DIRECTORS - who know that
management excellence is reflected in their share price.
Studies such as those by Innovest
and Westpac's BT
Financial leave no doubt about
the correlation between how
companies manage the energy use and the premium given by the
stock market. A correlation that should be fully leveraged.
Rising concerns about climate
change and other damage from burning fossil fuels similarly place a
use under more intense scrutiny. Energy consumption is also
critical factor that may be subjected to scrutiny by institutional
investors and corporate social responsibility (CSR) analysts.
- and other senior management who need to
know that, whether energy is a major or minor
expense, it is being managed to
the highest possible standards. Micromanaging expenses that
are well understood, while ignoring significant and persistent over-use
of energy is not the stuff of well run companies.
- who want to be sure that energy costs have
Energy costs are not 'overhead', 'fixed', or
'uncontrollable'. They are an expense that directly
meeting business objectives. Introducing zero-based
accountability, and best-practice energy accounting, are proven success
strategies. The return on energy management initiative is
between 25% and 200%. With these rates, the right question is
"what will it cost", but "is there any limit to how much can we
Managers - who need to know
when, how, and why energy is used. The daily objective is to
eliminate complaints and avoid having to spend beyond the budget.
With tight resources it's tough to do all the maintenance and
training that's needed. Energy management (not "a project
here, a project there") offers the means to deliver lower and lower
costs, year after year. But working out those savings
requires a deep understanding of what makes up that total monthly