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JUST
   THE FACTS
                       ncy
           ct Transpare
F ull Produ EPDs
          with
JUST THE FACTS            2




     MOVING ON FROM THE
     ‘CSR DECADE’
JUST THE FACTS




 Old                     New

_Doing good             _Competitive advantage

_And telling about it   _Embedded communications

_Nice to have           _Core (product)

_Stories                _Performance
JUST THE FACTS




 Old                  New

_CSR                 _Sustainability

_Corporate           _Product

_Responsibility      _Transparency

_CSR Report          _Product Declarations

_Greenwash, labels   _Just the Facts
JUST THE FACTS



Transparency can only get bigger
JUST THE FACTS



Actually it is the key for corporate reputation




                              Source: Edelman Trust Barometer 2010
JUST THE FACTS



The move to product sustainability already started
JUST THE FACTS   8




More geeks,
less geezers
JUST THE FACTS              9




     MEASURING THE FACTS:
     LCAs and EPDs
JUST THE FACTS                     10



What is a Life Cycle Assessment?
JUST THE FACTS                               11



Life Cycle Assessment of a physical product
(e.g. glass, hammer)




Life Cycle Assessment of a machine
(e.g. washing machine, air-conditioning)
JUST THE FACTS                                                                                                                                                    12



Typical carpet tile LCA




Based on InterfaceFLOR’s Sustainability Index for Heuga 580 with the following assumptions: end of life landfill, no green energy, lifetime 10 years. Interface’s
Sustainability Index is based on LCA using GABI 4 database. GHG emissions, embodied energy and toxicity each account for 1/3 to the overall index.
JUST THE FACTS           13




The issue with company
LCAs, is that you can
tweak the assumptions
JUST THE FACTS                                      14



Product Category Rules




            LCA          PCR        EPD
            Life         Product    Environmental
            Cycle        Category   Product
            Assessment   Rules      Declaration
JUST THE FACTS                      15



EPD stands for:




Environmental Product Declaration
It is a third party validated LCA
JUST THE FACTS                                       16



The Green Standard Organisation refers to it as...




“A single source for finding
 scientifically robust and transparent
 (...) information about a product’s
 environmental performance,
 verified by a qualified third party”
JUST THE FACTS          17




First of all, here is
what an EPD is not...
JUST THE FACTS   18
JUST THE FACTS                                                                           19



What is found on an Environmental
Product Declaration (EPD)
Construction                                       Renewable
                       Material         Mass (%)
Layer                                              Resources
Total Pile
                 Polyamide 6              8.9      No          No    Limited    USA
Layer
Carrier          Polyester, non woven     3.0      No          No    Limited    Europe
Precoat                                  30.2
                 SBR                               No          No    Limited    Europe
Bonding
                 Limestone                         No          No    Limited    Europe
                 ATH                               No          No    Limited    Europe
                 Bitumen                           No          No    Limited    Europe
                 SBR                               No          No    Limited    Europe
Structural       Limestone,
Graphlex         pre-consumer            65.6      No          Yes   Abundant   Europe
Backing          recycled
                 Glassfleece              0.8      No          No    Limited    Europe
                 Polypropylene            1.5      No          No    Limited    Europe
JUST THE FACTS                                                                                               20



What is found on an Environmental
Product Declaration (EPD)
                                                 Part 1                    Part 2                Part 3

Categories                                     Production   Delivery and                       End of life
                              Units per m2                                      Use (1 year)
Evaluated                                        Stage      installation                         stage

Primary energy not
                          (MJ)                   163.5              2.5                 3.8       -48.8
renewable

Primary energy
                          (MJ)                     7.2          6.7-104                 0.3        -0.4
renewable

Greenhouse
                          (kgC02, - eqv.)          7.8             0.35                 0.2         4.2
potential (GWP 100)

Ozone degradation
                          (kg R11 - eqv.)       6.2-107       -3.0-10-10            4.0-108    -2.6-10-8
potential (ODP)

Acidification potential
                          (kg S02 - eqv.)      2.6-10-2        1.5-10-3             7.7-10-4   5.1-10-3
(AP)

Nutrification (NP)        (kg P04 - eqv.)       4.5-103     2.6010-10-4             9.1-10-5   9.8-10-4

Photochemical             (kg ethene - eqv.)
oxidant formation                              3.4-10-3        1.3-10-4             6.2-10-5   1.2-10-4
(POCP)
JUST THE FACTS               21




     FULL TRANSPARENCY AND
     MARKETING
JUST THE FACTS               22




                 WHICH ONE
                  DO YOU
                 CHOOSE?
JUST THE FACTS   23
JUST THE FACTS                 24




Single benefit claims.
Narrowly correct, misleading
in the big picture.
JUST THE FACTS       25




What’s the next
claim? Dolphin
friendly carpet!?!
JUST THE FACTS                                   26




Let’s face it, anyone can
make a label...




  the Ecolabel Index listed 377 schemes in 214
  countries and 25 industry sectors
JUST THE FACTS                              27



But the perfect label is one that...

_Is owned by an independent organisation
_Is accredited by a non-affiliated entity
_Uses criteria based on the LCA
_Separates consultants and certifiers
_Adheres to Type III under ISO 14025
JUST THE FACTS               28




     FULL TRANSPARENCY AND
     SUPPLY CHAIN
JUST THE FACTS



The 700 questions (very useless) questionnaire

_Do you have an environmental policy?

_Do you sign to the precautionary principle?

_Have you signed to the Global Compact?

_Who is your ISO14001 auditor?
JUST THE FACTS   30
JUST THE FACTS            31




     THE TRANSFORMATIVE
     POWER OF EPDs
JUST THE FACTS



Yes, there is a green market

_the green market outperformed the US economy as a whole
 in 2009 and grew by over 40% from 2004 to 2009 (Mintel)
JUST THE FACTS



My mom won’t choose a product based on an EPD

_Not all consumers are the same
_Segmentation
JUST THE FACTS



Retailers as editors of choice
JUST THE FACTS



Governments making informed decisions

_Based on full LCA information

_Tax exemptions
_Regulations
_Performance standards
JUST THE FACTS



Example of the car industry

_What is the biggest issue?
_Energy at use = gCO2/km
_European-wide goals for the industry on gCO2/km
_Mandatory on advertising
_Low gCO2/km have exemptions eg parking, congestion
 charge
_Company cars pay more tax if more gCO2/km
JUST THE FACTS



Commoditising sustainability
JUST THE FACTS



109 gCO2/km
JUST THE FACTS



Transparency will force businesses to compete…
on what matters and on what they’re good at.
JUST THE FACTS        40




     SOCIAL PRODUCT
     DECLARATIONS
JUST THE FACTS




 The SPD of the food industry
JUST THE FACTS



Figuring out your sector Social Product Declaration

_What is the key issue in the sector?

_Can we measure it? (kg, litres, number of people, etc)

_Can we define the functional unit at product / service?

_Industry and stakeholders to agree on PCR
JUST THE FACTS



Is it expensive?

_Less than the BRE profiles

_Much less than a typical corporate reporting process

_Less than the sum of (not extremely useful) labels,
 certificates, etc
JUST THE FACTS




Thanks for your patience!

_Ramon Arratia
_Sustainability Director
_InterfaceFLOR EMEAI

_Mobile +44 77366 58399
_ramon.arratia@interfaceflor.eu
_www.interfaceflor.eu
_BLOG http://www.interfaceflorcutthefluff.com/
_http://twitter.com/RamonArratia

_Download this presentation @ scribd.com/RamonArratia

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Full Product Transparency

  • 1. JUST THE FACTS ncy ct Transpare F ull Produ EPDs with
  • 2. JUST THE FACTS 2 MOVING ON FROM THE ‘CSR DECADE’
  • 3. JUST THE FACTS Old New _Doing good _Competitive advantage _And telling about it _Embedded communications _Nice to have _Core (product) _Stories _Performance
  • 4. JUST THE FACTS Old New _CSR _Sustainability _Corporate _Product _Responsibility _Transparency _CSR Report _Product Declarations _Greenwash, labels _Just the Facts
  • 5. JUST THE FACTS Transparency can only get bigger
  • 6. JUST THE FACTS Actually it is the key for corporate reputation Source: Edelman Trust Barometer 2010
  • 7. JUST THE FACTS The move to product sustainability already started
  • 8. JUST THE FACTS 8 More geeks, less geezers
  • 9. JUST THE FACTS 9 MEASURING THE FACTS: LCAs and EPDs
  • 10. JUST THE FACTS 10 What is a Life Cycle Assessment?
  • 11. JUST THE FACTS 11 Life Cycle Assessment of a physical product (e.g. glass, hammer) Life Cycle Assessment of a machine (e.g. washing machine, air-conditioning)
  • 12. JUST THE FACTS 12 Typical carpet tile LCA Based on InterfaceFLOR’s Sustainability Index for Heuga 580 with the following assumptions: end of life landfill, no green energy, lifetime 10 years. Interface’s Sustainability Index is based on LCA using GABI 4 database. GHG emissions, embodied energy and toxicity each account for 1/3 to the overall index.
  • 13. JUST THE FACTS 13 The issue with company LCAs, is that you can tweak the assumptions
  • 14. JUST THE FACTS 14 Product Category Rules LCA PCR EPD Life Product Environmental Cycle Category Product Assessment Rules Declaration
  • 15. JUST THE FACTS 15 EPD stands for: Environmental Product Declaration It is a third party validated LCA
  • 16. JUST THE FACTS 16 The Green Standard Organisation refers to it as... “A single source for finding scientifically robust and transparent (...) information about a product’s environmental performance, verified by a qualified third party”
  • 17. JUST THE FACTS 17 First of all, here is what an EPD is not...
  • 19. JUST THE FACTS 19 What is found on an Environmental Product Declaration (EPD) Construction Renewable Material Mass (%) Layer Resources Total Pile Polyamide 6 8.9 No No Limited USA Layer Carrier Polyester, non woven 3.0 No No Limited Europe Precoat 30.2 SBR No No Limited Europe Bonding Limestone No No Limited Europe ATH No No Limited Europe Bitumen No No Limited Europe SBR No No Limited Europe Structural Limestone, Graphlex pre-consumer 65.6 No Yes Abundant Europe Backing recycled Glassfleece 0.8 No No Limited Europe Polypropylene 1.5 No No Limited Europe
  • 20. JUST THE FACTS 20 What is found on an Environmental Product Declaration (EPD) Part 1 Part 2 Part 3 Categories Production Delivery and End of life Units per m2 Use (1 year) Evaluated Stage installation stage Primary energy not (MJ) 163.5 2.5 3.8 -48.8 renewable Primary energy (MJ) 7.2 6.7-104 0.3 -0.4 renewable Greenhouse (kgC02, - eqv.) 7.8 0.35 0.2 4.2 potential (GWP 100) Ozone degradation (kg R11 - eqv.) 6.2-107 -3.0-10-10 4.0-108 -2.6-10-8 potential (ODP) Acidification potential (kg S02 - eqv.) 2.6-10-2 1.5-10-3 7.7-10-4 5.1-10-3 (AP) Nutrification (NP) (kg P04 - eqv.) 4.5-103 2.6010-10-4 9.1-10-5 9.8-10-4 Photochemical (kg ethene - eqv.) oxidant formation 3.4-10-3 1.3-10-4 6.2-10-5 1.2-10-4 (POCP)
  • 21. JUST THE FACTS 21 FULL TRANSPARENCY AND MARKETING
  • 22. JUST THE FACTS 22 WHICH ONE DO YOU CHOOSE?
  • 24. JUST THE FACTS 24 Single benefit claims. Narrowly correct, misleading in the big picture.
  • 25. JUST THE FACTS 25 What’s the next claim? Dolphin friendly carpet!?!
  • 26. JUST THE FACTS 26 Let’s face it, anyone can make a label... the Ecolabel Index listed 377 schemes in 214 countries and 25 industry sectors
  • 27. JUST THE FACTS 27 But the perfect label is one that... _Is owned by an independent organisation _Is accredited by a non-affiliated entity _Uses criteria based on the LCA _Separates consultants and certifiers _Adheres to Type III under ISO 14025
  • 28. JUST THE FACTS 28 FULL TRANSPARENCY AND SUPPLY CHAIN
  • 29. JUST THE FACTS The 700 questions (very useless) questionnaire _Do you have an environmental policy? _Do you sign to the precautionary principle? _Have you signed to the Global Compact? _Who is your ISO14001 auditor?
  • 31. JUST THE FACTS 31 THE TRANSFORMATIVE POWER OF EPDs
  • 32. JUST THE FACTS Yes, there is a green market _the green market outperformed the US economy as a whole in 2009 and grew by over 40% from 2004 to 2009 (Mintel)
  • 33. JUST THE FACTS My mom won’t choose a product based on an EPD _Not all consumers are the same _Segmentation
  • 34. JUST THE FACTS Retailers as editors of choice
  • 35. JUST THE FACTS Governments making informed decisions _Based on full LCA information _Tax exemptions _Regulations _Performance standards
  • 36. JUST THE FACTS Example of the car industry _What is the biggest issue? _Energy at use = gCO2/km _European-wide goals for the industry on gCO2/km _Mandatory on advertising _Low gCO2/km have exemptions eg parking, congestion charge _Company cars pay more tax if more gCO2/km
  • 39. JUST THE FACTS Transparency will force businesses to compete… on what matters and on what they’re good at.
  • 40. JUST THE FACTS 40 SOCIAL PRODUCT DECLARATIONS
  • 41. JUST THE FACTS The SPD of the food industry
  • 42. JUST THE FACTS Figuring out your sector Social Product Declaration _What is the key issue in the sector? _Can we measure it? (kg, litres, number of people, etc) _Can we define the functional unit at product / service? _Industry and stakeholders to agree on PCR
  • 43. JUST THE FACTS Is it expensive? _Less than the BRE profiles _Much less than a typical corporate reporting process _Less than the sum of (not extremely useful) labels, certificates, etc
  • 44. JUST THE FACTS Thanks for your patience! _Ramon Arratia _Sustainability Director _InterfaceFLOR EMEAI _Mobile +44 77366 58399 _ramon.arratia@interfaceflor.eu _www.interfaceflor.eu _BLOG http://www.interfaceflorcutthefluff.com/ _http://twitter.com/RamonArratia _Download this presentation @ scribd.com/RamonArratia