Laura Flanigan and Heather Gadonniex - GaBi Software · Eco-Design strategy and a competitive...

Laura Flanigan and Heather Gadonniex

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Your hosts

Jim Craig

Product Marketing

Product Sustainability

Laura Flanigan

Director

Consumer Goods

Heather Gadonniex

Director

Building &

Construction

What we’ll cover

• Introduction

• What do we mean by “Ecodesign”

• What are the business benefits?

• Steps (and challenges) to Ecodesign

• Conceive

• Design

• Develop

• Launch

• Summary

• Close

Registration Survey Results

Where are you in the implementation of Ecodesign to your organization? %

We are considering implementing one in the near future 21.7

We are in the process of implementing one 25.2

We aren’t sure of the value to the organization 13.7

We have an Ecodesign program in place 19.0

We have no plans 20.4

What is your biggest Ecodesign challenge? %

Evaluating the environmental implications of design choices 26.6

Identifying improvement opportunities 23.0

Setting up a strategy 27.9

Translation of sustainability goals in design language 22.5

What do we mean by Ecodesign?

ECODESIGN assumes that the effect a product has on the

environment should be considered and reduced at all

stages along the product life cycle.

These stages include the extraction of the raw materials,

the manufacturing of the product, its marketing and

distribution, the use and finally, the disposal of a product.

Source: ECODESIGN Team at the Institute for Engineering Design, Vienna University of Technology

http://www.ecodesign.at/

Barriers to Ecodesign

Common reasons that limit product sustainability:

The impact on profit

The profit margin of

Ecodesigned products

is, on average, 12%

higher than that of

conventional products.

12%

www.eco-conception.fr www.idp-ipd.com

More broadly across the supply chain

Source: Pure Strategies:

The path to product sustainability

Framework: Elements of Implementation

Life Cycle Thinking

Environmental

Social

Economic

Manage business & supply chain sustainability complexity by…

Life Cycle

Conceive

Sustainability and Innovation are Correlated

Keys to Sustainable Innovation

Most companies ask customers

‘do you want sustainable products’

When they should be asking

‘what problems can we help you solve’

Can our company

invent solutions to solve one of

these world needs?

Connect individuals

Preserve resources

Nurture moms

NourishEmpower women

Nurture children

Educate

Global

partnerships

Environmental

sustainability

Maternal

health

Gender

equality

end poverty

and hunger

Child

health

universal

education

*Not included: Combat HIV/AIDS

RATIONALE*

Design

Design Flexibility Design Impact

Product Design Process

Usefulness of Simulations in Decision Support

Design for Sustainability: Early & Often

Design Flexibility Design Impact

Market Demand

Requirements Definition

Design

Engineering

Production

Quality

Launch

Market Req.

Document

Shape and

Materials

Bill Of Materials

Standard

Operating

Procedures

Quality Assurance

Design

Guidance

Scenario

Optimization

Reports and

Communications

Plans

Validation

Scenario

Testing

Design for Sustainability

The First Step: Define what you mean by more sustainable

What are the metrics?

• More efficient in production or supply chain?

• Creates positive impact?

How do you define improvement?

• Product is 10% better in 3 key priority impact areas (Phillips ‘Green Focal Areas’

• Product provides a global positive benefit (Nestle’s Creating Shared Value)

• Product has 1 or more sustainable ‘attributes’ (Marks & Spencer’s Plan A program)

What’s the target? • 60 designated products by 2015 (Johnson & Johnson)

• $10 billion in R&D investment (GE Ecomagination)

What next? • Develop the governance, programs, tools, and data

Develop

Design Flexibility Design Impact

Market Demand

Requirements Definition

Design

Engineering

Production

Quality

Launch

Market Req.

Document

Shape and

Materials

Bill Of Materials

Standard

Operating

Procedures

Quality Assurance

Design

Guidance

Scenario

Optimization

Reports and

Communications

Plans

Validation

Scenario

Testing

Design for Sustainability

Innovating to Exceed Customer Expectations

• PVC Free

• BPA Free

• PBT Free

• Phalate/DEHP Free

• Class A Fire Rated

• Greenguard Certified

• Cradle-to-Cradle certified biopolymer

• Disclosure of Environmental Impact via EPD

Innovating to Exceed Customer Expectations

• Artisan Design Collaborative Utilize

Existing Regional Materials and/or Craft

Trades– Provides economic opportunity

– Protects culture from loss

– Utilizes ecologically wise materials and safe practices

– Introduction of micro-lending systems for sustained

economic growth

Raw Materials with a Mission: Full Circle Program

Launch

Ecodesign and Storytelling

• Strong brand platform build on

foundation of strategic intention

• Align brand promise to

brand/product experience to

ensure authenticity

• Properly train sales and

marketing staff to communicate

aligned, credible messaging

• Ensure conformance to

‘green’/’sustainable’ standards,

protocols and guidelines for

both product and corporate

messaging

Image: Zumtobel Group

“The EPDs for all Zumtobel products reflect our

commitment to the environment. EPDs are the basis of our

Eco-Design strategy and a competitive advantage in an

increasingly environmentally conscious market“.

Stefan von Terzi, Director Marketing Zumtobel

Case study

Challenge

• Market demand for product-related

environmental data (customers, standards and

legislation, green building rating schemes)

• Reliable, comparable information for thousands

of different products

Solution

• Using GaBi DfX to map existing data in ERP

system with environmental metrics

• Automate roll-out of ISO compliant reports

Business value

• Supporting compliance standards

• Scaling up their EPD program while cutting costs

by more than 50 %

• Communicating sustainable design initiatives

• Increasing competitive advantage

• Leveraging existing business information

systems

• Giving internal product design guidance

Product Sustainbility solution map

33

Import of relevant

data on components

and manufacturing

Third party verified

EPD reports for

communication

Sales Executives

Product Engineer

Quickly map data to

environmental data with

stored associations and

exception handling

LCA expert

Create a third party

verified LCA model

for the product

category

ERP System

2

GaBi DfX – 4 Step Process

Import ERP information / Bill of

Materials (BOM)

In-depth design optimization

Image: SolidWorks

EPDs, internal & external

stakeholders, custom

reports

1

3

Reporting4 Automatically

generated LCA model

Automatically Generated LCA Model & EPD

Automatic Modelling - From BOM to Product Model

Reduce modelling time, saving

manpower

Standardization for increased

consistency and quality

Easily scales as volumes and

complexity grows

Strategy

Common Pitfalls of Ecodesign

What Happens Without a Strategy

If you don’t know where you’re going, any road will get you there – Alice in Wonderland

Vision Skills Incentives Resources ChangeAction Plan

ConfusionSkills Incentives Resources Action Plan

AnxietyVision Incentives Resources Action Plan

Gradual

ChangeVision Skills Resources Action Plan

FrustrationVision Skills Incentives Action Plan

False StartsVision Skills Incentives Resources

Or your organization finds itself with:

Source: Adapted from Knoster, T. (1991) Presentation in TASH Conference. Washington, D.C.

Three Tips to Success

Modern ToolsIntegrated Program

Ecodesign with product sustainability - benefits summary

Ecodesign delivers:

• real BUSINESS VALUE

Ecodesign delivers MOST

• Implemented at CONCEPT stage

Ecodesign delivers CONSISTENTLY

• With STRATEGY and GOVERNANCE

LCA underpins Ecodesign

• Supports CLOSED LOOP thinking

Soon “Ecodesign” will be just “Design”

2,500+Global Customers

40% of the Fortune 500

rely on PE

20+ years in the market

Learn more

GaBi – Professional LCA Software

http://www.gabi-software.com/software/gabi-software/

LCA Databases

http://www.gabi-software.com/databases/

GaBi Envision Trial

http://www.gabi-software.com/software/gabi-envision/free-trial-gabi-envision/

GaBi Server – For collaborative LCA

http://www.gabi-software.com/software/gabi-server/

GaBi DfX – Design for Sustainability and LCA Automation

http://www.gabi-software.com/software/gabi-dfx/

Laura Flanigan and Heather Gadonniex