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The Benefits of an Energy Conservation Program
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Sherwin Williams ® Key Facts
144 Year History HQ – Cleveland, OH $7.1 Billion Annual Sales
Paint Stores Group 3,354 Company Operated Stores
Consumer Group Global Finishes Group
539 Company Operated Stores
32 Consecutive Years of Increased Dividends
Sherwin Williams ® Brands
Sherwin-Williams ® Dutch Boy ® Krylon ® Minwax ® Thompson’s ® Pratt & Lambert ® Purdy ® Ronseal ®
RICHMOND SITE
90 acre campus 275,000 ft2 DSC 220,000 ft2 Paint Plant 30,000 ft2 Resin Plant
Paint Plant1976
Resin Plant1985
Distribution Center1994
Richmond Sustainability Timeline
2006 Capital Allocated to Reduce Natural Gas 2007 Began to Baseline Data and Implement Projects 2008 DOE Assessment Awarded (Natural Gas) & Formation of Site Energy Team
Google “Sherwin Williams Gary Satler” 2009 DOE SEN Program at Richmond Site 2010 DOE SEN Program Expands at S-W
Gaining Leadership Buy In
Year kW Drop (%) Dem kW (%) Cost/ kW $ Change (%)2006 X X 0.049$ X2007 3.1 1.4 0.052$ 4.02008 13.5 9.9 0.057$ 2.22009 24.9 14.1 0.062$ 4.0
Electricity
Year MCF $ Change (%)2006 X X2007 4.5 15.12008 2.2 14.72009 11.4 24.5
Natural Gas
Baseline & Opportunities
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5
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% o
f T
ota
l Ele
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Richmond Electricity Allocation
Historical Challenges (2006 – 2008)
Allocation of Capital Capital consistently allocated for asset preservation, capacity & safety
Justification of Projects Projects with huge ROIs are consistently hard to prove one by one
Commitment of Time Engineering resources typically pulled towards problems that maintain status quo
Positive Momentum (2008 – 2009)
Electricity Projects Impacting Budget DOE Assessment Identified 25% Natural Gas Reduction Opportunity Site Energy Team Formed Began to Believe Goal of Reducing Energy Consumption and Costs Annually is Possible SEN Program Proposed in Detroit, MI
Changing Culture(2010)
Allocation of Capital Allocated for Energy Projects 40% of Open Projects Utility Related
Justification of Projects Results Are There Approval of Capital - Easier
Commitment of Time High Level Goals Focus On Energy & Reliability
SEN Moving Corporate Wide
Overall Site Cost Reduction
Maintenance & Engineering Most Variable Costs (not people)
Standardized Parts Parts Room Assets
Reducing Utility Costs Reduces Contractor Costs HVAC, Chillers, Hydraulics, Cooling Tower … Compressed Air Moisture Issues Disappear
Site Operations Goals … Possible? Equipment is More Reliable
Employee Engagement
Home Energy Competition Simple Concepts Reduce Home Energy Bills (10-20%) Monthly at Site Wide Meeting
Shading HVAC Unit Insulated Outlet Covers Fridge Coil CFLs Motion Sensors Thermostats …
Project Examples – No Capital
Waste Heat Compressed Air Vent Boiler Room Heat Vents Off Condensate Returns Demo Old Equipment Dock Lights, Switchgear Lighting, Exits
Project Examples – Lean
Lean Opportunities Showcase Success Stories Improved Work Atmosphere Employee Engagement Financial Awards
Project Examples – Capital
Energy and Reliability Building Automation System
Eliminate Vendor Visits Justify HVAC Unit Replacement Basic Troubleshooting Simplicity
Fast Forward
Production Up 27% Over 2 Years, Energy Use Down 6% Energy Team - 75 Open Projects Leverage Energy and Reliability Projects
Chiller Compressor Upgrade Flir Thermal Imaging Purchase
Using SEN Program As Best Practices (Nissan, 3M) Actively Playing Role in SW Globalization of SEN
Fast Forward – DOE Reporting
Significant Usage Reduction 2009 Used as Baseline (CEIT Tool)
2010 Paint Plant Improvement 22.75% 2010 Distribution Center Improvement 21.14%
Richmond Wins!
40 – 50% Improvement Possible! Significant Volume Increases Continue to Implement Best Practices
Employee Engagement Visitor Suggestions
Maintain High Morale New Hires (PLC, Master Electrician, FL Technician)
