While a company’s green credentials provide major opportunities for creating competitive advantage they also pose a potential risk in the event that an environmentally-related problem occurs.  In today’s rapidly changing world, where green issues are rising rapidly to the top of the public agenda, such risks can apply just as much to organisations whose activities are not environmentally based as to those whose activities are. 

Take, for instance, obsolete computer and other electronic equipment, which must now be disposed of in a way that is environmentally and ecologically friendly.  Safe disposal is even more imperative as some items of IT equipment have toxic components that could harm the atmosphere of disposed of incorrectly.  Even if your organisation is not directly responsible for the disposal of such waste can you be certain that sub-contractors doing this on your behalf are behaving responsibly and legally?  Inspections of 18 European ports in 2005 found that a staggering 47% of all waste destined for export was in fact illegal.

Portfolio’s Green Marketing Risk Assessment is a methodology designed specifically to assess reputation risk due to environmental factors.  It reflects the whole of the organisation, including any divisions, subsidiaries or other operations.  It achieves this by gathering information from management and other personnel with responsibility and knowledge across the whole of the business. 

Although the techniques used to gather the data are simple and require little management time, the in-depth analysis is rigorous and allows a full, quantifiable picture of the reputation risks facing the organisation due to environmental factors to be reported.  The necessary strategic actions and responses can then be prioritised and resources allocated accordingly.