EMS: The New Black

1. EMS: The New Black Dennis Sasseville PRIZIM Inc. and UNH Manchester

2. Where Are We Headed on This Journey? Answer: Sustainability

3. Sustainability - Which Term? Which Concept? By Any Other Name…. Sustainability Sustainable Development Corporate Social Responsibility (CSR) Greening Stewardship Conservation Carrying Capacity Industrial Ecology Deep Ecology Natural Capitalism Environmental Ethics Others? Dennis Sasseville – EMS: The New Black

4. What Is Sustainability for the Business World? Sustainability in practice can be seen as the art of doing business in an interdependent world. Andrew W. Savitz The Triple Bottom Line Dennis Sasseville – EMS: The New Black

5. Premise for Business: • Financial profitability is no longer the sole measure of business success. • A sustainable business model recognizes the responsibility to operate in a social, environmentally and economically sound fashion. • The basis for the “triple bottom line” (TBL) Dennis Sasseville – EMS: The New Black

6. The Basis for the Triple Bottom Line Environmental Sustainability Social Economic Dennis Sasseville – EMS: The New Black

7. Triple Bottom Line: TBL concept started in the mid 1990s with Royal Dutch Shell and their desire to learn from the public relations disaster of Brent Spar, a obsolete floating oil platform that the company wanted to sink in deep water in the North Sea. Dennis Sasseville - EMS: The New Black

8. Triple Bottom Line: In searching for greater transparency with its stakeholders, Royal Dutch Shell decided to work toward a public reporting system where environmental and social information would be reported to the same standards as financial data. The “bottom line” became the “triple bottom line” Financial – Environmental - Social Dennis Sasseville – EMS: The New Black

9. The Stakeholder Challenges Are Many Three categories of stakeholders: Savitz & Weber 2006 Dennis Sasseville – EMS: The New Black

10. The Wisdom of a Management System Approach for Sustainability: A Focus on Process: • A process is a group of activities, not just one. • The activities that make up a process are not random or ad hoc; they are related and organized. • A process also can be viewed as a “value chain,” in which each activity or step contributes to the end result. Dennis Sasseville – EMS: The New Black

11. In business, Management Systems are how we get organized – get things done: Dennis Sasseville – EMS: The New Black

12. The Foundation of a Management System: “P-D-C-A” Cycle PDCA Cycle: • Plan: Identify an opportunity and plan for change. • Do: Implement the change on a small scale. • Check: Use data to analyze the results of the change and determine whether it made a difference. • Act: If the change was successful, implement it on a wider scale and continuously assess your results. If the change did not work, begin the cycle again. Continual Improvement is a culture Dennis Sasseville – EMS: The New Black

13. An Environmental Management System (EMS)? • A system for addressing the environmental policies, objectives, procedures, principles, authority, responsibility, accountability and implementation of an organization’s means for managing its environmental affairs. • Can be defined a number of ways; but over the past 10+ years ISO 14001 has become the international standard for EMS. Dennis Sasseville – EMS: The New Black

14. The EMS Model– Five Basic Steps Continual Improvement Management Review (Lessons learned. Affect change.) Environmental Policy Statement (Your vision. What you stand for.) Checking and Corrective Action (What has been achieved. What needs more work.) Planning (Your roadmap. How you are going to get there.) Implementation & Control (Make it happen. Get on with it.)

15. An Environmental Management System Should Be: • Adaptable to your business operations and your culture • Help break down stovepipes and barriers • Flexible: change as your organization changes Dennis Sasseville – EMS: The New Black

16. How Do You Get an EMS Started? • Select Environmental/Sustainability Team (5 – 6 individuals are optimal) • Convene 1st meeting. Determine: • Timetable • Team roles & responsibilities • Team “rules” • EMS standard to be followed • Draft environmental/sustainability policy statement and get approved and signed by top management • Identify your activities, aspects and impacts • Determine “significant” for prioritization purposes • Select a group of initial Objects & Targets to pursue Dennis Sasseville – EMS: The New Black

17. Objectives and Targets The engine that drives EMS forward

18. Objectives and Targets What is the difference between an objective and a target? • Objective – a statement of desired intent • Target – By how much, to what degree, and by when you want to achieve the objective

19. Objectives and Targets • Policy – tells you in what direction you want to go • Objective – gives you a general destination • Target – tells you how you will know when you arrive

20. Objectives and Targets “SMART” Targets S – Specific M – Measurable A – Attainable, Achievable R – Realistic T – Timely, Established Timeframe

21. Objectives and Targets - Example Activity: Hazardous waste storage Aspect/concern: Exposure by employees or neighbors Potential Impact: Health issues • Objective: Reduce or eliminate exposures to hazardous wastes • Targets: • By the end of 2009, reduce use of hazardous substance by 40% • By mid 2010 find non-toxic substitutes for all hazardous chemicals so waste isn’t generated and waste storage becomes unnecessary.

22. Objectives and Targets - Example Activity: Corporate Travel – Air & Vehicles Aspect/concern: Contribution of CO2 and GHGs Potential Impact: Climate Change/Air Quality Concerns • Objective: Reduce our carbon footprint • Targets: • Form internal working group by Sept 2009 • Conduct a carbon footprint study by Dec 2009 • Implement measures leading to a 30% reduction of CO2 in CY 2010 • Management to conduct a progress review in mid 2010

23. Objectives and Targets - Example Activity: Procurement Process Aspect/concern: Our environmental impact/footprint Potential Impact: Solid waste, climate change • Objective: Green Procurement Program • Targets: • Form internal working group by Dec 2009 • Research and adopt environmentally-friendly procurement standards and procedures-March 2010 • Train for procurement department-April 2010 • Management to conduct a progress review in October 2010

24. Objectives and Targets Dennis Sasseville – EMS: The New Black

25. Objectives and Targets Environ. Policy Environ. Aspects Objectives & Targets Business Concerns Legal & Other Requirements Views of Interested Parties Dennis Sasseville – EMS: The New Black

26. Mission Green Products Sustainability Climate Change CSR EHS Compliance Energy The Management System is the structure – it provides the framework that allows Sustainability initiatives to achieve lasting success.

27. EMS: The New Black • Not new per se, but being rediscovered as the ideal framework for developing and maintaining sustainability programs. • The EMS “driver” of setting formal Objectives and Targets can assure that sustainability or CSR initiatives are not “one off” events that may or may not attain their stated goals. • EMS can sustain the organizational programs even if the “champion” moves on.

28. Questions? Dennis Sasseville PRIZIM Inc. Bedford, NH 603-472-5684 dsasseville@prizim-inc.com Dennis Sasseville – EMS: The New Black