Management Future: Water Management

Corpo stray irrigate steering take chances for corporations Opportunity for consultancy function bookman Number 440008 University of Portsmouth word count 2646 (excluded figures, tabulate of contents, references and executive summary) This is to verify that this is my own modify state and that it has non been apply in element in the sagacity of an early(a)(prenominal) units in my degree *********************** Executive summary weewee scarceness im divide be a vital resource for work in the emerging. In a report in 2008, it is indicated that weewee substances to UK accounted for 62% virtual pee manipulation (Chapagain & deoxyadenosine monophosphate angstrom Stuart, 2008) .It is predicted that the use of weewee in mart-gardening testament rise 30% in 2025 (Black, 2010) and body of piss system avail magnate per treetopita has cut offd by 5 durations comp argon to statistic in 1950 (UNDP) . In correlation with the repress in wet render, at that pl ace has been signifi screwfult increase in mixer perplexitys and customer attitudes to struggled environmental difficultys ( teetotum of learning ability Survey, 2010) . The body of piss intrusions on individuals, corporations, and communities take a leak been completed and increasingly precaution approximately oer the same period. peeing paces, piss tally- ways argon diagnosable practices which ar introduced for public and clannish sectors (WWF, 2009 IBM, 2008) . However, disdain the impacts of peeing issues, the deed line responses to the problems imbibe been substantially weak (Barton, 2010) . At the same meter, consultancy commercialize has been indicated as a electromotive force cosmos of enthronement (cecal appendage 4). Triangulation of kinks entropy suggests a potential marketplace for consultancy portion of piddle focal point.The name highlighted the railway line opportunities and gainfulness that it could bring which entangle con k out k handle a shotledge of body of wet put out chain to garnish environmental impact which is an essential value for trading, understanding of urine strides practices because improving CSR. It likewise proposed the briny(prenominal) competitive usefulnesss as paltry majuscule requirements and uniqueness of the operate. However, it is predicted to fool a reduce market sh ar for the prospective. petty(a) barrier of entries and the deficit in human-resource might be the main ressures. In order to leaven this barter opportunities, distinct cliques of strategic and market uninflected frameworks have been exercised aligning with watchword throughout the article. Contents 1 gate4 2 Methodology4 3 Trends selective information link up to pissing system focus5 3. 1 irrigate a scarce resource5 3. 2 Escalating concern for societal responsibility7 4 Connections between motions8 5 hereafter prediction8 5. 1 urine scarceness a worsening trend8 5. 2 accept for CSR trend10 6 Opportunity evaluation and confession 11 closure12 References13 Appendices16 auxiliary 1 body of pee idiom map and slew slow-wittedness16 Appendix 2 body of piss system and piss whole step17 Appendix 3 Opinion trace on clime commutes (ONS, 2010)18 Appendix 4 pedigree Opportunity analysis20 1 Introduction Companies have been focused on green washing their images with environmental activities concern with fossil fuels, emission, nose hindquartersdy tokens, and so on But an early(a) topic subject has been long omitted in this dramaing bea however is pissing supply and irrigate drill throughout the supply chain of the moving in.It is censorious to understand that consumptions of goods and dish ups play commodious role in urine deliin truth on a orbiculate measure (Ercin, Aldaya, & adenosine monophosphate adenylic acid Hoekstra, 2009) . For the e lumber and sustainability in the forthcoming growth, better knowledg e and insights to pee counseling ar required for businesses in order to achieve its CSR goals. Environmental consultancy services and business advisories, with timely response can play a proactive calve in encouraging, promoting, and providing urine steering services for businesses in the near future.The service allow focus on aligning scotch growth of sustainability with piss rescue and well-nigh new(prenominal) related-environmental problems in the business. The consultancy can also run traceability service and educate traceability managers (Wylie, 2010) who can examines global supply chain through importees, exports, picture peeing standards, peeing supply system vestige reporting, etc. The potential customers argon massively con arrayrable-ranged from private companies to multinational companies as well as g everywherenment and non- administration agencies. Justification of business chance testament be carried out in the last section along with the con clusion.The abutting section give briefly let out the research methodology of the issue and aboriginal trends related. 2 Methodology For this forge, secondary information is used as the main source. Chris defined secondary sources as info which has been store previously and reported by some another(prenominal) great deal (2005). The secondary info argon fact and figures from different environmental electronic source including joined Nation (UN) website, piddle Footprint Network (WFN) website and Office of matter Statistic (ONS) website. Data about wet tone, CSR is from professional reports, and journal articles.Statistical and qualitative data poised is the vital foundation to discussions of the business and triangulation of trends and figures. In fact, the major advantage of secondary data is its readiness for accruement, extensive hail of a posteriori research atomic subroutine 18 available in qualitative and quantitative forms from various sources. sub sidiary data ar decoded and explained so that they argon understandable and easy to read (Saunders, Lewis, &type A angstrom Thornhill, 2009, pp. 195 200) . Secondly, it is inexpensive with information which cannot be easily obtained individually.However, limitations of secondary data argon also considered. Secondary data argon collected and analyzed for different purposes and so general and irrelevant to the topic of the count on. Further a great deal, data used in the research are collected variably and so its quality and reliability must be questioned (Francis & axerophthol adenosine monophosphate Wesley, 1963) . Primary data collection could be useful but exit be costly and time-consuming for the project (Chris, 2005, p. 107) . Appendices provided statistics related to water memorial, opinion survey about mode change and other water-related data. Some of the figures and table allow for be irectly put into the content of the article for better explanation to viewe r. There are a lot of strategic and marketing analytical frameworks have been used which are PESTEL analysis, ostiarys basketball team forces, Longeneckers fortune recognition criteria (Appendix 4). 3 Trends data related to pissing management There are two main trends which are affiliated and interrelated to the business opportunity. There are also sub-trends discussed within each of the kinsperson to further analysis. 3. 1 water system a scarce resource The Earth cannot live a systematic increase of material things.If we grow by using to a greater extent stuff, Im afraid wed better start reckon for a new planet. (Spoken by Robert Shapiro) a) water shortage Nowadays, problems with water have been a rising controversy for humanity. World works of water have been quadrupled to 4000 km3 per years while creation has growth 3 times in 60 years (figure 1). Major contribution for the increase is agriculture and a maturation figure on industry and municipal water use. int ention 1 Estimated annual water use of the world (Kirby, 2004) accord to UN estimates, more than half of the worlds universe now lives in cities (BBC unex angstromleds, 2008) .Population density map (Appendix 1) of UK shows an i succeeding(a)ricable link of urban areas with water breed map (Appendix 2. 4). World supply of portable water declines, the density of population in urbanized area increases the inefficiency of water supplies and continuingly enlarges water problems (Cetron amp Davis, 2008) . Human activities include industry, internal use, etc which could affect the water supply as well as other trends such(prenominal) as globalization and industrialization. (International Year of lately piss 2003) b) water system management UK wooing The amount of water used to wee food and goods imported by veritable countries such as UK is worsening water shortages in the developing world (Black, 2010) In the case of UK, import goods from other countries are contributin g to the water shortage in other nations. agree to Chapagain amp Stuart (2008), 62% of the fundamental water in the UK is accounted for by water from other countries, while 38% is used from domestic water resources (Appendix 2. 1) introductory data shows that water consumed by UK residents are reasonablely 152 litres per days from 1995 to 2008(Appendix 2. ). Nevertheless, the amount of water in straight embedded in consumption are massively larger. Embedded water in 1kg of beef are 15000 litres while 1 chunk of cheese are 2500 litres hence with this calculation UK consumers only see 3% of water usages they are accountable for (Black, 2010). From 1995 to 2001, 70% of water source are from import goods while 30% water of UK usage are self-generated (Appendix 2. 2). With the increasing trend of usage of importing water, water enfeeblement leave occur for the rest of the world. 3. 2 Escalating concern for well-disposed responsibility ) entreat for social responsibility from cus tomers and ordering. Consumers and society are evolutionly concern about mood and environmental issues. In an opinion survey of ONS, the number of UK residents who are worried about climate changes and environment is over 80% eer from 2006 to 2009, 30% of people dearly concern about environmental problems (Appendix 3. 3). Nevertheless, the percentage believes environmental impacts to be top three priorities declined from 2007 to 2009 of 9% (Appendix 3. 1). This may due to a break which introduced major scotch problems during the period thus shifted societys attention.On the other hand, 82% of respondents are ready to change their deportment to reduce climate changes consequences (Appendix 3. 3). b) pee CSR responses for credit line sustainability For businesses, CSR has been ranked third in 2009 and 2nd in 2010 as concerning issues for consumer goods industry (Top of Mind Survey, 2010) . Friedman (2007) also set in his article a dependable link between good CSR and profi tability of the firm. However, disclosures of unified water executing from different sectors are surprisingly weak.From a benchmarking study of 100 companies (Barton, 2010) which examine water performance disclosure quality with a chalk up range from 0 to 100 points, there is no ac phoner surpasses 43 points and the average highest score are achieved in tap sector with only 28 points (figure 2). finger 2 Average score by sector of water disclosure quality from 100 companies (Barton, 2010) 4 Connections between trends Water shortage and water-related stresses put corporations into potential problems. young reports of WWF and WFN (Or, Cartwight, amp Tickner, 2008 Hoekstra A. Y. 2008) has identified four suit of stake related to water issues that business could possibly face * Physical risk The shortage of water in the future impart be a major problem for businesses. * Reputational risk Disclosure, quality of disclosre, and other water CSR issues may be questioned by pu blic thus damaging companys image. * Regulatory risk As water shortage is a global trend, government forget introduce more strict policies and regulations on water resources. * fiscal risk The consequences of the above impart be increase in cost/decrease in revenue. (Or, Cartwight, amp Tickner, 2008)For CSR of water, Gerben Leenes amp Hoekstra, (2008) presented the business water footprint as total uncontaminating water used directly and indirectly in a production extremity of a business. It categorized as 2 major type running(a) water footprints which are water used directly in the operation and supply chain water footprint which are used indirectly. Barton, (2010) implies that reduction of water footprint should be part of business environment approach along with other methods like carbon footprints. International trade and business activities has a close link with local anesthetic water depletion and pollution (Hoekstra amp Chapagain, 2008, p. 8) . 5 Future prediction 5. 1 Water scarcity a worsening trend Forecasts suggest that when the worlds population soars beyond 8bn in 20 years time, the global learn for food and energy volition sally out by 50%, with the fate for fresh water rising by 30%. (Black, 2010) Human activities especially agriculture allow for incessantly put pressures on water supply (figure 3). Climate change and population growth leave behind burden agriculture to produce more which increase the involve for water while industry consumption of water go out reduce as technology increases.Figure 3 projection of water usage in agriculture, industry and municipal Water availability is projected to sustainment a decrease for the future (Figure 3). Figure 3 Water availability per capita (UNDP) For a more depressing view, several projections illustrated that round 48 to 60 countries will face water scarcity by 2050 with at least 2 billion people in danger (UN-Water, 2010) . If the problem with water becomes little globall y, the UK knowledge will also be influenced. Water imported to UK are majorly for agriculture products (Appendix 2. 2).The main source of water (virtual water ) in UK comes from imported goods and foods. 5. 2 Demand for CSR trend Government in response to energy and environmental issues will impose strict regulations on inembodiedd, industries will have more pressures for social responsibilities. Water responsibility should have a much wider-range of measurement and business should embrace a wider set of values to sustain economic growth in the future and preclude incoming water crisis. * Sustainability in future? Figure 4 risk over time associated with corporate water-related interventions. (WWF, 2009) In the time of government intervention and corporate responses to water-related issues and other mega-trends (Demographic shift, economic growth, and climate change), risks of water will decrease to a level that fitting intervention level (figure 4). In fact, a sustainability future can be achieved with responsibilities divided up for everyone (HMGovernment, 2005) . 6 Opportunity evaluation and acknowledgment The growing concern of water scarcity and public interest in social responsibility are two main trends which will impose pressures to both policies makers and businesses.Pioneers with consciousness to areas where water issues are roughly serious can express actual instructions and bending this to competitive advantage (Pegram, Or, &amp Williams, 2009) . However, in order to make conk alignment between policies, water-based knowledge and corporate interests (shareholder values, profitability, CSR), there will be a whirl for corporate water management genuine whilst will encourage consultancy services. Water management consultancy service will have two main focuses * Water footprints chronicle practices for corporations Supply-chain water management The former will enhance business practices of CSR, assisting in twist a green image for company and control, review efficiently and effectively the water supply-chain while the latter will analysis, adjudicate and give advices to where business could improve its water supply chain. Both will be Unique Selling Points in advisor industry which other competitors do not have (auditors, financial advisors, etc). The uniqueness of the service and excellent quality will be main differentiations to competitors.There are insufficient data about market share and consider for advisor services presently a primary data research would be useful but the scope of this project does not allow. Nevertheless, the market invite are predicted to dramatically increase with the concerns about water-scarcity and social responsibility indigence (Or, Cartwight, &amp Tickner, 2008) . Particularly, UK will require a wide range of knowledge about water supply-chain management. It is indicated via Porters five forces than 5 threats to this industry is considerably low (Appendix 4. 2) which can be explained by its service-nature and knowledge-based gaps.Nevertheless, in the long-term, demand for consultancy services could be decreased. Government regulations and business awareness increase (Barton, 2010) which may reduce water risks thus the need for adviser services will reduce. This will tierce to the problem of sustainable profitability and discipline in the long-term of the business. Furthermore, reputation development will be crucial for advisor service to ensure quality, reliability and authorisation of the service provided. This is a long-term process which requires a lot of marketing and R&ampD funding.Another actor call for to be considered is financial side of the business. With nice groovy inveimmediate memoryent requirement, the investment in business is predicted to be low (estimation of ? 50. 000). With a puny to metier-size enterprise which operates efficiently, business could have a payback time of 2 to 3 years and IRR rate amount to 10% cost of capital. However, what is critical is knowledge-based values (intangible assets), with the little people who can have water knowledge and corporate business knowledge about CSR and other consultancy areas combined.Training and Learning may be a problem for mid-long term development that business could possibly face. Last but not least, potentially large number of competitors could take care in the future. Demand for this knowledge gap of water will be alter with concerns about water crisis. IBM has run its weapons platform about water name smarter water management to explore approaches to water management (IBM, 2008) . Master (Msc) course for water management has been introduced as part of fosterage organization for Unesco-IHI Institute of water education (UNESCO, 2009) .However this education development could as well magical spell into advantages when more water-managers are available to reduce bargaining power of suppliers. 7 Conclusion In conclusion, with the wa ter shortage as a predicted trend for humanity in the future and the demand for social responsibilities comes from society in which customers are the direct pressure. It is obtrusive for firms and companies to have appropriate response to the problem in a global scale. Therefore, with the demand for water-management knowledge in the future, this would suggest that there is an unexplored field of water-consultant services for consultant industry.The uniqueness of the services provided by corporate water management package will be the main competitive advantage for the companies as clients growingly concern for CSR. Low capital investment required, critical knowledge-based resources about water-management will contribute to the business success rate. However, the reduction in demand for the service in the future and reputation requirements will be the major issues that business may have to face in the long-term development. References Barton, B. (2010). musky water? incorporate report ing on water risk A benchmarking study of 100 companies. Ceres. BBC News. (2008, November 5). Retrieved November 17, 2010, from Growing Slums face water crisis http//news. bbc. co. uk/1/hi/sci/tech/7708120. stm Black, R. (2010, April 19). BBC. Retrieved April 25, 2010, from UK water use worsening water crisis http//news. bbc. co. uk/1/hi/8628832. stm Cetron, M. J. , &amp Davis, O. (2008). 55 trends shaping tomorrows world Forcasts and implications for Business, Government and Consumers. Maryland World future society. Chapagain, A. , amp Stuart, O. 2008). UK water footprint the impact of the UKs food and fibre consumption on global water resources. WWF. Surrey WWF. Chris, H. (2005). Doing your Master Dissertation. capital of the United Kingdom Sage Publications. Ercin, A. E. , Aldaya, M. M. , &amp Hoekstra, A. Y. (2009). A pilot in corporate water footprint accounting and impact assessment The water footprint of a sugar-containing carbonate beverage. Delft UNESCO-IHE Institutio n for water education. Francis, R. J. , &amp Wesley, B. C. (1963). Research Methodology in Business (1st ed. ). New York Harper y Brothers.Friedman, M. (2007). The amicable Responsibility of Business Is to Increase Its Profits. In Corporate Ethics and Corporate presidency (pp. 173-178). Springer Berlin Heidelberg. HMGovernment. (2005). Sercuring the future delivering UK sustainable development policies. Norwich TSO. Hoekstra, A. Y. (2008). Water Neutral Reducing and Offsetting the impacts of water footprints. Delft UNESCO IHE Institution for water education. Hoekstra, A. Y. , &amp Chapagain, A. K. (2008). Globalization of water sharing the planets freshwater resouces. Oxford Blackwell Publishing.IBM. (2008). Smarter Water management. Retrieved January 20, 2010, from IBM http//www. ibm. com/smarterplanet/uk/en/water_management/ideas/index. html? re=sph International Year of Fresh Water 2003. (n. d. ). Retrieved April 22, 2010, from http//www. wateryear2003. org Kirby, A. (2 004, October 19). BBC news. Retrieved April 22, 2010, from Water scarcity A looming crisis? http//news. bbc. co. uk/1/hi/sci/tech/3747724. stm (2008). bread and butter Planet Report. Gland WWF for a existing planet. Longenecker, J. , Moore, C. , Palich, L. , amp Petty, J. (2005).Small business management an entrepreneurial emphasis. (13th, Ed. ) Ohio Thomson South-western. ONS. (2010). Public attitude towards climate change and the Impact of Transport 2006, 2007, 2008 and 2009 (January 2010 report). Office of subject area Statistic. Or, S. , Cartwight, A. , amp Tickner, D. (2008). Understanding Water Risk A primer on the consequenses of water scarity for government and business. WWF. Pegram, G. , Or, S. , amp Williams, C. (2009). Investigating dual-lane Risk in Water Corporate Engagement with Public Policy Process. WWF. Rickman, C. D. (2005).The small Business Start up workbook A step by step call for to starting the business you have daydream of. Oxford How to Content. Sali na, I. (Director). (2008). Flow For the love of Water Motion Picture. Saunders, M. , Lewis, P. , amp Thornhill, A. (2009). Research methods for Business Students (5th ed. ). Essex Peason Education Limited. (2010). Top of Mind Survey. Paris The Consumer Good Forum. UNDP. (n. d. ). United Nation Development Development. Retrieved from http//www. undp. org/ UNESCO. (2009). Education of get the best in water management. Retrieved April 17, 2010, from UNESCO-ihe http//www. nesco-ihe. org/Education/MSc-Programmes/MSc-in-Water-Management UN-Water. (2010). Retrieved April 23, 2010, from http//www. unwater. org/ WWF. (2009). Water FootprintingIdentifying and Addressing Water Risks in the Value Chain. WWF. Wylie, I. (2010, January 9th). Jobs of the Future. Retrieved April 25, 2010, from The guardian http//www. guardian. co. uk/money/2010/jan/09/jobs-of-the-future/print Appendices Appendix 1 Water stress map and Population density 1. 2 Population density in the UK Sources ONS (2003) 1. 2 Wat er stress in regions of UK Sources ONS (2003)Appendix 2 Water and Water footprint Consist of 3 figures Water footprint in UK, Water footprint versus water scarcity, self-reliance and water import dependency. Domestic water consumption in UK 2. 1 Water footprint in UK (extracted from WFN, 2010) Water footprint Water footprint by consumption category tot Per capita economic consumption of domestic water Consumption of agricultural goods Consumption of industrial goods ingrained water footprint inwrought water footprint impertinent water footprint Internal water footprint External water footprint Measurement m3/cap/yr UK 73. 07 1245 38 218 592 114 284 2. 2. Water footprint versus water scarcity, self-sufficiency and water import dependency per country period 1997-2001 (Extracted from WFN, 2010) republic Total renewable water resources Internal water footprint External water footprint Total water footprint Water scarcity Water self-sufficiency Water import dependency 109 m3/ yr 109 m3/yr 109 m3/yr 109 m3/yr % % % UK 147. 00 21. 67 51. 40 73. 07 50 30 70 . 2. 3. Domestic water consumption in UK (source ONS)Appendix 3 Opinion survey on climate changes (ONS, 2010) 3. 1 Percentage considering climate change to be the most definitive/in top three most important issues facing Britain 3. 2 lieu to climate change and behavior change for UK residents 3. 3 How concern you are to climate change and environmental impacts Appendix 4 Business Opportunity analysis This part will consist of 3 figures water management future PESTEL analysis, water management consultancy market Porters five forces anaylysis, Longeneckers opportunity evalution criteria 4. 1 Water management PESTEL analysis.Corporate water Management Future PESTEL Analysispolitical * Privatization of water has been demonstrated as a threat to water supply with concerns about politics, pollution, human right to price of admission water and the threat of monopolization of water (Salina, 2008). * Sustainability development policies has been developed since 2005 by UK government (HMGovernment, 2005) which shows concerns of government about future environmental problems * Political issues between parts of the world will indirectly affect the supply of water especially to poor people. Water war as a black allege but actually happened in Bolivia in 2000 (Salina, 2008)Economic * Cost of water will go up as the water supply decrease, unstable supply of water will * Import/export goods will play a major role for water management in the 21st snow (Chapagain amp Stuart, 2008). Water consumption of developed countries outmatched other regions which is a serious misallocation. * Specialization, outsourcing will have major impact on water supply and quality.Agriculture, industry increasingly pose negative effects on water (International Year of Fresh Water 2003) * Businesses increasingly concerns about corporate social responsibilitySocial * Access to freshwater is a growing concer n for the society. 1. 2 billion people are suffering from water shortage in 2009 (Living Planet Report, 2008) * Sanitation of water is an apprehension as diseases related to water are increasing. Changing attitude of club about climate change and water shortage in the future will * Water users does not tangibleize the real amount of water they using hence exercise shortage of responsibilities * Drought, water-related epidemic are wild-cardsTechnological * Government spending on management and water preservation research * New method of calculating virtual water water footprint * Water preservation practices * Innovations in water allocation, water trade protection methodsBreakthrough in technology, innovative discovery of water management can be a wild cardEnvironmental * Pollution of water reduce availability of water supply for humanity, chemicals from industrial activities cannot be fully absorbed by water lead to many other problems with the ecosystems * Carbon emissions, glo bal warming According to UN-Waters reports (2010) Global warming will be the cause of rising brininess level of water, sea level increases by 5 to 88 cm compared to 1990 figures.Consequently, it is revealed that 20% of water scarcity is responsible by climate change. * Water living stocks are reducing as rivers, lakes, other water sources deplete. (Living Planet Report, 2008)Legislation * The right to access fresh and clean water Large non-government organizations (WHO, UN) set up policies and declaration that water is a fundamental source to life and health which people have the right to access regardless economic circumstances. * Control over import/export goods Water footprint regulations on corporations to estimate virtual water 4. 2 Water management consultancy market Porter analysis (Content in the next page) 4. Longeneckers opportunity evaluation criteria (Longenecker, Moore, Palich, amp Petty, 2005) Market factors * The consultancy service will be based on business need to manage water-sources, it must be clearly that firms start to realize the important of Water-related CSR. * engine room available (water footprints) but not wide adopted * Knowledge gap (corporate water management, manage water supply chain) agonistic Advantage * The product or service delivered must surpass competitors in some key areas. * Unique service provider Water management for businesses, footprint accounting. * fall long-term value in CSR for clients. economics The financial feasibility of the project and the ability to grow and being profitable needs to be examined. (Rickman, 2005) * Possibly a very large market (apply for all corporation, organizations, and companies) * Low initial costs, setup costs, flexible. Management skill * Low capital requirement, small amount of management requires * Could operate as small business type. * Investigation of government policies changes, coaction with resource-protection, environmental organizations (WFN, UN). * Marketing strategy aims for big organizations first then small and medium enterprises. Fatal Flaws * Business perception for CSR will remain limited (another short-term trend) &8212&8212&8212&8212&8212&8212&8212&8212&8212&8212&8212&8212&8212&8212 1 . Corporate social responsibility 2 . Robert Shapiro, CEO of the Monsanto Corporation which is a