6. Expectations have changed “ Walmart has fundamentally changed the conversation about products ….. and about the environmental impacts of supply chains” Joel Makower: GreenBiz.com Activists Government Competition Members Celeste Kuta “ I would like to see more information on how the products are made. ”
25. Understand impacts with a product life cycle perspective Our 2007 life cycle assessments Raw Materials Product Manufacture Transportation & Distribution Use Recycling End Disposition Material Manufacture
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27. But the LCA approach is complex with many factors There is no one way to measure life cycle impact Water Toxics - Environment Toxics - Human Land Use Intensity Waste Biodiversity GHG & Energy
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29. We need to be able to compare apples to apples! Fabric D Fabric A Fabric B Fabric C Fabric F Fabric E Fabric G
38. Complimentary with Existing Initiatives Product Design Guidelines Materials Guidelines & Indicators Packaging Guidelines & Indicators Manufacturing & Assembly Guidelines & Indicators Transportation Guidelines & Indicators Use & Service Guidelines & Indicators End of Life Guidelines & Indicators Facilities Guidelines & Indicators Corporate EMS: Marketing: Corporate Reporting:
39. So it should be easy to begin assigning an “Eco Index Seal” and score to products, right? Not so fast.. .
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43. Q & A Beth Jensen, OIA [email_address] Kevin Hagen, REI [email_address] Colleen Kohlsaat, Levi Strauss & Co. [email_address] Adam Mott, The North Face [email_address]
We ’ve worked hard on our operational footprint and learned a lot….. But the best work we’ve done indicates that the impact of product (full life cycle) is probably 10X our operations…
Expectation for retailers and brands have been accelerating. There is a sense that the retail should know nearly everything about a product and it ’s sources. This expectation is finding it’s way into the behavior of regulators, activists and consumers. Peer companies and brands have taken positions which accelerate the expectations –
Not about compromise: it ’s about innovation There was a time when breathable- waterproof was an oxymoron We should have confidence that we can have it all: Products that are better, cheaper, more environmentally benign
Responsible sourcing and procurement
3. Overview of Eco Index (Beth - 3 min.) 5 guiding principles How existing certifications/labels are complimentary, not competing 4. Path to date and current status of Eco Index (Beth - 2 min.) Conscious decision of EWG early on to focus on internal-facing first and why this was a key decision Gaps that would need to be considered and filled before a credible consumer-facing label
Top line on photo: three goals of OIA EWG Points about OIA if needed: ~1,100 member companies throughout supply chain EWG is strategic initiative of Board of Directors
Recent Specialized announcement
ANALOGIES – OIA ECO INDEX / EWG TO SAC WORK
If you remember one thing about this presentation, remember this slide because it is why the Eco Index project is special. The project is being built around five key guiding principles: Collaboration. The Eco Index is the result of thousands of hours of work by more than 100 companies in the outdoor industry. It represents unprecedented collaboration. Open-Source Information. The Eco Index is completely ‘open-source’ meaning that it is freely available for use by all companies. Everything we have, and intend to create, we want to be accessible so that it realizes maximum adoption. Transparency. It is critical that all outdoor industry stakeholders are able to view, understand and provide input into the ongoing development of the Eco Index. When complete, for those who want to know exactly how it works—we must make that readily available. Scalability. While the Eco Index is rooted in the outdoor industry, it has the ability to be applied within other industries and sectors. Additionally, it must work for companies that are only starting their sustainability journey as well as those who are well down the path. Global Reach. This must not be viewed as a North American initiative. The Eco Index must be a valuable tool to all members of the supply chain no matter where they are located.
At the core of the index work is our Framework. This framework forms a basis for all of our work, and applies to all products, and is a “touchstone” for our index development. In the Framework there are two major pieces: The Lifecycle Stages – or “ where” the impacts occur as the product is created; and the Lenses – or the “ what ” impacts matter. Although aspects of all these lenses are incorporated into the index tool, we have fleshed out the metrics and methodologies for three of these lenses—Water, Waste and Energy/GHG.
Decision was made early on to keep the project internal-facing first. An EWG vote that was debated, but this was the consensus. Pivotal point for the project: Eliminated competitive leanings Promoted information sharing Allowed focus to be directed toward creating content rather than deciding how to communicate externally Everyone recognizes we WILL eventually move to a consumer facing label. But many things need to happen before that becomes a reality.
Things that must happen before it can become a consumer-facing label Overlaying all: regulatory environment - i.e. FTC Green Guides
