Commercial Investment Real Estate March/April 2018 | Page 13

those same areas now are blocking development because of concerns about sustainability or responsibility for long-term environmental liabilities. Ensuring Safety Anyone who’s worked in manufacturing for more than a few years has heard stories about what people do at their jobs in other countries that would be considered appalling in Western econo- mies. For example, an employee at a smelter who wore one shoe. The shoe went on the foot over which the worker ladled material from the crucible to the mold, and the liquid metal sometimes dripped. He could only afford the one shoe, so he bought just the one shoe and worked in the smelter with one bare foot. Although it may be considered the cultural norm to work in a smelter bare-footed or single-shoed where this worker is located, it isn’t acceptable in the U.S. or European countries. Global com- panies cannot tolerate these disparities. International organizations are becoming more involved in workers’ rights and ensuring that basic standards of safety are universal, rather than dependent on local norms or employees’ desperation for work. Also, workers in global companies want to know that employees are treated ethically at all levels, inde- pendent of location. Regulating Supply Chains Many global companies already are implementing this concept for safety. For example, injuries for subcontractors have to be included in the organization’s total safety statistics. Responsi- bility for suppliers, both safety and environmental, has become critical for a global economy. Ignorance of where a company’s supplier sources raw materials or how employees are treated at supporting facilities no longer is acceptable. It also is becoming harder to believe. The perennial media attention that personal electronics com- panies receive about working conditions in assembly factories, which are not owned or operated by the design firm, is publicity no company wants. Also, the responsibility for injury and death in these facilities are statistics no firm wants on its resume. Globally, consumers are concerned about how the products they purchase are sourced. As more ethical and sustainable options are presented, the longevity of a business may depend on ensuring that every life stage of its product meets the highest standards for compliance with environmental and safety regulations. Andy Bajorat is chief operating officer and principal at BBJ Group, an environmental consulting firm in Chicago. Contact him at [email protected]. Join CCIM Institute and STDB at Save the Date: May 21-23, 2018 Las Vegas Convention Center Booth #C2020 Members can use the CCIM booth to meet with clients at the world’s largest retail real estate convention. CCIM.COM March | April 2018 11