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Business Value Drivers 51
den growth in public concern over climate change, which began in
the early 2000s.
Figure 4.1 traces the evolution of thinking in the business commu-
nity though the decades, beginning in the 1960s when the predomi-
nant mindset was compliance with the law. Despite the emergence of
environmental advocacy groups, environmental issues were addressed
in a reactive fashion and only caught the public’s attention when crises
occurred, such as the Cuyahoga River in Cleveland catching fire in
1969. The 1970s marked an era of change, with the formation of the
U.S. Environmental Protection Agency and the enactment of a series
of laws aimed at cleaning up the environment. Companies began to
think systematically about environmental risk management to prevent
unplanned incidents, such as the loss of radioactive coolant at Three
Mile Island in 1979.
In the 1980s, many businesses began to see a connection between
cleaner production and operational efficiency. This gave rise to the
voluntary practice of pollution prevention (known as P2), i.e., modify-
ing production processes and technologies so that they generate less
pollution and waste. Proactive P2 practices included better house-
keeping to assure efficient use of resources, elimination of toxic or
hazardous substances, process simplification, source reduction, and
recycling of process wastes. These techniques formed the basis for
many of the DFE guidelines described in Chapter 8.
As the total quality movement took hold during the 1990s, the next
logical step was extension of P2 and DFE concepts to the full product
life cycle. Companies in the chemical and other industries began to
recognize that a defensive posture toward environmental, health, and
safety issues no longer made sense. Rather, they decided that it was
important to affirm their values and articulate a constructive approach
FIGURE 4.1 The scope of environmental responsibility has extended beyond
compliance and beyond the enterprise boundaries.