply requiring employee compliance rather than voluntary participation.

5.21 Staff also appeared to be less concerned with the goal of mitigating climate change than managers (and particularly the Managing Director) were. Broader environmental concerns were not irrelevant to them but there were perceptions that the local level was most important - they were interested in what the company could do and how.

'There will be people that do feel passionate about it [the environment], but I think if you pull it down to a lower scale, I think, or something that would affect them, I think then they would start paying attention to it, but on a grand scale I think it's just straight over their heads' - Member of staff

5.22 Some affection among staff was evident towards elements of low carbon activity at EAE. For example there was genuine interest in the wind turbine, which has been dubbed the 'Windy Boy' by staff. Similarly a member of staff came up with the idea of putting the electric van in the Edinburgh Fringe Festival parade to advertise EAE both as a leaflet distributor and a green friendly company.

5.23 The greatest reservations identified by interviewees was among drivers being asked to drive the electric van. One manager felt that some drivers were uncomfortable with the attention the van gets around town. However the manager responsible for this area generally felt that it only took a small amount of persuasion to get drivers to accept the van. This may suggest that staff would benefit from some support in being confident to promote and explain why the van is being used to any curious road users.

Key challenges

5.24 For both managers and staff, the activity with the biggest difficulty was encouraging staff to cycle to work and the primary barrier was the accident risks of cycling in Edinburgh and out to Loanhead. Every interviewee had either witnessed an accident involving a bike, knew someone who had been knocked off their bike or had themselves been knocked off their bike on one or more occasion. In particular interviewees commented that cycle lanes were frequently blocked by parked cars. Additionally take up of cycling is extremely sensitive to the weather, with very few staff cycling in the winter.

5.25 Also, the staff suggestion scheme appears to have stalled somewhat in recent years. The Managing Director felt that this was largely because most of the smaller changes that could be made, which are the kind of alterations which tend to come from suggestion schemes, have already been made.

5.26 Slips in behaviour do occur from time to time, for example, staff not using recycling bins for their general waste or drivers departing from fuel efficient driving principles. Monitoring of employees is not done formally or strictly, because the Managing Director expressed concern that if staff felt they were constantly under surveillance it would build resentment amongst them. For example, the MD and other managers keep an eye on recycling bins and if they identify a problem of non-compliance this tends to be handled with a 'quiet word' to individuals or notes to all staff. Additionally where there have been repeat problems, they have looked for ways the system could be improved. For example they identified that the bins around where the drivers finish for the day were often filled with recyclable waste which was inhibiting recycling. To counter this they moved more recycling bins to the area to make it easier for drivers to recycle their waste.

5.27 A similar approach is taken to driving behaviour. All EAE vans are fitted with a GPS system that feeds back to the office. This can monitor things like fuel consumption and speed, and the company has recently acquired new software that enables the production of a green report detailing the extent to which individual drivers have been fuel efficient. To make full use of this software EAE would require a dedicated staff member which is beyond their resources, however, managers do use the data to gain a general sense of whether staff are using fuel efficient driving techniques. In instances where drivers have been inefficient, the area manager will have a quiet word with them to explain what they have been doing wrong.

Evidence of impact

5.28 Generally compliance with the low carbon behaviours appears to be high within EAE. Staff report avoiding using heating and light unless absolutely necessary, which is evident simply from touring EAE's premises.

5.29 At an organisational level, EAE have been highly successful in achieving reductions in carbon footprint and increases in material recycled. All office paper and unused print is recycled and there has been a downward trend in fuel consumption. However, within this data it is difficult to identify the impact of staff behaviour compared to infrastructure. For example, it is difficult to isolate the impact of eco-driver training due to constant improvements in the fuel efficiency of the van fleet. There was a sense that while fuel efficient driving was clearly important, changes to the fleet had a larger impact on fuel consumption.

5.30 In general, monitoring largely takes place at the firm level, for example electricity, gas and fuel consumption. Due to the size of the company, managers themselves are able to monitor outcomes like recycling and the use of light and heating by walking around the premises. In their opinion compliance is generally good, which appears to be supported by impact measures.

5.31 Additionally, while EAE have the technology to directly monitor drivers' performance they do not have the staff resources to dedicate to it full-time, meaning it is difficult to say to what extent individual drivers adopt fuel efficient driving standards on a daily basis. However, the area manager felt that from his overview of the data available most drivers do adhere to the expected standards. Where managers identify drivers who have not been driving in a fuel efficient manner this is dealt with by a quiet word with the driver. Recently two EAE drivers came third out of ten companies in a 50 mile fuel efficient driving race which perhaps indicates the effectiveness of their eco-driver training.

5.32 Additionally there is qualitative evidence of impact on staff behaviours from the interviews which suggests that norms of low carbon behaviour are fairly strongly ingrained in EAE staff. When questioned about their behaviour both staff and managers felt that working at EAE meant they behaved differently from how they would if employed by another company. Warehouse staff commented that both their recycling behaviour and usage of heating and lighting would be likely to be very different if they were working elsewhere.

'If I wasn't encouraged to do it here, I'm going to be honest I probably wouldn't do it [recycling] that way… if it was another job and it wasn't required, I would still probably do it.. but I wouldn't be as… strict as what I am here' - Member of staff

5.33 Furthermore, both staff and managers commented that working at EAE has also shaped their behaviour outside of work, particularly in relation to recycling.

'There's a knock-on effect when you go home. You don't just put your banana skin in the bin; you'll actually stop and think where's my recycling tub?' - Manager

Critical success factors

5.34 Critical success factors identified from analysis of the case study findings show that three factors particularly stand out in the success of low carbon activity at EAE.

Leadership

5.35 Leadership clearly comes from the Managing Director and his commitment to ensuring his company is consistent with his own beliefs about environmental protection. Interviewees all identified him as the main motivating force behind the green activity at EAE. At a purely practical level it has meant that green projects are pursued rigorously and well resourced. Moreover, it provides the green initiatives with direction and momentum meaning that green activity has become a core part of EAE's identity.

'There has to be a driver… There has to be somebody fairly senior who fundamentally believes in this sort of philosophy… It has to be about leadership. And leadership by its nature has to come from a fairly senior point. It would be very difficult for a relatively young and junior member of staff in a fairly big organisation to start changing that company' - Managing Director

5.36 The Managing Director characterised himself as 'bloody minded' when it came to implementing projects and ensuring that low carbon standards were maintained at EAE. The Managing Director's persistence and proactive attitude to implementing green projects ('just put the bloody bin out') has also filtered down to other managers and staff. Staff also commented that they found it positive that managers 'practised what they preached'.

Creation of company norms supporting habit formation

5.37 Social norms also appear to be important, as it is striking how much activity occurs at EAE in a routinised fashion as a practice embedded in organisational culture without any great fanfare or effort. All interviewees regarded low carbon behaviours such as recycling and using energy sparingly as just a normal part of the job that was in no way exceptional. Interviewees discussed how staff would remind each other about the need to recycle, turn lights off and use heating sparingly. Additionally 'peer pressure' was cited as a factor in encouraging people to adopt low-carbon behaviours. Within EAE it is abnormal not to act in a low carbon manner.

'When you've got a whole company doing it, why would you be the odd one out? It's almost a negative thing being the odd one out, so no one actually wants to do that. So everyone's encouraging everyone else to recycle' - Manager

5.38 At an individual level it was noted that to a large extent low carbon behaviours are simply habit to many staff members, they are so used to working in a recycling-intensive, energy conscious environment so that it becomes second nature to perform these activities.

'It just becomes habit, complete habit. It does change, I must admit. You find yourself just holding off until the last minute before you can turn on one section of the lights… It's just drilled in' - Member of staff

Provision of equipment

5.39 Lastly, most obviously, the availability of equipment makes low-carbon behaviour 'easy' for individuals. Interviewees particularly noted the wide availability of recycling bins which helped make it easier for employees to recycle than to put recyclable rubbish in the bin. The Managing Director explained how changing the allocation of bins could be used to shape behaviour which would include moving recycling bins to the spot where drivers finished for the day or reducing the size of rubbish bins.

5.40 Furthermore the provision of equipment, along with investments in green technology and infrastructure help 'normalise' low carbon behaviour. The wind turbine, electric van and recycling bins make low carbon behaviours salient in the workplace and reinforce the idea that low carbon behaviour is the normal way of working at EAE. The firm has made the effort to make the less 'behaviour oriented' pieces of infrastructure, such as the wind turbine, relevant to staff. For example reporting the outputs from the wind turbine generates staff interest in the turbine and again raises the salience of environmental issues in the workplace:

'in the kitchen there's a chalkboard, where windy-boy's progress is reported. I like to see that… it's nice to know that it's making money and being environment-friendly' - Member of staff

5.41 In terms of ordering these key points, leadership and equipment appear to be key at first, providing staff with the motivation and ability to act in a low carbon way. However, over time norms and habits seem to have become more important in sustaining behaviour. Managers do sometimes have to remind staff what is expected of them and the use of equipment is sometimes changed to make it more effective but increasingly behaviour is maintained because it has become normal and habitual to staff.

5.42 Beyond these three key factors, other elements play a subsidiary role. Provision of information both in terms of desired behaviours and information on energy usage and progress towards targets has an impact. Information was cited as particularly important in relation to the eco-driver training and providing drivers with cards featuring eco driver tips was one of the main methods to encourage good practice amongst drivers. Information on energy usage was cited as important because of the way it helps make all employees feel that they are part of the process of achieving reductions in EAE's carbon footprint, emphasising that everyone is part of the team and making individuals aware of their individual contribution.

5.43 Organisational policies appear to play some role. Littering and failing to recycle are disciplinary offences but action is rarely taken and managers prefer to use gentle reminders rather than threats of disciplinary action. As the norms of low-carbon behaviour are strong at EAE, it appears that this light touch approach to dealing with problems is effective.

Future plans

5.44 The major plans for the future at EAE are primarily related to infrastructure projects such as the installation of photovoltaic cells on the roof and rainwater harvesting equipment. The Managing Director has investigated external support for these projects but is pessimistic, feeling that they may encounter bureaucratic difficulties in securing external assistance. Instead, EAE anticipate they will need to rely on their own resources to install this equipment.

5.45 One manager also discussed the possibility of introducing driver bonuses for fuel efficient driving. Currently drivers receive a bonus at the end of the year if they do not damage their vans. However, rewards for fuel efficiency could help with both reducing carbon emissions and reducing fuel bills, at the very least reduction in fuel consumption could offset the costs of any additional bonuses. They are currently investigating the technology required to make such a system effective.

Key learning points

• Leadership has been essential in driving low carbon behaviours and embedding it in the organisation. This may actually be easier in a small company which does not have a large management or bureaucratic structure where a single, determined individual can place an emphasis on 'just getting things done'.
• If simple changes are being made, small organisations should not worry unduly about 'where to start' or planning intricate processual changes.
• Make the most of 'moments of change'. These are events that signal to everyone in the company the importance of environmental issues. For EAE, moving to new premises was a 'moment of change' which provided EAE the opportunity to reflect on its activities and after which it intensified its efforts.
• Changes to infrastructure and use of technology to provide feedback on performance can be powerful visual symbols which help to engage and motivate staff to change behaviours. The wind turbine has served this purpose at EAE.
• Research external support and be prepared to be selective in choosing the most appropriate sources of advice. Small organisations do not necessarily need to pay for the services of business support agencies to make simple changes, though they can be helpful for more complex initiatives.
• Ensure implementation processes for low carbon activities fit the organisational context. Small firms like EAE can adopt low carbon principles without using green 'apparatus' common elsewhere such as green teams, eco-champions or committees.
• Informal methods of monitoring and maintaining behaviour can be powerful in small companies through management observation and direct feedback on behaviour to employees. Once behaviour is embedded, staff then habituate themselves to it and develop norms.
• Organisations which adopt a primarily compliance-driven approach to low carbon activities, rather than an educational one, may have less impact on employee behaviour in the longer term. Although employees noted spill over from work to home, some felt they would not maintain behaviours if they moved to an organisation where low carbon behaviour was less tightly monitored.
• Changing travel to work methods may rely on supportive infrastructure which is outside an individual organisation's control. This was particularly the case in relation to cycle routes. Action may be required from organisations responsible for transport routes (e.g. local councils) and organisations may need to engage in dialogue with them to press for improvements to make sustainable travel a more attractive option.