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Lean Operations Management
MGT664 : LOP

MBA - Batch of JULY’ 2011-13
©Alliance University - Business School ANEKAL
CAMPUS., CHANDAPURA-ANEKAL RAOD ,
Bangalore

LEAN-GREEN CONCEPTS & STRATEGY
http://www.youtube.com/watch?v=s3G_
Wk-6T8o&feature=player_detailpage

1-Dec-13

LOM- 22

1
LEAN- GREEN INITIATIVES
MANY ORGANIZATIONS
HAVE THIS SLOGAN
TO IMPROVE CARBON FOOTPTINT
Many Organizations to focus on GREEN Initiatives
have added “ENVIRONMENTAL WASTES AS 8TH / 9TH
Wastes in addition to other wastes as a part of LEAN.
To promote GREEN Organizations undertake ‘
ENVIROMENTAL VALUE STREAM MAPPING ‘ for
environment related WASTES elimination.
1-Dec-13

LOM- 22

2
LEAN- GREEN INITIATIVES

WHAT IS CARBON FOOT PRINT
What is a carbon footprint - definition
A carbon footprint is defined as:
The total amount of greenhouse gases produced to directly and
indirectly support human activities, usually expressed in
equivalent tons of carbon dioxide (CO2).
For Industries carbon footprint is the sum of all emissions of CO2
(carbon dioxide), which were induced by COMPANY activities in a
given time frame. Usually a carbon footprint is calculated for the
time period of ONE year as Kilo Gram Equivalent of Carbon
Emissions expressed as Co2 Kge
1-Dec-13
1er décembre 2013

LOM- 22

3
LEAN- GREEN INITIATIVES

Environmental waste is any unnecessary use of
resources or a substance released into the air,
water, or land that could harm human health or
the environment. Environmental wastes are often
a sign of inefficient production, and they
frequently indicate opportunities for saving cost
and time.
The following 5 are environmental wastes.
1-Dec-13

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4
LEAN- GREEN INITIATIVES

1-Dec-13

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5
LEAN- GREEN INITIATIVES

1-Dec-13

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6
LEAN- GREEN INITIATIVES

1)

CORE APPROACH OF
LEAN IS
WASTE ELIMINATION

2) AS MUCH AS 40 TO 60 %
REDUCTION IN WASTES
DIRECTLY PROMOTES
GREEN
3) REDUCTION IN CARBON
EMMISIONS AND WASTE
DISPOSALS

1-Dec-13

LOM- 22

7
LEAN- GREEN INITIATIVES

1) LEAN SUPPLY CHAIN
IMPROVES LOGISTICS
BY 30 %
2) THIS REDUCES
OVERALL MILES
/ ENERGY CONSUMPTION
AND REDUCES CARBON
MONOXIDE EMMISION
3) REDUCCES WASTES
BY 40 % THERBY
AGAIN REDUCES
EMMISION
THESE ARE GREEN INITIATIVE
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8
LEAN- GREEN INITIATIVES
GREEN INITIATIVES…..

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9
LEAN- GREEN INITIATIVES
GREEN INITIATIVES…..

LEAN RELATED CONTINUOUS FOCUS
 REDUCED ENERGY / FUEL / ELECTRICITY
 WASTES / WATER COSNUMPTION
OTHERS – RAINWATER HARWESTING
RENUABLE ENERGY USE
RECYCLING
AFFORESTATION
 MANDATORY BAN ON PAPER / PLASTICS
 VENDORS MANDATORY USE OF GREEN / REUSABLE
PACKAGING / BIO DEGRADABLE MATERIALS

1-Dec-13

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10
LEAN- GREEN INITIATIVES

At Walmart, we know that being an efficient and profitable
business and being a good steward of the environment are
goals that can work together. Our broad environmental
goals at Walmart are simple and straightforward:
>> TO be supplied 100 percent by renewable energy;
>> To create zero waste;
>>To sell products that sustain people and the environment.
2011
Corporate Environmental Excellence for Walmart Canada - The
International GLOBE Foundation
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11
LEAN- GREEN INITIATIVES

More recently, Wal-Mart’s called for the reduction of 20
million metric tons of greenhouse gas (GHG) emissions by the
end of 2015 with help from its suppliers. This translates into 150
percent of the giant retailer’s estimated global carbon
footprint growth over the next five years.
In March, the chain began working with its Chinese suppliers
to address energy efficiency and environmental impacts.
Even when faced with costly lawsuits, the response has been
to institute environmental efforts. One example is the
agreement to install solar systems at two planned California
superstores as a means of settling two lawsuits it faced over
future emissions at the sites.
1-Dec-13

LOM- 22

12
LEAN- GREEN INITIATIVES

The
retailer
in
2009
introduced
its
sustainability index to grade suppliers and
products on a range of environmental and
sustainable factors.
In 2008, the retailer’s Sustainable Packaging
Scorecard aimed at getting suppliers to
reduce the amount of packaging in their
products, and eliminating any negative
environmental impact of their packaging..
1-Dec-13

LOM- 22

13
LEAN- GREEN INITIATIVES
Worldwide leader in the manufacture of global medical
products

Baxter Healthcare Corporation
As a Corporate Policy has undertaken Green
Initiatives with Lean Value Stream Mapping to
reduce Wastes and to reduce Energy and Water
consumption across all units / plants
1-Dec-13

LOM- 22

14
LEAN- GREEN INITIATIVES
Worldwide leader in the manufacture of global medical products

Baxter Healthcare Corporation

AN interdepartmental team developed understood Lean Six
sigma and made value stream maps (VSM) that detailed the
plant’s use of water and identified processes with potential for
improvement
Using the VSMs, the team developed an implementation plan
that will save 170,000 gallons of water per day and over $17,000
over three months, with little or no capital investment
OVER 18 % WATER SAVING and 22 % drop in wastes generation
/ discarded items
Overall improved environmental footprint per unit output, a key
benchmark of GREEN efficiency
1-Dec-13

LOM- 22

15
LEAN- GREEN INITIATIVES

ONLY COMPANY IN
ASIA TO HAVE A
DIRECT TARGET OF
CARBON FOOT PRINT
PER UNIT OF OUTPUT

TARGET

1-Dec-13

>>> 10 % REDUCTION IN ENERGY CONSUMPTION
>>> 20 % REDUCTION IN WATER CONSUMPTION

LOM- 22

16
LEAN- GREEN INITIATIVES

CEO Michael Dell heralded a series of programs to
shrink the company's carbon footprint and offset its
greenhouse gas emissions.
Carbon Foot print is expressed in Kg-CO2e Unit
(kilogram carbon equivalent), which is the sum of all
Greenhouse Gas /corbon monoxide emission from
Operations covering production and all services
1-Dec-13

LOM- 22

17
LEAN- GREEN INITIATIVES

CEO Michael Dell has announced that it will be the
FIRST Computer Manufacturer to make its Operations
“CORBON NUTRAL”

For every unit of greenhouse gas that goes into
computer production and distribution, Dell will
find an equal offset through investing in
renewable
energy
sources
or
energy
efficiency. (tree plantation, bio degradable items use, water
savings, reusable energy use etc)

http://www.youtube.com/watch?v=WIDxCG6_S40&feature=player_detailpage
1-Dec-13

LOM- 22

18
LEAN- GREEN INITIATIVES

1-Dec-13

LOM- 22

19
LEAN- GREEN INITIATIVES

1-Dec-13

LOM- 22

20
LEAN- GREEN INITIATIVES

b
1-Dec-13

LOM- 22

21
LEAN- GREEN INITIATIVES

.
1-Dec-13

LOM- 22

22

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Lean green concepts

  • 1. Lean Operations Management MGT664 : LOP MBA - Batch of JULY’ 2011-13 ©Alliance University - Business School ANEKAL CAMPUS., CHANDAPURA-ANEKAL RAOD , Bangalore LEAN-GREEN CONCEPTS & STRATEGY http://www.youtube.com/watch?v=s3G_ Wk-6T8o&feature=player_detailpage 1-Dec-13 LOM- 22 1
  • 2. LEAN- GREEN INITIATIVES MANY ORGANIZATIONS HAVE THIS SLOGAN TO IMPROVE CARBON FOOTPTINT Many Organizations to focus on GREEN Initiatives have added “ENVIRONMENTAL WASTES AS 8TH / 9TH Wastes in addition to other wastes as a part of LEAN. To promote GREEN Organizations undertake ‘ ENVIROMENTAL VALUE STREAM MAPPING ‘ for environment related WASTES elimination. 1-Dec-13 LOM- 22 2
  • 3. LEAN- GREEN INITIATIVES WHAT IS CARBON FOOT PRINT What is a carbon footprint - definition A carbon footprint is defined as: The total amount of greenhouse gases produced to directly and indirectly support human activities, usually expressed in equivalent tons of carbon dioxide (CO2). For Industries carbon footprint is the sum of all emissions of CO2 (carbon dioxide), which were induced by COMPANY activities in a given time frame. Usually a carbon footprint is calculated for the time period of ONE year as Kilo Gram Equivalent of Carbon Emissions expressed as Co2 Kge 1-Dec-13 1er décembre 2013 LOM- 22 3
  • 4. LEAN- GREEN INITIATIVES Environmental waste is any unnecessary use of resources or a substance released into the air, water, or land that could harm human health or the environment. Environmental wastes are often a sign of inefficient production, and they frequently indicate opportunities for saving cost and time. The following 5 are environmental wastes. 1-Dec-13 LOM- 22 4
  • 7. LEAN- GREEN INITIATIVES 1) CORE APPROACH OF LEAN IS WASTE ELIMINATION 2) AS MUCH AS 40 TO 60 % REDUCTION IN WASTES DIRECTLY PROMOTES GREEN 3) REDUCTION IN CARBON EMMISIONS AND WASTE DISPOSALS 1-Dec-13 LOM- 22 7
  • 8. LEAN- GREEN INITIATIVES 1) LEAN SUPPLY CHAIN IMPROVES LOGISTICS BY 30 % 2) THIS REDUCES OVERALL MILES / ENERGY CONSUMPTION AND REDUCES CARBON MONOXIDE EMMISION 3) REDUCCES WASTES BY 40 % THERBY AGAIN REDUCES EMMISION THESE ARE GREEN INITIATIVE 1-Dec-13 LOM- 22 8
  • 9. LEAN- GREEN INITIATIVES GREEN INITIATIVES….. 1-Dec-13 LOM- 22 9
  • 10. LEAN- GREEN INITIATIVES GREEN INITIATIVES….. LEAN RELATED CONTINUOUS FOCUS  REDUCED ENERGY / FUEL / ELECTRICITY  WASTES / WATER COSNUMPTION OTHERS – RAINWATER HARWESTING RENUABLE ENERGY USE RECYCLING AFFORESTATION  MANDATORY BAN ON PAPER / PLASTICS  VENDORS MANDATORY USE OF GREEN / REUSABLE PACKAGING / BIO DEGRADABLE MATERIALS 1-Dec-13 LOM- 22 10
  • 11. LEAN- GREEN INITIATIVES At Walmart, we know that being an efficient and profitable business and being a good steward of the environment are goals that can work together. Our broad environmental goals at Walmart are simple and straightforward: >> TO be supplied 100 percent by renewable energy; >> To create zero waste; >>To sell products that sustain people and the environment. 2011 Corporate Environmental Excellence for Walmart Canada - The International GLOBE Foundation 1-Dec-13 LOM- 22 11
  • 12. LEAN- GREEN INITIATIVES More recently, Wal-Mart’s called for the reduction of 20 million metric tons of greenhouse gas (GHG) emissions by the end of 2015 with help from its suppliers. This translates into 150 percent of the giant retailer’s estimated global carbon footprint growth over the next five years. In March, the chain began working with its Chinese suppliers to address energy efficiency and environmental impacts. Even when faced with costly lawsuits, the response has been to institute environmental efforts. One example is the agreement to install solar systems at two planned California superstores as a means of settling two lawsuits it faced over future emissions at the sites. 1-Dec-13 LOM- 22 12
  • 13. LEAN- GREEN INITIATIVES The retailer in 2009 introduced its sustainability index to grade suppliers and products on a range of environmental and sustainable factors. In 2008, the retailer’s Sustainable Packaging Scorecard aimed at getting suppliers to reduce the amount of packaging in their products, and eliminating any negative environmental impact of their packaging.. 1-Dec-13 LOM- 22 13
  • 14. LEAN- GREEN INITIATIVES Worldwide leader in the manufacture of global medical products Baxter Healthcare Corporation As a Corporate Policy has undertaken Green Initiatives with Lean Value Stream Mapping to reduce Wastes and to reduce Energy and Water consumption across all units / plants 1-Dec-13 LOM- 22 14
  • 15. LEAN- GREEN INITIATIVES Worldwide leader in the manufacture of global medical products Baxter Healthcare Corporation AN interdepartmental team developed understood Lean Six sigma and made value stream maps (VSM) that detailed the plant’s use of water and identified processes with potential for improvement Using the VSMs, the team developed an implementation plan that will save 170,000 gallons of water per day and over $17,000 over three months, with little or no capital investment OVER 18 % WATER SAVING and 22 % drop in wastes generation / discarded items Overall improved environmental footprint per unit output, a key benchmark of GREEN efficiency 1-Dec-13 LOM- 22 15
  • 16. LEAN- GREEN INITIATIVES ONLY COMPANY IN ASIA TO HAVE A DIRECT TARGET OF CARBON FOOT PRINT PER UNIT OF OUTPUT TARGET 1-Dec-13 >>> 10 % REDUCTION IN ENERGY CONSUMPTION >>> 20 % REDUCTION IN WATER CONSUMPTION LOM- 22 16
  • 17. LEAN- GREEN INITIATIVES CEO Michael Dell heralded a series of programs to shrink the company's carbon footprint and offset its greenhouse gas emissions. Carbon Foot print is expressed in Kg-CO2e Unit (kilogram carbon equivalent), which is the sum of all Greenhouse Gas /corbon monoxide emission from Operations covering production and all services 1-Dec-13 LOM- 22 17
  • 18. LEAN- GREEN INITIATIVES CEO Michael Dell has announced that it will be the FIRST Computer Manufacturer to make its Operations “CORBON NUTRAL” For every unit of greenhouse gas that goes into computer production and distribution, Dell will find an equal offset through investing in renewable energy sources or energy efficiency. (tree plantation, bio degradable items use, water savings, reusable energy use etc) http://www.youtube.com/watch?v=WIDxCG6_S40&feature=player_detailpage 1-Dec-13 LOM- 22 18