Grosche International

Every Cup Fills Another

Grosche 2

Authors

Simon Fothergill

Simon Fothergill

Ford Laxdal

Ford Laxdal

Gavin Van Elsberg

Gavin Van Elsberg

Irina Rusu

Irina Rusu

Robyn Patrick

Robyn Patrick

School

University of Guelph

University of Guelph

Professor

Ruben Burga

Ruben Burga

Global Goals

1. No Poverty 6. Clean Water and Sanitation 7. Affordable and Clean Energy 8. Decent Work and Economic Growth 12. Responsible Consumption and Production

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Summary

Grosche is a social enterprise that improves current initiatives but also explores new ones – some of which include safe water, renewable energy, community volunteering, and living wages. Every product Grosche sells, from a cup of coffee to houseware, provides 50+ days of safe water for disadvantaged communities (Grosche International, 2017). Grosche contributes to the following UN Sustainability Goals: No Poverty, Good Health and Well-being, Clean Water and Sanitation, Clean Energy, Economic Growth, Reduced Inequalities, Responsible Consumption and Production, and Partnerships for the Goals.

Innovation

Grosche received its B-Corp certification in 2015 due to their continual efforts to improve their local community and make a positive impact around the world. Grosche’s innovation stems from two core aspects of its business; the Safe Water Project and Living Wages. To begin, for every product the company sells, they provide 50+ days of safe water to communities in need. This works toward the Sustainable Development Goal (SDG) 6 of Clean Water and Sanitation. This initiative not only gives these communities filters, but it teaches them how to make and sell them. This provides communities with autonomous skills to help lift them out of poverty, working toward SDG 1 of no Poverty. Grosche also works towards this goal by providing all their employees with living wages to have a decent quality of life . These two platforms are the core of what make Grosche the innovative B-Corp it is today. Both of these initiatives also work towards SDG 8; Good jobs and economic growth.

Grosche also focuses on SDGs such as Affordable and Clean energy, as well as responsible consumption and production. They do this by reducing their energy consumption through LED lighting and renewable energy source. Grosche also produces a negative carbon footprint and has an extensive recycling program. (Grosche International, 2017). Grosche is mindful in all aspects of their work, which enables them to be a profitable company that has a positive net impact on society.

Every Cup Fills Another

Inspiration

Helmi and Mehreen Ansari started Grosche from the outset with goal of changing the world. This remains not only as a goal, but has become a reality "A small company that started just a few years ago has been able to create such a positive impact" (Ansari, 2017). This idea that no act is too small is what motivates the culture at Grosche. Shah Rai, the Business Development Manager, at Grosche said "You start with what you can do... It doesn't take much to start having an impact.". Grosche has successfully inspired their employees which has progressed their ability to continually innovate new social projects that fit within the business model. This is what drives Grosche on a daily basis, not only are they seeing positive growth to their business, but they impacting communities both locally and abroad. In just a few short years Grosche has gone from a family business out a home, to an organization that is servicing over 6 counties, and brick and mortar locations in both the USA and Canada. Groshe is leading for not only small business but major enterprises when it comes to CSR.

Overall impact

Grosche’s implementation of new ideas and improvement of existing services creates lasting impacts. One of Grosche’s impactful innovations is the Safe Water Project, where employees not only work in disadvantaged communities to help provide people with safe water, but also teach those individuals the skills needed for selling the filters. Shah, the Business Development Manager at Grosche, shared that the company provided a source of income to an individual in South Sudan, through selling water filters. One working day allowed him to provide for his family for up to 3 months. The impacts are massive – every Grosche product sold today provides more than 50 days of safe water for others in need.

Another impactful innovation is Grosche’s Bullfrog Power initiative, which transforms the electricity landscape in Canada by providing healthier energy systems, powered by wind, water, and the sun. They have put more than three million MWh of green electricity on the grid and injected more than six million GJ of green natural gas on the pipeline. They have put more than 700,000 litres of green fuel onto the Canadian fuel system and supported more than 130 community-based green energy projects across Canada. They are proud to have displaced more than one million tonnes of carbon dioxide from the environment (Grosche International, 2015).

Business benefit

Not only has Grosche seen a positive impact on a societal level, but they have experienced extensive business development. Over the past five years the company has seen a growth in sales of 25,000% (CBJ, 2014). Of course that should be taken with a grain of salt, due to the small initial scale of the organization, but it solidifies their ability to enter an already competitive and booming beverage and household item market segment. With their rapid growth, Groshe has established both domestic and global demand for their products, through to the USA, Australia, Japan, and elsewhere (CBJ, 2014). This expansion has be supplemented by Grosche establishing a second warehousing facility in Buffalo, NY (CBJ, 2014). In such a saturated market it was essential that Grosche was able to differentiate themselves from their already well established competitors. First and foremost, Grosche views CSR initiatives as a mission and also had played a vital role in their ability to sell not only a product, but a story. As Rai mentions in his interview, practices such as reusing shipping materials and other reusable packaging methods actually helps them reduce their production costs. Innovative business strategies such as this are not only innovative on a financial basis, but prove that social impact isn’t necessarily costly to an organization. Grosche’s ability to strike a balance between profitability and correctly identifying initiatives that fit within their mandate is what has made them so successful in today’s market.

Social and environmental benefit

Grosche’s way of thinking about the responsibilities of a business have allowed them to impact both the environment and society. To begin, Gorsche has accomplished 91% landfill avoidance in its production through recycling, composting and reusing initiatives. Additionally, the company has reduced their energy usage in both their warehouses and head offices by 40% (Grosche, 2017). Moreover, the energy the company does use all comes from green renewable energy sources. The company is also working on tree planting and banana farming in African countries. Finally, since 2010, the company has achieved a negative carbon footprint (Grosche, 2017).

Grosche’s innovation has also done much to benefit society. Gorsche benefits the local community through it’s volunteer efforts. They have worked with organizations such as the House of Friendship in Waterloo and Habitat for Humanity, in an effort to give back to their community (Grosche, 2017). On a global level is where Grosche’s innovation really stands out. Their safe water project has been launched in six countries so far, and is a core part of their business model. As of February 8, 2018, the company has provided 51,159,900 days of safe drinking water (Grosche, 2017). They have also provided communities with the tools to make and sell their drinking water filters. The company also focuses on its employees. By giving them a living wage, they are ensuring that individuals are not living below their local poverty. All of these initiatives are what makes Grosche a successful business that also benefits the greater society and environment.

Interview

Shah Rai, E-Commerece and Business Development Manager

Photo of interviewee

Business information

Grosche International

Grosche International

Cambridge, ON, CA
Business Website: https://grosche.ca/
Year Founded: 2006
Number of Employees: 11 to 50

Grosche started is a small business that produces loose leaf tea and household items. They are a certified B-Corp, based on their dedication to providing safe water, a living wage, and emitting a negative carbon footprint. These practices have granted them the "Best For the World" recognition from B-Lab.