The History of Henry Kravis of Kohlberg, Kravis, Roberts & Co and the Environmental Defense Fund
Kohlberg, Kravis, Roberts & Co (KKR) was set up by Henry Kravis and his partner George Roberts in 1976 with the help of the First Chicago Corporation. But they have launched an innovative green enterprise that centers not merely on maximized profit margins, but also on the environmental impact of the companies they control.
Green business processes went mainstream last year when Kohlberg, Kravis, Roberts & Co’s Henry Kravis and the independent Environmental Defense Fund (EDF) got together. Their objectives include encouraging companies in fighting against practices which may threaten the environment like toxic emissions not to forget outrageous consumption of water resources.
Eco-efficiency (a phrase initially submitted by the WBCSD) mandates the framework for their mission, by employing techniques such as reducing the dispersion of toxic chemicals, reducing the intensity of materials and recycling programs. The program was a great success, yet the management did not grasp the full program’s benefits until the man responsible for the project, Ken Mehlman, evaluated the numbers from the program when it had been operating for its first 12 months. Beating all expectations, Ken learned that applying eco-efficiency not only cut back on the impact on the environment, but was increasing the profitability of every last business as well. Almost all of the businesses associated with KKR and Ken Mehlman today are participating in eco-efficiency. If you think about the fact that this group of companies is worth $86 billion, you can see what an enormous feat this is.
KKR alongside Ken Mehlman are extending the Green Portfolio project. The Climate Corps Program administered by the EDF is one of these, it heightens awareness of eco-efficient business techniques to MBA interns.
KKR and Ken Mehlman have made the effort to formulate a package of metrics that will be able to quantify and manage resources. Systems like these permit staff see how ecologically friendly they are and discover any problem areas.
Henry Kravis, the KKR, and the Environmental Defense Fund really are groundbreakers when it comes to encouraging green business techniques. These innovations have simplified the procedure for firms in any industry and demonstrated that running a profitable business need not entail the hefty price of damaging the environment.
