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E35: Small Business ESG – Here’s the Scoop with Christy Cook
Episode 3514th March 2023 • Hourly to Exit • Erin Austin
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Environmental, social and governance (ESG) is a term used to represent an organization's corporate financial interests that focus mainly on sustainable and ethical impacts. Despite the war on “Woke”, ESG is here to stay and not just for large public companies. Christy Cook, an expert who focuses on ESG for small to medium size businesses, joined the podcast to talk about the subject and shed some light. Christy is an amazing resource, as is her business – InvestHER Strategies. We talked about the importance and permanence of ESG and some other issues, including:

  • How to incorporate ESG into the fabric of your business
  • Top 3 ways to scale from an ESG perspective
  • Why ESG matters for businesses of any size
  • BONUS: we covered some truly inspiring prompts for a daily journaling practice

I hope you enjoy this podcast as much as I did. Using our businesses to create an economy that works for everyone is why we’re here. If you are thinking about scaling your business, ESG is clearly crucial. So is IP, and if you want to know more about how to grow your business through your IP, contact me.

Connect with Erin and find the resources mentioned in this episode at hourlytoexit.com/podcast.

Erin's LinkedIn Page: https://www.linkedin.com/in/erinaustin/

Think Beyond IP YouTube Page: https://www.youtube.com/channel/UCVztXnDYnZ83oIb-EGX9IGA/videos

Music credit: Yes She Can by Tiny Music

A Team Dklutr production

Transcripts

Erin Austin:

Hello everyone.

Erin Austin:

Welcome to the Hourly to Exit podcast.

Erin Austin:

I am very excited for my guest today.

Erin Austin:

Christie Cook.

Erin Austin:

Hi Cristy

Christy Cook:

Christie.

Christy Cook:

Hi, Erin and everyone

Christy Cook:

. Erin Austin: I'm super excited for

Christy Cook:

are very timely, but this one is particularly so because of some current

Christy Cook:

events around, Christie's expertise.

Christy Cook:

So we're are going to dig in.

Christy Cook:

But first Christie, would you introduce yourself to the audience?

Christy Cook:

Audience Yeah, sure.

Christy Cook:

So Christie Cook, as everyone has just been notified.

Christy Cook:

Yes.

Christy Cook:

I've been in the corporate sustainability space for about 20 years now, working with

Christy Cook:

large corporates, consulting, and I have really found my passion here recently.

Christy Cook:

and my goal is really working to help startups and small, medium business.

Christy Cook:

To incorporate ESG, it's really important.

Christy Cook:

They're less resourced and, hugely important.

Christy Cook:

And so I'm excited to get to use that expertise to help folks.

Christy Cook:

And, my company is named Investor Strategies, so yeah,

Erin Austin:

you'll find this audience is also, we're kind of full of of big

Erin Austin:

company people, refugees I'd say, who are using our expertise that we learn

Erin Austin:

there and translating it for a different audience, who doesn't have, in-house

Erin Austin:

people either in-house council or in-house ESG experts, which is, what

Erin Austin:

I love to do with these episodes.

Erin Austin:

So, ESG, just to repeat it for the audience that stands for

Erin Austin:

Environmental Social Governance.

Erin Austin:

So in my former life, you know, working with public companies, E S G was a big

Erin Austin:

topic, and certainly something can be covered in, public filings and the like.

Erin Austin:

Mm-hmm.

Erin Austin:

great.

Erin Austin:

And that's something we hear a ton in this smaller business entrepreneurial world.

Erin Austin:

but it's certainly in line with the mission of this, podcast, which is

Erin Austin:

to create a more equitable economy.

Erin Austin:

And so we're gonna talk about the concepts as they apply to this audience.

Erin Austin:

But first is a bit of background.

Erin Austin:

Tell us how ESG shows up in those larger public

Christy Cook:

companies.

Christy Cook:

Oh my goodness.

Christy Cook:

The large public companies, huge.

Christy Cook:

and in many cases they've been working on this for some very long time, some

Christy Cook:

20 years, you know, it's evolved from the words corporate responsibility,

Christy Cook:

corporate social responsibility, sustainability, and while each

Christy Cook:

of those are actually different.

Christy Cook:

Basically the common thread is that large corporates have been

Christy Cook:

doing things around the environment and diversity and the governance

Christy Cook:

of those issues for a long time.

Christy Cook:

in many ways, and where it's showing up now specifically too, is a lot in

Christy Cook:

supply chain that's mostly related around carbon as well as, human

Christy Cook:

capital, how people are being treated.

Christy Cook:

and so those are some very common ways.

Christy Cook:

It's showing up right now.

Christy Cook:

. and, you know, ESG really started how it emerged.

Christy Cook:

Really a framework for looking at, risk and performance really

Christy Cook:

from a financial standpoint.

Christy Cook:

So, if someone's investing in a company, what are the risks

Christy Cook:

associated in those three categories?

Christy Cook:

And it gives 'em a framework to really look at.

Christy Cook:

. And what we're seeing now too is just an evolution of doing it for many reasons.

Christy Cook:

One's political pressure, political meaning from their

Christy Cook:

board or even from customers.

Christy Cook:

so that's one way that companies are experiencing that right now a lot of

Christy Cook:

regulatory compliance is happening and, again, The war for talent,

Christy Cook:

you know, attracting and, retaining those employees and also really

Christy Cook:

looking at growing your business.

Christy Cook:

right now if you're gonna grow your business, you've gotta

Christy Cook:

be prepared to talk about the things you're doing around E S G.

Christy Cook:

it's starting to be required in RFPs, so request for proposals.

Christy Cook:

if you're gonna bid with a large corporation, you can see that as well.

Christy Cook:

So those are a couple of ways.

Christy Cook:

It's showing up in the world right now and a little history of how we

Christy Cook:

are, where we are in a high level.

Erin Austin:

Yeah.

Erin Austin:

Well that leads me to recount a story that I heard recently from a friend,

Erin Austin:

and I'll make sure I don't get it wrong.

Erin Austin:

He said this, this was about his decision to change his

Erin Austin:

major from economics to English.

Erin Austin:

Mm-hmm.

Erin Austin:

, he said the great Milton Friedman came to my college and

Erin Austin:

addressed the economic club.

Erin Austin:

He was bragging about his pivotal role in Nixon's wage and price controls.

Erin Austin:

I'm, I'm a woman of a certain age, which addressed the problem of inflation

Erin Austin:

by intentionally throwing the country into a recession in the q and a.

Erin Austin:

I asked him, since the government intentionally caused the recession so

Erin Austin:

as to benefit the many, what was the go?

Erin Austin:

Moral obligation to those who lost their employment due to the recession.

Erin Austin:

His answer was there was no moral obligation.

Erin Austin:

I knew then that economics was not for me.

Erin Austin:

And you know, this was the seventies I'm thinking.

Erin Austin:

But today, more than ever, you know, consumers care.

Erin Austin:

Yeah.

Erin Austin:

Employees care.

Erin Austin:

All the things you just said.

Erin Austin:

And for better or worse, our corporations and our employers kind of reflect the

Erin Austin:

way that we view the world, right?

Erin Austin:

Yes.

Erin Austin:

And, to share our values.

Erin Austin:

So one, why is this still.

Erin Austin:

of controversial.

Erin Austin:

Uhhuh, and two, do you think that corporations, as he was talking

Erin Austin:

about the government, do corporations have a moral obligation regarding

Erin Austin:

the externalities of what they do?

Christy Cook:

Great questions.

Christy Cook:

It's so exciting too, by the way.

Christy Cook:

You know, I think one of the things that's happening right now, obviously

Christy Cook:

you used the word controversial and it's true, but why is it controversial?

Christy Cook:

It's controversial because we're hearing things and we're seeing 'em in the news.

Christy Cook:

We're seeing things on social media, and the biggest takeaway

Christy Cook:

to know is everyone can have.

Christy Cook:

Agenda and different agendas, but the solid takeaway, no matter

Christy Cook:

what, E S G is not going away.

Christy Cook:

Okay?

Christy Cook:

That's the bottom line, and that's what people need to know.

Christy Cook:

There can be different, people in groups that, are supporting a

Christy Cook:

certain interest here or there, but please know it's not going away.

Christy Cook:

a couple of things about why it's not going away and why you need to

Christy Cook:

prepare, because I always, look, I've been in corporate sustainability

Christy Cook:

for a little over 20 years, and.

Christy Cook:

When I'm looking to see what's happening in the US I start looking

Christy Cook:

abroad and what I normally see is there's about a three year lag time

Christy Cook:

between what's happening in the UK or the EU and it coming here to the US.

Christy Cook:

and we are in that timeframe right now, and the EU has some strong regulations

Christy Cook:

that have been in place for some time.

Christy Cook:

And 2024 is the first year of reporting that these large corporations are

Christy Cook:

going to be doing this for 20, 25 year.

Christy Cook:

. And frankly how we see that showing up here in the US is really in two ways.

Christy Cook:

One is large corporates, they're global.

Christy Cook:

They have to comply with these regulations, and what that means is that

Christy Cook:

it comes here in the US and it impacts others all within their supply chain.

Christy Cook:

So if you're working with a large public, which is where

Christy Cook:

it really starts in most cases.

Christy Cook:

It's there, you're going to have to be prepared for it.

Christy Cook:

So the opportunity that I see for small and medium companies right now is,

Christy Cook:

it's not required, but you're gonna start to feel pressure, particularly

Christy Cook:

from these large Publix, get ahead of it, figure out what you need to

Christy Cook:

do, and you're gonna be better for it and stronger in the long run.

Christy Cook:

So that's really the first thing of how I see things happening.

Christy Cook:

I think the second part of that, and how we're seeing this come to fruition though,

Christy Cook:

is we now have, this, carbon accounting, this carbon disclosure requirements.

Christy Cook:

It's in the SEC right now.

Christy Cook:

It's a rule that has been out for, a while now.

Christy Cook:

It's still in comment period.

Christy Cook:

But what it's going to require is very similar to what's happening

Christy Cook:

with the eu, where large publics are gonna have to disclose.

Christy Cook:

and likely that'll start about 2025.

Christy Cook:

And, you know, everything's a little bit of a guess, but that's where it's coming.

Christy Cook:

So again, it's not going away.

Christy Cook:

Yes, there's a lot of people that have a lot of different opinions on it,

Christy Cook:

but the takeaway is to get prepared, because it is coming and we have an

Christy Cook:

opportunity to do some really cool things.

Christy Cook:

I asked myself this like, one of the things is I think if you ask someone,

Christy Cook:

Hey, do you want your company?

Christy Cook:

Do you want the economy to do well?

Christy Cook:

Do you want people on the planet to thrive?

Christy Cook:

Yes, is the answer.

Christy Cook:

So this is why ESG matters.

Christy Cook:

It's why sustainability matters and why people in companies can take part in this.

Christy Cook:

And, one other part, kind of to your question.

Christy Cook:

You asked about companies, and I really touched on that a lot.

Christy Cook:

But you're also seeing this in government and it's really a crossover

Christy Cook:

of how it impacts, corporations as well, because we've got executive

Christy Cook:

orders that are out requiring this.

Christy Cook:

So if you're a company that's looking to work with the government, you're

Christy Cook:

gonna be required to do this as well.

Christy Cook:

So, multi-pronged approach that's happening here in the us.

Christy Cook:

. Erin Austin: Yeah.

Christy Cook:

I you mentioned a couple of things.

Christy Cook:

You know one about how the EU is leading the charge on a number of issues.

Christy Cook:

You know, we saw this with data privacy.

Christy Cook:

Yes.

Christy Cook:

Where they had much, greater data, privacy issues over there.

Christy Cook:

Over here.

Christy Cook:

Still, taking your information, doing whatever the heck we want to with it.

Christy Cook:

And finally, that caught up with us.

Christy Cook:

and we really haven't caught flatfooted, frankly, because we

Christy Cook:

don't have a nice federal law.

Christy Cook:

We've got all these different state laws, which are a bit of a mess.

Christy Cook:

but to be able to, say that you can comply at that highest level definitely

Christy Cook:

gives you a leg up . And then the other thing is being part of that

Christy Cook:

supply chain, you know, as someone who reviews, contracts from, big corporates

Christy Cook:

to, smaller service-based businesses and the size of them, I actually.

Christy Cook:

I think it was today, I, wrote a, piece about the, emergence of the

Christy Cook:

100 page MSA, which is Oh yes.

Christy Cook:

Cause of all these things that they want you to comply with and it

Christy Cook:

will be not at all unusual to have.

Christy Cook:

Entire exhibits about ethics, compliance and all these things and as they are more

Christy Cook:

required, I'm sure, at the public company level to report, their ESG, initiatives

Christy Cook:

that they will wanna make sure that everyone in their supply chain is clean.

Christy Cook:

You know, nobody wants to get caught.

Christy Cook:

thinking, I think it was a Cambridge Analytics that was a

Christy Cook:

couple years ago who Facebook was using and Cambridge Analytics.

Christy Cook:

doing all sorts of crazy stuff with data and they don't wanna get caught up with

Christy Cook:

that cuz the people will be canceled.

Christy Cook:

Right.

Christy Cook:

We know that information spread so quickly and people do.

Christy Cook:

protest with their wallets.

Christy Cook:

And so just be ready for that,

Christy Cook:

For sure.

Christy Cook:

Yeah.

Christy Cook:

And I, think you bring up two points I'd like to comment on is, I've

Christy Cook:

worked also with, an environmental tech company and one of our large

Christy Cook:

enterprise clients, is a large global, Web-based technology type company.

Christy Cook:

The very first master services agreement we had with them was three pages.

Christy Cook:

When we went through the renewal process, just the data and security was 18 pages.

Christy Cook:

Yes.

Christy Cook:

. And, yes.

Christy Cook:

It was part of, some of the more stringent.

Christy Cook:

Things around data and privacy and security of course,

Christy Cook:

which is also part of E S G.

Christy Cook:

Mm-hmm.

Christy Cook:

, by the way.

Christy Cook:

Mm-hmm.

Christy Cook:

not everyone thinks about that, but that is actually part of ESG is data

Christy Cook:

security, the protection of, identifiable personal information for people.

Christy Cook:

Yeah.

Christy Cook:

Mm-hmm.

Christy Cook:

but yeah, for sure.

Christy Cook:

So I just think that's so interesting and, if you really.

Christy Cook:

And part of it is my feed, my newsfeed, right?

Christy Cook:

The algorithms work.

Christy Cook:

But I probably see two to three stories every day about another company that

Christy Cook:

has, been fined or been identified for, not meeting some regulations

Christy Cook:

that they thought they were meeting or perhaps it was intentional.

Christy Cook:

There's a lot of different ways this happens.

Christy Cook:

but it's way more commonplace.

Christy Cook:

It really is.

Christy Cook:

So gotta pay attention.

Erin Austin:

yeah.

Erin Austin:

Speaking to the three page versus the, hundred page m s a, I've been working

Erin Austin:

with this one professional services firm for about 10 years, and at the very

Erin Austin:

beginning, most of their clients, like 99% of them would just sign the quote.

Erin Austin:

Like they'd send over a quote and they'd sign it and they'd

Erin Austin:

go and That does not happen.

Christy Cook:

Not anyone, not any longer

Erin Austin:

so speaking of the controversy, I just read an article,

Erin Austin:

about the co-founder of Home Depot, who was complaining about woke diversity in

Erin Austin:

his words, because it doesn't benefit the bottom line and that pursuing

Erin Austin:

these ideological agendas is at the expense of solid financial returns.

Erin Austin:

So do the number support his contention?

Erin Austin:

E S G doesn't benefit the bottom line.

Christy Cook:

No, is the short answer, but I think that the

Christy Cook:

important thing that anybody should take away is, I think you can find

Christy Cook:

a fact and an argument to that fact.

Christy Cook:

everywhere.

Christy Cook:

You can, I think in some ways it's, the quality of the assessment.

Christy Cook:

you can make data do almost anything if you want to, But at the same time,

Christy Cook:

I think that , the clear answer is, again, if we want people in the planet

Christy Cook:

to thrive, obviously we have to do it in a way that makes financial

Christy Cook:

sense because businesses have to be in business in order to do good.

Christy Cook:

So in no way is this saying that you should, do something at the expense of,

Christy Cook:

your business being sustainable in itself, that's definitely not what it should be.

Christy Cook:

But yes, the numbers show, That you're going to attract more talent.

Christy Cook:

You typically will retain that talent.

Christy Cook:

You are going to attract the customers that you want.

Christy Cook:

these numbers just prove it.

Christy Cook:

And another area that I would say that's, Emerging even more.

Christy Cook:

And as, as important as you're scaling up, I think, that's

Christy Cook:

a lot of what you talk about.

Christy Cook:

Right?

Christy Cook:

And I do too.

Christy Cook:

But when you're scaling up, it's important to realize and understand that financial

Christy Cook:

institutions are looking at E S G.

Christy Cook:

100% they are.

Christy Cook:

And.

Christy Cook:

78% of companies that have E S G are more likely to get funded.

Christy Cook:

and what I mean by the specific statistic is that 78% of investors are

Christy Cook:

looking to ensure that you have E S G in the foundation of your business.

Christy Cook:

And again, that's important because.

Christy Cook:

If you're trying to scale up, you're likely trying to get funding.

Christy Cook:

You need to scale a team.

Christy Cook:

Let's attract and retain that talent.

Christy Cook:

You need to have consistent revenue and growth.

Christy Cook:

Well, let's make sure customers wanna buy.

Christy Cook:

And you know what?

Christy Cook:

Let's avoid that regulatory risk and fines.

Christy Cook:

So have your E S G practices in place.

Christy Cook:

I know it's complex and it can get even more complex.

Christy Cook:

It can't, but you know what, it doesn't have to be that way.

Christy Cook:

So do something.

Christy Cook:

One other point, I would just say, and maybe this is my high horse, but I

Christy Cook:

hate this term woke and how it can be used in a lot of different ways, but

Christy Cook:

ultimately, don't we all wanna know more, more information is powerful.

Christy Cook:

so.

Christy Cook:

I hope I continue to learn more.

Christy Cook:

And you know, if you're going to call that term woke, I just think it's

Christy Cook:

intelligence, and wanting to strive to always learn something because I

Christy Cook:

learn something every day, frankly.

Christy Cook:

And, it's one of the journal questions that I ask myself every day too.

Christy Cook:

What did I learn today?

Christy Cook:

Whether it's a statistic or something personal, but I think we

Christy Cook:

should always be striving to learn.

Christy Cook:

. Erin Austin: I love that.

Christy Cook:

I love that you journal about what you learned each day.

Christy Cook:

I try to, journal about gratitude.

Christy Cook:

yes, but, I learned today.

Christy Cook:

I like that one.

Christy Cook:

Sometimes they're surprising

Christy Cook:

but it's a quest to, Know myself better, be better, and do better.

Christy Cook:

And, if you're not asking yourself those questions, you can miss it.

Christy Cook:

And I think it's important.

Christy Cook:

It's been really eye-opening for me, so that's fantastic.

Erin Austin:

So let's talk about what you do specifically with your clients.

Erin Austin:

So who are they, what pain are they feeling that they say, I need to talk to

Erin Austin:

Christie, and how do you work with them?

Christy Cook:

Great question.

Christy Cook:

you know, the pain is in some ways what we've talked about already.

Christy Cook:

I'm really focused right now on startups that are scaling.

Christy Cook:

And the reason why is, you know, in a perfect world, I would love

Christy Cook:

to see more women and people of color receive more funding.

Christy Cook:

even.

Christy Cook:

Typically, these are businesses that are focused more on people in the

Christy Cook:

environment, which I care deeply about.

Christy Cook:

So it really aligns, to what I'm trying to do.

Christy Cook:

But ultimately, E S G is important for everyone.

Christy Cook:

So I am focused on startups and helping them build that fabric of E S G in

Christy Cook:

their company as they're scaling.

Christy Cook:

And again, I think it hits four business issues immediately.

Christy Cook:

better prepares them and positions them to get funding against

Christy Cook:

others and get more funding.

Christy Cook:

revenue growth through customers attracting and retaining talent,

Christy Cook:

and also that regulatory compliance.

Christy Cook:

And the way I try to work with these companies, especially the startups and

Christy Cook:

the small businesses, is, you know, They may not have the technical knowledge,

Christy Cook:

they may not have the expertise.

Christy Cook:

They're very focused on their core of what they're trying to accomplish.

Christy Cook:

So I try to make things as simple as I can by helping them understand the

Christy Cook:

most important issues that they need to focus on and how to implement those.

Christy Cook:

And what I have found is if you start your business in that way, , it creates

Christy Cook:

and fosters growth in those areas in the future, which is also important.

Christy Cook:

So that's kind of like, thinking about this, you don't have to

Christy Cook:

be doing this for 20 years.

Christy Cook:

We all start somewhere.

Christy Cook:

So start where you are.

Christy Cook:

And that's what I help clients do, understand where they are,

Christy Cook:

what the most important issues are, how to address those.

Christy Cook:

And where that comes down is it helps 'em understand.

Christy Cook:

How to talk about E S G, fluently and how it relates to their business.

Christy Cook:

Exactly.

Christy Cook:

Again, what to focus on, how to measure performance, because

Christy Cook:

that's really important.

Christy Cook:

You've gotta be able to talk to your customers, your clients, even reporting

Christy Cook:

on what you're doing, why as well as the investors and report progress over time.

Christy Cook:

So I try to simplify that for them and provide a model and process

Christy Cook:

that can be repeatable for them.

Christy Cook:

in a way, again, understanding the amount of time they have to focus on E S G.

Christy Cook:

it's not separate, but it's often viewed that way.

Christy Cook:

So I start by educating and it becomes a real fabric of who they are and

Christy Cook:

what they do as a company that's,

Erin Austin:

Yeah.

Erin Austin:

Yeah.

Erin Austin:

Integrating it as part of their operations and not exactly doing

Erin Austin:

this thing over there that you do.

Erin Austin:

Yes, yes, yes.

Christy Cook:

Absolutely.

Christy Cook:

You know, you mentioned something earlier, the switch from, the major from economics

Christy Cook:

and one of the things that's happening right now that's really impacting

Christy Cook:

particularly small and medium businesses, but, 20 years ago when I started in

Christy Cook:

this, there really wasn't a degree.

Christy Cook:

And sustainability or E S G.

Christy Cook:

Mm-hmm.

Christy Cook:

. And a lot of it was learning in your operations.

Christy Cook:

and applying that.

Christy Cook:

Well, there's a lot more of that today in that you can get different, more

Christy Cook:

certifications and different programs.

Christy Cook:

But what we're seeing is a lot more, College students coming

Christy Cook:

at this from a data standpoint

Christy Cook:

That's great.

Christy Cook:

especially with the amount of reporting and the requirements, it's imperative,

Christy Cook:

frankly, but what I'm seeing and how that happens, and especially

Christy Cook:

in small and medium companies, is.

Christy Cook:

You get these college graduates, they know some things, don't get me wrong, but now

Christy Cook:

you've put them in an organization where perhaps the C-suite and board want E S G.

Christy Cook:

They don't quite know what that means.

Christy Cook:

They can't provide the guidance on that.

Christy Cook:

And you have this person that's typically passionate about this topic, but without

Christy Cook:

guidance and leadership and where to go.

Christy Cook:

And so that's one of the gaps to some degree that I'm seeing mm-hmm.

Christy Cook:

. it's unfortunate because also that person who's doing the work, it's

Christy Cook:

a disconnect in the organization.

Christy Cook:

They feel like they're not quite accomplishing what they want.

Christy Cook:

Mm-hmm.

Christy Cook:

. And in the long term, if that person isn't successful, if they can't manage

Christy Cook:

a complex organization where you need all this buy-in, but no one reports

Christy Cook:

to you and it's not their day job.

Christy Cook:

Right.

Christy Cook:

It's difficult and it actually leaves a mark in the company of

Christy Cook:

maybe this E S G doesn't work.

Christy Cook:

. Mm-hmm.

Christy Cook:

kinda thing.

Christy Cook:

So that's one of the things I would.

Christy Cook:

Say that I'm seeing, I'm gonna be interested to continue to watch that

Christy Cook:

and see how it progresses over time and.

Christy Cook:

That's part of the reasons why I like to work with the companies.

Christy Cook:

I think mentoring the small and medium companies, mentoring these folks, helping

Christy Cook:

them understand, some would even call it soft skills, but how you navigate an

Christy Cook:

organization, how you create buy-in at a C-suite level and what you push for

Christy Cook:

and how you have different conversations are skills that aren't always taught.

Christy Cook:

And, it's something that's incredibly valuable to the

Christy Cook:

work and the impact of the.

Erin Austin:

Yeah, there's definitely a transition that I've been seeing

Erin Austin:

for the last several years about the unsiloing of different departments.

Erin Austin:

You know?

Erin Austin:

Yes.

Erin Austin:

The legal departments just siloed.

Erin Austin:

You only talk to them if something goes wrong.

Erin Austin:

Communications is siloed.

Erin Austin:

You only talk to them if you got some messed cleanup or, for your

Erin Austin:

social responsibility group, you know, they're over there.

Erin Austin:

sponsoring some kind of charitable thing, . Right.

Erin Austin:

but bringing them all in at the earliest stages.

Erin Austin:

Yes.

Erin Austin:

So that they're all working towards the same goals there's definitely a lot of

Erin Austin:

that happening, which is great to see.

Erin Austin:

And I think that's more, but you know, the 21st.

Erin Austin:

Century model than the absolutely century model.

Erin Austin:

So that's great to hear.

Erin Austin:

Absolutely.

Erin Austin:

Well, that, that brings us too, the Hourly Exit podcast, , you know, helping to

Erin Austin:

build a scalable and saleable business.

Erin Austin:

And so there are a lot of ways you've talked about.

Erin Austin:

That would be instrumental in helping an expertise-based business.

Erin Austin:

That's mostly, you IP-based business scale.

Erin Austin:

Right.

Erin Austin:

so there's a lot of 'em you can cover.

Erin Austin:

So, talk us through like three of them, the top three that

Erin Austin:

you think might, might top

Christy Cook:

three actions that you would suggest.

Christy Cook:

Absolutely.

Christy Cook:

the number one thing that I hear is often, well, I don't know what to do or how to do

Christy Cook:

it . So, first I would just say I actually have some free resources for that.

Christy Cook:

So folks can look at that on my website if they like.

Christy Cook:

But ultimately, you've gotta do something, right?

Christy Cook:

So what do you do?

Christy Cook:

let's just say, we'll talk about one item in each category.

Christy Cook:

You really, for the environmental standpoint, you've gotta look at carbon.

Christy Cook:

because you are likely in someone's supply chain somehow, whether

Christy Cook:

you're service-based or goods based business, it's gonna be required.

Christy Cook:

So you've gotta start thinking about that.

Christy Cook:

and in the social area, always diversity, you we've gotta look at that and some of

Christy Cook:

the biggest ways, especially if you're looking at scaling, I would say make

Christy Cook:

sure your board is representative of a diverse organization as well as your.

Christy Cook:

Mm-hmm.

Christy Cook:

. But, that's important.

Christy Cook:

And governance, governance is how do you make sure you continue

Christy Cook:

to do things, in the way you're intending, you get no surprises.

Christy Cook:

The risk and, the thing

Erin Austin:

that, but I stop you on the governance piece Please?

Erin Austin:

Like, what is the connection between governance, which I think is just

Erin Austin:

like kind of corporate governance minutes and stuff like that.

Erin Austin:

Yeah.

Erin Austin:

And kind of sustainability,

Christy Cook:

This is what I think.

Christy Cook:

I think, FTX has been in the news a lot.

Christy Cook:

Ftx is, Sam Bankman Fried, right?

Christy Cook:

Yes.

Christy Cook:

And he is the guy who is in jail now, currently or I think he's actually home.

Christy Cook:

, yes.

Christy Cook:

Jail.

Christy Cook:

But, he's been arrested.

Christy Cook:

And part of this all has to do with.

Christy Cook:

How he managed the business.

Christy Cook:

Governance oversees the safety of that business.

Christy Cook:

Essentially, if there is good governance, those things

Christy Cook:

wouldn't have in theory happened.

Christy Cook:

Now how this applies too, that's like, bribery money laundering,

Christy Cook:

all these things should be basic.

Christy Cook:

of how you run an operation, a company

Erin Austin:

not committing crimes.

Erin Austin:

Yes.

Christy Cook:

It's not committing Fundamental, yes.

Christy Cook:

Is definitely part of sg.

Christy Cook:

and the governance is really some overseeing of that.

Christy Cook:

And so, That's a very businessy way of looking at that.

Christy Cook:

But the way it's evolving for E S G and, there's a lot of risk and I'll keep

Christy Cook:

talking about supply chain because it's one of the top risks that people are

Christy Cook:

thinking about right now and looking at again, because of carbon and because

Christy Cook:

of, human capital, how people are treated, throughout the supply chain.

Christy Cook:

But if you set a standard, you have to be able to.

Christy Cook:

Oversee it.

Christy Cook:

You have to have something that's measurable and you have to report over it.

Christy Cook:

And that's part of the governance and the oversight that happens.

Christy Cook:

and it's really an agreeing upon this is how we're going to do business

Christy Cook:

and understanding that those are your guiding principles of it.

Christy Cook:

That's how I think about it and the importance of governance.

Christy Cook:

You'll also see a lot of, data security, in governance as well.

Christy Cook:

It kind typically falls under that, but, again, that's, important.

Christy Cook:

Yeah.

Christy Cook:

Yeah.

Erin Austin:

Thank you for that.

Erin Austin:

So, You know, this is a very meta podcast.

Erin Austin:

You know, I am the female founder of an expertise based business, and I

Erin Austin:

am growing to hopefully sell someday.

Erin Austin:

So I must ask you, as the female founder of an expertise based business, are

Erin Austin:

you thinking about, selling it someday?

Erin Austin:

Is that anywhere on your radar?

Erin Austin:

Do you have an idea about what you might do if you weren't doing this

Christy Cook:

so interesting.

Christy Cook:

I definitely do.

Christy Cook:

And, I believe that, folks don't always agree with me because

Christy Cook:

E S G is very complex and.

Christy Cook:

I just think sometimes we overcomplicate things all right?

Christy Cook:

And I think it varies by where companies and people are in their

Christy Cook:

maturity, but I think that, part of what I am creating is this process

Christy Cook:

and this, repeatable, way of doing things that can really simplify things.

Christy Cook:

, and frankly, no one else is doing it right now.

Christy Cook:

No one else is helping the startups in small and medium businesses.

Christy Cook:

Maybe people don't think that's where the money is at, but my gosh,

Christy Cook:

that's where our world is and focused on, and that's a large part of it.

Christy Cook:

So let's do that.

Christy Cook:

I am very interested in continuing to grow because I do think that.

Christy Cook:

Approach is slightly different in my processes.

Christy Cook:

and my biggest thing is impact.

Christy Cook:

So how can we have exponential positive impact?

Christy Cook:

And you can't do that without in my opinion and the way I like to guide

Christy Cook:

myself, but is looking to the future.

Christy Cook:

And part of that is, , how do we, again, scale into a large saleable

Christy Cook:

business and really excited about, just recently approached by an organization

Christy Cook:

that's really focused on that.

Christy Cook:

And so it's kinda exciting to mm-hmm.

Christy Cook:

think about it in that way, and even potential perhaps

Christy Cook:

sooner than later, but yes.

Erin Austin:

Wow.

Erin Austin:

That is exciting.

Erin Austin:

Well, you talking my language.

Erin Austin:

increasing impact by creating a scale of business.

Erin Austin:

We know that there's only so much we can do on a one-on-one basis, right?

Erin Austin:

And so at some point we have to expand beyond ourselves, whether it's through

Erin Austin:

employees, if that's your thing, or through some sort of, products or

Erin Austin:

other ways of, leveraging our talents.

Erin Austin:

And, so I love to hear that.

Erin Austin:

That is great.

Erin Austin:

So as we wrap, three final questions.

Erin Austin:

so, creating a more equitable economy is something that is

Erin Austin:

very important to us here.

Erin Austin:

And so is there a person or organization that is doing work in this area

Erin Austin:

that you'd like to share with the

Christy Cook:

audience?

Christy Cook:

Oh, absolutely.

Christy Cook:

So, the organization that I, wanna talk about is called Bandar.

Christy Cook:

Nlu and it well before this

Erin Austin:

in the show notes, everyone, so we can,

Christy Cook:

yes.

Christy Cook:

Awesome.

Christy Cook:

You'll see the website.

Christy Cook:

I love the organization for many reasons.

Christy Cook:

One, The founder is also a former boss, so I know her very well.

Christy Cook:

Mm-hmm.

Christy Cook:

I know what she's trying to accomplish and do.

Christy Cook:

So it's just really great.

Christy Cook:

But her name is Deborah Hecker and she founded Bandar and Belu

Christy Cook:

and she founded it because the organization really does two things.

Christy Cook:

One, there's waste reduction component.

Christy Cook:

And what I mean by that is, 85% of all clothing in the US either goes

Christy Cook:

to the landfill or is incinerated.

Christy Cook:

Mm-hmm.

Christy Cook:

, it's huge.

Christy Cook:

Mm-hmm.

Christy Cook:

and what she does is repurpose sorrys.

Christy Cook:

So sorrys are a traditional Indian and other culture, garment that is worn.

Christy Cook:

And she takes these garments and with a group of volunteers, they.

Christy Cook:

Animals and jewelry and purses.

Christy Cook:

Just really cool things that are repurposed that you can buy.

Christy Cook:

And it goes in support of improving graduation rates for girls in India.

Christy Cook:

Wonderful.

Christy Cook:

Because we know that if girls succeed, community succeed,

Christy Cook:

families succeed, they're, higher levels of thriving in the world.

Christy Cook:

And so it's a great organization.

Christy Cook:

I would just encourage everyone to go check it out.

Christy Cook:

. And I, I think one of the cool things that's happened recently in some ways is,

Christy Cook:

Tamara Hamlin, you know, he had, I think a GoFundMe for a couple of thousand dollars.

Christy Cook:

That's now over 9 million.

Christy Cook:

Yes, this is a small organization with dreams.

Christy Cook:

How about that?

Christy Cook:

So help, girls in India and reduce waste and check out Bandar and Belu.

Erin Austin:

I love that, that directly hits our theme, which is, wealth in the

Erin Austin:

hands of women can change the world.

Erin Austin:

You Cause women provide more for their families, for their communities and, some

Erin Austin:

people don't take space flights and with, with their , they, fund, school programs.

Erin Austin:

So that's another story.

Erin Austin:

uh, so I love that.

Christy Cook:

so.

Erin Austin:

anything new happening in your business?

Erin Austin:

And is there any kind of offer that you'd like to share that would be of

Christy Cook:

interest to, to the client?

Christy Cook:

Oh, great, great.

Christy Cook:

I'm so excited.

Christy Cook:

I forgot about this.

Christy Cook:

This is exciting.

Christy Cook:

So, yes, I do have a, it's new, it's here in the spring.

Christy Cook:

and so I have a course.

Christy Cook:

That is available particularly for startups.

Christy Cook:

to really help them implement the e s g practices they

Christy Cook:

need in order to get funding.

Christy Cook:

So check out my website, invest her strategies.

Christy Cook:

That's invest.

Christy Cook:

H e r mm-hmm.

Christy Cook:

. And I know the links will be Yes.

Christy Cook:

We'll be here Erin.

Christy Cook:

So thank you for that.

Christy Cook:

but that's, really what I'm focused on right now because, I just saw

Christy Cook:

an article this week, basically over the last several years.

Christy Cook:

3% of funding, a little less than 3% has went to women.

Christy Cook:

That's now down below 2%.

Christy Cook:

And so at 1.9% now, is an article I just saw.

Christy Cook:

So let's do some good things here.

Christy Cook:

Yes, let's implement some E S G practices.

Christy Cook:

Let's make sure that companies with, good ways of working are thriving.

Christy Cook:

So check it out and, I'd be glad to chat with anyone.

Christy Cook:

Yeah, the clients.

Erin Austin:

Right.

Erin Austin:

Clients that care about E S G are the clients that you wanna work with.

Erin Austin:

Those are the ones that Absolut great partners for you.

Erin Austin:

So yes, that is great.

Erin Austin:

So, we know we can find you@investorstrategies.com.

Erin Austin:

Where else can people find you?

Christy Cook:

You can find me on LinkedIn.

Christy Cook:

that's probably the best place to find me if you're looking to chat and, of

Christy Cook:

course my website, so, yeah, absolutely.

Erin Austin:

Awesome.

Erin Austin:

Thank you so much for being with us Christie.

Erin Austin:

So much wisdom shared.

Erin Austin:

Much

Christy Cook:

appreciated.

Christy Cook:

Thank you so much fun.

Christy Cook:

I hope that, the listeners get something out of this and, it was fun.

Christy Cook:

Thank you Aaron Aaron.

Christy Cook:

Hundred

Erin Austin:

percent.

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