Presentation to provide a general overview of sustainability to young professional engineers. Additional slides in the deck that we never got a chance to go through in the class but included here for your information
2. Today is about..
• Understanding Sustainability
• Discussing the key issues
• A framework to structure your approach
• What it means for your and your business
• Getting started - 4 steps, 3 questions, 7 derailers
• Examples of best practice / products
• Leadership
3. Engineering graduates
are ideally perceived to
have technical
expertise …. and who,
as change-agents,
provide the creativity
and impetus to shape
industry and public-
services for a
successful and
sustainable future.
Professional Progression Programme
2011 – 2013
PARTICIPANT GUIDANCE DOCUMENT
4. Objectives…
• Overview of sustainability
• Define in technical, measurable terms
• Describe a framework and why it’s useful
• Outline first order principles of sustainability
• Review key tools
• Explore business case
• Illustrate why engineers well placed to lead
• Interactive participation and practical exercises
• Explore link between sustainability and innovation
11. RealEyes Sustainability Ltd.
• Help organisations benefit from sustainability
• Training, Auditing, Facilitation, Consultancy
• The Real voyage of discovery lies not in finding new
lands, but in seeing with fresh Eyes. Marcel Proust
12. The Natural Step (TNS)
Not for profit organisation established in 1988 by
oncologist Karl Henrik Robert
Now global with partners in 30 countries
Nike, Ikea, Panasonic, ICI, Interface, Scandic Hotels
100’s municipalities in Sweden, US, Japan, Italy, France,
Canada, and Ireland
To develop and share a common framework which centres
on easily understood, scientifically based principles that can
service as a compass to guide society toward a sustainable
future
16. Engineering…
• The application of science and mathematics by
which the properties of matter and the sources of
energy in nature are made useful to people
• www.merriam-webster.com/dictionary/engineering
• Scale?
• Time period ?
17. Sustainable Development
• .. development that meets the needs of the
present without compromising the ability of
future generations to meet their own needs
• Meet human needs within environmental
limits
18. The concepts and principles of
sustainable development place a burden
on the engineer, a burden to change the
way we do business
Jose Medem Sanjuan, president of WFEO World Federation of Engineering
Organisations
20. Take, Make, Waste
6% Product
Raw
Materials
94% Waste
80% of products discarded after a single use
Therefore, 99% of the original materials used in the production of, or
contained in, the goods made in the US become waste within 6 weeks
Source: NAE / Factor 4
21. Sustainability is…
Think about…
• Key issues - for your business and you personally
• Risks and opportunities
• Hard and soft stuff
23. Fourth Assessment Report……. a summary
CO2 levels at their highest for 650,000 years.
Climate change “unequivocally” happening, and 90% certain that it’s due to man-
made emissions.
“Best guess” indicates global temperature will rise by 1.8°c to 4°c by 2100. Worst
case “up to 6.4°c”.
Policy responses geared to hold temperature increase below 2°c.
450 ppm CO2 emerging as new consensus figure.
386.80 ppm in September 2010
10-15 years to put in place serious measures to start reducing emissions of CO2.
Slide 25
30. Energy Use in Ireland
• Fossil Fuel accounted for 96% of all
energy use in Ireland in 2007
• 60 million barrels of oil equivalent
• We import almost 90% of our
primary energy demands
• €6B on energy imports
31. Sunday April 11 2010
US military warns oil output may dip
causing massive shortages by 2015
Slide 33
32.
33. The Times
March 7, 2008
‘Rush for biofuels threatens starvation on a
global scale’
In 2007 1/3 of US corn acreage was earmarked
for bioethanol
Slide 1
41. Percent Increase in Nitrogen Flows in Rivers
Source: Millennium Ecosystem Assessment
Slide 42
42. Hurricane Katrina
•$110 Billion
•15 million people affected in 7
states
•1,836 people killed
• Category 4 and 5 hurricanes have
almost doubled in the last 30 years
•Key natural defences destroyed -
mangroves
43. 8,194,797 Tons of toxic
chemicals released by
• 310 Kg of toxic chemicals released every second
• 10 million tons released into our environment each year
• Of these, over 2 million tons are recognized carcinogens
• 65 Kg or carcinogens each second
44.
45. Fisheries peaking
Pre-peak
Harvest peak
Slide 46
Source: Millennium Ecosystem Assessment and Sea Around Us project
47. “Sustainability is the single
biggest business opportunity
of
the 21st century”.
Lee Scott – CEO Walmart
48. Change in Organisational Value Drivers
1981 2007
Tangibles
Financials 80% 20%
Intangibles
20% 80%
Non-financials
Brand image/Reputation
Stake holder relationships
(investors, media, public,
customers, banks, govern-
ments, insurers, scientists
employees)
Arthur D. Little, The Business Case for Corporate Citizenship , 2002
49. CEO Study
• 93% of CEOs believe
that sustainability
issues will be critical
to the future success
of their business.
• 88% of CEOs believe
that they should be
integrating
sustainability
through their supply
chain.
50. Sustainability Continuum
5. Purpose/Passion
Values-driven founder / CEO
4. Integrated Strategy
Enhanced business value
3. Beyond Compliance
Eco-efficiencies
PR crisis / Opportunity
Regulatory threat
2. Compliance
Regulatory enforcement
1. Pre-Compliance Source: Adapted from Bob Willard’s Sustainability Advantage
51. Sustainability = Profitability
• Potential profit increases from integrated
sustainability strategies:
• Large organisations potential for +38%
increase
• Small to medium organisation +66%
increase
– source Bob Willard, The Business case for sustainability, 2008)
52. Sustainable Organisation Benefits
• Operational efficiencies
• Efficient use of resources Cost Savings
• Supply chain optimisation
• Reputation
• Value for money
• Trust, quality, respect Pricing Power Margin
• Credibility
• Employee engagement Attract and Retain
• First choice for top talent Talent
• Employee productivity
• Low rates of attrition
• Customer loyalty Market Share
• Lower churn
• Attract new customers Revenue
Growth
• Easier to enter new markets New Market Entry
• More sources of funding
Source: Business Case for Sustainability, Boston Consulting Group
54. Source: MIT Sloan Management Review ‘The Business of Sustainability,
findings and insights from the first annual business of sustainability survey and global thought leaders report’ 2009
55. Strategies, Policies and Plans
• National Climate Change Strategy, 2007-2012
• National Energy Efficiency Plan 2009 - improve energy
efficiency by 33%
• National Heritage Plan - 2002
• National Biodiversity Plan - 2002
• EU voluntary target of 50% GPP
• National Action Plan on Green Public Procurement
• Framework for Climate Change bill - 80% reduction in net
emissions on 1990 levels, 3% per annum until 2020
• Carbon Tax
• Smarter Travel - A Sustainable Transport Future - A new
transport policy for Ireland 2009 - 2020
58. Changing Consumer Trends
1996 - 2006:
• 70-80% of consumers
said they were are
switching to “green”
companies, but only
10% actually did
2006:
• 20% buy green
(Sustainable brand
study by egg, March
07)
2008:
• 33% buy green
(Globescan and
McKinsey Study, 2008)
59. “For years, the statistics have
registered an increasingly strong
economic growth as
victory over shortage, until it
emerged that this growth was
destroying more than it was
Nicolas Sarkozy, 14/9/09
60. Economic Growth
Climate Change
Energy
Loss of Biodiversity Toxicity
Obesity
Water Scarcity
Poverty
Waste
Flooding
Food Security
62. Sustainability is not about addressing climate change,
water shortage, energy transport or any other single
issue. It's about solving these challenges using an
integrated approach from strategy development to
technical consulting to project implementation -
Lee McIntire, Chairman and CEO, CH2M HILL
65. Dec
linin
g re
sou
rce
Threats
s& Increasing Costs
life
sup Forests
por
ting
sys Agriculture
tem
s Fisheries
Ground water
Climate
Metals
POP’s
Eutrophy
ion Hormones
su mpt
con Social trap
so urce
& re Segregation
n
latio Corruption
p opu
ing Epidemias
cr eas
In Poverty
Time
66.
67. Some Basic Science
• Matter is constant - closed system to matter
• Matter and energy can neither be created
nor destroyed
• Everything breaks down / disperses - Law of
entropy
• Open system to energy
• Photosynthesis pays the bills
69. In a sustainable society, nature is not
subject to systematically increasing of..
1
• Concentrations of substances extracted from
the earth’s crust
2
• Concentrations of substances produced by
society
3
• Degradation by physical means
And in that society..
4
• People are not subject to conditions that
undermine their capacity to meet their needs
70. “Success is a science, if you have the conditions you
get the results”
Oscar Wilde
71. ABC Ltd will....
The build-up of materials extracted from the earths crust including fossil fuels,
heavy metals and associated wastes
The build-up of synthetic substances produced by society (flame redardants,
biophenols, fertilisers etc.
75. These principles are..
• Necessary
• Sufficient (to cover all aspects of success),
• General (to make sense for all stakeholders),
• Concrete (to guide problem solving and actions),
• Non-overlapping (to enable comprehension as well
as development of indicators for monitoring).
77. Getting Practical
Embed
Get Credible, Stay Credible and Align
Dialogue Mobilize
Commitment
Collaborate, Educate, Network Build Case(s)
for Change
Meet Them Where They Are
Develop
Piggyback Existing Initiatives Strategies
Assess Current
Influence the Influencers Realities
Practice “Planful Opportunism” Inspire Shared
Vision(s)
Wake Up
and Decide
80. Practice and Performance
Practice versus Performance
Text
100
WORLD CLASS
90
Performance Index
80 VULNERABLE
Won’t go CONTENDERS
70 the distance En route
60
50
40
PROMISING
30 COULD DO BETTER Untapped
Risk and opportunity potential
20
20 30 40 50 60 70 80 90 100
Practice Index
84. Dec
linin
g re
sou
rce
s & li
fe s
uppo
r ting
syst
ems
tion
ump
cons
urce
& reso
lation
Incr
easi
ng p
opu
Step in right direction?
Is it a flexible platform?
Return on investment?
87. Practice and Performance
Practice versus Performance
Text
100
WORLD CLASS
90
Performance Index
80 VULNERABLE
Won’t go CONTENDERS
70 the distance En route
60
50
40
PROMISING
30 COULD DO BETTER Untapped
Risk and opportunity potential
20
20 30 40 50 60 70 80 90 100
Practice Index
88. 4 Steps to Sustainability
• 4 steps that automate systems thinking and
‘backcasting’
• Move away from ‘fixing’ problems and
lunging from one crisis to another to the
next
• Establish a sustainability gap
• Develop actions that bridge the gap
• Set up creative tension between future
success and where we are today
• More creative, collaborative and innovative
90. • $1.3billion turnover, Fortune 1000 company.
• Worlds largest producer of contract commercial carpets.
• Sold in over 100 countries with factories in 29 locations globally
(inc NI, Thailand, China and Australia)
• Manufactures and sell more the 40% of the carpet tiles used
worldwide in commercial buildings
• Employs more then 7,400 people worldwide,
• Fortune magazine rated it one of top 100 employers and one of the
10 most admired companies
91. • Vision: To be the first company that, by its deeds, shows the entire industrial world
what sustainability is in all its dimensions: People, process, product, place and profits —
by 2020 — and in doing so we will become restorative through the power of influence
• Strategy: Mission Zero - Our promise to eliminate any negative impact our
company may have on the environment by the year 2020
92. Interface
“As we climb mount Sustainability, with the four
TNS system conditions at the top, we are doing
better than ever on bottom line business. This is
not at the cost of social or ecological systems, but
at the cost of our competitors who still havenʼt got
Blekinge Inst. of Tech.
SE-371 79 Karlskrona
it”.
+46 455 38 50 00
Portland US, October 2007, Ray Andersson, President, Founder and CEO, Interface. Inc.
www.bth.se/eng
102. Who are Stewarts
Charitable Foundation
140 year tradition in the provision of care for people
with intellectual disability
They work in the community and on their own sites
Services provided regardless of age, religion, socio-
economic background and encompassing every degree
of intellectual disability
They have facilities such as equestrian centres, leisure
centres, educational centres and medical centres for
use by our clients
March 2012
103. Who are Dalkia
Dalkia’s Business: Producing energy efficiency
53,457 employees in 42 countries, 71% outside of
France
Revenue: €8.6 billion
119,600 energy facilities managed
114.7 TWh energy managed capacity
Reduction of 7.1 million metric tones of CO2 in 2010
March 2012
104. Initial context
Inefficient energy plant
High energy costs
High dependency on oil
High maintenance costs
March 2012
106. GGBS - Environmental Savings
• GGBS / OPC - 970 kg / 60 kg Co2 tonne
• 1000 m3 of concrete - (50/50 OPC/GGBS)
• 1425 kg’s of cement
• 577.1 tonnes of Co2 saved (185.3 cars, 181 years of electricity in
average home)
• 1781 kg’s of Sox, 2493 kg’s of (NOx) saved
• 1781kg’s of CO, 310kg’s fine particulate matter (PM10) saved
• 40% reduction in embodied energy (50/50 - GGBS/OPC)
• No limestone / shale required (1.6 tonne per tonne of OPC)http://
www.ecocem.ie/index.php?p=environmental&q=calculator
107.
108. BubbleDeck
• 1kg of recycled plastic replaces 100kg of
concrete
• Fewer building elements compared to steel frame
and metal decking
• Cost saving between 2.5% to 10% of total
construction costs
• Combination GGBS / Bubbledeck - 70%
reduction in CO2
109. SolarPrint
• DSSC is a third generation photovoltaic (PV)
technology
• Ability to harness diffuse light
• Higher power output over the course of an
average day
• Lower cost (under high volume
manufacturing)
• Printable on metal or plastic
• Different colours and opacities
• Collaboration with Fiat (CRF)
• Smart sunroof integrating DSSC technology
110. Accoya
• Made from cheap pine
• Properties that match tropical hardwood
• Treated with acetic anhydride, from acetic acid
(vinegar, in dilute form)
• Vastly reduces woods ability to absorb water
• No toxic preservatives
• No maintenance
• Designed to last over 60 years in wet
environment
• Source: http://www.accoya.com/accoya.html
111. Walmart
Save People Money So They can Live Better
Vision:
– To be supplied 100% by renewable energy;
– To create zero waste;
– To sell products that sustain people and the environment
Strategy:
– Wamart Suppliers Sustainability Index
– Employee Personal Sustainability Project (PSP)
– From “Always Lower Prices” to “Save Money. Live better”
112. Walmart
Save People Money So They can Live Better
• 7,873 stores: Biggest US consumer of electricity; Target to reduce
GHGs by 20% by 2012
• Invest $500M annually in efficient energy; 30% less energy; then
100% renewable energy.
• Waste: Reduce waste by 25% in 3 years, then 0.
• 7,200 trucks: Increase fuel efficiency by 25% in 3 years; double it in
10 years; save $300M/yr.
• 2.1M “associates:” Largest employer in the world - Personal
Sustainability Plan
• 200M shoppers/week - influence
113. Walmart
Save People Money So They can Live Better
• 100,000 suppliers:
• Reduce packaging by 5% by 2013; $3.4M savings in 5 years
• Goal to remove non-renewable energy from all its product.
• Partnership with the Carbon Discloser Project to measure and improve energy use
and emissions of the entire supply chain
• Working with suppliers to develop a worldwide sustainability index.
• 100,000 global suppliers complete a survey of 15 questions to evaluate their
sustainability
114.
115. Vision:
Whistler
To be the premier mountain resort community in North America as we move towards a sustainable future
Strategy: Whistler 2020 - moving toward a sustainable future
116. About Whistler
Canadian leader in community planning
2.3 million visitors annually
10,000 population, 60,000 at full capacity
# 1 North American Ski Resort 15 years
# 1 Mountain Bike Park
10% of BC’s tourism economy
117. Why Whistler 2020?
• RAMPANT TO MANAGED GROWTH
• MOVE TO EMBRACE STEWARDSHIP
• INCREASING COMPETITION
• PREPARE FOR DOWN CYCLE
• BUILD COMMUNITY
• MANAGE COMING PRESSURES (OLYMPICS!)
125. Design Brief
Description: A reputable runner company is thinking of
setting up a manufacturing base in Ireland. They’ve
expressed a desire to be the most sustainable running shoe
company in the world. They want to be completely
transparent about how they work so they’ve asked you to
identify the sustainability issues/risks associated with setting
up and producing their product
Scope: Consider the full life cycle of the runner including
suppliers, transport, energy, water and human needs
126. Current Reality for Running Shoe Company
Key Sustainability Aspects
Inputs
What we depend on
Land
Offices Outputs
Factory What we deliver
Transport
Chemicals Products
Water Services
Building Materials Employment
Operations Taxes
People Innovation
Skills Waste Community
Energy What’s left over Support
landfill waste, recyclables,
organic waste, liquid waste,
electronic waste, chemical
waste, emissions, wasted ideas
127. Compare against 4 principles
Systematically reduce dependence on mined materials - fossil
fuels, heavy metals esp, those rare in nature.
Systematically reduce dependence on man-made substances,
particulalry the toxic and persistent ones
Systematically reduce activities that damage nature physically
Help people meet their needs
128. A Vision for a Sustainable Running Company
Headlines What date / publication?
Describe what has been achieved
Characteristics Innovations
Warm and comfortable Eco cement
Zero anti-social Community Designed
Service Hub Local materials
Solar Powered SuperBike racks
Award winning No waste in construction
Secure Innovative maintenance contracts
Fully integrated Supplier commitment
Edible landscape Space for solar panel hook up
Great place to work Long term funding instruments
input on design
129. 3 minute presentation
• Describe future success for your service
• Use headlines, characteristics and
innovations
• Present 5 key actions to move toward vision
• Refer to problems / Challenges along the
way
130. Warnings from Economists
Stern Review Report (Oct 2006)
Former World Bank chief economist, Nicholas Stern
Quantified warnings in the 1997
Economists’ Statement on Climate Change
1. Cost of climate change mitigation:
1% of annual global GDP by 2050
if we act now; 5-20% if we act later
2. Benefits of $2.5T if we act now;
global depression if we do nothing
3. Must stabilize GHGs:
Use carbon taxes and / or
a cap-and-trade system;
deploy low-carbon technologies;
80-90% below 1990 levels by 2050 in developed countries
131. Green Retrofits Job Creation
“Every $1B capital investment in energy and
efficiency would create approximately 9,500
building-retrofit jobs. Such an investment
would also create 1,200 jobs from building and
installing solar photovoltaic panels
and about 900 wind-energy jobs”
"In the jobs-creation sweepstakes, retrofitting
buildings runs away with it. That's about 10-to-1
over any other investment."
~ Lester Brown, Earth Policy Institute founder
(Nov 08) ~
http://www.americanprogress.org/issues/2008/09/green_recovery.html
132. EU Pollution Regulations
Restriction on Hazardous Substances (RoHS)
Lead, cadmium, mercury, hexavalent chromium, flame
retardants; in force July 2006
Waste from Electrical and Electronic Equipment (WEEE)
Take-back & disassembly of products & components;
in force January 2007;
End of Life Vehicles Directive (ELVD)
Car manufacturers pay for scrapping all models and makes
80% recycled now, 85% by 2015
Registration, Evaluation, Authorization and Restriction of
Chemicals (REACH)
burden of proof on manufacturers to prove chemicals are
safe; in force April 2007
133. UK Retailers Going Green
• Tesco: UK’s biggest retailer; 10-point
Community Plan (May 06); £100M ‘revolution in
green consumption’ fund; carbon footprint
labeling; cut 50% of energy / sq ft by 2010;
reduce CO2 / case by 30% by 2009
• Marks & Spencer: UK’s 3rd biggest retailer;
£200m over 5 yrs on 100-point 'eco-plan' to cut
waste, sell fair trade, energy from composting
unsold food, biodegradable packaging, labeling
food sources; carbon neutral stores; reduced
energy / sq ft by 30%
• ASDA: Cut packaging by 10% by 2007; no
packaging on fresh produce; 0 waste to landfill
by 2010; 1,000 organic lines (June 07 vs. 325 in 2005)
134. Solar Power
Solar thermal Solar wall Parabolic
collectors - collectors - collectors –
water air steam
Solar Photovoltaic (PV) panels - electricity
135. Nike’s “Nike Considered Design”
More efficient design patterns use less material,
easier to recycle, adhesives made from water
Considered instead of toxic chemicals, and sustainable
Pegasus materials like cork and organic cotton
e.g Air Jordan XX3 (unveiled Jan 08)
Made from recycled plastic and scrap materials
with no toxic adhesives (more stitching)
Considered
Air Jordan XX3 Targets
All footwear by 2011, all apparel by 2015,
and all equipment and backpacks by 2020
This will reduce waste in Nike’s supply chain by 17% and
increase use of environmentally preferred materials by 20%
Nike press release, Oct 2008
136. True Dialogue
High Telling DIALOGUE
Asserting Exploring each
Advocacy
Explaining other’s assumptions
to generate meaning
Observing Asking
Bystanding Clarifying
Sensing Interviewing
Low
Low Inquiry High
Based on Peter M. Senge et al., The Fifth Discipline Fieldbook, Doubleday, 1994
137. Practice “Planful Opportunism”
"Luck is a matter of preparation meeting opportunity.”
― Oprah Winfrey
Alan AtKisson, The ISIS Agreement, Earthscan, 2008, pp. 213-214
138. Embed
Get Credible, Stay Credible and Align
Dialogue Mobilize
Commitment
Collaborate, Educate, Network Build Case(s)
for Change
Meet Them Where They Are
Develop
Piggyback Existing Initiatives Strategies
Assess Current
Influence the Influencers Realities
Practice “Planful Opportunism” Inspire Shared
Vision(s)
Wake Up
and Decide
355
139. Go Slow to Go Fast
Fast, Significant Decision
Leader’s Leader’s Others’
Idea Decision Buy-In
X X X
Sell / Communicate
Faster Buy-In
Leader’s Collective Decision
Idea and Buy-In
X X
Dialogue / Engagement
141. Sustainability “Pincer Strategy”
9 AM – 5 PM 24/7
“CEO” “Daddy” / “Mommy”
Besieged by Besieged by
important stakeholders their kids
142. 7 Worries
1. UN Millennium Ecosystem Assessment: 15 of 24 ecosystems
(60%) are being degraded or used unsustainably; GEO-4
2. Climate crisis: Urgency; IPCC Report re dire consequences
3. BRIC growth: Brazil, Russia, India & China; pollution & GHGs
4. Energy crisis: Transformation to renewable sources;
disconnecting GDP growth from energy growth; peak oil?
5. Growing chasm between the rich & poor: Developed vs.
developing counties; In developed countries
6. Population Explosion: Level off at 9B+? Why?
7. Need for holistic solutions: Strength of national / international
governments? Political courage?
143. 10 Signs of Hope
1. Investor Activism: Carbon Disclosure Project; US Investor
Network on Climate Risk (INCR); Bank of America, Citigroup,
JP Morgan Chase, Goldman Sachs; Equator Principles
2. Economist Warnings: Stern Review; urge cap-and-trade
3. Public Awakening: Hurricane Katrina; “An Inconvenient Truth”
and the “Goracle Factor;” “carbon neutral” word of the year in
2006; mainstream press coverage
4. Values-driven consumers: “green is the new black;” LOHAS
($209B U.S. market); organics; hybrids; thrift vs. consumption
5. High Energy Prices: Eco-efficiency savings; explosion of
renewable energy; clean tech magnet for venture capital
cont’d …
144. 10 Signs of Hope
6. Clean Tech Explosion: Venture capital focus on wind, solar,
biofuels, hydrogen; battery breakthoughs; CCS for coal
7. Carbon Trading Carrot: EU; US states; Corporate pressure
8. EU Market Leadership: WEEE, REACH, RoHS, EUP, Climate
Change Policy; UK / London GHG reduction goals
9. Corporate Leadership in the supply chain: Wal-Mart, GE,
DuPont …
10. Nature’s Resilience