The environment is responsible for more company changes that the general public often realizes. The future of a company depends on the reaction that the company has to environmental changes. By not adapting to the changes, companies could ultimately end up failing. Recognizing that the environment is changing, businesses need to be able to adapt their products to keep up with new opportunities and balance a strategic fit between the environment and the company (Wheelen and Hunger, 2010). Toyota: A Responsibility to the Environment.
Toyota led the revolution on economically friendly vehicles when the Toyota Prius was introduced in the United States in January 2009 (“The fifth toyota,” 2011). The Prius is the first in a long line of cars since 2009 to be marketing towards not producing dangerous emissions harmful to the environment. Toyota recognized the need for more energy efficient cars to reduce and adapted to meet the need. This quick move resulted in Toyota standing out as a leader within the automobile industry. In 2011, Toyota introduced the Fifth Toyota Environmental Action Plan. This action plan sets the precedence for standards for 2020 through 2030.
The three themes throughout the action plan is construction of a low-carbon society, construction of a recycling-based society, and the construction of a society that coexists with nature and environmental conservation (“The fifth toyota,” 2011). Toyota is committed to developing the next generation of vehicles that rely on clean energy such as electricity rather than fuel. Toyota also will ensure market acceptance of these new vehicles by having these vehicles stand out with different characteristics that customers will want to have (“The fifth toyota,” 2011).
Toyota is seeking to stimulate the hybrid vehicle market by introducing new models and expanding the hybrid vehicle market field (“The fifth toyota,” 2011). Toyota is also working with consumers directly by implementing initiatives by promoting eco-driving as well as providing traffic-flow improvement using current IT & ITS technologies (“The fifth toyota,” 2011). By asserting Toyota as an industry leader in hybrid vehicle technology, Toyota has a competitive advantage.
Making the action plan public information as well as focusing all future technology around this plan, Toyota is displaying dedication to the environment as well as dedication to what customers want. By making these goals public, Toyota has a responsibility to ensure the effectiveness of their plan. Toyota will measure the effectiveness of the action plan by working with the REACH Regulation to ensure the goals they set forth are being met (“The fifth toyota,” 2011). The REACH Regulation focuses on minimizing the impact of chemical substances on the environment as well as people and provide corporations with insight on responsibly managing the use of chemical substances (“The fifth toyota,” 2011).
Toyota also plans on working with government agencies to ensure that environmental goals are being met (“The fifth toyota,” 2011). In 2008, Toyota began the process of registering products either directly or indirectly used in the manufacturing of their vehicles (“The fifth toyota,” 2011). In 2009, Toyota announced that only 15 supplies used in vehicle manufacturing were substances of high concern, and began to change these products for products that match REACH regulation (“The fifth toyota,” 2011).
By working closely with REACH and other government agencies, Toyota is able to keep constant measure of their success in their environmentally based action plan. Florida Power and Light: Clean Energy for a Clean Future Florida Power and Light is committed to changing based on environmental needs. No longer is it possible for electric companies to operate with fossil fuels alone. Florida Power and Light uses a mix of fuels at their power plants in order to generate clean energy (“Our commitment to,” 2014).
Due to this mix of fuels, Florida Power and Light is recognized as a clean energy company with one of the lowest emission rates (the emission rate is currently 35% better than the industry average) and obtains most energy from clean-burning natural gas (“Our commitment to,” 2014). This year, Florida Power and Light began operation at three emissions-free solar energy facilities in Florida (INSERT). By using clean energy, Florida Power and Light is number two in the country for energy efficiency and offers one of the lowest energy charges in the state to their customers (“Our commitment to,” 2014).
Florida Power and Light is committed to being held accountable as a leader in energy efficiency. By working closely with the U. S. Department of Energy, Florida Power and Light can stay up to date on how to follow their current plan on power plant modernization process. Florida Power and Energy also updates the Florida Public Service Commission on a regular basis to ensure they are complying with the standards for clean energy (“Our commitment to,” 2014).
The parent company of Florida Power and Light, Nextera Energy, makes their governing documents, policies and procedures public knowledge and files in compliance with government agencies to ensure that they are meeting the environmental needs necessary (“Our commitment to,” 2014). Since the U. S. Department of Energy must oversee all power plants in the United States, Florida Power and Light will have to successfully maintain effective clean energy to not only operate within standards, but to continue to be a leader in the field of power and energy.
Performing an environmental scan is important to companies due to constant change. The environment is in a constant state of change. If companies do not recognize this change, they will fail to adapt to the needs of the current economic conditions. By failing to change, companies run the risk of becoming obsolete in the new environment and are no longer able to operate. By performing environmental scans, companies can gage where changes need to be made and how to be leaders in their field on how to successfully execute making the necessary changes in order to remain relevant.
References The fifth toyota environmental action plan (fy2011-fy2015). (2011). Retrieved from http://www. toyota-global. com/sustainability/environmental_responsibility/action_plan/fifth_plan4. html Our commitment to the environment. (2014). Retrieved from http://www. fpl. com/environment/commitment. shtml Wheelen, T. L. , & Hunger, J. D. (2010). Concepts in strategic management and business policy: Achieving sustainability (12th ed. ). Upper Saddle River, NJ: Pearson/Prentice Hall.