green manufacturing: the art of sustainability

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Green Manufacturing: The Art of Sustainability Malcolm Fox Sustainability Director, NSF International

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NSF Sustainability: Major provider of LEED reviews for US Green Building Council. Developer of sustainability standards for furniture, green chemistry, building products and materials. Provider of third-party sustainable product & systems certifications for carpets, furniture, personal care, WaterSense, forestry, EMS, greenhouse gas emissions, fisheries, organic food… Prover of environmental claims verification: eco-efficiency, DfE, recycled content, energy usage, recyclability, compostability, CleanGredients®… Manufacturing services include environmental impact assessment, supply chain assessment, sustainability measurement…

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Page 1: Green Manufacturing: The Art of Sustainability

Green Manufacturing: The Art of Sustainability

Malcolm FoxSustainability Director, NSF International

Page 2: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

NSF International Live Safer™

Leading public health and safety company

NSF‐ISR: world‐class quality, environmental, aerospace, food, and information security systems registrar

NSF Sustainability: Major provider of LEED reviews for US Green Building Council

Sustainability Standards: furniture, green chemistry, building products and materials

3rd Party sustainable product & systems certifications: carpets, furniture, personal care, WaterSense℠, forestry, EMS, greenhouse gas emissions, fisheries, organic food…

Environmental claims verification: eco‐efficiency, DfE, recycled content, energy usage, recyclability, compostability, CleanGredients®…

Manufacturing services: environmental impact assessment, supply chain assessment, sustainability measurement…

Page 3: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Art, Manufacturing & Sustainability…

1. Sustainability and manufacturing in context

2. The future of sustainable manufacturing…the art

3. Sustainable manufacturing in practice…the science

Bob Johnson Wheel Cube

Page 4: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Context…Production Trends

Adapted: Dr. David Dornfeld

Page 5: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainability…

United Nations: “Development that meets the needs of the present without compromising the ability of future generations to meet their own needs”

Complex balance of social, economic, and environmental needs

New economic models of extraction, production, consumption

New models of governance

Page 6: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

China 5.7India 1.9

Sustainability Challenges…Climate Change

Climate Change 2007: Synthesis Report, United Nations IPCC

Page 7: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

279 transboundary river basins; 45% world’s surface; 40% population

Sustainability Challenges…Water

UNEP Year Book 2010

Page 8: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Externalities…

Worldwide environmental damage costs due to business…off balance sheet externalities

United Nations Principles for Responsible Investing.  Trucost, plc.

Page 9: Green Manufacturing: The Art of Sustainability

Automotive industry Beer industry

Company that fails to adapt Company adapts

Externalities internalized…climate change value‐at‐risk

Climate Change – A Business Revolution, The Carbon Trust

Up to 65% loss;

Up to 80% gain

Page 10: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Value‐at‐Risk…Food & Beverage

20 US Large‐cap food & beverage.

$1.1 bn loss EBITDA, regulatory cost of carbon alone.

Analysis emissions data 20 food & beverage companies in the S&P500.  NSF/Trucost

Page 11: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainable Manufacturing…

Burden of environmental impacts was a social cost…becoming more and more the manufacturers burden…cost…and opportunity?

Page 12: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Art, Manufacturing & Sustainability…

The art of sustainable manufacturing…holistic views

Matthew Moore Rotations: Moore Estates

Page 13: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Impact Reduction View…Ricoh Comet

Ricoh Comet Circle Concept

Energy + Materials

Traditional environmental 

concepts

Page 14: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Life Cycle View…Extraction/Production/Consumption

EXTRACTION

SINKS

PRODUCTION

CONSUMPTION

Enabling Sustainable Production-Consumption Systems, Lebel & Lorek, Annual Review of Environment and Resources, 2008.

Importance of Design, Supply Chain, End‐of‐Life

Page 15: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Art, Manufacturing & Sustainability…

The science…

Beuysian School of Art & Sustainability

Page 16: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainability Noise

Carpet giant Mohawk aims to weave sustainability into every fiber of its operations

…closing the loop, and bringing things full circle…

We are nearing the tipping point…

ConAgra Foods to Reduce Packaging, Water, Greenhouse Gas and Solid Waste by 2015

BASF First Chemical Company as Founding Member of The Sustainability Consortium

the triple bottom line

Swiffer Designer Speaks Up Over Greenwashing Criticism

HP Reduces GHG Emissions 10%, Sets New Targets

Ritz-Carlton, St. Regis Join Pilot Food Recycling ProgramWal-Mart, Others Push

‘Sustainable’ Toys Toward $1B Market

Ford Saves $1.2M by Shutting Down PCs

Whole Foods, Starbucks Top Sustainable Retail Design Awards

Page 17: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Value Creation

Page 18: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Value Creation & Sustainability

Page 19: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Lean Manufacturing & Sustainability

Sustainable manufacturing fits well within a lean manufacturing culture: Common culture: continual improvement, employee involvement, operation‐focus, metrics‐driven, supply chain investment, holistic thinking

Strong relationship between manufacturing waste and environmental impacts: defects, waiting, unnecessary processing, over‐production, movement, inventory, complexity  

Powerful methods: Kaizen, Six Sigma, TPM, JIT, etc.

Integration with E/Q Management Systems

Page 20: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainability Metrics…What’s Important 

Corporate Register, Reporting Awards

3100 “corporate responsibility” reports. Top Three:

•Vodaphone (377 pages!)•Coca Cola (50 pages)•Dell (110 pages)

Page 21: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainability Metrics…You Are Being Watched…

Newsweek Green Rankings

EarthSense

Dow Jones

New Scientist

Page 22: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainability Metrics…Parameters

Vodaphone Corporate Responsibility Report

Page 23: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainability Metrics…Parameters

Vodaphone Corporate Responsibility Report

Siemens Greening Corporate America

Page 24: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Sustainability Metrics…Parameters

Parameters over which you have control, influence

Quantify environmental impacts

Establish tolerances

Eliminate gaps

Demonstrate ROI

Page 25: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Barriers

Lean methods do not usually target sustainability metrics

Environmental personnel are often not well integrated into lean production efforts

The wealth of sustainability information is often not in the hands of lean production practitioners…Stakeholders!!!

Majority of benefits arise from design stage

Regulatory friction; regulatory uncertainty

Page 26: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Summary…

The game: reduce risks & embrace opportunities from economic, social, and environment developments.

Translate opportunities & risks to the manufacturing environment: value and externalities

Metrics, integration, performance

Brandon Ballengee The Spiny Diatom Chaetoceros

Page 27: Green Manufacturing: The Art of Sustainability

©NSF International, 2010

Resources…

No shortage of resources: EPA’s Lean to Green, Commerce Dept. Sustainable Business Clearinghouse, NIST, SME, etc

Malcolm Fox, Sustainability Director, NSF International [email protected]

Brandon Ballangee Cleared & Stained Hymenochirus Family Frog