Voices of leadership: expert interviews explore sustainability management in STRs

In today’s increasingly eco-conscious tourism market, sustainability is essential both for environmental stewardship and as a strategic business priority. For short-term rental businesses, this means embedding sustainability into their core operations to meet consumer expectations and regulatory requirements. However, integrating such practices across various aspects of your business operations can present significant organisational challenges. Without a clear leader or dedicated team, sustainability initiatives can falter due to a lack of direction, inconsistent execution, and insufficient accountability. This is where a “Sustainability Manager” becomes indispensable, a recommendation echoed by Bob Garner in his latest article on PhocusWire.

In this special blog, we explore the evolving role of sustainability managers in STRs and how their leadership drives the integration of eco-friendly practices in businesses and the industry. Through expert interviews, we delve into the insights and experiences of sustainability managers at the forefront of promoting environmental stewardship within their organisations.

Who are sustainability managers?

A Sustainability Manager in an STR business is pivotal for steering the company’s sustainability initiatives. The title might vary but the role involves planning, strategising, executing, and refining sustainability efforts based on ongoing feedback and emerging best practices. Here’s a breakdown of what this role typically entails:

1. Strategic planning

Developing a sustainability strategy that aligns with the company’s long-term goals and the expectations of stakeholders, including guests, local communities, and regulatory bodies. For example, setting targets for reducing carbon emissions, creating annual climate action plans for the business, or integrating renewable energy solutions into the operations.

2. Policy implementation and compliance

Creating and enforcing policies that drive sustainable practices throughout the organisation. Plus, having an understanding of the regulatory environment surrounding the STR industry. This includes everything from energy and water use to waste management and purchasing decisions. Compliance also includes obtaining sustainability certifications such as Sustonica’s badge or QALIA’s certification, which validate the company’s efforts and can enhance its marketability.

3. Stakeholder engagement

Communicating with and involving various stakeholders, from employees and investors to guests and community members, ensuring they are informed and engaged with the company’s sustainability goals and actions. This might include regular updates via newsletters, sustainability workshops, and participation in sector-specific conferences such as SCALE Green and VRWS Green. Plus, collaborating with external organisations who can help, like EnviroRental!

4. Monitoring and reporting

Keeping track of the company’s sustainability performance and reporting on key metrics to internal and external stakeholders. This is crucial for transparency and for making data-driven decisions to improve practices. For instance, compiling regular reports on energy consumption, water usage, and waste management, or producing comprehensive Environmental, Social, and Governance (ESG) reports that outline broader sustainability impacts and achievements. This is often done working alongside the Finance Department as there will undoubtedly be some costs but also the potential for significant savings. 

The business case for sustainability managers

Having a dedicated role for a sustainability manager within a business is a wise operational strategy for several convincing reasons:

1. Financial efficiency

Sustainability managers help reduce operational costs through energy-efficient practices, waste reduction, and sustainable sourcing. This leads to significant savings on utilities and materials, optimising budget use and increasing overall profitability.

2. Regulatory advantage

As governments worldwide impose stricter environmental regulations, like the upcoming Green Claims Directive, a sustainability manager ensures compliance and keeps the business ahead of legal requirements. This proactive approach prevents costly fines and disruptions associated with non-compliance.

3. Competitive edge

Consumers are increasingly favouring businesses that demonstrate environmental responsibility. A sustainability manager helps position the company as a responsible choice, attracting a growing segment of eco-conscious customers and differentiating the business in a crowded market.

4. Risk mitigation

Environmental risks are becoming more prominent due to climate change and resource scarcity. A sustainability manager develops strategies to minimise these risks, safeguarding the business’s operations and ensuring continuity even in adverse conditions.

5. Reputation and brand loyalty

Businesses that actively pursue sustainability are viewed more favourably by both consumers and potential employees. This enhances the company’s reputation, helps retain customers through increased brand loyalty, and attracts top talent who want to work for responsible and forward-thinking employers.

6. Innovation and growth

Sustainability managers often lead the way in adopting new technologies and practices that improve efficiency and drive innovation within the company. This keeps the business relevant and capable of continuous improvement and growth in an ever-evolving market landscape.

7. Stakeholder engagement

By effectively communicating the company’s sustainability efforts, sustainability managers improve relations with stakeholders, including investors, customers, and the community. This transparency builds trust and can lead to supportive partnerships and opportunities.

8. Enhanced value

As a relatively young industry, the STR market still actively seeks investment via acquisitions or angel investors. Increasingly, these players are including ESG criteria in their investment risk assessments.

Remember, flexibility is the key

For many STRs, particularly the smaller businesses or those beginning their journey towards sustainability, the resources might not suffice to hire a full-time sustainability manager. Incorporating sustainability management responsibilities into the roles of existing teams can be a practical solution, allowing businesses to gradually build and develop in-house expertise. It is often the case that a staff member will volunteer to lead on sustainability within an organisation. They quickly discover like-minded colleagues keen to support them. Operational managers, who are well-versed in the day-to-day activities and challenges of the business, are particularly well-placed to take on this responsibility. As they become more involved and equipped, they gain proficiency in identifying and implementing sustainable practices tailored specifically to the needs of the business. Alternatively, consider the option of a fractional sustainability manager, someone who fulfils the role part-time, potentially for two or more STR businesses.

Let’s now transition into the heart of this discussion. We’ll hear from sustainability managers in the STR industry as they share their hands-on experiences and insights. These leaders spearhead sustainability initiatives that are setting new benchmarks within the sector. Their stories will reveal the complexities they manage, the obstacles they overcome, and the triumphs they achieve.

Meet Claire Binns, pioneering sustainability at Sykes Holiday Cottages

Claire Binns serves as the Senior Impact Manager at Sykes Holiday Cottages, the UK’s largest holiday rental agency overseeing more than 25,000 properties. Since stepping into her role in 2021, Claire has been at the forefront of aligning the company’s operations with broader environmental objectives, including securing B Corp certification in May 2023. 

A day in the life of Claire as a Sustainability Manager

Claire leads and manages all sustainability-related activities within the company. This would include overseeing environmental efforts and social equity initiatives which are fundamental to Sykes’ operational and ethical frameworks. She manages the company’s journey towards significant sustainability milestones, such as the achievement of the B Corp certification. Under her leadership, Sykes Holiday Cottages has set ambitious sustainability targets:

• Carbon emission reductions: The company aims to achieve Net Zero emissions by 2050, aligning its goals with the Paris Agreement 2015. This involves systematic reductions in carbon outputs across all operations.
• Biodiversity projects: Claire has initiated collaboration on 20 biodiversity projects annually, highlighting the company’s commitment to environmental conservation beyond just carbon metrics.
• Plastic reduction: Aiming to become a single-use plastic-free business by the end of 2024, they are working with organisations like Sustainable Cheshire and Surfers Against Sewage to achieve this goal.
• Supporting disadvantaged families: The company supports 100 disadvantaged families annually, enabling them to go on holidays, thus integrating social sustainability into their business model.
• Volunteering initiatives: She has established a robust volunteering program, with 40% of staff engaging in volunteering activities, significantly above the corporate average.

Top priorities

Her immediate priority is to refine the impact measurement systems to provide a more accurate picture of the Sykes’ progress towards its sustainability goals. This involves revisiting past data and deepening the analysis with suppliers to obtain more precise data for better decision-making.

On measuring impact

The impact of these initiatives is tracked using an ‘impact tracker’—a detailed spreadsheet that helps monitor and record all sustainability activities. Annual impact reports are produced to transparently communicate progress to stakeholders. These reports are supplemented by specific metrics, such as carbon footprint data and volunteering engagement, tracked through collaborations with the finance and HR departments.

Advice on getting started

Claire advises STRs on the importance of starting sustainability journeys by conducting thorough impact assessments, such as the B Corp Impact Assessment, regardless of their intention to certify. This assessment helps businesses scrutinise their operations comprehensively, identify areas for improvement, and prioritise actions according to their strategic importance.

Spotlight on Kieran Keohane, Head of Sustainability at Travel Chapter

Kieran’s role at Travel Chapter encompasses a broad spectrum of responsibilities, reflecting the multifaceted nature of sustainability in modern business. His mandate includes everything from reducing emissions and waste to fostering better community relations and ensuring that the company’s operations align with stringent corporate governance standards. His efforts require a collaborative approach that spans all departments, making sustainability a core component of the company’s ethos rather than a peripheral concern.

Core responsibilities as a Sustainability Manager

Since taking on his role, Kieran has built upon existing initiatives and introduced new strategies to push the boundaries of what’s achievable in sustainability within the STR sector. Key projects include:

• Enhanced resource efficiency: Implementing advanced water and energy reduction strategies, including the adoption of photovoltaics not just at headquarters but across all company offices.
• Comprehensive data analysis: Launching a thorough gap analysis to assess current practices, which is crucial for setting accurate baselines and measuring progress in real terms.
• Community and ecosystem support: Extending support to significant restoration projects in collaboration with organisations like the RSPB and the Marine Conservation Society, reinforcing the company’s commitment to environmental and community stewardship.

Top priorities

A major focus for Kieran is the development and publication of Travel Chapter’s annual sustainability report. This report is vital for maintaining transparency, allowing stakeholders—including customers, homeowners, investors, and employees—to track the company’s sustainability journey. Furthermore, his risk management strategies are designed to future-proof the business against both environmental changes and regulatory shifts.

On measuring impact

Kieran employs a variety of indicators to measure the effectiveness of sustainability initiatives across Travel Chapter. These measures include Science-Based Targets for reducing greenhouse gas emissions and leveraging the UN’s Sustainable Development Goals to guide the company’s broader environmental and social impacts. His work has been instrumental in Travel Chapter achieving and aiming to improve upon its B Corp certification, underscoring a commitment to high standards of performance, accountability, and transparency.

On leadership and collaboration

Kieran is relatively new in the role but attributes much of his success to the supportive leadership at the Travel Chapter, particularly the CEO’s passion for sustainability. This top-down enthusiasm for ecological and social responsibility has facilitated the seamless integration of sustainable practices into the business. Kieran emphasises the importance of stakeholder engagement and collaborative efforts across the industry to tackle the global challenges posed by climate change.

Spotlight on Russ Kraft: Steering sustainability at Casiola

Meet Russ Kraft, a seasoned pioneer in the vacation rental industry with a remarkable 25-year tenure, currently serving as the Director of Franchise Operations and Sustainability Manager at Casiola. Beyond his executive duties, Russ also chairs Experience Kissimmee, a local destination management organisation, embodying his deep commitment to both business excellence and environmental stewardship.

Core responsibilities as a Sustainability Manager

Russ’s dual role at Casiola is unique and challenging. He seamlessly integrates operational leadership with a passionate commitment to sustainability. His responsibilities range from guiding the company’s certification journeys to training teams and implementing comprehensive sustainability programs. Under Russ’s leadership, Casiola has embarked on several innovative paths:

• Certification pursuits: Initially aiming for B Corp certification, Russ is now exploring a shift to Sustonica’s certification program after learning of B Corp’s moratorium on franchises. This shift reflects his adaptability and commitment to achieving recognised sustainability standards.
• Sustainable operations: Russ has introduced several key initiatives to reduce Casiola’s environmental footprint. This includes purchasing renewable energy credits, transitioning to sustainable product suppliers like Who Gives A Crap for paper products, and eliminating single-use plastic water bottles across all properties.
• Guest engagement: Casiola welcomes guests with sustainable shopping bags and has moved towards installing biodegradable soap pumps in units, enhancing the guest experience while emphasising sustainability. Here are 10 green gifts for your short-term rental guests.

On measuring impact

Russ is committed to continuous improvement and accountability in sustainability efforts. This is evident in his approach to measuring the impact of Casiola’s initiatives, such as partnering with B Neutral to monitor and manage the company’s carbon footprint annually. Moreover, Casiola’s community initiatives, like the partnership with Clean the World, showcase a commitment to global environmental health and well-being.

Challenges and persistence in sustainability

Despite feeling isolated in the U.S. market, where he perceives a lag in sustainability compared to Europe, Russ remains undeterred. He advocates for persistent efforts in sustainability practices, urging businesses to demand more sustainable products from vendors and to lead by example for the upcoming generation. His vision is clear—to establish Casiola as a leader in sustainable business practices, not just within the vacation rental industry but as a standard for businesses everywhere.

Inspiring leadership and future goals

Russ’s leadership style is deeply inspiring, reflecting a blend of practical business acumen and a visionary approach to sustainability. His advice to other companies is straightforward yet powerful: keep pushing forward, engage with like-minded partners, and build a community that is committed to sustainable values. He is particularly focused on setting an example for Gen Z, who are increasingly discerning about the authenticity of a company’s environmental claims.

Introducing Dananjaya Bagaskara, the force behind Villa Finder’s sustainability drive

In the heart of Villa Finder, an organisation renowned for its beautiful and accommodating properties in Asia, Europe, and the Caribbean, Dananjaya Bagaskara has recently joined as the Sustainability Coordinator. His commitment to steering the company towards a greener and more sustainable future is inspiring and transformational, proving that real change starts with dedicated leadership.

Core responsibilities as a Sustainability Manager

Dananjaya’s mission at Villa Finder is multifaceted, focusing on enhancing the company’s commitment to sustainability. His core responsibilities span from developing in-house business policies on energy efficiency and animal welfare to ensuring these standards are echoed across their partnerships. One of Dananjaya’s major achievements is the creation of a comprehensive sustainability roadmap, aptly named the “sustainability journey.” This strategic plan lays the groundwork for:

• Sustainable operations: Integrating sustainability into the core business culture of Villa Finder, ensuring that everyday operations adhere to main environmental standards.
• Partner alignment: Ensuring that all partners share and commit to Villa Finder’s sustainability ethos, creating a unified front in eco-friendly practices.
• Awareness campaigns: Boosting sustainability awareness is a critical part of Dananjaya’s strategy. He understands that change isn’t just about internal policies but also about influencing the broader market and shifting public perceptions towards the importance of environmental responsibility.

Measuring impact and setting benchmarks

Dananjaya emphasises the importance of tangible metrics to track the company’s progress on its sustainability journey. By implementing systems to measure waste management, energy, and water consumption, he ensures that every reduction contributes to a larger goal of decreasing the company’s overall environmental impact. These metrics help set achievable targets for reduction—often aiming for a 10% to 15% decrease—which are crucial for long-term sustainability goals.

Advocacy and employee engagement

Understanding that sustainability is a team effort, Dananjaya advocates the idea of involving everyone in the company, from interns to senior management. He backs hiring practices that prioritise sustainability-minded individuals who can bring new ideas and energy to the mission. His approach is hands-on, fostering a creative atmosphere that encourages staff to think innovatively about recycling, upcycling, and efficiently using resources.

Presenting Victor Kobeh, mainstreaming sustainability with Layla

Victor Kobeh, the co-founder and Chief Revenue Officer at Layla, integrates his profound appreciation for sustainability with his strategic business role. With vast experience garnered from his seven-year tenure at Airbnb and managing property managers across various regions, Victor’s insights into the industry’s challenges are deep and personal.

Core responsibilities as a Sustainability Manager

Beyond a fantastic solution, Layla is a manifestation of Victor’s vision to meld technology with sustainability. As a smart assistant powered by AI, Layla optimises property operations by automating energy use, which helps reduce carbon emissions and conserves energy. These savings are quantifiably beneficial, translating directly into CO2 reductions and the equivalent number of trees saved. Making sustainability both a practical and ethical choice under Victor’s leadership.

• Holistic sustainability tracking: Layla provides more than just automation; it offers a comprehensive dashboard that allows property managers to monitor and analyse various sustainability metrics like energy consumption and environmental quality within their properties.
• Proactive problem solving: Layla is equipped to detect issues such as carbon monoxide levels, smoke, humidity, and mould, addressing these problems before they escalate and thereby ensuring guest safety and satisfaction.
• Engagement and reporting: Layla enables property managers to generate detailed reports and insights on sustainability performance, which can be shared with guests and stakeholders to demonstrate the property’s commitment to environmental stewardship.

Driving Industry Change Through Innovation

Victor’s passion for sustainability is matched by his commitment to practical solutions. He understands that for many property managers, the transition to sustainable practices can be daunting due to the perceived complexity and cost. Layla is designed to simplify this transition, making it accessible and manageable. Victor encourages starting with small, manageable changes that accumulate to significant impacts over time, advocating for a gradual and informed approach to sustainability.

Advocacy for comprehensive engagement

Victor believes that true sustainability goes beyond technology. It requires a change in mindset and operations, which is why he emphasises the importance of education and engagement. Through Layla, he has fostered a community where property managers are encouraged to learn from each other, share best practices, and collectively push the boundaries of what is possible in sustainability.

Forward-thinking

Companies like these mentioned have a clear understanding that sustainability is a core part of a business operating in short-term rentals. They understand that action is needed and they are showing the leadership that we crave in our industry. 

Is your company ready to take this step? Why not contact someone mentioned in this blog and find out how it might be possible in your organisation?

Remember, such transitions demand careful planning. It is essential to have clarity on your business sustainability goals. We highly recommend exploring EnviroRental’s suite of free educational resources, designed to support you at every step of your STR’s sustainability journey. From blogs to case studies to podcasts to industry insights – a true one-shop stop for all things sustainable. Access these invaluable tools today for free!