Protecting the Environment — with Kohlberg, Kravis, Roberts & Co. Leading the Way
Kohlberg, Kravis, Roberts & Co (KKR) was launched in 1976 and to begin with the company’s specialization was in ‘bootstrap’ buyouts. But they have put together an exceptional green project which centers not simply on ramping up their profit margins, but additionally on how ecologically friendly each of their companies are.
When Henry Kravis from KKR and the non-profit Environmental Defense Fund (EDF) merged in 2008 environmental issues in the business world became a hot topic. Issues like depletion of the ozone layer and unbounded water consumption are a priority in their corporate mission statement.
In order to accomplish these goals, they use a methodology known as eco-efficiency; this involves concepts such as optimizing data centers for efficiency, waste reduction, and reducing the waste of resources. Irrespective of the fact that the program was an enormous success, no-one recognized how far-reaching the consequences truly were until Ken Mehlman, the person responsible for the project, finished the first annual review. Much to everyone’s surprise, Ken discovered that practicing eco-efficiency not only helped in preserving the local environment, but was increasing the the profit from all their business organizations too. Up to now, Kohlberg, Kravis, Roberts & Co and Ken Mehlman have well-nigh each and every firm in their portfolio engaged in eco-efficiency principles. Considering that this portfolio of business concerns has a net worth of nearly $100 billion USD, you can imagine what a feat this really was.
Kohlberg, Kravis, Roberts & Co with the EDF with the help of Ken Mehlman are further expanding the original Green Portfolio project. For instance, Kohlberg, Kravis, Roberts & Co joined the Environmental Defense Fund’s Climate Corps Program which instructs students taking a Master’s degree in Business Administration how to encourage financially strong, earth friendly principles.
KKR and Ken Mehlman have been developing a package of metrics which evaluate and manipulate resources. These systems permit a business organization to measure their progress and identify any areas that might need revision.
The business community has been changed forever by the efforts of these groups. Their innovations have simplified the process for business organizations in every industry and established that making profits need not entail the hefty price of damaging the environment.
