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Business Aware Project: Lothian DPF Solution’s
Brendan M Smith
Heriot-Watt University
Business Awareness, Safety and Sustainability Module
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Business Aware Project: Lothian DPF Solution’s
This report is presenting a project in the course Business awareness, safety and sustainability at
Heriot- watt University in Edinburgh. The project aims to start a new business that will provide a
service which cleans diesel particulate filters (DPF). The purpose of the project and the report is
to start a company that provides a safe, environmentally friendly, sustainable and ethical service
to the target market.
The proportion of the licensed car fleet in the UK that is made up of diesel and alternative fuel
vehicles has continued to grow. In 2013 there were 10.1 million diesel cars, accounting for 34.5
per cent of the total, up from only 7.4 per cent in 1994 (Department of transport, 2013). This rise
is due to the increased popularity of cars which use diesel rather than petrol, these have better
fuel efficiency, and are therefore cheaper to run. Additionally, with this increase in diesel
engines there will be an increase in the demand for DPF (diesel particulate filters) cleaning in
commercial markets, including private consumer and companies. A large section of diesel
engines is covered by public transport. Bus companies are under huge pressure to supply well
maintained and serviced buses daily, our DPF cleaning company will focus on this area while
having dealings with local mechanics and garages as well.
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Ethics
A code of ethics is a typical approach to setting ethical policy. This applies across the
board and is to be expected of all employees in order to operate in protective yet supportive
manner. Three areas shall be explored covering Precision and Consistency; Honesty and Respect;
and Accountable Leadership. Leadership shall be covered first as leaders must lead by example
and cannot expect anyone to act ethically if they are not themselves. Followed by how the other
areas shall be approached and work applied.
Leadership Ethical Code
Responsible leadership is essential in any company, and the success is gauged by the
effectiveness of this leadership. A separate code of ethics applies to those of senior management
as they are in the public eye and have the greatest responsibility.
Therefore, management must:
- Always act to conserve honesty; integrity and respect throughout the business.
- Always act within legislative framework and work with governmental agencies to
improve the business.
- Ensure the business is as transparent as possible
- Be aware of the challenges that the company faces which affect society and the
environment and actively act on these.
- Act on the views and recommendations of industry experts.
- Take time to look at the concerns of the workforce particularly with issues of safety and
environment.
- Ensure there is effective communication between management and those in technical and
professional roles.
- Ensure regular reviews of current operations and performance, including workforce
representatives in these meetings.
- Never knowingly mislead on business performance to investors and the market
- Act to build quality relationships with our clients and contractors.
- Support in raising public awareness of business day to day operations and the effects
these have.
(Shell, 2015), (IChemE, 2015)
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Employee Ethical Code
Employees are expected to:
- Always act in an honest and respectful manner.
- Never perform a task they do not feel competent with.
- Report any concerns to a supervisor as soon as possible.
- Act in a safe manner preventing harm to themselves and colleagues.
- Always follow standard procedure.
- Stop immediately any works that do not go to plan, in the safest possible manner.
- Complete any training courses that supervisors believe necessary.
- Report breaches of this code in an anonymous fashion
(Miranda, 2015)
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Sustainability
Environmental Life Cycle Assessment
As a service provider within the transport and logistics industry, there will be a
considerable environmental impact as a result of operations. As the process of burning excess
soot involves considerable CO2 production and operating ovens at 600 degrees centigrade has a
high energy consumption it is absolutely key that this impact is minimised in the best possible
way. The Scottish government is aiming to reduce carbon emissions by 42% by 2020 and 80%
by 2050. In order for the business to achieve this reduction, a full Life Cycle Analysis will be
completed to give solid recommendations as to how this can be done. (SEPA, 2015)
Define the goal of the LCA
This life cycle analysis (LCA) will help the company to analyse- in advance -the expected
impact that it will have on the environment as a result of its operations. Therefore, it will aim to
achieve;
- An understanding of what factors will contribute/potentially contribute to a negative
effect on the environment
- Analyse these factors to understand how they will affect the environment and how
dangerous these are
- Understand why these factors must be considered in the LCA
- To discuss what can be done the negate/minimise the effects and give recommendations
from this in how to minimise the business’s effect on the environment
(ISO, 2015)
Analyse inputs/outputs of environmental affecting factors
The business can be split into two three areas which include operations (the process of cleaning
DPF’s and safety systems); Support (administration, general heating/lighting etc.); and
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transportation (courier delivery of DPF’s). Each area shall be analysed to determine exactly what
factors area contributing to the company’s environmental affect.
Operations include the use of industrial size oven(s) which operate at roughly 600
degrees Centigrade. This is in order to achieve the conditions needed to burn soot that have
caked the DPF’s. In order to raise air temperature to that level it requires a huge energy input
which is expected to raise a huge part of the environmental impact. Furthermore, operating
machinery and safety equipment/procedures needed to ensure process safety will only further
raise the impact of operations.
Support functions within the business will have a contributing factor. For these office
spaces electronic items, heating, lightning and any amenities (such as a kitchen for worker’s
lunch and breaks). These could be seen to be similar to any office type space within any business
in terms of its carbon footprint.
The transportation of DPF’s to the facility will contribute significantly although is more
dependent on where the clients are based. Whilst to begin with, the facility which will deal with
Lothian busses and local garages should keep this factor lower however with any business
expansion and needing to accommodate for clients based further out of Edinburgh
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Analyse the impact of these factors
The DPF cleaning process will emit large amounts of CO2; utilise high quantities of
energy; and require the use of chemicals to keep equipment clean and effective. This presents a
number of problems including;
- High Energy Consumption
- Burning of Ash (Soot)
- Use of Industrial Solutions
- Transportation Emissions
The large amounts of energy needed for the process plus energy needed for support
functions means that the carbon footprint will likely be a major factor in this LCA. Whilst this
carbon release will not be by the immediate premises, it will be extra for power stations
powering the national grid and therefore the business. Thus contributing to the climate change
problem that the world as a whole is currently facing.
The process of regenerating DPF’s means burning off excess soot or elemental carbon
with some other compounds such as sulphur and nitrogen based species. None of which when
combusted, help with climate change in the least. On top of this the emissions as a result of
transporting the DPF’s to the site will further increase the CO2 profile of the company. Therefore
there will be a larger quantity of CO2 emissions as a result of operations which again leads to a
larger carbon footprint contributing to the changing climate problem.
Use of industrial strength solutions and products creates a different type of hazard. Many
of the chemicals used have a number of hazards such as flammability; irritants; but most
importantly in this analysis is their harmful effect on eco-systems. If any sort of chemical were to
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get into a water source, it could be absorbed into the eco-system damaging or even killing plant
life and organisms.
Recommendation(s)
Working within the automotive industry means the company will make use of potentially
dangerous chemicals such as those in industrial cleaners and treatment. For this reason, it would
be sensible and imperative that these chemicals be controlled in where they are used and any
waste be treated and not allowed to exit into nearby eco-systems and water sources. As an
approach to dealing with this, any chemical considered harmful should be properly labelled to
signify its dangers; be used by those considered competent enough to use them; and for the
premises and any effluent streams be stored and be tested regularly and treated if need be. It
would also be wise to have a specialist who can develop a standard procedure to deal with any
problems such as spills and accidental releases of chemicals. (Envirogreen, 2015)
The emissions, as a result of the main business operations including transport and
regeneration would be significant part of the business. With new legislation, it is required that
small emitters set targets in reducing their CO2 emissions. The consequences of not meeting
these emission targets is a civil penalty, which in 2014 stood at £4.27 for each extra tonne. This
could affect business sustainability if not addressed. It would therefore be of great importance
that any step towards CO2 neutrality be looked at. In the short-term it would be ideal to install
energy efficient equipment and appliances on site. This would reduce wasted energy escaping as
heat.
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In terms of the long-term, it would be ideal to tackle parts of the business which pollute
heaviest. The DPF regeneration system would be the first, as by investing in new technology the
process could be catalysed thus reducing energy consumption.
In terms of reducing the carbon footprint from energy consumption (i.e. from an energy
supplier) a number of things could be done. Having a standard shut down of the premises
equipment would prevent leaving anything on overnight, reducing energy wastage. Choosing an
energy provider with a high supply of renewable energy will cut CO2 impact further. Also
looking into contracting with a courier company with investment in greener vehicles would also
reduce emission impact of the company.
To conclude this section, this report has highlighted and investigated factors that could
affect business sustainability over the start of the life of the business. It has further given
recommendations to take forward into planning.
Economical Sustainability
In terms of ensuring a sustainable economic future, long-term profit must be considered over the
short-term. There will need to be a balance between further investment in technology;
developing workforce; expanding the business; and enhancing the environment and social
relations with profit and stakeholder return. To begin with, there will be small profits as the
business is started up and loans are paid back. This will mean there will be little opportunity for
company development for the first year or two. However, as the company begins commissioning
equipment and starting a steady production rate- and profits are made -a development fund
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should be set up which is to be used to develop areas where management see fit to help the
company enhance itself and become much more sustainable. In the economic appraisal chapter
there is a presentation of an economic plan for 10 years, the plan shows that the company is
going to do a profit on £402738 average per year. From this, it will be looked at what can be
done during this period to sustain the economic future of the company.
In the beginning of the start-up of the company the marketing is really important and in this case
it is quite important to succeed with the contract with Lothian buses. By having a successful
carrying out of contractual duties, there is possibilities to build a strong word of mouth
advertisement that can benefit the company’s future on the market. If the contracts succeed there
are higher probability that Lothian DPF solution can expand and cooperate with more
companies, which can give an economically sustainable future and turn the company into a self-
sufficient entity.
According to FSX, the equipment will last and have to be replaced within 10 years and
therefore, after year 8 the equipment will need to be replaced with newer machines, one at a
time, and they are going to buy that with money put aside from the development fund. This is an
excellent opportunity for the company to invest in a more efficient process which will both
reduce energy consumption (thus the money spent on energy); and the impact the company
operations have on the environment which will undoubtedly improve the company’s standing
against competitors. When Lothian DPF Solution have new equipment and they can continue to
grow and expand. In a few years it could also be possible to buy machines- that can regenerate
the DPF’s of cars -from FSX which is a possible solution for future customer and market. With a
bigger market there are going to be more customers and therefore a more sustainable future with
a greater profit-margin thus greater return for investors.
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Social Sustainability
It can be expected that the business will have a potential impact on the local area to may affect it
negatively. It is therefore important to negate/minimise these issues thereby operating in a fair
and ethical manner. These issues will be explored in this section and how they can be best
negated. (ISO(1), 2015)
Due to the nature of the works that will be carried out, there will be adverse impacts on
the local area which must be explored. The first problem is noise. Due to the use of large pieces
of machinery there will be excessive noise. This will likely disturb other business units in the
research park. To reduce this impact, the process will be closed off and surrounded by sound
absorbing materials within the walls of the machinery and/or the building walls. Another issue is
that the transport of the DPF’s to the facility could lead to increased traffic volumes. To minimise
this problem, the business will make use of a courier system where the DPF’s are brought to the
premises rather than servicing buses at the garage itself. Furthermore, with this in mind and as
the business grows it would be important to invest in a large car parking area.
From the operation, it can be expected there will be considerable quantities of ash as one
of the by-products along with chemical effluent. If uncontrolled this can escape and contaminate
the local area exhibiting a low-level health hazard. It is by far best to eliminate this problem
altogether with a standard procedure of removing ash from the ovens which contains the ash and
collecting any chemical effluent and storing it. It will also be required that the by-products be
disposed of responsibly. There are a number of environmental services available in the
Edinburgh area such as Envirogreen and Biffa Waste Disposal who are experts in dealing with
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and treating this waste. A contract will be set up to ensure the by-products of the process are
safely dealt with.
References
ISO(1). (2015, November 16). ISO 26000:2010. Retrieved from
http://www.iso.org/iso/home/store/catalogue_tc/catalogue_detail.htm?csnumber=42546
Envirogreen. (2015, November 11). Safe and compliant hazardous waste disposal. Retrieved
from http://www.envirogreen.co.uk/waste-disposal/hazardous-waste
ISO. (2015, November 15). ISO 14040:2006. Retrieved from
http://www.iso.org/iso/home/store/catalogue_tc/catalogue_detail.htm?csnumber=37456
SEPA. (2015, November 12). Website Enquiry (Email Reponse).
IChemE. (2015, November 19). CODE OF PROFESSIONAL CONDUCT. Retrieved from
http://www.icheme.org/~/media/Documents/icheme/About_us/code-of-professional-
conduct-and-disciplinary-regulations-april-2014.pdf
IChemE. (2015, November 19). Professional ethics. Retrieved from IChemE:
http://www.icheme.org/about_us/ethics.aspx?sc_trk=follow%20hit,{0D792DA4-E5D3-
4ADF-854C-9478C33ADA27},ethics
Miranda, K. (2015, November 23). How do I Create a Code of Ethics? Retrieved from Chron:
http://smallbusiness.chron.com/create-code-ethics-2734.html
Shell. (2015, November 08). Code of Ethics. Retrieved from Shell Global:
http://www.shell.com/global/aboutshell/who-we-are/our-values/code-of-ethics.html