Exporter of the week: service company driving business sustainability in Latin America
Arco Consultores is a Colombian company that exports consulting services in business sustainability and corporate responsibility. Its operations focus on advising companies on how to manage their economic, social and environmental impacts more effectively.
Arco Consultores advises companies, analyzes, implements and follows up on corporate sustainability, corporate responsibility, social and environmental management programs, in accordance with the organizations’ sustainability strategy.
With its operations, this Colombian service exporting company helps organizations identify opportunities for environmental improvement, reduce their impact on the environment, mitigate any associated risks and identify a particular situation with business sustainability.
Arco Consultores currently provides its services in several Latin American countries and has extensive experience in the pharmaceutical, forestry, IT, food, engineering and insurance sectors, among others.
Their proposal is not only based on advising, but also on accompanying clients during the implementation of solutions, because they believe in results more than deliverables.
We spoke with Ana Lucía Daza Ferrer, co-founder and current Consulting Manager of Arco Consultores, who shared with us her vision about these issues, which in recent years have become increasingly relevant for Colombian companies.
Daza Ferrer tells us that Arco has “broken out of the mold” to change not only the organizations, but also the people and thus achieve that sustainability is in the corporate DNA.
Below, we transcribe part of the interview, which you can watch in full in the video located at the top of the page.
Why is it important for companies to focus on these business sustainability issues?
When we talk about corporate sustainability, basically what we do is analyze the economic, social and environmental impacts of an organization to see where they are.
There we can see not-so-positive impacts, negative impacts, opportunities for improvement and establish measures to improve and mitigate those negative impacts.
Likewise, identify the positive impacts and be able to potentialize and maximize them.
We commonly see negative environmental impacts of an operation, such as pollution, waste generation, health risks for people, due to the organization’s activities.
These are impacts that we are going to identify. From there we establish measures so that they do not continue to occur.
For example, in positive impacts we will have the generation of employment and issues of environmental value generation, such as recycling strategies.
The idea is that we do not only see the negative.
When we talk about sustainability and corporate responsibility within the organization, we always seek a balance between the economic, social and environmental aspects.
What we want is that the economic performance of companies and their value chains does not imply environmental and social deterioration.
What benefits can sustainability bring to organizations?
The first thing is to take responsibility. Precisely those impacts I was talking about earlier, how to behave ethically and appropriately.
But in reality, what this implies is to be maintained over time, since it is a market requirement to manage sustainability issues in organizations in order to continue.
This generates trust with stakeholders, such as customers, users and the communities where we operate.
This will be reflected in something we value highly in organizations: reputation.
Caring for and improving the company’s reputation is fundamental for us, so that we can continue to project ourselves as an organization that is at the forefront, which helps corporate responsibility.
Corporate responsibility is a topic that ranges from minimizing risks at the day-to-day operational level, to marketing, visibility and long-term trends.
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Does this apply to large, small and medium-sized organizations?
Traditionally, these are issues that have been driven by large companies. Precisely because the larger the company, the greater the sustainable impact.
These issues have been driven by large companies, multinationals, companies in sectors such as mining and energy, very large industries.
But in reality, sustainability issues apply to all organizations regardless of size. All of them, no matter how small, have an economic, social and environmental impact.
So what to enhance, what to improve?
Ethical behavior does not differentiate between company sizes. It may be that for the smaller ones it is a little more challenging, because they are issues that often require technical issues, external support. That is where Arco Consultores comes in.
But the truth is that, nowadays, there are many instruments and information. That is what corporate responsibility is all about.
Which countries has Arco reached and what are you marketing at the moment?
We are in Latin America. Our home is Colombia and most of our operations are Colombian, but for several years we have found this opportunity to export the services we provide to different countries in Latin America.
For example, we have reached Chile, Mexico, Peru, Paraguay, Costa Rica and Ecuador. These are different countries where the challenges we face in terms of sustainability are continental.
However, each country has its own particularities and common challenges, and the truth is that in Colombia we have made interesting progress in terms of sustainability, management of objectives and sustainable development.
In terms of circular economy, which is the line we work most in Arco, our know-how has made us of great interest in other Latin American countries.
How did you manage to reach these other countries with these Colombian services?
We have made several strategies, but the important thing is to have a local partner. This is something that in sustainability and corporate responsibility is very important, because knowledge of the territory, knowledge of local conditions, of the ways of doing business is essential.
That is why we have local allies in all the countries where we operate.
Many times, from Colombia, one does not realize that there are many bidding opportunities that are open for organizations from different countries.
For example, in Mexico, a bidding process is open for foreign companies. That is when our local partner alerts us to participate, through the platforms of different entities.
Another strategy is through international entities with which we have worked, such as the Global Compact Network Colombia, a United Nations entity.
Is corporate sustainability costly?
I think it is more expensive not to be. You can do sustainability with your own resources, without the need for an additional budget.
It is a matter of being judicious, reading, seeing what resources are available, making self-diagnoses and starting to implement them little by little. In the end, we are all doing something.
All companies are doing activities that have an economic, social and environmental impact.
With a small budget, the company will make progress and, suddenly, there will be projects that do require large investments, but these investments always have a return and a positive impact. In the end, everything in sustainability is seen as an investment, not as an expense.
Is Colombia an important player in organizational sustainability issues?
I think so. At the Latin American level, yes, we are strong.
In addition to the Global Compact Network in Colombia, there is an entity that is the Global Reporting Initiative (GRI), which is important in the sustainability reports it delivers, and its headquarters are in Colombia.
Seeing these international entities here in Colombia gives us an opportunity to appreciate the importance of the country.
In Colombia we already have a culture of working for sustainability and that is something very important because we have very strong social and environmental resources. That has made us want to take care of them and enhance them.
We still have a long way to go, as everywhere, but I do believe that we are a strong player.
For example, in circular economy, which is one of the things we do most, Colombia is one of the Latin American countries with the greatest progress in terms of legislation and strategies. We are on the right track.
That is why in Arco we have been able to export our services, because we have had very good experiences in Colombia that can be replicated in other countries.
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What are the trends in organizational sustainability that all companies should follow, and what advice can you give them to implement them?
The circular economy, without a doubt, in addition to the whole social issue, which is very much on trend.
By social I mean everything that has to do with the protection of human rights, such as respect, protection and promotion. The whole issue of diversity and inclusion in the work of the organization is also very important. In turn, everything that has to do with gender in social issues.
Environmentally, the circular economy and climate change are the two big trends, which are aligned with corporate responsibility.
These are realities that, in many organizations, we have to start working on. We must analyze other impacts such as technology and artificial intelligence, which also have an impact on sustainability.
What recommendation can be given to organizations?
Prioritize. When you start working on sustainability issues, you always want to cover a lot of things and want to do everything. So we end up with a sea of opportunities with very little depth.
What we recommend is to analyze your business and value chain reality; identify where your real sustainability impacts are and focus on that priority.
The important thing is not to do for the sake of doing because another company started. You don’t necessarily have to do climate change or carbon footprint work if it doesn’t apply to your company.
Companies should analyze what is most critical. Prioritizing is key to have a focus and really generate a change.
What should Colombia as a State work on so that its companies manage to sell more of their services and products in a sustainable manner?
International markets are very zealous for these companies to have that kind of impact, such as carbon footprint.
There are international markets, such as the European market, which is very demanding in terms of sustainability. Thus, to be able to export a flower, a coffee, a special product, requires sustainability standards and certifications of the highest level.
That is why it is necessary for the Colombian government to strengthen the internal capacities of Colombian organizations in sustainability and corporate responsibility, so that they can reach those standards of other countries.
This is achieved through training and investment, to generate skills and knowledge within the people working in the organizations, who can implement best practices, as well as export their products or services.
Everything must start with education and capacity building.
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