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WAL-MART

WAL-MART. Wal-Mart. “These are not complicated questions, but we have never systematically asked for this kind of information before ” Mike Duke. TRUCKING Efficiencies. 65% improvement fleet efficiency 2010 vs ‘05 Power Units – idling Truck skirts Hybrid trucks

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WAL-MART

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  1. WAL-MART

  2. Wal-Mart • “These are not complicated questions, but we have never systematically asked for this kind of information before ” Mike Duke

  3. TRUCKING Efficiencies • 65% improvement fleet efficiency 2010 vs ‘05 • Power Units – idling • Truck skirts • Hybrid trucks • +57m cases, 49m less miles • Better load planning • 7,600 cars off the road

  4. Wal-Mart Kid Connection • Reduced packaging • 497 fewer containers per year • $2.4m shipping costs • Straight to bottom line • 4,000 trees saved • 1,000,000 barrels of oil • $60m sales needed for that much profit • Why didn’t we do this sooner? • $2.4 million straight to the bottom line

  5. Wal-Mart CFLs • Sell 100 MILLION CFLS in a year! • Save customers $3b in electricity • 20 millions metric tons of CO2 • Save $40 over life of bulb

  6. Wal-Mart Dairy • Don’t make the farmers to bad guy • Look at whole supply chain • Grow the crops to feed the cows • Methane from the cows and their manure • On-site power generation • Transport milk to process • Process milk into sour cream • Haul sour cream to Distribution Centers (DCs)

  7. Carbon Trust • Measuring and Reducing GHG

  8. Wal-Mart • 10% of impact is from stores, trucks, etc. • 90% of its impact is from the Supply Chain • Fortune 1= 900 lb gorilla • Take the water out of Tide • ¼ the packaging, shipping cost, shelf space • 95 million lbs plastic resin saved • 400 m gallons of water • 125 m lbs cardboard • 500,000 gallons of diesel = 11m lbs CO2

  9. WAL-mart laundry soap • 128 facings of Tide brand products • 13 facings of Coldwater products = 10% of slots • NW Reno Wal-Mart, Jan. 2012

  10. Tesco dropping CARBON TRUST labels

  11. Status of wal-mart’s initiative • 2005 – 8% of shoppers left, unfavorable views went from 38% down to 20% in 2012. • Require top 200 Chinese suppliers to cut electricity by 20% • It’s still sold 35% more stuff in the US from 2005 to 2011. • Index will NOT account for durability • Carbon footprint per year, assuming it lasts 3 vs 5 years? • Index a Long way off • Why? • Nobody cares about carbon • Why? • Because there is no price on it

  12. Why worry about carbon? Carbon = Energy = Money

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