Kohlberg, Kravis, Roberts & Co. And the Environmental Defense Fund — Initiators in Business and Eco-Efficiency
Kohlberg, Kravis, Roberts & Co (KKR) was launched by Henry Kravis and his business partner George Roberts in the seventies with support from the First Chicago Corporation. Recently they have assembled a unique green enterprise which centers not just on how lucrative a company is, but likewise on the environmental impact of the companies they buy. When Henry Kravis from KKR and the non-profit Environmental Defense Fund (EDF) merged in 2008 environmental matters went mainstream. Critical issues like toxic chemical use and overblown water consumption are a priority in their corporate mission.
To implement these goals, they utilize eco-efficiency which uses practical techniques such as reducing the intensity of materials, recycling programs, and reducing the dispersion of toxic chemicals. Even though the program was a huge success, managment just did not realize how significant the effects were until Ken Mehlman, the head of the project and global public affairs, looked over the first year’s profits.
Only then did Ken notice that the project was not just helping the local environment, but additionally it was helping to save companies a great deal of money, and so the Green Portfolio project turned into virtually an immediate success. Virtually all of the commercial organizations linked with KKR and Ken Mehlman at present are involved in eco-efficiency techniques. When you consider that the portfolio is valued at virtually $100 billion dollars, you can see what a feat this really was.
The original Green Portfolio project has now expanded to encompass new ventures. To illustrate, Kohlberg, Kravis, Roberts & Co joined the Environmental Defense Fund’s Climate Corps Program which teaches students studying for a Master’s in Business Administration how to encourage cost effective, ecologically friendly principles. In recent months, Ken Mehlman has been in close collaboration with Kohlberg, Kravis, Roberts & Co to produce a series of metrics which all kinds of companies can utilize to quantify resources. These products can track a company’s progress and discover any underlying issues.
Today’s business community has been totally changed by the work of these individuals. These developments have simplified the process for organizations in any industry and demonstrated that running a profitable business need not entail the hefty price of damaging the environment.
