FMC and the Establishment of Growth and Sustainability Councils
AHC Group Works with Senior Leaders Across FMC
Corporation to Establish a Coordinated Sustainability
Program That Creates Value for All FMC Businesses
Beginning in 2010, AHC Group facilitated thought leadership discussions among a selected group of 15 leaders representing different FMC businesses and functions. This group, FMC’s Sustainability Council, was tasked by their CEO to:
- Understand FMC’s then current decentralized approach to sustainability issues; and
- Develop a strategy that coordinates the many efforts across the company to broaden and accelerate progress as it relates to sustainability matters.
Over nearly 12 months, AHC Group assisted FMC via meeting facilitation, providing access to AHC’s substantial business network, and the creation of defining documents. Through these facilitated interactions, FMC’s council identified areas where its businesses can create value by leveraging expected sustainability trends for a competitive advantage.
Defining the Trends
As an initial step, AHC Group assisted the FMC team in defining the “Market-shaping Shifts” that will impact their various businesses. These shifts were defined to be relevant yet broad enough for each FMC business to use the trends in its development of clear and actionable strategic plans that address the associated risks and opportunities.
The 5 Market-shaping Shifts defined include:
- Environmental Consciousness
- Scarce Resources
- Climate Change
- Land Competition
- Food & Health Expectations
Defining the Structure
The team identified that, based on the decentralized efforts already in place to address sustainability, the organization was ready to accelerate and broaden progress as it relates to sustainability matters in three areas:
- Innovation — Progressing FMC’s programs to develop and market products and services that address societal needs
- Operations — Progressing the design and operation of FMC manufacturing facilities to “Do More With Less”
- Business Practices — Managing the risks associated with rapid global growth
FMC made use of AHC Group’s ability to benchmark FMC’s current practices in these areas against participants within their industry as well as leaders of other industries. Such benchmarking helped FMC provide their organization with guidance on how value can be created (or risk mitigated) in each area.
Creating a Means to Implement
Within 12 months, FMC was able to begin an implementation process. A Global Sustainability Director was selected to provide strategic and implementation guidance; a Steering Team comprising FMC Executive Leadership was created; and a matrix organization was established spanning all businesses functions and regions worldwide. The structure and benchmarking efforts also led to the development of a scorecard that can be used across the organization to establish goals and determine progress.
As a first step in FMC’s commitment to increase stakeholder engagement, it published its first Sustainability Report, which can be found here. As we enter 2013, FMC continues to systematically build sustainability considerations into how it conducts business and continues to find benefit from the thought leadership and network of leading organizations that the AHC Group brings to the table.