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Good PR, bad PR
October 19, 2007

Process industry companies do not exist in a vacuum. They reside in given communities and affect the lives of those around them. Here are two examples of how companies can improve or hurt their own cause.

Good PR: GE Water & Process Technologies selected Archer Daniels Midland for its 2007 global ecomagination leadership award. GE says that ADM implemented a sustainable water management program more than ten years ago, and the payoff has been conservation of 150 million gallons of water annually, and $1 million in annual operational savings. The press release includes this quote from Bill Manley, plant manager of the Decatur facility: "At ADM, we know that taking a sustainable business approach doesn't just benefit our environment and communities, it benefits our company as well. Our Decatur site has been reusing wastewater for more than a decade. Using GE's wastewater system and cooling tower treatment solutions, we minimized our reliance on municipal water sources, conserved fresh water supplies, and improved our operational efficiency."

It's good news. Everybody benefits. GE looks good, and ADM looks good. Who wouldn't want a company like that as a neighbor?

Bad PR: This morning the Chicago Tribune reported that BP is going to be relocating or laying off more than 3,000 people in the Chicago area, including many at its Naperville facility that it inherited from Amoco. While it will not close that operation entirely, many will face either forced relocation to Houston or a straight layoff. This kind of thing happens with companies the size of BP all the time, but in this particular case it isn't going to help BP's situation as it struggles with the environmental controversies in Whiting. Given that Whiting is in Indiana, anyone in Illinois who wants to bring pressure on that project over Lake Michigan will have even less reason to hold back. As BP reduces its profile in Illinois and moves more to Texas, Illinois politicians have little to lose by opposing the refinery upgrades and associated pollution by any means necessary. I'm sure BP knows this and figures that the cost of maintaining the Naperville facilities is much worse than a little bad PR, if that thought entered into the discussion at all.

Posted by Peter Welander on October 19, 2007 | Comments (0)



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