Collaboration, innovation, transformation Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 1 08/12/2011 15:20 About this document
Over the next few decades, businesses will face many challenges related to the environmental sustainability of their value chains (i.e. the full life cycle of a product or service) – whether it’s meeting new environmental regulations, securing enough water, energy or other resources for their daily operations, or managing the needs and expectations of their stakeholders.
Meeting today’s challenges, while at the same time planning for future needs, is difficult. That’s why the World Business Council for Sustainable Development (WBCSD) has developed this guide.
The guide is designed as a practical “how-to” tool, providing both ideas and inspiration to help businesses improve the environmental sustainability of their value chains. Using a practical step-by-step approach, it outlines the concrete actions businesses can take today to become more environmentally sustainable, along with examples from WBCSD member companies that have already successfully adopted a Sustainable Value Chain approach.
The guide was developed by the WBCSD’s Sustainable Value Chain Workstream, with leadership from Unilever and The Coca-Cola Company. It includes case studies from AkzoNobel, The Coca-Cola Company, Henkel, Philips, Procter & Gamble, SABIC, Solvay, Sompo Japan Insurance, TNT, Umicore and Unilever.
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 2 08/12/2011 15:20 Contents
Message from Co-Chairs 2 1. Sustainable value chains deliver business benefits 3 2. Step-by-step framework 5 3. Critical success factors 8 4. Case studies 13 Solvay – Managing a sustainable portfolio 14 of businesses Umicore – Making the case for hybrid 16 electric vehicles AkzoNobel – Developing future-proof supply chains 18 Philips – Selling sustainable lighting 20 Henkel – Improving the triple bottom line profile 22 of product portfolios Procter & Gamble – Cold water laundry 24 TNT – Collaborating with customers to develop 26 innovative city logistics solutions Coca-Cola and Unilever – Working together 28 to reduce the environmental impact of refrigerants Sompo Japan Insurance – Disseminating green 30 procurement practices through the value chain SABIC – Environmental innovation in plastics upcycling 32 Resources 34 Acknowledgements 37
Figures 1. A standardized model of the sustainable value chain 5 2. Key questions addressed by the five-step approach 5
Contents 1
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 1 08/12/2011 15:20 Message from the Co-Chairs
The world is facing social and environmental challenges of a “ Working together magnitude we have never seen. According to the WBCSD Vision 2050, we need to almost double agricultural output and increase to establish resource efficiency up to tenfold, in order to keep up with the sustainable value demands of our growing population. At the same time, we need to dramatically reduce carbon dioxide emissions, conserve water chains benefits and minimize waste, in order to protect our fragile ecosystem from everyone.” the threat of climate change. This will help preserve our natural resources for generations to come.
These are challenges that impact all of us – governments, businesses, nongovernmental organizations and consumers alike. That’s why it’s essential that we work together to assess and solve the environmental and social issues we face – transforming the way we produce and consume products and services – and in doing so, improving the sustainability of our value chains.
For businesses, this means better understanding the environmental impacts of products and services throughout their life cycles. It also means identifying “hot spots,” the intervention points within the value chain that have the greatest potential to improve the environmental impact of the system as a whole. In many cases, this means finding new ways of working with suppliers, industry groups, customers and consumers at different points in the value chain.
As the case studies in this guide demonstrate, assessing and improving the sustainability of value chains makes great business sense for everyone. And one of the critical keys to success is collaboration across companies, sectors and geographies.
We hope that this guide will help both small and large companies embark on, or further improve, initiatives that make their value chains more sustainable. Through our collective actions, we also hope that we continue to progress toward the WBCSD Vision 2050 that “nine billion people will live well, and within the limits of the planet.”
Paul Polman Bea Perez CEO, Unilever Chief Sustainability Officer, The Coca-Cola Company
2 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 2 08/12/2011 15:20 Section 1
Sustainable value chains deliver business benefits
The main objective of this guide is to help reputation and increased brand value; better companies improve the environmental sustainability efficiency and thus lower costs; and new business of their value chains efficiently and effectively. models focusing on value (i.e. services instead of products). The Philips, TNT and AkzoNobel cases show that there is consumer/customer demand for Defining the terms sustainability.
Value chains are an integral part of strategic Advancing innovation: The only way to create and planning for many businesses today. A value speed up sustainable innovation is to collaborate chain refers to the full life cycle of a product or openly and actively with a large number of process, including material sourcing, production, organizations. For example, the Philips case study consumption and disposal/recycling processes. shows how collaboration is generating new business models. In addition, the Procter & Gamble case is about using natural Environmental sustainability study demonstrates how the company made a series resources in a way that doesn’t threaten future of innovations in order to increase the sustainability generations’ ability to use those resources. of a single, simple product. A sustainable value chain approach enables both Creating shared value: By changing their business business and society to better understand and models, exploring new market segments and address the environmental challenges associated enhancing credibility and trust in the market, with the life cycle of products and services. companies can create shared value for both themselves and their communities. For example, What’s in it for business? the Procter & Gamble case study illustrates how innovation can create benefits along the entire value A more sustainable value chain can provide chain; both consumers and companies use less numerous advantages to businesses, including: resources and save money.
• Fueling top-line growth and productivity. Enhancing stakeholder relationships: By collaborating to achieve a common goal, • Assuring continuity of supply. companies can build stronger, trusted and lasting • Creating new markets. relationships with contributors along their value chains, including business partners, customers, • Adding value to customers and consumers. consumers, nongovernmental organizations, authorities or other stakeholders. For example, • Optimizing energy consumption. through sustainability initiatives, Philips, SABIC, • Reducing waste. Umicore and TNT have considerably reinforced their relationships with customers. In addition, In addition, the case studies featured in this guide Coca-Cola and Unilever have created a strong demonstrate some of the many benefits companies partnership with Greenpeace – which has have achieved by creating a more sustainable value traditionally kept its distance from businesses chain including: – based on a shared interest in sustainable refrigeration. At the same time, Procter & Gamble Creating competitive advantage: By improving the has built an unusual relationship with competitors sustainability of their value chains, companies create to drive change in washing habits. competitive advantages in different ways; new product lines addressing market needs; improved
Sustainable value chains deliver business benefits 3
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 3 08/12/2011 15:20 Managing risk: Failing to consider risks such as resource scarcity, strong regulations (including product bans), or consumers shifting away from some products, may have a significant impact on a company’s long-term performance. The examples of Solvay and Henkel demonstrate how companies are looking at new tools to evaluate a risk that is currently difficult to measure.
Creating systemic change: By working collaboratively across industries that share similar interests, as well as in partnership with NGOs and government organizations, leading businesses can change the dynamic of an entire industry sector. Not only can they demonstrate what is possible, they also can accelerate changes in both technology and business practices. The example of Procter & Gamble describes how a group of companies and stakeholders are driving change in the whole detergent value chain and consumers’ washing habits. Similarly, Coca-Cola and Unilever are actively contributing to transform the refrigeration process globally.
4 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
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A step-by-step framework to develop a sustainable value chain
The framework below outlines the specific steps A five-step approach businesses can take to develop a sustainable value chain. It’s based on a standardized model of the The framework includes five steps, which are similar value chain, which includes six different phases, to the steps used in project management: from raw materials, to production, to end-of-life and recycling (see Figure 1). 1. Assessment: enables companies to understand necessary improvements or “hot spots” and While this model works well in most cases, it may identify relevant actions. need to be adjusted for some business sectors, in particular for service companies. 2. Identification of solution: examines potential solutions and selects the best solution for implementation. Figure 1: 3. Development of project plan: identifies all the A standardized model of the sustainable necessary actors, and plans each step of the value chain project in detail.
Material 4. Implementation: activates the plan. extraction 5. Assessment of results: measures the success of the plan, and enables the company to determine Disposal & Material how to make improvements, as needed. Recycling processing Each step of the framework is important because Logistics it enables businesses to identify and implement improvements to the sustainability of their value Use Manufacturing chains in a systematic way. In addition, each helps to answer the questions listed in Figure 2 below.
Retail
Figure 2: Key questions addressed by the five-step approach
1. Initial 2. Identification 3. Development 4. Implementation 5. Assessment assessment of solution of project plan of results
What is the What is the How will the Is the Did the solution environmental most sustainable selected solution implementation successfully address issue? solution? be implemented? going as planned? the environmental issue? Why should it What have the Are all actors Are adjustments What went be addressed? affected parties on board? necessary? right/wrong? to say about it? Who are the Are all partners What can be affected parties? What is the impact satisfied with learned from it? on production? What are the the progress? What impact did it have potential solutions? on the company? What impacts are most prominent?
A step-by-step framework to develop a sustainable value chain 5
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 5 08/12/2011 15:20 A detailed look at each step of the model
Step Activities Tips
1 Initial • Determine problem and/or • Use external expertise if needed, Assessment opportunity. and incorporate this into your own • Conduct a Life Cycle Assessment to solutions and experience. identify focus areas (“hot spots”). • Continuously improve Life Cycle • Identify external drivers (e.g., market Assessments-build on what you have, supply-demand balance, consumer and look for improvements. needs, public pressure, regulations, • Focus on the “hot spots” rather than and competitors). try to address all the issues at once. • Map relevant organizational aspects • Look for relevant partners beyond the (e.g., capabilities, resources, existing company, and even the value chain. processes, company corporate social responsibility and overall strategy). • Identify actors in the value chain and other affected stakeholders. • Brainstorm potential solutions.
2 Identification • For each of the potential solutions When selecting the preferred solution: of Solution assess: • Consider the information gathered • Financial, technical and in the initial assessment (i.e., Life operational feasibility. Cycle Assessment results, drivers, • Value-add of new product organizational aspects, and or service. participants and stakeholders). • Alignment with corporate • Keep customer/consumer strategy and company’s core requirements in mind. competencies. • Reflect on how to manage • Business model required. collaboration with participants and stakeholders. • Risk and opportunities. • Consider requirements for training • Involve appropriate actors and and maintenance when working stakeholders in the assessment. with new technologies. • Select preferred solution. • Consider potential complications with regulations that may vary across markets.
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WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 6 08/12/2011 15:20 Step Activities Tips
3 Development • Develop a detailed project plan to • To avoid problems down the road, of Project Plan design, develop and implement the ensure that partners’ expectations are selected solution, including clear aligned with the project objectives, objectives, measurable targets, and that their expected contributions actions, milestones, timelines are clearly set in advance. and resource allocation. • Aim big, to reach economies of scale • Formalize support from top and minimize cost. management. • Assess the need for collaboration to drive scope and scale, and to ensure cost competitiveness. • Obtain commitment from partners, and agree on scope, objective and timelines.
4 Implementation • Assemble team and create/modify • Stick to your project plan, but also internal structures. have a long-term view and stay • Collaborate with partners. flexible, to address unexpected problems, and seize opportunities. • Systematically undertake planned actions to design, develop and • Strengthen the relationship and foster implement selected solution. open and honest communication with partners and other stakeholders. • Manage internal and external communications. • Learn from the initiative and your partners to build expertise within your • Regularly monitor performance and company. progress toward set objectives to identify and execute opportunities for improvement.
5 Assessment • Assess the results in terms of their • Improve the company’s license to of results impact on the company, partners and operate, the informal approval granted other stakeholders, and the overall by the community in which you sustainability of the value chain. conduct business, by showcasing • Identify key success factors and lessons your successes. learned to be considered in other • Raise customer/consumer initiatives. understanding of sustainable • Communicate results internally solutions. and externally. • Strengthen internal buy-in for sustainability-related initiatives.
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Critical success factors
The successful implementation of a sustainable 1. Leveraging the power value chain is dependent on many factors, particularly the following five: of collaboration
1. Leveraging the power of collaboration. Global issues such as climate change, water stress or waste management are highly complex; therefore it’s 2. Understanding customer and consumer needs, impossible for one company, or even a single industry, and proactively encouraging them to make to achieve substantial progress on its own. The most new choices. effective solutions involve collaboration among businesses, nongovernmental organizations, policy 3. Identifying “hot spots” to focus on the changes makers and other stakeholders. that will have the greatest impact.
4. Ensuring healthy supply/demand in order At the same time, working with different partners, who to reach economies of scale. have varying motivations, organizational cultures and requirements, can prove challenging. That’s why it’s 5. Committing to the initiative. essential to maintain open communication from the very beginning. Each of these is explored in more detail in the section below. The following three tips can help ensure any collaboration sets the stage clearly at the start, and continues smoothly throughout the partnership.
a. Reach a common understanding At the beginning of any partnership, it’s important that all partners share a common understanding and approach to their collaborative initiatives. This includes:
• Possessing the same vision and understanding of sustainability.
• Trusting each other enough to align agendas and opinions.
• Committing to long-term engagement and collaboration.
• Sharing knowledge and required information with the proper competitive safeguards as necessary.
• Providing sufficient resources, along with an enthusiastic, committed contact person.
If expectations are not clarified and/or not realistic, companies may not meet stakeholder expectations. This, in turn, could generate negative comments or activism from influential nongovernmental organizations, and could diminish customer/consumer support.
Featured case studies: Philips, AkzoNobel
8 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 8 08/12/2011 15:20 b. Expect a diverse value chain c. Reflect on how to work with competitors Value chains differ from industry to industry and When companies in the same industry work company to company. They may include suppliers, together, they can leverage their respective distributors, customers and other businesses, as knowledge and experience, and reach a wider pool well as consumers. In addition, as diverse partners of consumers and customers. Industry collaboration participate in a given initiative, behaviors may also sends a powerful message to stakeholders and change, and markets may move accordingly. generates a greater impact on the environment.
Different organizations also have different However, when collaborating with companies organizational cultures. For example, private who are direct competitors, it is essential that businesses, nongovernmental organizations governments, other stakeholders or even members and public authorities all have different priorities, of the companies themselves don’t perceive this timeframes and approaches to tackling issues. behavior as anti-competitive. Therefore, great care In addition, even within the same organization, must be taken to ensure that collaborative ventures these cultures may vary by geographic region. do not breach any rules or codes of competition, For instance, regulations, standards and other and that each company is clearly committing to national or local requirements may differ across the project or initiative on an individual basis. markets, with some markets providing limited, if any, incentive to adopt environmentally In some cases, this may require involving an friendly solutions. independent third party, or widening the diversity among partners, to ensure that companies can For all these reasons, it is essential to carefully work closely together and share information as consider cultural and geographic differences, appropriate, without either losing a competitive and accommodate these as part of your project plan. advantage, or compromising competitive codes. If you can do this successfully, it can help minimize potential delays, while avoiding uncomfortable When working with competitors, companies situations. must ensure that they always comply with the relevant rules or codes of competition. Featured case studies: Unilever/Coca-Cola, P&G
Critical success factors 9
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 9 08/12/2011 15:20 2. Understanding customer and 3. Identifying “hot spots” consumer needs and proactively Life Cycle Assessments enable companies to assess encouraging them to make the environmental impacts generated during every new choices phase of the life of a given product or service. They also allow companies to identify “hot spots,” the Engaging with customers and understanding changes areas of improvement within the value chain that in consumer behavior can provide companies with are likely to yield the greatest environmental benefit. valuable information as they develop new sustainable This, in turn, enables companies to make informed solutions-particularly in formulating the value decisions, and prioritize potential changes in their proposition of these new solutions. value chains.
This involves understanding the key drivers behind Preparing a Life Cycle Assessment often involves customer and consumer needs, in order to develop the cooperation of many partners, so it uses the solutions that appeal to them. Although some most reliable data along every step of the value customers or consumers may be especially interested chain. It is therefore important that all parties in “green” or environmentally sustainable solutions involved understand the objective, scope and without any other extra benefits, it also is important timelines of the study-both to ensure consistency to develop products and solutions that simultaneously and accuracy in the information they provide, meet other customer and consumer needs, such as and to reduce potential delays. added performance, value and sustainability. Using an independent, external third-party In addition, encouraging consumers to try new organization to conduct a Life Cycle Assessment can products and services may sometimes either require ensure that any sensitive information is not disclosed fundamental changes in consumption habits, or to the different contributors involved in the analysis, involve a price premium. In these cases – as well as any such as competitors or suppliers. An external third time a company introduces new sustainable products party can also provide an independent opinion and services – it’s essential to develop a comprehensive about the environmental benefits of a given product communications strategy that proactively encourages or solution. This provides added credibility and them to make new choices. The right communications reassurance for stakeholders when the company strategy can help a company effectively create eventually brings the product or solution to market. awareness and clearly communicate the benefits of a new product or service – both for consumers and In many of the case studies featured in this guide, customers, as well as for the environment. a Life Cycle Assessment has contributed to promoting Life Cycle thinking inside the This, in turn, involves developing clear messages, organization by showing its impact on a wide being honest about the impact and benefits of new range of business activities. solutions, and using the right communications channels to encourage customers to purchase the new Consistent, reliable information from Life Cycle solutions. At the same time, it’s important to remember Assessments can help companies make informed that creating a more environmentally sustainable decisions about the benefits of a new initiative, product – even if it meets customer or consumer needs product or service - and make changes that create very well – won’t make every company the industry the greatest possible impact. leader. Featured case studies: Umicore, SABIC, Companies should be honest about their solution’s Henkel, Solvay overall sustainability impact. Clearly defining and communicating the benefits of new environmentally sustainable solutions is critical. This is particularly important when the success of the new product or solution requires consumers or customers to change their consumption patterns or habits, or pay a premium price.
Featured case studies: Solvay, P&G
10 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 10 08/12/2011 15:20 4. Ensuring healthy supply/ 5. Committing to the initiative demand in order to reach Obtaining top management commitment will ensure economies of scale that the project is supported internally, and that the appropriate amount of time and resources are As the case studies in this guide demonstrate, allocated accordingly. To obtain this commitment, sustainable value chains can successfully compete it is vital to develop a comprehensive business case with traditional, and often less expensive, value that clearly outlines the value proposition. chains, as long as companies are able to create economies of scale. This, in turn, involves creating Making this commitment public via a business a healthy balance between supply and demand. case also sends a clear signal to all value chain participants, increasing their trust, and making them In many cases, creating a more sustainable value more comfortable to embark on the initiative. chain requires developing or incorporating new technology, increasing research and development Obtaining commitment upfront is essential costs, or creating marketing campaigns or training in order to achieve buy-in, both within and programs – all of which impact a company’s outside the organization. Failure to do this could lead bottom line. It’s therefore imperative that companies to criticism on behalf of influential parties, while ensure that there is sufficient demand for a diminishing customer/consumer support. proposed product or service, so they don’t incur a financial loss. Featured case studies: Coca-Cola/Unilever, Sompo Japan It is important that companies ensure there will be sufficient demand for any new products or services before investing in changes to their value chains. This is particularly true when these changes involve increasing investments in research and development, new technology, marketing and promotion.
Featured case studies: AkzoNobel, SABIC
Critical success factors 11
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WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 12 08/12/2011 15:21 Section 4
Case studies
Each of the 10 case studies featured in this guide • Solvay – Managing a sustainable portfolio demonstrate a particular aspect of the step-by-step of businesses approach to creating a sustainable value chain. • Umicore – Making the case for hybrid They exemplify how companies have grappled with electric vehicles specific issues, and have either improved, or are in the process of improving, the sustainability of their • AkzoNobel – Developing future-proof value chains. Although each case is relevant on its supply chains own, the combination of these cases, and the overall • Philips – Selling sustainable lighting perspective they provide on the different aspects of the value chain, are particularly significant • Henkel – Improving the triple bottom line when presented together. Finally, it’s important to profile of product portfolios recognize that each of these case studies, although presented by a single, or in some cases multiple • Procter & Gamble – Cold water laundry companies, have involved substantial collaboration • TNT – Collaborating with customers to develop among partners-serving as tangible examples of the innovative city logistics solutions importance of working together, in order to achieve maximum benefits. • The Coca-Cola Company and Unilever – Working together to reduce the environmental impact of refrigerants
• Sompo Japan Insurance – Disseminating green procurement practices through the value chain
• SABIC – Environmental innovation in plastics upcycling
Case studies 13
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 13 08/12/2011 15:21 Case studies Solvay
Managing a sustainable portfolio of businesses
In order to anticipate and The vulnerability of Solvay’s Summary: prepare for the transformations products is measured through Life Cycle Assessments, performed This case study illustrates needed to achieve a more from cradle to gate and in how sustainable portfolios sustainable growth and a greener economy, Solvay conformity with standards from can be managed through has developed a Sustainable the International Organization a strategic tool, focusing Portfolio Management mapping for Standardization (ISO). All on both environmental tool, which aims to assess risks parameters in product ecoprofiles footprint of manufacturing and opportunities associated are monetized to assess the potential financial risk associated and market alignment of with sustainability issues, with a product, and to prioritize products and applications not only the impact of the resource allocation to resolve any to sustainable megatrends, manufacturing activities, but potential problems. This value is providing a holistic also the extent to which Solvay’s then expressed as a share of the products are part of the solutions assessment. sales price. The higher the ratio, the consumers are seeking to more exposed and vulnerable the address their own sustainability product is to sustainability issues. concerns. The tool takes a holistic approach, combining both Market alignment is measured product vulnerability and market through a set of closed questions, alignment.
A Life Cycle Assessment was performed from cradle to gate.
Material extraction Material processing
Figure: The SVC phases involved
Manufacturing Disposal & Recycling Logistics
External stakeholders validated the assessment Use procedure tool and the auto- Retail evaluation results.
14 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 14 08/12/2011 15:21 to which answers have to be In order to increase the reliability based on facts and supported by of data generated by Business external and reliable evidence. Unit auto-evaluations, Solvay has The objective is to: asked two external consultancies for a second opinion; TNO revises 1. Assess the benefits end the environmental footprint of and development projects also consumers may ultimately find operations, and Arthur D. Little have been assessed to an extent by buying a particular solution. verifies the alignment to the of almost 70 percent corporate 2. Check whether Solvay megatrends. research and development budget. is among the leaders in The rollout of the Sustainable The Sustainable Portfolio providing products that are Portfolio Management tool has Management tool has delivered part of this solution. been successful. 275 product- its objective; to visualize what 3. Check if obstacles exist that application combinations have sustainable development means may significantly decrease been assessed, accounting for for Solvay in strategic terms, so the attractiveness of these more than 80 percent of company that awareness of sustainability products. revenue. More than 100 research issues is firmly embedded. At Solvay, sustainable development and resource efficiency are now among the leading criteria for Risks, opportunities, challenges and key success factors decision taking.
Opportunities Risks
• Establish a clear understanding • Failure in attempts to tackle Lessons learned of what sustainability means for sustainable development from a the company, in business terms. business-driven point of view. • It is crucial to identify • Monetization of sustainability objectives and keep a Key success factors aspects. long-term view, while at the same time being • Identify and understand the • Creation of a powerful flexible enough to address management tool for resource instruments that may affect the unexpected issues. efficiency. supply-demand balance, and translate these into clear, precise • Be honest, and recognize Challenges questions. that not all businesses • Focus on external, authoritative, will necessarily emerge as • Share the same understanding sources of information. front-runners in solutions of sustainable development. consumers seek to solve/ • Be consistent, rigorous, address their sustainability • Conciliate agendas and systematic, and learn through issues. opinions. action. • Transcend generally accepted • Top-down approach, with full ideas about sustainability. support and endorsement of Link top management. www.solvay.com/EN/ Sustainability1/OurAmbition/ Productportfolio.aspx
Solvay’s Sustainable Portfolio Management approach received a “Highly Recommended” award in EFQM’s Sustainability Good Practice Competition. The Jury recognized that this tool represents a paradigm shift in the way organizations consider sustainability as part of their strategic planning process and the potential for this tool to be adapted and applied in other organizations and sectors. Matt Fisher, COO, EFQM
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WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 15 08/12/2011 15:21 Case studies Umicore
Making the case for hybrid electric vehicles
Government incentives and compared the environmental Summary: high oil prices during the 2008 impact of combustion vehicles with that of hybrid electric This case study shows how economic crisis significantly vehicles, using the Toyota a Life Cycle Assessment, increased public interest in hybrid electric vehicles. So Prius and a conventional car of commissioned by Umicore the same size as benchmarks. did misunderstandings and and Toyota, has clarified Secondly, the assessment inaccurate information about the environmental benefits compared the environmental the environmental impact of impact of recycled batteries of the hybrid electric hybrid electric vehicles and their Toyota Prius and its with that of non-recycled ones; batteries. As a result, Umicore, in particular using Nickel Metal batteries, promoted Life together with Toyota, the Oeko- Hybrid batteries, used in Toyota’s Cycle thinking, and further Institute, and the Nickel Institute Prius II. The Life Cycle Assessment advanced sustainability. embarked on performing a Life included the production, use, Cycle Assessment, to provide the and end-of-life phases. market with clear and proven information about this issue. The Life Cycle Assessment concluded that in the use phase, The Life Cycle Assessment, the environmental impact of the conducted by Oeko-Institute, was Prius is significantly less than that twofold. Firstly, the assessment of the conventional car; mainly
Manufacturer and Material recycler/supplier extraction Material processing provided all the data needed to Figure: The SVC conduct a Life Cycle Assessment of their phases involved product solution.
Manufacturing Recycling Logistics
The independent organization that conducted the Life Cycle Assessment was Use the only party with access to sensitive Retail information.
16 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 16 08/12/2011 15:21 due to the Prius’ lower energy (GWP measures the ability of a requirements, and related lower greenhouse gas to trap heat in global warming contribution. The the atmosphere), but it does in difference in the environmental terms of acidification potential impact between the use of a and eutrophication, resulting recycled battery and the use of a from the nickel beneficiation and non-recycled one was found to be primary extraction. There is also immaterial when compared with less depletion of scarce resources, the overall positive, environmental such as nickel and cobalt. impact of the use of the vehicle. The study contributed to the have not only strengthened In the end-of-life phase, a recycled acceptance of electric vehicles, Umicore’s position as a battery battery has less environmental showing the benefits of hybrid recycler among battery collection impact than a non-recycled one. driving, and the added benefits schemes and the automotive The recycling of batteries does not of the environmentally sound industry, but has also promoted significantly reduce the impact in recycling of Nickel Metal Hydride Life Cycle thinking and terms of Global Warming Potential (Ni-MH) batteries. The results sustainability at the company. Toyota shared the results of the Opportunities, risks, challenges and key success factors study with its customers during the promotion of the new Prius, Opportunities Risks and reinforced its position in the market. • For all partners, opportunities • Having reduced availability, included promoting the consistency and reliability of inclusion of nickel in batteries, inventory data to conduct Life Lessons learned the use of rechargeable Cycle Assessments. batteries, recycling of batteries • All partners should • Potential that the study had and hybrid driving. understand the scope and concluded that hybrid electric boundaries of a study, to • For Umicore, opportunities vehicles and the recycling of ensure consistency in the included gaining credibility batteries were not the best information provided for and trust as a recycler from environmental option. Involved the Life Cycle Assessment, business customers, especially companies would thus have and to reduce potential those interested in ensuring that had to modify their products time delays. batteries are properly treated and services. and recycled. • Umicore’s Life Cycle Key success factors Assessment in- house Challenges expertise was not • Oeko-Institut was the only party yet structured. This • Collecting all required data to with access to all the sensitive experience helped conduct Life Cycle Assessments. information collected from the convince business units companies. Involving Oeko- that a central competence Institut, and not having direct center was necessary. competitors involved, ensured that companies collaborated, communicated openly, Link and disclosed all required information. www.batteryrecycling.umicore.com
The cooperation between Umicore and Toyota demonstrates the sustainable approach both companies are taking to meet the highest environmental and safety standards and social expectations, and to be fully in line with the EU Commission’s ‘Roadmap to a Resource Efficient Europe.’ Willy Tomboy, Director/Environment Officer, Environmental Affairs & Corporate Citizenship Group, Toyota Motor Europe 17
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 17 08/12/2011 15:21 Case studies AkzoNobel
Developing future-proof supply chains
Reducing the carbon profile “AkzoNobel approach to supply- Summary: of its supply chains is one of chain sustainability.” This approach pursues two major This case highlights AkzoNobel’s major challenges. goals; introducing sustainable AkzoNobel’s strategic In fact, approximately 45 percent product solutions, and reducing approach toward of the company’s cradle-to-grave carbon footprint is attributed the ecological footprint of the further improving the to emissions generated in its company. It works along two lines environmental profile of in parallel; reduction of carbon upstream processes, which footprints in existing chains, its value chains. Achieving the company can control only and introduction of new chains, economies of scale in close cooperation with its with improved eco-footprints. through strong alliances suppliers (and, in turn, is a crucial step in making their suppliers). The key challenge facing sustainable value chains AkzoNobel is that new and more Keen to be at the forefront competitive, compared to environmentally friendly supply of the move toward a more conventional production chains might not be able to resource efficient economy, compete with less sustainable processes. AkzoNobel conceptualized ones, unless they achieve a strategic initiative – the
Different parties of the value chain joined forces in an alliance and committed to create a sustainable supply chain. For one party this may mean an investment in a large plant. For another, it may require committing to a large sourcing contract to guarantee demand for the investor. Material extraction Material processing
Figure: The SVC phases involved
Disposal & Manufacturing Recycling Logistics
Use
Retail
18 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 18 08/12/2011 15:21 economies of scale. Offering capable of competing in current environmentally friendly features market conditions. in a product is not enough to reach the customer mass required AkzoNobel has set specific goals to achieve a financially viable for its supply chain initiative. By product. The offer has to be made 2015, a 10 percent reduction of at reasonable prices, and deliver cradle-to-gate carbon intensity, the same level of quality for the and a 30 percent share increase end-consumer. of eco-premium products have to be realized. By 2020, AkzoNobel AkzoNobel is working on several plans to achieve an additional projects to develop new supply 20-25 percent reduction in carbon AkzoNobel also expects chains, most of them focusing on intensity (all figures with base year that all stakeholders involved greenhouse gas reduction. Due 2009). If successful, AkzoNobel will gain from this initiative, to the high investment required will not only achieve significant turning it into a “win-win” by these projects, AkzoNobel is improvement in its corporate solution. By securing AkzoNobel building supply chain alliances, environmental profile, but also purchasing, suppliers will be involving suppliers and customers take a competitive advantage able to make important facility who believe in sustainability by offering efficient, sustainable investments, and reach the to create alternative solutions products at reasonable prices. necessary scale to compete within the current market. AkzoNobel’s customers will be able to Opportunities, risks, challenges and key success factors develop and offer competitive new products with improved Opportunities Risks environmental profiles due to better efficiency and/or green • Competitive advantages. • Compliance with codes labels. Society and environment of competition has to • Stronger relations with business will benefit from a decrease in be maintained. partners. carbon intensity along the • Financial risks due to initial value chain. Challenges investments in sustainable processes and research and • Realizing economies of development. scale - scaling up sustainable Lessons learned production / sustainable value • Technical feasibility of solutions. chains, in order to be cheap and • Insufficient internal support / • Involve the right people efficient enough to successfully support of partners. at the right level in the compete with conventional partner companies. value chains. Key success factors • Find the right partners, and • Find the right people within align their perspectives while Link partner companies, willing outcome of the initiative is to support the initiative. www.akzonobel.com/sustainability unclear, and trade regulations have to be observed. • Operational feasibility of the strategic approach.
The ‘Invisible Hand’ will take (too) long to overcome ingrained practices in our supply chains – we may need to actively guide it. Peter Nieuwenhuizen, Director, Future Proof Supply Chains, AkzoNobel 19
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 19 08/12/2011 15:21 Case studies Philips
Selling sustainable lighting
In 2010, the Dutch architect and recycling of old light fixtures. Summary: Thomas Rau approached Philips Energy data is collected by energy meters, allowing for optimization This case study shows how with the idea of engaging a full- of energy consumption. lighting can be made more service provider of sustainable lighting for his new office sustainable through the For Philips, the project is an building. offer of a service-based example of an innovative business approach instead of a Together with Thomas Rau, Philips model that further fosters product-level one, making created a new business model, sustainability. Thanks to its it a ”win-win” situation the “Pay per Lux” approach in knowledge of lighting, particularly its physiological and psychological for both provider and which the company provides state effects, Philips is able to make customer. of the art lighting installations, including LED and dynamic workplaces more comfortable. lighting to enhance the well- As a full-service provider, Philips being and productivity of RAU intensifies its relation with the Architects’ employees. Philips customer, thus receiving quicker retains ownership of the lighting and comprehensive feedback, to systems and all additional lighting identify and deliver improvement services including replacement to the customer and to enable
Material extraction Material processing Figure: The SVC phases involved
Manufacturing Recycling Philips remains Logistics Philips remains owner of the owner of the product product along along the life cycle. the life cycle.
Use RAU Architects benefits from buying light as a service without having to cater Retail for supplementary requirements such as maintenance or energy bills.
20 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 20 08/12/2011 15:21 faster overall innovation processes. and satisfaction with their work By offering highly efficient LED- environment. lighting systems, substantial energy savings can be realized. By using sustainable innovation And finally, in closing the material as a driver for lighting provision, loop by retaining ownership of the Philips was able to explore a new products in use, Philips develops type of service that met RAU integrated strategies for material Architects’ needs and broaden disposal or recycling. Philips’ knowledge of potential business models for lighting. This The “Pay per Lux” approach is new model is also well aligned currently in its trial phase. So far, with Philips’ commitment to it has proved to be a “win-win” its EcoVision5 and associated situation for both RAU Architects sustainability leadership key and Philips. RAU Architects deals performance indicators: bringing now with one partner providing care to people, improving energy lighting performance, instead of efficiency of products and closing multiple service providers who the materials loop. In particular, cannot address its lighting needs the focus on the end of the Lessons learned as a whole. Thanks to Philips’ life cycle has helped Philips to know-how, RAU Architects was further understand sustainability • Trust is important – able to implement a lighting as a holistic challenge, and a certain amount of concept perfectly adapted contribute to the identification transparency is necessary. to its office building, while of economically viable solutions. ensuring employee well-being • A certain degree of diversity is needed to be able to work Opportunities, risks, challenges and key success factors together without putting competitiveness at risk. Opportunities Risks • Enlarge the pie before • Develop deep customer • Change of business model you cut it – first identify relationships. – from selling products to the sources of value selling services – requiring • New service model with creation, then undertake new expertise (e.g., legal continuous stream of income discussions on margins requirements). instead of one-time payment. split. Key success factors Challenges Link • RAU Architects shared Philips’ • Develop new business vision of people, social and www.lighting.philips.com structures to support the new environmental responsibility. service model. • Long-term commitment by • Address legal issues (e.g., both parties. ownership of light bulbs). • Trust and close relationship • Close the material loop by with RAU Architects. developing new business opportunities for the disposed products.
At RAU we are interested in adequate lighting in the office, not in actual possession of the lighting products themselves. With the ‘Pay per Lux’ concept developed with Philips, the speed of innovation is greater and could make the use of environment-friendly products considerably cheaper. This concept is a very new, sustainable way to think about lighting solutions and use of light. Thomas Rau, Architect 21
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 21 08/12/2011 15:21 Case studies Henkel
Improving the triple bottom line profile of product portfolios
Many products and solutions are environmental protection, Summary: linked to singular environmental social progress, and economical success. It quantifies the impacts This case describes or social benefits, without clear of a proposed product or process how Henkel’s quantification or consideration of along the value chain, presents a “Sustainability#Master” potentially harmful side effects or trade-offs. Sustainability holistic picture of its sustainability tool helps to assess strengths and weaknesses often strengths and weaknesses, and the sustainability helps to assess whether the are not assessed systematically, proposed product or process is profile of product and because of lack of expertise, overall more or less sustainable process innovations limited data, or complexity of than its predecessor. The tool aims across the entire value existing tools. chain, covering the to answer a simple question; will the new product or process lead to environmental, social and As a response to this challenge, Henkel developed the more sustainable consumption? economic dimensions. Sustainability#Master – an The Sustainability#Master has assessment tool based on already been used for several information generated through products, including Henkel’s life cycle assessments. The MiraFoil, an effect lacquer for tool evaluates products and packaging, labeling, and other processes in three dimensions;
Material processing Henkel uses Sustainability#Master to assess the environmental and Material economical performance of its extraction products throughout the value chain and identify sustainable solutions Figure: The SVC such as MiraFoil. phases involved
Disposal & Manufacturing Recycling Logistics The packaging manufacturer works with Henkel to implement MiraFoil.
Use
Retail
22 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 22 08/12/2011 15:21 graphics applications. It creates a raw materials (e.g., 95 percent metallic gloss on product surfaces, less aluminum), and waste. and is an alternative to existing Mira Foil’s process also allows solutions such as hot foil stamping, for efficiency in supply chain aluminum pre-treated board and transportation and a 65 percent cold foil. Henkel carried out Life improvement in global warming Cycle Assessments for MiraFoil and potential ,due to a shift from used the Sustainability#Master a 3-step to a 1-step production to analyze the results. The tool process. demonstrated MiraFoil’s overall superior performance, with Following its launch in 2009, and processes. Externally, it has benefits in all three dimensions of the Sustainability#Master was helped to develop and implement sustainability. Social benefits were continuously refined through more sustainable solutions that achieved, due to easier production its application to new solutions, require the collaboration of coordination and improved different business questions, and different actors. quality. Economic improvements dialogue with stakeholders. The were realized due to shorter lead tool helps to structure discussions Lessons learned times, and lower production costs. and argumentation. Internally, The environmental dimension insights generated through it use • A pragmatic approach, had the greatest positive impact. provide guidance for business designed to provide input MiraFoil can be applied to more choices, and are fed back into the to concrete business precise areas, reducing the use of further development of products questions, ensured the acceptance of the Sustainability#Master Opportunities, risks, challenges and key success factors both within Henkel and with its partners. Opportunities Risks • Concrete applications • Base business decisions on • Being driven by a multitude helped facilitate its reliable and clear information of potentially conflicting refinement as the tool and promote sustainable assumptions and expectations continued to evolve. solutions. that might not be based on • A structured, semi sound science. • Quantify progress toward more quantified approach can sustainable value chains and Key success factors overcome some of the consumption. challenges associated • Top management support. with sustainability Challenges • Interdisciplinary team willing to measurement and find solutions to long-standing provide directionally • Visualize sustainability benefits challenges. reliable results. and trade-offs. • Having data and a tool to • Reduce complexity avoiding demonstrate benefits versus Link over-simplification. existing technologies in a • Get all necessary actors on transparent and easy-to- www.naturallyhenkel.com/ board to implement sustainable understand fashion. mirafoil.htm solutions.
LCA data are often too complex to communicate the benefits of more sustainable solutions to our customers. The Sustainability#Master has helped me to present a balanced and holistic argument - driving the implementation of more sustainable solutions in our value chains. Marcel Hübenthal, Project & Strategic Account Manager, Paper Converting Europe
23
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 23 08/12/2011 15:21 Case studies Procter & Gamble
Cold water laundry
Since the 1990s, Procter & Gamble which allowed for a significant Summary: (P&G) and other detergent reduction of energy use and greenhouse gas emissions per This case study shows manufacturers, have conducted wash. P&G collaborated with how Procter & Gamble Life Cycle Assessments to its suppliers to develop a new reduced the energy analyze the environmental impacts of washing products. concentrated formulation that consumption of washing The assessments revealed that used less-sourced ingredients, by offering new eco- and to produce compacted up to 85 percent of the energy packaging that generated less efficient detergents consumed in the detergent’s life waste and emissions. P&G also without compromising cycle was the result of the use partnered with manufacturers efficient cleaning results. of hot water by end-consumers of washing machines to ensure during the washing phase. the widespread availability of low Building on these findings, P&G temperature washing functions. developed Ariel Cool Clean, In order to reach the mass market a low temperature, highly- with these new products, and efficient washing detergent,
Material extraction Raw material suppliers Material processing provide elements that Collaboration with are still effective at low suppliers produce temperatures and compacted products less harmful for the resulting in less waste environment. and transportation.
Figure: The SVC phases involved Manufacturing Detergent and washing machine manufacturers work together to ensure Disposal & low-temperature Recycling washing programs Logistics are systematically offered. Detergent manufacturers Companies, public authorities, agree on a code civil society organizations, of conduct under partner to encourage consumers the A.I.S.E, which to change their behaviors and Use also launches wash at low temperatures. an information Retail campaign.
24 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 24 08/12/2011 15:21 to change consumer behavior organizations. In the UK, the on a substantial scale, a joint company partnered with the movement of leading companies Energy Saving Trust to launch in the industry was necessary. the “Turn to 30” campaign, In Western Europe, the industry which consisted of TV and print association A.I.S.E. (International advertizing, direct marketing, Association for Soaps, internet campaigns, in-store Detergents and Maintenance events and promotional activities. Products), coordinated measures across companies with the The initiative proved to be a “win- introduction of the Code of Good win” situation. Ariel Cool Clean, Environmental Practice (1997), and subsequently Ariel Excel Gel, and the Charter of Sustainable proved to be better products for Cleaning (2005). The A.I.S.E. consumers, helping them to save also launched the Washright energy and money by washing campaign, giving simple advice at lower temperatures and on how to wash more sustainably, using lower doses of detergent, including avoiding under-filling, without compromising washing dosing appropriately, washing quality. These new products at low temperatures, and saving also helped to reduce the overall Lessons learned packaging by recycling or environmental footprint of the refilling. company. The “Turn to 30” also became an economic and • Know where your impacts In each country where Ariel environmental success for P&G. are, and make them Cool Clean was introduced, It contributed to the growth of visible. P&G launched information Ariel’s market share, and served • Develop an efficient and awareness campaigns in as a brand-building measure. strategy to address hot- partnership with civil society spots in the value chain, instead of proceeding on a general basis with Opportunities, risks, challenges and key success factors an overall life cycle optimization. Opportunities Risks • Sustainable products • Exploration of new market • Failure to change people’s must simultaneously segments. habits. meet consumer needs, • Substantial improvement • Working with competitors give performance, add of corporate environmental might be perceived as anti- value, and be sustainable footprint. competitive behavior. – otherwise they are only appealing to Challenges Key success factors the green niche.
• Influence customers’ habits to • Engagement of consumers. wash more energy-efficiently • Success in research and Link and eco-friendly. development. www.washright.com • Overcome the “bigger is • Joint operations beyond better” thinking of customers company borders. by conveying benefits of compacted products.
Ariel Excel Gel is a classic “no trade-offs” where the consumer gets a better product and good value, and where you can see many benefits for the environment. Peter White, Director, Global Sustainability, Procter & Gamble 25
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 25 08/12/2011 15:21 Case studies TNT
Collaborating with customers to develop innovative city logistics solutions
The environmental impact of enables partnerships with cities Summary: transport in supply chains is that have an increasing focus on reducing air pollution, congestion This case study shows how becoming increasingly important. and noise. The City Logistics a combination of smart As well as understanding their concept delivers benefits through supply chain solutions, environmental impact, a growing number of companies seek smart bundling, and the use of new technologies, concrete and specific solutions innovative last-mile solutions, supporting regulations such as an Integrated Transport to reducing greenhouse gas System and Electric Vehicles. and most importantly, emissions in their supply chains. collaboration with key TNT is developing a series of partners can provide clean TNT responds to that demand by offering its customers a portfolio pilots under the City Logistics and cost-effective logistics project. One of them took place solutions to city centers. of solutions that enable them to reduce emissions from air, in Milan, with the High-Street road and building operations. Solution. A fact-based analysis One of these solutions is City of vehicles’ movements related Logistics, which provides a to the transport of goods in Via zero-emission alternative for Montenapoleone was performed, the last-mile delivery. It also in collaboration with a recognized
Material extraction Material processing Figure: The SVC phases involved
Logistics Vehicle supplier provided electric Disposal & vehicles. Manufacturing Recycling TNT demonstrated the feasibility of the project and delivered Gucci agreed the goods. to co-pilot the implementation phase of the project.
Use Retail
26 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 26 08/12/2011 15:21 local university. Based on the facts First conclusions were very and figures on street level and positive from all parties scenario modeling, TNT was able involved. The solution proved to
to show to the city authorities and significantly reduce CO2 and other its customers how the number of emissions for Gucci, TNT and the vehicles and emissions could be City of Milan. It also differentiated of a city, because congestion reduced by more than 50 percent, TNT services from its competitors, and other problems still exist. by optimizing the transport and, based on the current The key is to take out as many capacity on this particular street. technologies, confirmed electric transportation movements as vehicles as the preferred option possible (mileage and vehicles) TNT joined forces with the luxury for the last-mile delivery. through capacity optimization, brand Gucci to implement this and to use environmentally solution as a pilot. All Gucci The pilot has been turned into a friendly transportation for the shipments to the targeted business proposition, and will be remaining vehicles. This includes street were delivered into offered to TNT customers in other a full range of transport means, the city center using electric cities around the world as part such as trucks, walkers, tricycles vehicles provided by a leading of a broader portfolio to reduce and bicycles. electric vehicles manufacturer. supply chain emissions. The real breakthrough of this approach was the combination of More generally, the pilot innovative logistics management, reinforced the idea that replacing Lessons learned technologies, and collaboration the existing diesel or petrol with customers, as well as other vehicles with electric ones • No single solution fits city stakeholders. does not solve all the problems all customer and city requirements. Tailor the solution to the type of Opportunities, risks, challenges and key success factors city, specific political Opportunities Risks environment, type of customer and network. • Build a stronger and more • Ensure TNT releases a positive durable relationship with business case, and that electric • Working closely with customers. vehicle technology is reliable City authorities might be in the long term. challenging, as working • Secure TNT’s future license to styles differ from that of operate in inner cities. Key success factors the business sector, and • Enhance TNT’s competitiveness. from city to city. • Fact-based approach is key; • For informal settlements Challenges trial and error process does or slums, completely not work. • Obtain proactive support different solutions are • Understand changes in from cities. required (reference end-consumer behaviors to Technology Enablers • Bundling at street level, customize service offering. Initiative). and sourcing the relevant • Customers must be keen technology to support to achieve new sustainable the chosen solution. Link solutions. www.tnt.com/corporate/en/ site/home/about_us/corporate_ responsibility
Gucci launched a worldwide eco-friendly program designed to reduce the company’s impact on the environment. The project with TNT goes in the same direction and we are sure that our
customers will appreciate our efforts and commitment in terms of reduction of CO2 emissions. Gucci 27
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 27 08/12/2011 15:21 Case studies The Coca-Cola Company and Unilever
Working together to reduce the environmental impact of refrigerants
Fluorinated gases have a of Greenpeace and the United Summary: negative impact on the Nations Environment Programme (UNEP), launched “Refrigerants, This case study outlines environment, and are widely Naturally!”, a global not-for- how a group of used in commercial refrigeration profit initiative committed to companies, a campaigning applications, such as vending machines, coolers and freezers. promote a shift away from harmful organization and an Initiated with the Montreal fluorinated gases toward natural international organization refrigerants, with a focus on their Protocol in 1978, the focus on point-of-sale cooling applications. worked together to create embracing environmentally Natural refrigerants are naturally Refrigerants, Naturally!, a friendly refrigeration alternatives occurring substances, such as global initiative to combat has been accelerated through hydrocarbons (HC), carbon dioxide climate change and ozone influential civil society (CO ), water and air; when used as layer depletion. campaigns, government action, 2 refrigerants, these substances do and the commitment of visionary not harm the ozone layer, and have companies. zero or negligible climate impact.
As a response to this challenge, Both The Coca-Cola Company The Coca-Cola Company, Unilever and Unilever rely on refrigeration and McDonald’s, with the support throughout the value chain.
Material extraction Material processing
Figure: The SVC Suppliers phases involved manufactured the required refrigeration units.
Manufacturing Disposal & Public commitment Recycling Logistics by consumer goods companies generated trust across the value chain.
Use Campaigning Retail organizations The environmental demanded change impact per unit used and contributed with has been reduced. knowledge.
28 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 28 08/12/2011 15:21 At The Coca-Cola Company, the point of sale. Having proved refrigeration is the greatest the HC technology, Unilever contributor to its climate began replacing cabinets in 2004. footprint. Coca-Cola beverages By 2011, Unilever had replaced are kept cold in over 10 million around 900,000 and is currently coolers and vending machines accelerating this rollout globally, around the world. The Coca- with the objective of purchasing Cola Company has invested a further 400,000 by 2015. technologies, brought different more than USD 60 million over value chain actors closer together, the past decade in research and In 2010, the members of The and demonstrated that by development to advance the use Consumer Goods Forum, a global working together, solutions to of Hydrofluorocarbon (HFC)- industry network gathering difficult problems can be found. free cooling technologies. The consumer goods companies, company has 380,000 HFC-free committed to phase out HFC units in use around the world, and refrigerants as of 2015, and replace also is phasing out HFCs in all new them with natural refrigerants. Lessons learned cold drink equipment, as of 2015. Despite the initial challenges • A shared vision may not At Unilever, refrigeration is less of developing financially and lead to an immediate significant in connection with the technologically viable solutions, solution. Some company’s overall environmental through vision, commitment and initiatives require a profile, but still relevant in absolute collaboration, this initiative has long-term commitment values. As the largest producer of generated several benefits. It has to engagement and ice cream, it keeps its products in contributed to environmental collaboration. over 2 million freezer cabinets at protection, fostered new • Solutions cannot be driven by business alone. Opportunities, risks, challenges and key success factors Collaboration between business, civil society Opportunities Risks organizations and government often yield • Be proactively part of driving • Climate change and its potential the most viable solutions innovative solutions to global impact on business. to global issues. climate change. • Activism by influential • Collaboration with • Build relationships with campaigning organizations. companies is a consumers, civil society • New regulations that could delicate matter. Due to organizations and other have costly impacts on legacy competition regulations, stakeholders. equipment. any kind of coalition Challenges must be based on the Key success factors commitment of companies • High cost of new technology to contribute to specific • Public commitments that send requiring economies of scale to issues on an individual signals to suppliers and other become financially viable. basis to avoid cartel businesses. accusation. • Regulations not aligned across • Cross-sector and cross-industry markets and scant incentives to collaboration. adopt climate-friendly solutions. Link • Solutions that can work in • Low interest from suppliers. multiple applications. www.refrigerantsnaturally.com
Greenpeace increasingly works with businesses to make fundamental manufacturing and sourcing changes by connecting regulation, economies of scale and supply chain security. Coca-Cola and Unilever’s commitment today runs ahead of regulation and takes some fear out of rapid change. Amy Larkin, Director of Greenpeace Solutions 29
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 29 08/12/2011 15:21 Case studies Sompo Japan Insurance
Disseminating green procurement practices through the value chain
Green procurement has been 2,900 corporations and local Summary: prevailing among large governments in Japan), and the cooperation of its office This case study explains companies in Japan, but as yet, supplies service provider, Sompo how a service company not among medium- and small- Japan developed an online and created and spread a sized companies, especially in local areas. Sompo Japan, centralized green purchasing green procurement which had been tackling green system, offering eco-friendly online system through stationery products for its procurement since 1997, decided nationwide agency organizations, its value chain. The to disseminate it amongst the AIR. This consisted mainly new system is not only insurance agencies, which are a of automobile repair shops, reducing the insurance core part of its value chain, and and the J-SA, an organization of sector’s environmental indirectly to 5.9 million corporate professional insurance agencies. impact and promoting and individual customers across its stakeholders’ the country. A communication campaign environmental was launched, not only to With the help of the Green consciousness, but also disseminate knowledge of the Purchasing Network (an extra- system and provide agencies helping Sompo Japan governmental organization with sensitization messages differentiate itself in with members of more than the market due to its sustainability initiatives.
Material extraction Material processing Figure: The SVC phases involved
Manufacturing Disposal & Recycling Logistics The Green Purchasing Network and stationery companies helped Sompo Japan to create Use the green Top management Retail purchasing from AIR and J-SA system. Sompo Japan organizations helped implemented the promoting and adopting online system and the system among agencies. communicated on it.
30 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 30 08/12/2011 15:21 about purchasing more eco- The agencies have realized multiple friendly products, but also to benefits. Through the use of eco- advise on the sustainable use friendly stationery products and and disposal of these products. bulk discounts offered, agencies Also, Sompo Japan made tools have been able to reduce their such as comics and posters, to environmental footprint and costs. encourage agencies in an easily Increased purchasing amounts understood manner. leads to further profits for the stationery sales company offering In less than three years, the eco-friendly products. voluntary procurement system has been adopted by about This initiative has also helped to 70 percent of AIR and J-SA differentiate Sompo Japan from agencies, an estimated 4,000 other insurance companies, entities. Sompo Japan is actively and strengthen the link working to increase this number, between the company and to ensure a more frequent and its agencies. use of the platform.
Opportunities, risks, challenges and key success factors
Opportunities Risks
• Differentiate the company from • Increased operating costs competitors. may lead to loss. • Further strengthen existing Key success factors relationship to agencies. Lessons learned • Leadership commitment was Challenges • The three pillars of key. Top management from such an initiative are: AIR and J-SA were very active • Promoting green procurement sympathy to the cause in making consensus in their was not easy, especially in from target organizations; respective organizations. remote and small communities. cost reduction allowing • AIR was already conscious of a faster buy-in; top-level the impact of their business on commitment. the environment, due to their core business of automobile repair shops. Link • Clear messaging about the www.sompo-japan.co.jp/english/ importance of green purchasing. about/csr/index.html
Misachi Firm registered the green procurement system and has been making use of it. In addition, we have been making efforts to spread our customers’ environmental consciousness by placing green procurement posters and comics in our showrooms and offices and by providing explanations to customers. We continue to co-work with Sompo Japan, J-SA and AIR and aim to become a leading company within the environment field in the community. Misachi Firm, automobile repair shop agency and a member of AIR 31
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 31 08/12/2011 15:21 Case studies SABIC
Environmental innovation in plastics upcycling
In the past decade, the demand One way that SABIC has addressed Summary: for plastics with recycled content these market needs is by the development of Valox iQ* and This case study shows has increased significantly. Xenoy IQ* resins. how SABIC developed E-waste and end-of-life vehicle regulations, industry standards an innovative method to Valox iQ* resins are polybutylene and other initiatives have produce recycled-based terephthalate (PBT)-based resins, encouraged the market expansion resin products for the produced using up to 60 percent of recycled materials. Corporate post-consumer polyethylene electronic and automotive sustainability programs also have industries. terephthalate (PET). PET from led many of the manufacturing waste bottles is upcycled into companies to set targets for the high performance PBT, with use of recycled materials in their better engineering properties products. In addition, consumers than the original bottle-grade have become more aware of PET. Xenoy iQ* resin is obtained sustainability issues, and oil through blending PBT with prices have climbed upward due polycarbonate. Up until this time, to scarcity concerns – all of which chemical upcycling of PET had been have made recycling technologies economically unsustainable, due to more competitive and attractive. the low price of crude oil.
Collaboration with third- Material party organizations to Collaboration with Material extraction processing confirm that environmental the PET recycling benefits of the project were industry to gain positive based insights into on Life Cycle Assessments. the rPET market.
Disposal/recycling
Manufacturing Coordination with Logistics customers to better understand their needs and demands, and helping with the development of efficient and suitable products. Use
Retail
32 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 32 08/12/2011 15:21 A series of Life Cycle Assessments Since their introduction, the concluded that Valox iQ* resin demand for both product lines technology can offer real has grown, as has the portfolio. environmental benefits, without the Today, there are approximately traditional trade-off in performance 20 commercial grades available in usually found in mechanical SABIC’s iQ resin portfolio. SABIC is recycling. The properties of Valox also exploring alternative ways to iQ* resin are nearly equivalent increase the sustainability content to those of the virgin Valox* PBT of the iQ resin product lines. major themes in their resin used in electrical connectors, sustainability program. This electronic devices, fibers, and The success of the Valox iQ* resin includes developing a broader range consumer goods, such as oral product helped SABIC develop of recycled materials to complement care and food utensils. Xenoy iQ* the experience, confidence, and Valox iQ* resin, implementing a resin has been used in power-tool Life Cycle Assessment competency sustainability product standard and housings, transportation exteriors, required to put additional emphasis scorecard to monitor progress, and outdoor products, and components on developing new sustainability continuing to practice and expand requiring high impact and chemical solutions for the market. Today, the role of Life Cycle Assessment resistance, such as healthcare developing sustainability solutions in making business decisions applications. for their customers is one of the and communicating results.
* Trademarks of SABIC Innovative Plastics IP B.V.
Opportunities, risks, challenges and key success factors Opportunities Risks Lessons learned
• Meet customer needs for • Limited availability and high • Introducing sustainability high performance, sustainable prices of recycled PET (rPET) solutions to complex value solutions that deliver in due to increasing demand. chains, such as electronics demanding applications. and automotive, requires • Price volatility of natural gas close collaboration across • Assisting customers in meeting and oil used as raw materials in the entire value chain. new environmental standards the plastic industry that could and regulations, which helps compete with recycled raw • Customers are seeking to support demand and materials. one supplier with a awareness for products such broad portfolio of as Valox iQ* resin. Key success factors sustainable solutions to meet their growing • Focusing on a proven technology Challenges needs, in a variety of and awaiting the right market demanding applications. conditions for commercialization. • Find early adopters that Life Cycle Assessment value the products’ • Keeping customers’ requirements is an important tool in sustainability benefits. in mind when selecting and developing a sustainability • Eliminate the outdated designing the technology. portfolio. perception that recycled • Third-party verification of materials are lower environmental benefits across performing. the life cycle. Link • Setting sustainability goals that www.sabic-ip.com/gep/Plastics/ help customers to achieve their en/ProductsAndServices/ goals by using SABIC’s products. ProductFamily/iq*_valox.html
Valox iQ* technology gives us credibility in sustainability discussions in the market, opens up new product development opportunities, and creates dialogue with customers, which may not have happened if we had not launched this product. Robert McKay, Sustainability Leader, Innovative Plastics 33
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While by no means exhaustive, the list below provides a few useful supporting research papers and guidance documents. These additional resources aim to assist companies in their journey toward a more sustainable value chain.
Companion WBCSD documents
Corporate Value Chain (Scope 3) Accounting and Reporting Standard Corporate Value Chain Product Life Cycle 6 SF (Scope 3) Accounting Accounting and and Product Life Cycle Accounting and Reporting Standard. and ReportingPFCs Standard Reporting Standard
HFCs processing of sold products
O With WRI (2011) Supplement2 to the GHG Protocol Corporate N transportation and distribution use of sold Accounting and Reporting Standard products
4
CH end-of-life treatment of sold products
company 2 facilities CO leased assets franchises The new GHG Protocol standards provides a standardized method to company purchased electricity, steam, vehicles heating & cooling for own use fuel and
energyactivities related
business capital travel goods
waste investments inventory the emissions associated with individual products across purchased generated in goods and operations services
transportation leased assets and distribution
employee commuting their full life cycles and of corporate value chains, taking into account impacts, both upstream and downstream, of company operations.
Guide to Corporate Ecosystem Valuation With ERM, IUCN and PwC (2011) This first-of-its-kind framework enables companies to consider the actual benefits and value of the ecosystem services they depend upon and impact, giving them new information and insight to include in business planning and financial analysis. Guide to Corporate Ecosystem Valuation
A framework for improving corporate decision-making
Sustainable Procurement of Wood and Paper-based Products Guide With WRI (updated in 2011) This is a toolbox designed to help corporate managers understand and find the best Sustainable Procurement of Wood and Paper-based Products advice on how to purchase products originating from the world’s forests.
An introduction Version 2. Update June 2011
What are the external datasets used? Almost 30 external datasets are contained in the tool. These include: Sector customizations
Water Stress Index The Global Water Tool has been customized to fit the specific needs of two industries.
Economic and Physical WBCSD Water Water Scarcity The Water Project’s leadership group comprises of The tool is very flexible: it can be 29 global companies representing 12 industrial sectors Access to Improved Water customized to a company’s own (July 2011). & Sanitat set of water metrics and used ion in combination with other local They share a common vision aspiring to achieve, by Download assessment tools 2050, responsible water management throughout their Renewable Water Resources per person for 2025 & 2050 value chains and operate in an environment where all it FREE people and businesses have access to safe and reliable from: What are the external Sector customizations WBCSD Water Kimberly-Clark www.wbcsd.org Biodiversity Hotspots water supply and adequate sanitation.Download it FREE from: datasets used? The Global Water Tool has been customized to fit The Water Project’s leadership group comprises of Global Water Tool the specific needs of two industries. 29 globalPower companies Utilities Sector representing 12 industrial sectors Almost 30 external datasets are contained in the tool. (July 2011). www.wbcsd.org These include: More The Tool helps companies They share a common vision aspiring to achieve, by information Water Stress Index The tool is very flexible: it can beto identify and prioritize 2050, responsible water management throughout their available: customized to a company’s ownsites and suppliers requiring value chains and operate in an environment where all • How to use guide implementation of water set of water metrics and used people and businesses have access to safe and reliable (updated in 2011) in combination with other localmanagement plans More information available: Economic and Physical water supply and adequate sanitation. assessment tools • Dataset details Water Scarcity • How to use guide for Power Utilities Kimberly-Clark • FAQs PepsiCo Access to Improved Water Led by CH2M HILL and EDF, the tool was shaped and • Dataset details & Sanitation These come from the most credible publicly available piloted by a group of member companies with power • User feedback sources and are global in their coverage. production operations worldwide – • FAQs
Renewable Water Resources per person for 2025 & 2050 Country Power Utilities Sector www.wbcsd.org • User feedback • This tool maps a company’s water-related risks and provides an inventory for reporting UN FAO AQUASTAT Biodiversity Hotspots Oil and Gas Sector • Questions? WHO and UNICEF Joint Monitoring Program [email protected] • UN Department of Economic and Social Affairs, Questions? The Tool helps companies Population Division (UNDESA) to identify and prioritize for Power Utilities [email protected] sites and suppliers requiring Watershed on GRI’s water indicators. implementation of water management plans Led by CH2M HILL and EDF, the tool• World was Resource shaped Institute and(WRI) piloted by a group of member companies with power for Oil and Gas • PepsiCo production operations worldwide –University www.wbcsd.org of New Hampshire (UNH) The customized IPIECA Global Water Tool was developed by CH2M HILL in collaboration with WBCSD and piloted • International Water Management Institute (IWMI) by 15 global oil and gas companies – o-g-watertool These come from the most credible publicly available • Conservation International (CI) sources and are global in their coverage. Oil and Gas Sector www.ipieca.org/
Country • UN FAO AQUASTAT
• WHO and UNICEF Joint Monitoring Program
• UN Department of Economic and Social Affairs, for Oil and Gas Population Division (UNDESA) The customized IPIECA Global Water Tool was developed The World Business Council for Sustainable Development Watershed by CH2M HILL in collaboration with WBCSD and piloted (WBCSD) is a CEO-led, global coalition of some 200 by 15 global oil and gas companies – www.ipieca.org/ • World Resource Institute (WRI) companies advocating for progress on sustainable o-g-watertool development. Its mission is to be a catalyst for • University of New Hampshire (UNH) innovation and sustainable growth in a world where The World Business Council for Sustainable Development resources are increasingly limited. • International Water Management Institute (IWMI) (WBCSD) is a CEO-led, global coalition of some 200 companies advocating for progress on sustainable • Conservation International (CI) development. Its mission is to be a catalyst for innovation and sustainable growth in a world where resources are increasingly limited.
34 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
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Energy Efficiency in Buildings – Facts and Trends
Trends (2008)
Energy Efficiency in Buildings
Facts & This report is a detailed view of the current state of energy demand in the building Business realities and opportunities sector. It helps to understand the complexity of interactions between stakeholders
Brazil China Europe India Japan United States in the building value chain.
Secretariat Full report 4, chemin de Conches Tel: +41 (0)22 839 31 00 E-mail: [email protected] CH-1231 Conches-Geneva Fax: +41 (0)22 839 31 31 Web: www.wbcsd.org Switzerland
WBCSD North America Office Tel: +1 202 420 77 45 E-mail: [email protected] 1744 R Street NW Fax: +1 202 265 16 62 Washington, DC 20009
A vision for sustainable consumption (2011) This report envisions what sustainable consumption could look like in 2050, and how www.wbcsd.org business could help to establish it in the mainstream. It proposes a new “value net” model in which value is continuously created, preserved and shared.
A vision for sustainable consumption Innovation, collaboration, and the management of choice
World Business Council for Sustainable Development www.wbcsd.org
4, chemin de Conches, CH-1231 Conches-Geneva, Switzerland, Tel: +41 (0)22 839 31 00, E-mail: [email protected] 1500 K Street NW, Suite 850, Washington, DC 20005, US, Tel: +1 202 383 9505, E-mail: [email protected]
WBCSD_Vision_PRINT_03.indd 2-3 19/10/2011 22:43 Couv_ARP2.pdf 1 20.10.11 09:45
Measuring Impact Framework measuring (2008) This tool helps companies understand their contribution to society, inform their operational and long-term investment decisions, and have better-informed conversations IMPACT Framework Methodology with stakeholders.
Understanding the business contribution to society
WBCSD Regional Network
DEDICATED TO MAKING A DIFFERENCE Business Guide to a Sustainable Supply Chain New Zealand CSD (2003) The guide provides tools for companies to create their own code of conduct and rating
Business Guide to a system for suppliers, suggestions on how they can improve their internal logistics toward Sustainable Supply Chain A Practical Guide a more sustainable model, and a strategy for incorporating sustainability into product
NOVEMBER 2003 and service design.
For interactive version go to: www.nzbcsd.org.nz/supplychain
Resources 35
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UN GC, UNEP, SustainAbility The Terrace & NL Agency UN GC, UN Global Compact Supply (2008). Unchaining Value (2011). Cradle to cradle pays off! Chain Resources & Practices. – Innovative Approaches to Companies of the C2C Learning http://supply-chain. Sustainable Supply. This report Community about their experiences unglobalcompact.org explores how supply chains and lessons learned. This report function, in order to identify summarizes the learning CSR Europe, Managing Sustainable new approaches to building experiences on cradle to cradle Supply Chains. sustainability capacity at the from 17 companies involved in www.csr-supplychain.org local supplier level, as well as the Cradle-to-Cradle Learning Government of South Australia, identifying initiatives that will Community. PIRSA Value Chains, Value Chain encourage and enable consumer Toolkit. demand for more sustainable ICC (2008). Guide to responsible www.pir.sa.gov.au/valuechains/ solutions. sourcing – Integrating social and environmental considerations value_chain_toolkit BITC (2009). How To: Manage into the supply chain. The guidance European Commission- Joint your Supply Chains Responsibly. presents basic steps that companies Research Centre, Institute for the This How-to Guide outlines can take to influence and monitor Environment and Sustainability, why responsible supply chain social and environmental Life Cycle Thinking and Assessment. management is vital to your performance in their global http://lct.jrc.ec.europa.eu business; the types of risks and supply chains. issues commonly found within US Environmental Protection UNEP, SETAC and LCI (2008). supply chains; and a practical Agency, National Risk Life Cycle Management – step-by-step approach to Management Research How business uses it to decrease meet these challenges. Laboratory, Life-Cycle Assessment. footprint, create opportunities and www.epa.gov/nrmrl/lcaccess BSR and UN GC (2010). make value chains more sustainable. Supply Chain Sustainability: This publication can be used by Consumer Goods Forum, Future A Practical Guide for Continuous company in-house experts and Value Chain 2020. Improvement. This publication non-specialist managers as well www.futurevaluechain.com offers practical guidance on as company suppliers in order how to develop a sustainable to learn how to apply life cycle supply chain program, based management practices throughout on the values and principles the value chain. of the Global Compact. UNEP, SETAC and LCI (2008). Consumer Goods Forum Life Cycle Management: A business (2011). 2020 Future Value Chain: guide to sustainability. The Building Strategies for the New guidebook covers the topics Decade. This report aims to of life-cycle thinking based help companies understand on the triple bottom line, Life how megatrends will impact Cycle Management in practice their businesses, and be in the various departments of a prepared to benefit from company, and implementation, these transformations. using a step-by-step approach to plan, do, check and act.
36 Collaboration, innovation, transformation – Ideas and inspiration to accelerate sustainable growth - A value chain approach
WBCSD_SVC_Guide_PRINT_A4_40_pages_v16_2011_12_08.indd 36 08/12/2011 15:21 Acknowledgments
The Sustainable Consumption and Value Chain Co-Chairs would like to express their sincere thanks to Thomas Lingard (Unilever) and Lisa Manley (The Coca-Cola Company) for their leadership in the development of this manual.
Thanks to the case study companies: Peter Nieuvenhuizen (AkzoNobel), Uwe Bergmann (Henkel), Peggy Goossen-Nachtigall, Robert Metzke & Paul Shrubsole (Philips), Peter White (Procter & Gamble), Gretchen Govoni, Marjorie Laurin, Robert Mckay, Kenneth Miller & James Smithson (SABIC), Dominique Debecker (Solvay), Megumi Honda & Masao Seki (Sompo Japan Insurance), Perry Heijne, Dominique Mamcarz & Bjorn Sawilla (TNT), Guy Ethier, Staf Laget & Jan Tytgat (Umicore).
A special thanks to Marina Prada (PwC) for her significant contribution and to Jakob Shellhorn (intern at PwC) for his support.
Secretariat: Andrea Brown, Program Manager Olivier Vilaça, Program Manager
About the World Business Council for Sustainable Development (WBCSD) The WBCSD is a CEO-led organization of forward- thinking companies that galvanizes the global business community to create a sustainable future for business, society and the environment. Together Disclaimer with its members, the Council applies its respected thought leadership and effective advocacy to This publication is released in the name of generate constructive solutions and take shared the WBCSD. Like other WBCSD publications, action. Leveraging its strong relationships with it is the result of a collaborative effort by members stakeholders as the leading advocate for business, of the secretariat and senior executives from member the Council helps drive debate and policy change companies. A wide range of members reviewed in favor of sustainable development solutions. drafts, thereby ensuring that the document broadly represents the majority view of the WBCSD The WBCSD provides a forum for its 200 member membership. It does not mean, however, that companies - who represent all business sectors, all every member company agrees with every word. continents and a combined revenue of more than USD 7 trillion - to share best practices on sustainable Copyright © WBCSD, December 2011. development issues and to develop innovative tools ISBN: 978-3-940388-83-4 that change the status quo. The Council also benefits from a network of 60 national and regional business Photo credits: Courtesy of member companies or Dreamstime.com. councils and partner organizations, a majority of which are based in developing countries. Printer: Atar Roto Presse SA, Switzerland. Printed on paper containing 85.9% PEFC certified fiber and 3.2% FSC certified www.wbcsd.org fiber. 100% chlorine free. ISO 14001 certified mill.
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World Business Council for Sustainable Development www.wbcsd.org
4, chemin de Conches, CH-1231 Conches-Geneva, Switzerland, Tel: +41 (0)22 839 31 00, E-mail: [email protected] 1500 K Street NW, Suite 850, Washington, DC 20005, US, Tel: +1 202 383 9505, E-mail: [email protected]
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