Apple Going Green

In October 2015, Apple an electronics conglomerate; signed the White House pledge “American Business Act on Climate” with 80 other companies. Apple’s CEO Tim Cook said in a statement “Climate change is one of the great challenges of our time, and the time for action is now. The transition to a new green economy requires innovation, ambition and purpose. We believe passionately in leaving the world better than we found it and hope that many other suppliers, partners and other companies join us in this important effort.” Consequently, it was no surprise when Apple recently announced that 87% of their global operations are powered by renewable energy; with the U.S. being 100% converted. The percentages seem staggering, but they only calculate to 1% of their carbon footprint across the globe. Clearly aware; Apple has now turned an eye to their supply chain in China to further their efforts. Apple plans to install 2 gigawatts of renewable energy and is partnering with suppliers to accomplish this goal. For instance, Foxcom an Apple supplier; will construct 400 megawatts of solar by 2018. Apple also said they will make an additional 280 watts of clean energy available for use by 2016. The electronics powerhouse is also pushing for their manufacturers to implement change as well. In carrying out this change, Apple expects to eliminate 20 million metric tons of greenhouse emissions. Apple’s commitment to continue their environmental responsibility by signing the pledge; and continuing to make environmentally conscious changes will have a positive impact on the company, the supply chain community, and society as a whole.

Undoubtedly, going green will have a positive impact on Apple’s profits. For instance, Apple is a large company that relies heavily on energy; especially to power their massive supply chain in China. The cost Apple would incur using fossil fuels instead of solar energy would be at drastically higher cost. Implementing an alternative energy source...