Customer-oriented firms are environment leaders: global report

Firms need to integrate environmental issues into their strategic marketing and environmental management practices into their operations

Customer-oriented firms that value environmental management practices and adopt them as part of their strategic marketing are fast becoming known as environmental leaders, according to a global research report.

The new study from Hubert Gatignon, an emeritus professor of marketing, and the Claude Janssen chaired professor of business administration and emeritus at INSEAD, found the extent of a firm’s environmental management practices depends on how customer oriented it is.

“It’s clear from this research that customer satisfaction is an important driver of the implementation of environmental management practices. Firms need to integrate environmental issues into their strategic marketing and environmental management practices into their operations,” Gatignon said.

The report, Customer orientation and organisational innovation: The case of environmental management practices, shows customer-oriented firms gather more critical market information, recognise new customer opportunities and satisfy customers by delivering the demanded products or services.

“Customer orientation not only contributes to the firm’s environmental performance but also the development of long-term relationships and a firm’s capacity to innovate,” Gatignon said.

In a large-scale survey of 4324 French companies with 10 or more employees, Gatignon measured customer orientation by examining the company’s commitment to quality standards, such as ISO9000, whether the firms had information-gathering systems in place to capture customer data and translate it into action and the firm's’ commitment to after-sale service.

In his paper, Gatignon found the higher the firms scored on these dimensions, the higher the likelihood that they adopted environmental management practices, such as procedures to identify and measure environmental impacts by preparing environmental audits, setting environmental performance goals and obtaining ISO14001 environmental certification.

Whether firms were responsive to customers or not did not have a significant impact on their environmental management practices. According to Gatignon, a focus on only resolving current customer claims makes firms miss the needs of new customers, making them less innovative. The dimensions that mattered most were the firm’s values and its information-gathering capabilities, the report noted.

The firms surveyed spanned several sectors, such as food, consumer goods, cars and equipment and transport. Construction and intermediate goods and energy were most sensitive to the adoption of environmental management practices.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Blog Posts

Designing for a cashless society

More movement has been made toward a cashless society recently, and already we are starting to see enormous implications across our society.

Katja Forbes

Founder and chief, sfyte

Setting advertising objectives for financial performance

I’ll often be talking to clients and at some point say, ‘the most important thing is justifying price’. Then moments later, ‘the most important thing is increasing the size of your customer base’.

Kyle Ross

Strategist, TRP

5 common mistakes to avoid in scalable customer experience

CX is about future-proofing your business by ensuring that your commercial model is always looped into your customers' needs, perceptions, values, beliefs, motivators, and detractors.

Tom Uhlhorn

Founder and strategy director, Tiny CX

Unfortunately, the title "AdTech Magic Quadrant" is misleading as it only represent a fraction of the ecosystem. It it is a useful docume...

Ludovic Leforestier

Report: Gartner recognises the best adtech players in Magic Quadrant

Read more

Thanks for writing about chatbots. Definitely bots have the exciting future when it comes to customer engagement, transactional and conve...

Giridhar Prathap Reddy

Australian Open chalks up strong ticket sales with chatbot

Read more

Hello, where are the explanations of all the levels explained? I'd like to review this with a couple of colleagues. Thanks.

Melinda Gonzalez

CMO launches CMO CX, debuts customer experience maturity assessment

Read more

A great and accurate commentary - today we rarely get true personalisation. On web journeys cookies or logins remember who we are, what w...

Ian Moyse

Salesforce: Personalisation is a long way off what consumers now expect

Read more

Very nice information !! We provide almost every indian satta matka games with fast results. Online Matka play becomes easy with genuine ...

rsgame

Image intelligence:10 must-see infographics for marketers

Read more

Latest Podcast

More podcasts

Sign in