Building an Environmentally Sustainable Business
By Vadim Kotelnikov, Founder, Ten3 BUSINESS e-COACH - Innovation Unlimited, 1000ventures.com
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Practices Cleaner Production: SSF (Thailand) Lean Production: Toyota (Japan) |
Design & Manufacturing |
Managerial Strategies ► Continuous Improvement Firm (CIF) ► Kaizen ► Environmentally Sound Technologies ► Environmental Management Systems (EMS) ► EQMS |
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International Trends International trends are demonstrating that concepts and tools such as cleaner production, life-cycle assessment (LCA), design for environment (DfE) and extended producer responsibility (EPR) are rapidly becoming key tools for forward-thinking corporations. Furthermore, a growing body of evidence suggests that such approaches are exceptionally well placed to deliver a range of benefits over and above environmental benefits and mere compliance. These 'new millennium' tools will revolutionize how business creates new products and services and how consumers and government will compare, assess, regulate and purchase every-day goods.
Staying Competitive
Environmental issues are
increasingly reflected in business decisions.
Environmental Regulations – a New Stimulus for Innovation
Extended Producer Responsibility (EPR) One of the most influential areas of government environmental policy has been the development and gradual implementation of extended producer responsibility (EPR). The objective of EPR is to promote the conservation of resources, reduce the use and generation of toxic and hazardous materials and energy, and reduce the quantity of wastes for final disposal. "EPR is a logical extension of the "polluter-pays principle. It rests on an argument that the environmental impacts of resource depletion, waste and pollution are a function of the system of production and consumption of goods and services. Those impacts are substantially determined at the point of production, which is when key choices are made – on materials, on processing and finishing technology, on product function and durability, on systems of distribution and marketing and so on. If that system is to evolve in a way that reduces environmental impacts, then there is a need for policies that create appropriate feedback mechanisms for producers that will direct producers' investment towards continuous environmental improvement."1 In many countries, EPR is considered an effective policy mechanism to promote the integration of the life-cycle environmental costs associated with products into the market price for the product. Various approaches to EPR policy are being watched specifically because they appear to stimulate innovation and business success as well as reduce overall life-cycle environmental impacts.
Lean
Manufacturing Lean is about doing more with less: less time, inventory, space people and money. Lean manufacturing is, in its most basic form, the systematic elimination of waste – overproduction, waiting, transportation, inventory, motion, over-processing, defective units – and the implementation of the concepts of continuous flow and customer pull Kaizen is the heart of lean manufacturing. Kaizen strategy calls for never-ending efforts for improvement involving everyone in the organization – managers and workers alike... More
Life-Cycle Assessment (LCA) LCA is a technique for assessing the environmental impacts associated with a product or service. The internationally agreed standard for LCA has been developed by the International Organisation for Standardisation (ISO), and this is documented in four environmental management system standards (the ISO 14000 series)... More Cleaner Production Strategy Cleaner production (CP) is a business strategy for enhancing productivity and environmental performance for overall socio-economic development. CP processes are those that produce less waste, whether in terms of liquid wastes discharged to waterways, solid wastes going to landfill or gaseous wastes discharged to the air. Many companies have achieved environmental and economic benefits by implementing cleaner production programs... More Design for Environment (DfE)
Design for Environment (DfE), also known as eco-design, recognizes that
environmental impacts must be considered during the
new product design
process, along with all of the usual design criteria. It is defined as
systemic consideration of design performance with respect to environmental,
health, and safety objectives over the full product life cycle...More
Case in Point
Canon
Canon is famous
for its environmentally-conscious manufacturing and logistics.
The
Canon Production System
(CPS) includes:
Environmental care, quality, cost, and delivery (EQCD) to optimize
production...
More
According to
Canon Production System, 9 wastes are to be eliminated:
Product Design. Producing products with more functions than necessary....
More Case in Point Ford Motor Company
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Bibliography:
1. "Design + Environment", by Helen Lewis and John Gertsakis, 2001, published by Greanleaf Publishing Limited
2. "Building Tomorrow's Company, Philip Sadler, 2002
