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Welcoming the New ASTM Standards for Manufacturing Processes

The SSC Team July 5, 2016 Tags: , , , , , , , Strategic Sustainability Consulting No comments

At SSC, we have been calculating environmental impact in manufacturing processes using process flow diagramming for years. When conducting life-cycle assessments, process-flow diagramming provides a visual and a data-based representation of every input and output in a manufacturing process to achieve the most accurate results. 

But mapping manufacturing processes becomes difficult because of the wide variety of technologies, inputs, outflows, variations inside of a single facility or lack of information from upstream or downstream. Additionally, the standards and software tools used to calculate processes can vary in their accuracy and be limited in their flexibility, unable to adapt to a wide variety of industries.

Complexity is par for the course when determining environmental impact of a manufacturing process.

The newly released ASTM International standard for calculating the environmental aspects of manufacturing processes (ASTM E3012-16), developed by the National Institute of Standards and Technology (NIST), promises to be a step forward in guiding sustainability professionals through a systematic and more comprehensive, yet flexible, way to calculate environmental impacts based on a graphical process-flow modeling.

NIST systems engineer Kevin Lyons, who chaired the ASTM committee that developed the manufacturing sustainability standard, describes it as similar as tracking financials. “You have to gather income and expenditure data, run the numbers and then use the results to make smart process changes — savings, cutbacks, streamlining, etc. — that will optimize your monthly budget,” he said. “We designed ASTM E3012-16 to let manufacturers virtually characterize their production processes as computer models, and then, using a standardized method, “plug and play” the environmental data for each process step to visualize impacts and identify areas for improving overall sustainability of the system.”

The updated database will help standardize terminology and structure of mapping and reporting manufacturing process impact, reducing complexity in mapping manufacturing processes, and thereby helping companies fully and accurately understand environmental impacts and work toward reducing them.

Are you ready to begin your product life-cycle assessment? Contact us for a quick briefing on whether your company would benefit most from a highly detailed analysis to broad-strokes, baseline assessment. Understanding your impact may not be as big of an investment as you might think.

 

 

 

White Paper Profile: Shifting the Focus from End-of-Life Recycling to Continuous Product Lifecycles

The SSC Team June 21, 2016 Tags: , , , , Strategic Sustainability Consulting No comments

Just because a product is recyclable, doesn't mean it is going to be recycled by the end user, nor does it mean that the organization can write off any responsibility of the management of products at their end-of-life. 

End-of-life issues present an important challenge to organizations, from facilitation of recycling and measuring effectiveness of recycling programs, to shifting to continuous use models. 

"Recycling should not be looked at in a vacuum but as part of a larger system where costs and the release of greenhouse gases and toxics, among others, inhabit."

Learn more about the challenges of product lifecycle management at product end-of-life in this white paper by Call2Recycle.

Life cycle assessments are an important way to view the full impact of your product's sourcing, production, distribution, and disposal, often leading to the discovery of hidden opportunities to reduce waste or mitigate risk as a result the process. Contact us to get started on your LCA. 

 

White Paper Profile: Shifting the Focus from End-of-Life Recycling to Continuous Product Lifecycles

The SSC Team June 21, 2016 Tags: , , , , Strategic Sustainability Consulting No comments

Just because a product is recyclable, doesn't mean it is going to be recycled by the end user, nor does it mean that the organization can write off any responsibility of the management of products at their end-of-life. 

End-of-life issues present an important challenge to organizations, from facilitation of recycling and measuring effectiveness of recycling programs, to shifting to continuous use models. 

"Recycling should not be looked at in a vacuum but as part of a larger system where costs and the release of greenhouse gases and toxics, among others, inhabit."

Learn more about the challenges of product lifecycle management at product end-of-life in this white paper by Call2Recycle.

Life cycle assessments are an important way to view the full impact of your product's sourcing, production, distribution, and disposal, often leading to the discovery of hidden opportunities to reduce waste or mitigate risk as a result the process. Contact us to get started on your LCA. 

 

3 Sustainability Tools that got our Attention in 2015

The SSC Team January 7, 2016 Tags: , , , , , Strategic Sustainability Consulting No comments

We appreciate good calculation tools. We are constantly looking for the most comprehensive or best combinations of calculation tools to cross check and ensure our clients are getting the best possible data. 

Here were three tools that got our attention in 2015:

GCSP-ITC Quick Scan Tool – Launched in June, this open-source tool allows companies to compare their compliance policies against best practices in order to inform improvements in supply-chain management. Provided by the Global Social Compliance Programme (GCSP), it is open to GCSP members and others free of charge.

  • How it works: Buying companies can identify standards others use in purchasing. Suppliers can create a self-assessment, benchmark the assessment against peers, and identify immediate steps to move toward best practice.
  • Who should use it: Anyone with a medium to lengthy supply chain or who is a supplier.

Water Risk Valuation Tool – Launched in September by Bloomberg ESG Data and Tols, this calculator illustrates how water risk can be valuated in corporate mining valuation models. Based on the gold and copper mining industries, this tool can inform all mining companies on how water risk might effect earnings and operations.

  • How it works: The tool models potential “asset stranding” based on estimated future water scarcity and risk factors related to that scarcity.
  • Who should use it: Mining companies, especially in precious metals

RiskHorizon – Launched in October by Anthesis Group, this web-based toold quantifies and monetizes environmental, social, and governance risk over 25 political, economic, social, and environmental areas, aggregating 100 different datasets.

  • How it works: The tool is designed to help “futurecast” risks and opportunities in assets, supply chain, and business model and then quantify and prioritize the value of that risk. A big job.
  • Who should use it: Investors, risk management professionals, supply chain managers, and strategic leaders should all be interested in a company’s risk profile.

One thing to remember - data out of context or too generalized really won't do anyone any good. Ensure you're working with a sustainability professional that can help validate and contextualize your data in your reporting process and sustainability planning programs.  

Have you used a calculator, but aren’t quite sure how to take action on results? Let us know. We can help assess your findings and customize a plan to help your company align with best practice in sustainability.

Parent company of Puma provides detailed look at its Environmental Profit & Loss methodology

The SSC Team December 17, 2015 Tags: , , , , , , , , , , , Strategic Sustainability Consulting No comments

This summer, Kering, the parent company of the clothing and footwear manufacturer, Puma, not only published its EP&L, the environmental footprint of the company’s operations translated into monetary values, it published the entire methodology as an open-source tool for others to use.

The EP&L analyses the impact of Kering’s supply chain from raw materials to retail outlets and reports the impact in monetary terms.

In an article about Kering’s decision to open-source the methodology, the company’s CEO said, “Our EP&L has already served as an effective internal catalyst to drive us towards a more sustainable business model. I am convinced that an EP&L, and corporate natural capital accounting more broadly, are essential to enable companies to acknowledge the true cost on nature of doing business.”

From making the business case for sustainability to assessing carbon asset risk in monetary terms, and finally to reporting environmental results using natural capital accounting, more and more companies are moving toward currency as a way to plan, assess, and evaluate environmental performance.

This move makes sense, considering we live in the age of global capitalism.

Kering’s EP&L, along with World Bank’s WAVES initiative, the World Business Council for Sustainable Development’s Valuation Guide, the Natural Capital Coalition, and others, provide strategies to implement natural capital accounting into the sustainability reporting process.

If your company is interested in producing a sustainability report using principles of natural capital accounting, let us know! And check out our analysis of how Puma stacks up to other athletic apparel companies.

Will the UK Modern Slavery Act do any good?

The SSC Team November 5, 2015 Tags: , , , , , , , , , Strategic Sustainability Consulting No comments

Late last week, the UK Parliament passed the Modern Slavery Act, a bill designed to require UK companies to report any steps they are taking to address and prevent human trafficking and modern slavery in their supply chains.

According to the Global Slavery Index, modern slavery is estimated to include more than 36 million people who work in conditions completely controlled by others. Most of these people are found deep in the supply chains of global corporations.

To comply with the Modern Slavery Act, it doesn’t mean a company will have to actually address human trafficking and modern slavery. A company simply has to report whether it has taken any steps to do so.

Therefore, if a corporation files a report indicating that it has taken no steps, it will still be in compliance with the law.

So, does this do us any good?

Overall, yes.

This act pushes corporations one step closer to connecting the process of reporting to the concrete steps of taking action.

We've seen this cause/effect hundreds of times as external pressure – supplier scorecards, stakeholder pressure, or legislation – pushes companies to report. The first report can be humbling, but the process of reporting opens up action steps, focus areas, and progress.

As companies file their first reports, some saying “no action taken.” We believe that their stakeholders will ask “why?” It is then that they will realize it is time to do an initial Social Audit, Supply Chain Analysis and/or Life Cycle Analysis.

A recent article in Huffington Post written by two CEOs speak to the effect of data:

"The vulnerability in our supply chains was in labour hire, specifically the recruitment of migrant workers from disadvantaged backgrounds. Social audits revealed that recruiters were stealing wages from workers through excessive recruitment fees and high interest loans, creating a situation of debt bondage. Upon learning of these terrible conditions, we took immediate action so that workers were paid back the fees they were owed, allowing them to earn a proper wage.”

The companies and the CEOs in question were performing social audits prior to the UK Modern Slavery Act, and were able to take action.

We believe that more companies will engage with auditors, and decisive action will be taken because of this new law.

So, yes, the Modern Slavery Act is going to do some good.  

Would stronger legislation and adoption in other countries, like the U.S., do even more good? Likely.

However, corporations can and should begin on this important work now. There is no need to wait for legislation to become a more socially and environmentally responsible organization.

Learn more about supply chain assessments and audits and how they can help your company create a system to uncover risks lurking in the supply chain. How have supply chain audits helped your organization uncover risk? Let us know in the comments!

 

Life Cycle Analysis can help you write a better ‘business continuity plan’

The SSC Team October 20, 2015 Tags: , , Strategic Sustainability Consulting No comments

Emergency planning is critical for a business to survive a natural disaster, political disaster, loss or incapacity of a key leader, or other catastrophe. However, it’s not an issue that most businesses want to talk about.

“Smart entrepreneurs, however, have a healthy fear of the unknown and regard it as a strong motivator to take action and protect both their businesses and the talented people who help them thrive,” writes Heather Ripley in a recent article from Entrepreneur.

Ripley outlines four key steps to develop a business-continuity plan for small business owners. The first step is identify potential disasters and their solutions.

Identifying disasters – the basics

Pinpointing common crises – car accidents, hurricanes, data loss, supply chain disruptions due to politics or weather events – are the basic first steps in continuity planning.

Going beyond the basics

We believe that performing a full product life cycle assessment will help businesses better identify potential disasters and their solutions.

Once you know where your raw materials come from, how they are harvested, your intermediate suppliers, the countries where those suppliers operate, the politics and climate of those countries, the modes of transportation in your supply chain, the demands and opinions of your customers, and the where and how your products are disposed, you’ll immediately be able to see where your risks are and how to plan to mitigate those in a crisis.

Even better, Life Cycle Assessment will help your business eliminate some risks well before a crisis begins. Maybe you will find value in setting up multiple suppliers in different geographic regions to decrease the effect of a typhoon or hurricane in one place. You could find that phasing out an ingredient in your product now, before that ingredient becomes a target for protest, may add a selling feature to the product, decrease risk, and decrease environmental impact. 

If you want to know more about how Life Cycle Assessments will help you identify and mitigate risks, contact us or check our LCA services page to give you an idea of how they can guide your sustainability-guided continuity planning. 

3 Observations from RILA’s Retail Sustainability Management Report

The SSC Team September 17, 2015 Tags: , , , , , , Strategic Sustainability Consulting No comments

By: Alexandra Kueller

This past spring, the Retail Industry Leaders Association (RILA) announced their brand new Retail Sustainability Management Maturity Matrix, which hopes to be a tool that will be used by retail executives, individual companies, and industry-wide to help companies become more sustainable. Fast-forward to September 2015, and RILA just released their Retail Sustainability Management Report that uses that matrix to analyze sustainability initiatives from over 50,000 RILA member companies.

Taking the 27 dimensions related to sustainability management RILA has identified from seven key sectors, the report looks at where a lot of the companies rank: are they starting, just standard, excelling, leading, or at the next practice already. RILA presents their key findings from each dimension, then provides resources for companies to reach the next level, case studies to look over, and how to get involved on a greater scale.

Here are three observations that really stood out to us:

What comprises a retail-based sustainability team?

RILA offered a breakdown of how many retailer’s sustainability teams look like, and over 50% of those surveyed indicated that there is one person or no full time employee dedicated to sustainability (and a surprising 10% of companies have 10 or more people working on sustainability full time). Often times, the sustainability team will set the sustainability goals for the company, but almost a quarter of the retailers said they do not have sustainability goals. And in terms of budgeting for sustainability, almost 75% of companies said their budget either stayed the same or increased over the past year.

The leaders are well ahead of the pack

When looking at how the retailers did across all dimensions, it becomes apparent most companies are falling firmly in the "standard" category (or rather a 2 on a 1-5 scale). But the leading companies aren't just one or two steps higher, they are already at the "next practice" level (or a 5 on a 1-5 scale). Looking at all of the dimensions, over half the time the leading company was getting top marks - only in 4 dimensions was the leading retailer at the "excelling" level (or a 3 on a 1-5 scale). Leading companies obviously know what they're doing when it comes to sustainability, so now there needs to be an effort to get everyone else up to their level.

A shift to the supply chain

Overall, the supply chain section was one of the weakest, with many companies falling between the “starting” and “standard" category, but as retailers begin to solidify their internal sustainability, there is a growing focus on supply chain sustainability. Companies have started to engage suppliers about various sustainability issues, such as the need to reduce energy and water.

Looking to start a new sustainability project but need to gain support? Find out ways to gain that support for your new project or idea here!

A Review of GHG Protocol’s Corporate Standard Training Webinar

The SSC Team July 23, 2015 Tags: , , , , , , , , , , Strategic Sustainability Consulting No comments
By: Alexandra Kueller This July, the Greenhouse Gas Protocol offered an online training session that covered the basics of the Corporate Standard, and it was the perfect introduction to corporate greenhouse gas accounting. With the Corporate Standard being widely used among businesses and organizations world wide, this three day course was great for your first introduction to GHG accounting or even those who needed a refresher course. The Corporate Standard Training allows participants to gain knowledge and skills in 7 different categories:
  1. GHG Accounting and Reporting Principles
  2. Business Goals and Inventory Design
  3. Setting Organizational Boundaries
  4. Setting Operational Boundaries
  5. Tracking Emissions over Time
  6. Identifying and Calculating GHG Emissions
  7. Reporting GHG Emissions
Wanting a full, comprehensive knowledge of the Corporate Standards, I signed up for the webinar and gave it a go:

The Good

One of the biggest benefits of this course, unlike other GHG Protocol trainings, was that it had a live instructor. Being able to have your questions answered on the go is helpful, because all too often when you have to wait for the end of a presentation, you might have forgotten what you wanted to ask or don't remember what section of the presentation to reference. Another great aspect of this webinar was the in-session exercises. After each main principle was covered, we were walked through the steps of how to complete that process on our own, and then given an exercise to do so. It was highly beneficial to have someone work through the problems with you and answer your questions on the spot.

The Bad

While the live aspect of the webinar was great overall, sometimes it could be a bit of a hassle. If the instructor ever went too quickly over a slide or you didn't catch what they said, you wouldn't be able to go back and re-listen. You did have the option of pulling up the powerpoint on your computer, but by doing so, you might have missed what the presenter was currently talking about. Another downside was the length of course. By day three I was having difficulty staying focused. I think all 10.5 hours are necessary, but I would rather see it condensed into two days rather than three.

Overall

This course offered an excellent introduction to the Corporate Standard and GHG accounting. If you are new to emissions reporting or are wanting a formal class that breaks down the details, then I would highly encourage you to sign up for the next webinar. But if you are someone that has years of experience, then there really is no need for you to take this course. Are simply mistakes holding back your sustainability? Find out how to correct those mistakes here!

Sustainable Supply Chains in Chinese Factories, Pt. 2

The SSC Team May 21, 2015 Tags: , , , , , , , , , , , Strategic Sustainability Consulting No comments
This is Part 2 of a two-part interview with Nate Sullivan of Efficiency Exchange, provider of sustainability software and services to manufacturers.  He highlights some of the challenges faced by Chinese factories in implementing their sustainable supply chain programs. On Tuesday, we posted a Part 1 of this interview from the SSC archives  - enjoy: SSC: How much time and effort should a supplier factory reasonably expect to spend on tracking and reporting sustainability information to their customers? Nate Sullivan: Given how hard customers are going to push them on price, we think the focus really needs to be on driving that time and effort down to zero. One of the things that really drove us to build Charge the way we did was seeing how all this compliance data was not being used to provide any value to factories -- all the time they theoretically spent gathering and vetting that information was essentially spent checking a box that didn't create any value for them. That's not the way it has to be, or should be. When factories meet sustainability requirements through Charge, they're doing it without spending any time solely on compliance -- they are spending that time figuring out how to run their factory more cost-effectively, and then as a secondary benefit that data is helping them show that they meet compliance standards. Everybody still gets what they want, but nobody is sitting there trying to figure out whether the time is well spent, because the benefits of spending it are much more direct. SSC: When done correctly, what are the bottom-line benefits that a supplier factory should see when implementing sustainability initiatives? (feel free to use EEX-specific examples!) NS: From the factory perspective, sustainability initiatives can have several possible benefits, if done right. First of all, there's reduced cost in the form of energy, water use, steam, natural gas, or whatever resource is being used less. There are some big benefits there, but obviously the "doing it right" part here is important, because factories need to be targeting the sustainability projects that make economic sense first and foremost. That's why Charge starts with energy -- we found energy costs and consumption to be something that factories could attack aggressively, reducing cost without slowing business growth. But there are opportunities in other fields, and Charge is going to add all of those to it's core capabilities. Other than cost reduction, the biggest benefit to any sustainability project is becoming more appealing to customers, and that's a big part of where we see Charge going in terms of it's relationship to buyers and brands. It's a top line benefit instead of bottom line, but the idea behind Charge's connection to retailers is ultimately to match the best suppliers to the best retailers. Charge looks at your operational data, and tells you "hey, you are currently meeting the requirements for the following potential customers", and vice versa. That introduces you to new customers who are excited to work with you, and it ties successful sustainability projects to new business and more revenue, which really changes the motivational calculus for factories. Instead of seeing sustainability as this horrible paperwork/audit driven obstacle, it becomes something factories actively seek out, because the better they operate, the more customers they can find, and the better those customers will be for the business. I think that's already the somewhat cartoonishly-optimistic perception of sustainability, especially in the west, but until EEx came around, I don't think anyone was out there building the tools and relationships necessary for that to become reality at the factory level. That's something that we are really, really excited to do for them. How is sustainability saving Chinese textile mills money? Read about it here!