Figure 9. ESA and ESA factors at the Bank

92 | Carlos Fúquene Retamoso

mid. Additionally, Bank has made an effort to develop products for people with physical impairments (i.e., blind customers) to be a more inclusive business.

Finally, the managers’ perspective towards a citizenship focus supported the financing of environmental interest groups and voluntary programs in environmental education, in addition to philanthropic subjects and voluntary social programs. Likewise, the CEO supported the development of inclusive solutions, which have resulted in innovative products and processes. The leadership style of the CEO corresponds to a transformational style in which relationships are organized around a collective purpose involving charisma and the stimulation of subordinates’ ideas and values (Bass et al., 1987; Burns, 1978). His leadership style has inspired employees around a collective purpose aimed at people’s respect and wellbeing and the support of social needs. The CEO transformed a small insurance company into a large business group including insurance, construction, financial activities and software businesses (Revista Semana, 2009).

The CEO’s leadership relies on the management of relationships to inspire people around a collective purpose for the organization and the stimulation of the values of employees. From the data collected, it could be inferred that his leadership style has played an essential role in the adoption of green products and pollution reduction strategies. Data show a form of leadership in which relationships are organized around a collective purpose through the understanding of social needs and people’s needs.

Green financing

Green products strategy + Social innovation

Societal-oriented managers Dynamic Business models

Figure 9. ESA and ESA factors at the Bank.

4.2. Chemical company

Chemical company is part of a multinational group focused on the plastics industry with more than 50 years of experience in the production of pipes.

Case studies | 93

Multinational group operates in four continents and has presence all over Latin America. Company is listed at its local stock exchange since 1979. Company´s main business is associated to the manufacturing of pipes for water and sewerage systems. In 2018, Chemical Company reported a turnover of 193 million USD (Lozano, 2019). Additionally, Chemical Company has 19.000 employees who support the operation in the country.

• Observed environmental strategies

The environmental practices of Chemical Company were associated with the implementation of a compliance strategy that included pollution control, lobbying and reputation management practices in addition to their commitment to social projects, the implementation of a green processes strategy and the adoption of industry standards, their participation in voluntary initiatives and sustainability awards.

Pollution control practices corresponded mainly to end of pipe technologies for wastewater treatment plants. Wastewater discharge reduction has occurred consecutively during the last three years and above 10% annually. In relation to residue management, the amount of ordinary waste was reduced by 29% in 2017 (Chemical-Company, 2018).

Lobbying activities have been present at the Chemical Company since its foundation in the early 70`s and has helped the Company to create a brand differentiation in the market as a supplier of reliable products. Examples of lobbying activities include working hand in hand with accreditation boards and authorities to propose and implement quality standards and quality seals for its products. In relation to such practices, Company proposes product specifications for standard setting bodies, associations and boards of certification, utility companies and authorities. Additionally, the first quality seal granted by the quality accreditation board in Colombia to any company was approved to the first line of products of Chemical Company in 1971. All these activities have resulted in Company´s brand differentiation as a manufacturer of reliable products.

Reputation management practices has included environmental communication campaigns towards communities and general public about operation and product safety (Chemical-Company, 2018). For example, public statements, by the staff, from the chemical company pointed out practices toward communities and general public:

94 | Carlos Fúquene Retamoso

“[…] Company design inclusive policies, by stimulating local employment in nearby communities, developing training programs for employees and their children … to stablish a link between community and the Company […]”.

Chemical Company has worked in socialization campaigns to show its products as socially focused and water-friendly. Specifically, Chemical Company has developed alliances with communities and authorities to implement environmental and social projects. For example, in 2016, the Company installed a water collection system in an educational farm in partnership with environmental regulators and the municipal government (CECODES, 2017). According to the Company, this practice was implemented to train the community on the importance of the need of a responsible use of water.

Additionally, Chemical Company has developed social projects for low-income communities located nearby their facilities. These projects have included the delivery of technical assistance to municipalities regarding water solutions, environmental education (e.g., giving tips about best practices for water protection) and donation of water pipes and sewerage systems which constitute company´s main products (Chemical-Company, 2018).

Implementation of industry standards by the Company included ISO 14001, local product seals and standards of the local Water Company. Additionally, voluntary standards included the subscription of the Company to UN Global Compact principles. Furthermore, Chemical Company has been awarded during more than 15 years with the environmental excellence program granted by the City government. This program annually recognizes leading companies that achieve a remarkable environmental performance in Bogota.

In relation to green processes (i.e. cleaner production practices), Chemical Company has implemented resource-efficiency programs, optimization of operations, preventive maintenance, adoption of low-resource, intensive and cleaner technologies. In fact, the company has recorded several improvements in such pollution prevention practices. For example, water consumption per product weight decreased by 4%; water discharge per product weight decreased by 11%; energy consumption decreased by 11%; and the generation of ordinary unusable waste decreased by 29% (Chemical-Company, 2018). Besides, Chemical Company implemented a pilot program to capture 10 tons of plastic to be recycled as plastic wood (WBCSD, 2018). Finally, the Company supports its cleaner production practices through personnel training, the