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AVEDA NRE 701 Final Presentation Nathan Arbitman Tony Baptista Ted Ekkers Jon Forrester Heather Kirshman April 19, 2004. Agenda. Why? (Jon) Background (Jon) Methodology & Timeline (Tony) Budget & Logistics (Ted) Results & Expected Impact (Nathan) Testimony (Heather)
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AVEDANRE 701 Final PresentationNathan ArbitmanTony BaptistaTed EkkersJon ForresterHeather KirshmanApril 19, 2004
Agenda • Why? (Jon) • Background (Jon) • Methodology & Timeline (Tony) • Budget & Logistics (Ted) • Results & Expected Impact (Nathan) • Testimony (Heather) • Progress to Date (Heather)
Why this project: unanswered questions • Aveda is regarded as a preeminent “sustainable enterprise,” what are the best practices? • What is the Global Warming impact of delivering a bottle of shampoo to the salon? • What logistics changes (ordinary process improvements) could reduce the Greenhouse Gas profile? • What do logistics management and industrial ecology tell us about the future of ecological transport?
Background • Aveda Corporation (Aveda) is a division of Estée Lauder and a manufacturer, wholesaler and retailer of plant, flower and mineral-based salon, personal-care, and lifestyle products. • Products are sold through a network of Aveda-branded cosmetology institutes, independent hair salons and spas, and Aveda-owned retail stores. • We are working with Aveda’s executive director of Environmental Sustainability and a VP of packaging.
Timeline Ambitious but doable
Methodology • Phase 1 (Mar 1 – Jun 30) • Collect company data • Plant/Warehouse Tour • Interview Stakeholders • Map out material and information flows • Phase 2 (Jul 1 – Sep 30) • Build models to quantify the GHG and energy impact of transportation and secondary and tertiary packaging. • Compare industry best practices • Phase 3 (Oct 1 – Jan 31) • Evaluate options
Working Arrangement with CSS • Center for Sustainable Systems (CSS) • Eliminates time required to learn Sima Pro software • Provides expertise in setting parameters and ensuring completeness of model • Adds resources during summer Suppliers Aveda Standards Masters Team Phase 1: Map Masters Team CSS Phase 2: Model CSS will provide the expertise needed to complete a robust model in a timely matter
Results and Expected Impact • Final work products will include: • Presentation to Aveda executives • Master’s Project • Three-to-five major recommendations for alternative product delivery options • Environmental, financial, and customer impact assessment • If feasible, an implementation plan for key recommendations, including potential points of resistance • Implications • No other projects like this have been done • Other companies will be able to replicate • Cost-effective improvements to product delivery systems have huge potential to reduce GWP Charting new territory in the green logistics field
Progress to Date • Established relationship with client • Finalized scope and expectations with Aveda • Begun initial research • Added co-advisor Project is off to a good start