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Bombardier Sustainable Strategies

In: Business and Management

Submitted By chris039
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At the moment Bombardier is in an excellent position to take advantage of the growing demands for clean technology. Different organizations and businesses are starting to realize the significant effects that mass transportation systems have on this planet. With these systems having a major impact on air pollution reduction or sustainable efforts, Bombardier will need to take advantage of the opportunity to clean up their technologies in both the railway and aerospace sectors.
As time goes on, countries are rapidly becoming more urbanized and the demand for infrastructure to move citizens more efficiently between suburban locations and urban centers is increasing. Different mechanisms have been established under the Kyoto Protocol such as the Clean Development Mechanism (CDM) and the Joint Implementation (JI) in attempt to gather investments from developed economies to support growth for developing markets (UNFCCC, 2013). These different policies have provided professionals with a long-term measurement tool for reductions in greenhouse gas emissions, but they do not foster external investments into major transportation systems linked to Bombardier in certain regions (Duduta & Bishins, 2010). To overcome the lack of incentives provided by these different acts, Bombardier, by their own power, will need to invest more into their transportation systems in foreign continents such as Africa, South America, Asia, and other under-developed areas. Costs and risks for the company may be higher, but by accomplishing this Bombardier can reduce pollution significantly and build sustainable awareness that could have a lasting effect on other organizations.
In the aerospace sector, Bombardier has the resources and power to innovate outside of the current framework. At the start of 2012 the Emissions Trading Scheme became official, meaning that all aircraft flying through European airspace were now required to “trade” or “cap” for greenhouse gas emissions in attempt to prevent climate change (Haase, 2013). These regulations have brought on substantial operating costs for companies such as Bombardier, Boeing, and Embraer. Bombardier should invest heavily into research for finding alternatives to the normal conventional jet fuel. If the company can identify a fuel substitution that emits lowers greenhouse gas emissions and doesn’t rely on fossil fuels, they will be able to supply innovative systems to their customers all over the world. This will have huge benefits for the environment as pollution will be reduced significantly and if successful it is almost certain that other major companies will soon follow. The company would also enjoy an extreme competitive advantage and a huge cut in costs. This type of improvement towards the environment will most likely re-define the structure of the industry. If Bombardier were successful with such a strategy, they would firmly establish themselves as the global leader in this industry.

Duduta, N., and Bishins, A. (2010) Citywide transport greenhouse gas emissions inventories: A review of selected methodologies. World Resources Institute. Retrieved from: http://www.wri.org/publication/citywide-transportation-green-house-gas-emissions-inventories
Haase, N. (2013, Feburary 21). EU revives its emissions trading scheme. Deutsche Welle. Retrieved from: http://www.dw.de/eu-revives-its-emissions-trading-scheme/a-16616567
Kyoto protocol. (2013) United Nations Framework Convention on Climate Change. Retrieved from: http://unfccc.int/kyoto_protocol/items/2830.php…...

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