Batesville Casket Company’s innovative reforestation program is an exemplar for the sound business strategy of reducing carbon footprint while, in turn, generating higher revenues. The organization realized the growing demand for wooden caskets, and returned to production of wooden in addition to metal caskets around 1970’s. Wood being a renewable resource provided an opportunity for reforestation, positioning it as a chance for a ‘living memorial’ for the deceased through planting a tree sapling. The program has had huge success in terms of preserving the environment as well as increasing the revenues for the organization.
Innovation
Batesville Casket Company is a leader in the North American death care industry through the manufacture, distribution, and sale of funeral services products to licensed funeral establishments. Batesville’s products consist primarily of burial and cremation caskets, but also include containers and urns, selection room display fixturing for funeral establishments, and other personalization and memorialization products and services, including creating and hosting websites for funeral homes.
Batesville has successfully aligned its sensitivity to the environment and its customers by designing their ‘Living Memorial Tree Planting Program’. This program enables the organization to ensure reforestation while positioning the offering as an opportunity for family of the deceased to honor their loved one with a lasting memorial. For every casket, urn or cremation container purchased, via special arrangements with various government agencies, a tree seedling is planted in selected woodlands throughout the world. The funds for the new tree stock are provided by the organization and planted in co-operation with United States Forest Services. In addition to the United States, Batesville is working on international reforestation projects with the Grand River Foundation, the Canadian Forestry Association, the Australian Trust for Conservation Volunteers, and the National Forest Company in the United Kingdom. The species and locations of the trees are determined by the government agencies in charge, based upon the greatest reforestation needs. The organization also equips funeral directors with promotional materials to help them spread the word about the program in their area of operation.
The organization further ensures efficient use of wood as a resource and makes it affordable for the customers to choose a wooden casket by its wood veneers and engineered wood composites. The organization’s novel veneer manufacturing process offers improved structural integrity and eliminates defects found naturally in wood. Better still, it permits efficiency in resource use by using 95% of the tree significantly reducing waste.
Impact
The positive impact of the innovation for both the organization and the environment is evident in the high revenue growth for the company and impressive statistics of tree plantations for the environment. Hillbrand Inc., the holding company of Batesville has achieved quarter to quarter revenue growth, with second quarter for 2008 up by 5.6 percent from last year. The revenue forecast for the year is also favorable as reported by the organization.
The success of the program is also clear from the fact that they continually receive requests from families who wish to plant trees in addition to the ones provided by the organization through its program. From its inception to 2007, the organization has planted well over 11 million trees. The United States Forest Service plants approximately 154 trees per acre, therefore this program has reforested more than 71,500 acres of federal forest lands. According to the company, the production facilities and 10,000 Hillenbrand employees generate about 23,000 tons of CO2 per year. Since one acre of trees absorb about 2.6 tons of CO2 per year, they proudly claim to take out of the atmosphere at least 100,000 tons of carbon a year more than what they generate.
The company received a Project Award from the National Arbor Day Foundation in 1999 for their pioneering work in memorial reforestation.
Inspiration
The initiatives of Batesville stem from its philosophy of long-lasting commitment not only to the environment but corporate excellence in general. The upgrades of their plant facilities exceed standards set by the United States government. For wood procurement, in areas they do not have direct control they use a company that has a substantial environmental policy. They have a significant ongoing review of their distribution systems. In their test markets they have saved about 300 miles of travel a month in trucks using a global positioning system arrangement. All these reflect the deep-rooted motivation of the organization to included environmental consciousness as an important facet of its business strategy.
Through its reforestation initiatives, now supported for more than 30 years, the organization is making sure that posterity experiences the beauty of a green planet as their customers create a lasting legacy of their loved ones for a life well lived.
The World Inquiry editorial team edited this profile from the original submission of the interviewer or other source. The views expressed do not necessarily represent Case Western Reserve University, the Weatherhead School of Management or the Center for Business as an Agent of World Benefit. More >>
