Sustainability is not only about being “green” or offering energy-efficient products. For a company, it is also about being a financially sustainable business that can grow in the shifting business climate of the future, weather market conditions, adapt to meet emerging customer needs and deliver a superior customer experience. It also means working to make a positive contribution to the various social and geographic communities it serves.
As a homebuilder whose product can serve as a foundation for social, family and community life, it is important to us to support not only a lighter environmental footprint for our homeowners, but also to encourage important social and economic ties.
In 2017, KB Home celebrated 60 years in business, a meaningful milestone and prominent indicator of economic sustainability. It demonstrates a track record of combining data-driven knowledge of today’s homebuyers with the ability to prepare for what is coming over the horizon. We are pleased to have created a platform for long-term growth that provides meaningful work for our employee team members, offers expansion opportunities for our trade partners, can generate returns for our stockholders and enables us to operate as an active member of the communities in which we work, live and build homes. We still have more work to do, and we look forward to many more years of supporting the dreams of our homebuyers and enhancing our relationships with our stakeholders.
Our trade partners are an important element of our success. They are more than suppliers; they are collaborators invested in our growth and with which we have maintained long-standing business relationships.
Each fall we bring all of our key partners together for our annual two-day National Strategic Supplier Conference. Many of our process improvements have been born from the ideas generated during these collaborative brainstorming sessions, which are essential components of our planning for the following year and years to come.
Collaboration with these core partners was the engine for innovation that drove the Greenbuild KB ProjeKt® concept home of the future in 2016, leveraging technologies and products to meet homebuyers’ needs in new ways. In 2018, we are expanding on that experience to conceive, design and build the next generation of ProjeKt, which will broaden its focus to today’s forward-looking 55+ buyer and their home of the future. The newest ProjeKt home will debut in Las Vegas in February 2019 in conjunction with the International Builders' Show™.
Part of social sustainability is evolving our products to meet the changing makeup of our homebuyers and their families. While married couples with young children still make up a large proportion of our homebuyers, we have seen significant demographic and family configuration shifts, as well as shifts in the makeup of those individual families over time:
And any one family may have some or all of these characteristics over the time they own their KB home.
Our Built to Order™ model supports a flexible approach to design, including structural options like converting a den to a secondary bedroom or upgrading a bedroom to a junior master suite. In addition, in select home designs, we have incorporated flexibility specifically with multigenerational families and shifting household compositions in mind. In Colorado, we offer home designs with full basements that have private entrances, perfect for returning adult children, older family members or houseguests. Our large flex spaces are also ideal for these changing families, easily shifting from rec rooms to secondary living areas. Select home designs also offer the option of adding a secondary master suite downstairs or universal design options for older family members who may have mobility issues or for homeowners who want to age in place.
In 2009, we formed our National Advisory Board (NAB) in an effort to formalize our stakeholder engagement and provide an independent perspective on KB Home’s sustainability initiatives and progress. We are privileged to have leaders from diverse disciplines bring their expertise from beyond the homebuilding industry. They ask perceptive questions, challenge our thinking and make us a better organization in the process. We consider our NAB to be among the central assets of our business. Our NAB meets twice a year, with the participation of our Chairman of the Board, senior executive for sustainability and senior executive for government and public affairs, and its members also consult with us from time to time throughout the year.
National Advisory Board Members