EPA speaks with B-school students

By Stephanie Hepburn
Daily Staff Reporter

The second in command at the Environmental Protection Agency debated policies yesterday with future corporate leaders of America - Business School students.

Fred Hanson, EPA vice president and head of the agency's newly formed Office of Reinvention, spoke about ambitious programs that will transform the interactions between businesses and EPA into a more cooperative relationship.

In March 1995, President Clinton, Vice President Al Gore and the EPA launched an agenda to reinvent environmental protection in order to create policies that are more efficient and more cost effective.

KELLY MCKINNELL/Daily EPA vice-president Fred Hanson speaks with Business School students yesterday about the future of business and EPA relationships.

The EPA is attempting to create a more beneficial relationship with business. High standards of environmental responsibility are balanced with innovation and flexibility in order to achieve profit by cutting red tape and paperwork.

"If businesses can show a better way of achieving a certain environmental goal rather than the EPA telling the business what to do, renegotiations can occur and the two can work together," Hanson said.

MBA first-year student Rob Frederick said hearing Hanson speak was worthwhile.

"The EPA is going in the right direction. I enjoyed listening to the initiatives that they are taking," Frederick said. "They really get away from the one-size-fits-all approach."

The planet is linked to the environmentally sound decisions corporate leaders in America make, Hanson said.

"We will see in the long run the most effective businesses are the most environmentally sound," Hanson said. "Superior economic return goes hand in hand in the ability to manage cost effectively."

For example, when the Ford Motor Company wanted to cut costs, company officials looked to new options. For years, Ford paid Dupont per gallon of paint to coat the automobiles, resulting in unused paint and loss of profit.

Then, Ford decided to pay Dupont for every car painted properly, and reduced the paint used by 50 percent. Hanson said the compromise was more environmentally sound and cost-effective for both companies.

"This is quality performance. Companies must look at situations in different ways to be the most effective managers of their company," Hanson said.

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