Genius and the Environment - Construction€¦ · The Creation of Genius Architectural Wall We’ve...

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Genius® and the Environment

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Table of Contents

Focus on Sustainability ............................................................................................... Page 3

Early Influences ............................................................................................................ Page 3

KI’s History on Environmental Initiatives ................................................................... Page 4

KI’s Approach .............................................................................................................. Page 4

Practices and Processes ............................................................................................ Page 5

The Creation of Genius® Architectural Wall ........................................................... Page 6

Leadership in Energy and Environmental Design .................................................. Page 7

Environmental Compliance Programs .................................................................... Page 7

Awards and Recognition ........................................................................................... Page 9

Environmental Stewardship ..................................................................................... Page 11

Our Future ................................................................................................................... Page 11

Sustainability affects every level of organization, from the local neighborhood to the entire planet.

Sustainability …

…is defined as an attempt to provide the best outcomes for the human and natural environments both now and into the indefinite future.

Sustainable Design …

…is the art of designing physical objects to comply with the principles of economic, social, and ecological sustainability. It ranges from the microcosm of designing small objects for everyday use, through to the macrocosm of designing buildings, cities, and the earth's physical surface.

Sustainable Development … While many definitions of the term have been introduced over the years, the most commonly cited definition states that sustainable development is development that "meets the needs of the present without compromising the ability of future generations to meet their own needs”.

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Focus on Sustainability Krueger International, Inc. (KI) is a customer-focused and quality-driven furniture manufacturer. Based in Green Bay, Wisconsin, KI is the 6TH largest furniture manufacturer with nine manufacturing locations throughout North America. KI takes pride in being an environmentally conscious company that continually takes a proactive approach to pollution prevention and sustainable product design and manufacture. For example, KI's Market-of-One™ philosophy extends to all facets of KI, from customer service to factory floor, including environmental responsibility. All of KI's project teams listen to customers to learn their needs and expectations. In the area of sustainability, potential customers have several expectations in material construction of office furniture and environments; the policies and track record of the company in terms of environmental impacts from their manufacturing operations; and other environmental sustainability concerns. In many situations, these factors are being given significant weight in the final decision of which furniture manufacturer to select. For KI, this is an opportunity to present information on successes in pollution prevention, waste minimization, material selection to limit emissions and hazardous waste, engineering and manufacturing that have optimized KI's operations, and continuing efforts toward environmental sustainability.

Early Influences

The modern concept of environmental

sustainability goes back to the post-World War

II period, when technology-driven economic

growth gave way to a perception that the quality

of the environment was linked closely to

economic development. Interest grew sharply

during the environmental movements of the

1960s, when popular books such as Silent

Spring by Rachel Carson (1962) and The

Population Bomb by Paul R. Ehrlich (1968)

raised public awareness.

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KI’s History on Environmental Initiatives

Approximately 69 years ago, during the war movement, KI made a promise - to act as a steward of the environment. Since then, KI has been dedicated to serving their customers, their community, and future generation in a way that will never harm the world in which we all live. KI believes that, big or small, every action that safeguards or restores the environment is significant. KI is committed to making that happen by creating and providing products that advance environmental and human health, social responsibility and economic prosperity. KI’s Approach KI developed an approach which continually reinforces its commitment to sustainable design and manufacturing processes. This approach is as follows:

� KI has reviewed all nine of its manufacturing facilities and continues to look at processes to be more environmentally friendly including such things as painting processes, adhesives, metal cleaning, finishes, and packaging. This is intended to not only improve the indoor air quality to the end user, but also to address waste minimization, recycling and the use of alternative non-hazardous materials. KI’s efforts are aimed at all media – water usage, wastewater discharges, air emissions, and solid/hazardous waste - in a comprehensive effort towards pollution prevention. These impacts create a more friendly work environment for: a. the employees by improving the air quality in their environment and removing hazardous waste; b. the communities through pollution prevention activities of waste minimization or elimination and improved air quality. � Using raw material options that have a positive impact on the environment. While many decisions may be motivated by a desire to protect the environment, KI takes into account the effects of raw materials on land use and substitution, and the broad range of environmental impacts inherent to the life cycle of its products. Materials, where possible, should be from sources which are renewable, easily grown and replenished. KI continues to look into the development of products and product options with the largest percentage of recycled content and those which can be easily recycled, disassembled and repaired. KI continually searches for vendors and alternative options that offer the largest recycled contents utilizing both post-consumer and post-industrial (pre-consumer) contents. KI is committed to the development of products that are more environmentally friendly not inclusive of the manufacturing environment.

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Practices and Processes KI manufacturing facilities have taken both unique and common approaches to their environmental efforts. The following sections describe approaches common to all of KI's operations. Reduce, Reuse, RecycleReduce, Reuse, RecycleReduce, Reuse, RecycleReduce, Reuse, Recycle All of KI’s facilities embrace the theme of “REDUCE, REUSE, RECYCLE” in their operations. By introducing more products into recycling programs, KI has been able to effectively reduce its waste stream. Capital Investment ProcessCapital Investment ProcessCapital Investment ProcessCapital Investment Process KI selects new processes and equipment based on a detailed analysis of capital and operating costs, and environmental considerations. The evaluation of operating cost includes the recommended maintenance procedures; thus processes and equipment that have extensive and significant maintenance costs are eliminated by this process. Product Durability, Refurbishment, and FlexibilityProduct Durability, Refurbishment, and FlexibilityProduct Durability, Refurbishment, and FlexibilityProduct Durability, Refurbishment, and Flexibility KI’s products are designed to be durable, flexible (in terms of office rearrangement and also in terms of re-upholstery), and repairable (in the event wearing occurs or a component is broken). By producing products that are reconfigurable such as demountable walls and panel systems, KI acts as a responsible steward of the environment promoting the reuse of products rather than the proliferation of landfills. Design and DevelopmentDesign and DevelopmentDesign and DevelopmentDesign and Development KI’s development philosophy is to develop product solutions that will visually and functionally work with other KI product solutions allowing the client the greatest flexibility as their business needs evolve. This design philosophy allows them to look at other product solutions within the KI portfolio and be able to integrate them with existing products they have in place giving the greatest flexibility without obsolescing a product. It is a KI corporate policy that all new and/or improved introductions of our products connect with and extend the usage of all previous introductions so as to work companionably side by side.

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Custom Options/Tailored Product/Service SolutionsCustom Options/Tailored Product/Service SolutionsCustom Options/Tailored Product/Service SolutionsCustom Options/Tailored Product/Service Solutions Custom Options is our internal group, which takes product solutions and makes minor modifications to them, again to meet a specific client need, application, or sustainability requirement. What the industry knows more as specials, we refer to as “Custom Options”. Currently, about 20% of all KI sales fall into this category of Custom Options and into the category of “Tailored Products” compared to the industry standard of about 1%. Genius® has more than 30% of SKU’s that are categorized as Tailored Products. The Creation of Genius Architectural Wall

We’ve researched existing wall systems available to the market

and in 2002, KI in partnership with designer Eberhard von

Huene, developed the Genius Full Height Movable Wall to

surpass the industry standard in flexibility, function,

sustainability, acoustics and affordability. The end result is a

movable wall system with an uncomplicated, timeless design

and superior acoustic and environmentally superior properties.

This wall system is easy to manufacture and install utilizing a

minimal number of components in its structure. Results are

lower life cycle costs and a higher return on investment (ROI)

than fixed wall products.

Tax-Savings. Because these movable architectural walls fall into the furnishings category rather than the

building structure category, Genius Architectural Wall can be depreciated more rapidly than drywall creating a

significant tax benefit.

Waste Not. Every year, construction and demolition sends more than 130 million tons of debris to US

landfills. Environmental regulations have dramatically reduced landfill opportunities for solid waste like

gypsum wallboard, the most common wall material used in construction projects. Genius wall encourages

source reduction to minimize, almost eliminating, and renovation waste to these landfills.

Durability. Genius walls are designed and manufactured with lifelong durability in mind. The light aluminum

frame construction and 22-guage steel substrate (no gypsum) ensure maximum panel rigidity. Both solid and

glass panels comply with the 1997 Uniform Building Code and the 2000 International Building Code as

determined by ICC Evaluation Service. These approvals are often necessary for specification of a wall

product in a seismic area.

of 11 Acoustics. Genius® Architectural Walls offer an unprecedented Sound Transmission Class (STC) rating of

44-48. That’s more acoustical privacy than any standard drywall and one of the highest STC ratings of

comparable wall products.

Low Lifecycle Costs. Genius wall has minimal parts (4.5), allowing the fastest install/reconfiguration times,

and removable shells (finish changes, electrical/data changes) allows the user the lowest lifecycle cost

alternative to other wall partition options.

Clean Rooms. KI’s Genius Architectural Walls recently earned approval for use in cleanrooms. According to CSI Testing, Genius walls met or exceeded the 10,000 clean area class conditions in accordance with Federal Standard 209E and ISO 14644 Part I: Institute of Environmental Sciences RP-006.2 and/or the National Environmental Balancing Bureau Procedural Standards for Cleanrooms.

Leadership in Energy and Environmental Design KI is continually exploring viable product designs and solutions that will aid in the achievement of those principles upheld by the Leadership in Energy and Environmental Design (LEED), a priority program of the USGBC (U.S. Green Building Council). In 2003, KI became a corporate member of the USGBC and a corporate sponsor of the launch of the LEED CI Rating System in 2005. Representing the furniture manufacturing industry, KI, KI’s Leadership, and KI LEED Accredited Professionals work in cooperation with environmental professionals and their projects to examine how the company's product offerings embrace such critical areas as Energy Efficiency; Human and Environmental Health; Durability, Performance and Maintenance; Embodied Energy and Pollution; Resource Limitation and Waste Management. KI has a separate explanation attached that outlines and explains how Genius Architectural Wall contributes the LEED rating system.

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Environmental Compliance Programs

ISO 900ISO 900ISO 900ISO 9001:2001:2001:2001:2008888 As part of KI's business philosophy, KI implemented a Quality Management System for all of its manufacturing plants and related corporate functions to create the highest quality products. These Quality Systems were audited and are certified according to ISO standards. ISO was developed by the International Organization for Standardization to "facilitate the world-class exchange of goods and services." It is a standardized framework for building, operating and documenting a quality management system. KaizensKaizensKaizensKaizens The goal of the KI's Kaizen program is orderly and continuous improvement. It involves all levels of the organization. Waste elimination has obvious impacts on environmental issues by reducing air emissions, reducing wastes (both hazardous waste and solid waste), wastewater discharges, and other impacts on the surrounding environment.

Design Standards and SafetyDesign Standards and SafetyDesign Standards and SafetyDesign Standards and Safety

� UL StandardsUL StandardsUL StandardsUL Standards - There are UL standards which address stability, strength, & safety requirements. � ANSI/BIFMA ANSI/BIFMA ANSI/BIFMA ANSI/BIFMA - KI is ISO 9001:2000 registered and houses a state-of-the art testing facility with accurate equipment and fully trained personnel. We qualify our products to the many applicable ANSI/BIFMA and UL test standards through independent and internal testing. � ICC ICC ICC ICC –––– Architectural Walls adhere to a separate safety standard published by a company called ICBO (recently renamed to ICC). � “Rule of Thumb” Standards “Rule of Thumb” Standards “Rule of Thumb” Standards “Rule of Thumb” Standards ---- No sharp corners and avoiding/eliminating pinch points. In addition to these we will often perform custom tests internally by either taking a product to failure or trying to anticipate problems and testing for them.

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Awards and Recognition KI has been recognized over the years with the honor of receiving awards and recognition based on product and project innovation. KI and KI's leadership have invested time and money in the communities in which they work with an emphasis on environmental stewardship. KI's efforts in pollution prevention and waste minimization have been recognized several times through environmental awards. The following section relates to the awards received by KI. KI is proud of these endeavors in waste minimization and is willing to share additional information with other companies. 2010 EPA WasteWise Large Business Partner of the Year2010 EPA WasteWise Large Business Partner of the Year2010 EPA WasteWise Large Business Partner of the Year2010 EPA WasteWise Large Business Partner of the Year KI is recognized for exceptional waste prevention and recycling initiatives, buy-recycled efforts, and activities to promote WasteWise.

2009, 2009, 2009, 2009, 2008 and 2006 EPA WasteWise Gold Achievement Award for Pap2008 and 2006 EPA WasteWise Gold Achievement Award for Pap2008 and 2006 EPA WasteWise Gold Achievement Award for Pap2008 and 2006 EPA WasteWise Gold Achievement Award for Paper Reduction er Reduction er Reduction er Reduction KI was honored for a multi-faceted program that eliminated tons of packaging material by looking for alternate packaging materials and improving on standards.

2004 Wisconsin Business Friend of the Environment Award 2004 Wisconsin Business Friend of the Environment Award 2004 Wisconsin Business Friend of the Environment Award 2004 Wisconsin Business Friend of the Environment Award KI received the Wisconsin Business Friend of the Environment Award presented by The Wisconsin Environmental Working Group, an affiliate of Wisconsin Manufacturers & Commerce. KI’s engineering team within the Manitowoc facility have found a way to make two already remarkably earth-friendly products even more consistent with the company’s goals to prevent pollution and minimize waste – all within budget. 2001 Governor's Award for Excellence in Environmental Performance 2001 Governor's Award for Excellence in Environmental Performance 2001 Governor's Award for Excellence in Environmental Performance 2001 Governor's Award for Excellence in Environmental Performance KI received the Sixteenth Annual Governor's Award for Excellence in Environmental Performance in March 2001. One of KI’s core values is to protect and enhance the environment in order to preserve natural resources for future generations. As a responsible steward of the environment, KI continually strives to utilize manufacturing methods that emphasize pollution prevention practices including waste minimization, recycling, and the use of alternative, non-hazardous materials. 1998 Wisconsin Governor’s Award for Excellence1998 Wisconsin Governor’s Award for Excellence1998 Wisconsin Governor’s Award for Excellence1998 Wisconsin Governor’s Award for Excellence KI received the 1998 Wisconsin's Governor's Award for Excellence in Hazardous Waste Reduction.

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1998 Prevention Environment Prosperity Award 1998 Prevention Environment Prosperity Award 1998 Prevention Environment Prosperity Award 1998 Prevention Environment Prosperity Award The Wisconsin Department of Natural Resources presented this award to KI in 1998 as a result a process re-engineering endeavor at the Green Bay facility in which solvent-based glues were replaced with water-based glues. The Wisconsin Department of Natural Resources posts a case study regarding KI's efforts to provide other manufacturers with information on possible approaches to air emissions and waste reduction. 1997 Wisconsin Business Friend of the Environment Award1997 Wisconsin Business Friend of the Environment Award1997 Wisconsin Business Friend of the Environment Award1997 Wisconsin Business Friend of the Environment Award The Wisconsin Environmental Working Group honored KI in 1997 with the Wisconsin Business Friend of the Environment Award. This award recognizes companies that go beyond compliance in their environmental program. 1996 Wisconsin Governor’s Award for Excellence 1996 Wisconsin Governor’s Award for Excellence 1996 Wisconsin Governor’s Award for Excellence 1996 Wisconsin Governor’s Award for Excellence In 1996, KI received the Wisconsin Governor's Award for Excellence in Hazardous Waste Reduction. 1995 Prevention Environment Prosperity Award1995 Prevention Environment Prosperity Award1995 Prevention Environment Prosperity Award1995 Prevention Environment Prosperity Award The Wisconsin Department of Natural Resources presented this award to KI's Gillette, Wisconsin facility for efforts to eliminate hazardous waste streams through product substitution and recycling. LEED Certified BuildingsLEED Certified BuildingsLEED Certified BuildingsLEED Certified Buildings KI has been involved in the supply of furniture for several awarded LEED Certified facilities. Examples of these facilities include the University of Texas Nursing School as well as the University of Arkansas Innovation Center. In both cases, these installations incorporated the Genius® Architectural Wall systems in their solution and were able to garner several innovation points through that process.

Environmental Stewardship KI strives to be a responsible corporate citizen within its communities through employee involvement in community organizations and clean-up and recycling activities. Richard J. Resch, president and chief

of 11 executive officer of KI, and his family, have made significant contributions also. Some examples of this stewardship include: � KI employees clean up a stretch of highway as part of the Adopt-A-Highway program. � Funding of the Resch Conservation Wing at the Bay Beach Wildlife Sanctuary by the Resch family. � Working with local agencies on eradication of an invasive wetland plant species (Purple Loosestrife) found in a wetland at KI's Green Bay, Wisconsin facility. � Funding a paved trail along the East River through Bellevue and adjoining Allouez in the Green Bay, Wisconsin area. � Arbor Day employee tree give-away and tree donation. � Employee programs have been implemented to reduce local fuel consumption and toxic waste to land fills:

- Car pooling program - Battery Recycling program - Computer equipment recycling program - Lamp/light bulb recycling program - Plastic bag recycling

Our Future As an employee-owned company, each KI employee has a vested interest in the welfare of their own communities. By being a national company, KI and its employees virtually touch every community –including yours. KI has demonstrated this commitment by being environmentally conscious and striving to ensure the continued availability of natural resources for current and future generations. This commitment is reflected in the continuous improvement that has been made in environmental performance, waste minimization, and the ultimate goal of sustainability. KI recognizes its responsibility to protect human health, the environment, and natural resources and to continually strive to improve the environmental quality of our operations.

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