Report on CTI 18 2015A – Capacity-Building and...

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2017/SOM1/SCSC/009 Agenda Item: 5.2.4

Report on CTI 18 2015A – Capacity-Building and Awareness Project on Enhancement of Total

Environmental Efficiency (Energy/Carbon and Material Efficiency) Through MFCA, ISO 14051

Purpose: Information Submitted by: Japan

First Sub-Committee on Standards and Conformance Meeting

Nha Trang, Viet Nam 20-21 February 2017

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Ministry of Economy, Trade and Industry (METI)

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Ministry of Economy, Trade and Industry

Capacity-Building and Awareness Project onEnhancement of Total Environmental Efficiency

(Energy/ Carbon and Material Efficiency)through MFCA, ISO 14051

-Agenda Item 5.2.4-

20- 21 February 2017APEC 2016 SCSC1 meeting in Nha Trang

Ministry of Economy, Trade and Industry (METI)JAPAN

Ministry of Economy, Trade and Industry What is MFCA?

- New strategic business management tool- Key energy and material saving/environmental

management tool (ISO 14051)- 21st century KAIZEN tool

Improves Material

Efficiency

ReducesCosts and

Generates Profits

ImprovesEnergy

Efficiency(CO2reduction)

For Environment For Organizations

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Project title Capacity-building and Awareness Project on Enhancement of Total Environmental Efficiency (Energy/ Carbon and Material Efficiency) through MFCA, ISO 14051

Project number CTI 18 2015A (SCSC)

APEC Support Fund Total USD 149,358

Proposing economies Japan, The Republic of the Philippines

Co-sponsoring economies Indonesia, Malaysia, Peru, Chinese Taipei, Viet Nam

Project period January 2016 – December 2016

Objectives • To promote low carbon economies by improving energy and material in APEC region

• To apply the ISO 14051 / Material Flow Cost Accounting (“MFCA”)

• To transfer capacities to industries, standard practitioners and policy-makers

• To raise awareness among MSMEs3

Project Outline


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2016 Activities

Jan Kick-off Meeting (METI and Propharm Japan)

Feb

Mar

Apr

May 1st Workshop (Thailand) Database

Jun

Jul 2nd Workshop (Malaysia)

Aug

Sep 3rd Workshop (Chinese Taipei)

Oct

Nov

Dec Completion of project

Schedule

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Scope Economies Roles Name

Overall arrangement

Japan Providing expertise

Propharm Japan, Co. Ltd.

Database Singapore Database development

Cosmiqo International Pte Ltd

1st Workshop Thailand

Workshop arrangements

Agency of Business Development (AEC)

2nd Workshop Malaysia IRIIS MERCURY COMM SDN BHD

3rd Workshop Chinese Taipei

China Productivity Center

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Contractors

Ministry of Economy, Trade and Industry 1st Workshop

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Economy Thailand

Date 18-20 May 2016 (3 days)

Venue Bangkok

Main target Industry practitioners

Total participants 25 participants

International participants 7 participants

Local participants 18 participants

Male vs Female 56% (14 male) vs 44% (11 female)

Participants’ economies Indonesia, Malaysia, Peru, The Philippines, Thailand and Viet Nam

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Ministry of Economy, Trade and Industry 1st Workshop

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Economy Thailand

Opening speeches

• Mr. Sontirat Sontijirawong, Advisor to the Ministry of Industry of Thailand

• Mr. Noriyoshi Fukuoka, Secretary, Embassy of Japan

Speakers (International)

• Mr. Tsuyoshi Yasuda, Ministry of Economy, Trade and Industry, Japan

• Mr. Hiroshi Tachikawa, Managing Director, Propharm Japan Co., Ltd

• Mr. Yoshikuni Furukawa, General Manager, Nitto Denko Corporation

Speaker (Local) • Ms. Maliwan Dejaritt, Managing Director, AEC Business Thailand Co., Ltd

Ministry of Economy, Trade and Industry (METI)1st Workshop (Thailand, 18-20 May 2016)

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Ministry of Economy, Trade and Industry 2nd Workshop

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Economy Malaysia

Date 26-29 July 2016 (4 days)

Venue Kuala Lumpur

Main target Environment experts





Participants` economies Chile, Indonesia, Malaysia, The Philippines, Thailand and Viet Nam

Ministry of Economy, Trade and Industry 2nd Workshop

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Country Malaysia

Opening speeches

• Mr. Hussalmizzar Hussain, Director, Department of Standards Malaysia

• Dr. Abdul Halim Bin Sulaiman, Professor, University of Malaya


• Mr Luu Nhat Huy, Chief Executive Officer,Institute of Management and Technology Promotion, Vietnam

• Mr. Masaya Amau, Senior Director, PropharmJapan Co., Ltd

• Mr. Tatsuhiko Tomii, Managing Director, One Asia Co., Ltd

Speaker (Local) • Dr. Abdul Halim Bin Sulaiman, Professor, University of Malaya

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Ministry of Economy, Trade and Industry (METI)2nd Workshop: Malaysia, 26-29 July 2016

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Ministry of Economy, Trade and Industry 3rd Workshop

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Economy Chinese Taipei

Date 6-8 September 2016 (3 days)

City Taipei

Main target Government officials





Participants` economies Chile, Chinese Taipei, Indonesia, Malaysia, The Philippines, Thailand and Viet Nam

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Ministry of Economy, Trade and Industry 3rd Workshop

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Country Chinese Taipei

Opening speeches

• Dr. Liang-Tung Chen, Deputy Director, Sustainable Development Division, Industrial Development Bureau, Ministry of Economic Affairs, Chinese Taipei


• Mr. Masaya Amau, Senior Director, PropharmJapan Co., Ltd

• Mr. Yoshikuni Furukawa, General Manager, Nitto Denko Corporation Dr. A

Speakers (Local)

• Dr Wun-Hui, Huang, Senior Engineer, Industrial Technology Research Institute

• Dr. Chang-Erh Chou, Advisor, Taiwan Institute of Economic Research

Ministry of Economy, Trade and Industry (METI)3rd Workshop：Chinese Taipei , 6-8 September 2016

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Ministry of Economy, Trade and Industry Workshop evaluation (summary)

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Overall satisfaction • Survey after the workshop indicated that the satisfaction rate of participants was generally high.

Some comments received

• 3 to 4 days were not enough for the workshop for the MFCA capacity development.

• Gender topic was not handled separately in the workshop. ⇒ However, due to promotion to female candidates, ratio of female participants increased; 44%, 60% to 63% during 1st, 2nd and 3rd

workshops.

Ministry of Economy, Trade and Industry Workshop evaluation (Q１～Q4)

0%

10%

20%

30%

40%

50%

60%

70%

80%

WS objectives were clearlydefined

Achieved WS objectives Covered relevant WS agenda Content well organized andeasy to follow

Summary of 3 Workshops

Strongly Agree Agree Disagree No Response

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Ministry of Economy, Trade and Industry Workshop evaluation(Q５～Q８)

0%

10%

20%

30%

40%

50%

60%

70%

80%

Gender sufficiently addressed Experts well prepared andknowledgable

Materials were useful WS time was sufficient

Summary of 3 Workshops

Strongly Agree Agree Disagree No Response

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Ministry of Economy, Trade and Industry Expected mid-term outcomes

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ExpectedMid-term outcomes

Development of the next ISO standard for the MSMEs

• Workshop served as a platform to connect ISO and MSME experts; i) update latest ISO status, and ii) exchange challenges of MSMEs upon applying the MFCA.

• Workshop participants would play a key role to support the quality of next ISO-MFCA standard for MSMEs.

Change of behavior of industries to be aware of material and energy losses

• MFCA database would be an effective tool to track how widely and effectively MFCA was applied to reduce material and energy losses.

• Workshop participants and national standard bodies would be key partners to outreach to their industries.

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• MFCA Database is a tool to calculate material losses of the products by putting data of both inputs and outputs.

• Beneficial to visualize (i.e., transparency) and accurately identify the losses by different products.

• Manual on MFCA Database is attached in the completion report• To leverage the service of MFCA Database, following activities will be further

followed up toward the future Collect more data from the users Analyze the data and provide industry specific data (e.g., average inputs and

outputs) Provide feedback to the users for their benchmarking Provide continuous support on i) reducing material and energy losses, and ii)

improving productivity

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MFCA Database


1. Access to MFCA Database

4. Return the feedback. In the future, also provide industry average data for benchmarking.

2. • Fill in general information

(name, organization, others)

• Fill in MFCA data ( In-put and Out-put )

• See the Loss amount

3. Data verification by the experts

20Propharm Japan Co., Ltd. All Rights reserved.

APEC participant and others

Experts

MFCA Database

5. Provide support to improve MFCA

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Ministry of Economy, Trade and Industry Next Step

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Challenges

• MFCA is yet known despite its effectiveness. Awareness of MFCA or ISO 14051 especially to MSMEs remains a challenge.

• MSME typically do not have sufficient resources (e.g., human and financial resources) and information (e.g., data related to material losses) for successful implementation of MFCA.

How to overcome

• Following methods are effectives for MSMEs upon applying the MFCA

Integrating MFCA into MSME’s current management and productivity tools (e.g.., kaizen )

Using simplified version (without disclosing product cost) of the MFCA is especially useful for supplier MSMEs companies.

Next step actions

• Promoting and transferring knowledge of MFCA to key parties (e.g. government, universities, and industries) through workshops.

• Creating a pool of MFCA experts would be effective to outreach to MSMEs.

• Directly assisting MSMEs through MFCA database.

MFCA application to MSMEs

Ministry of Economy, Trade and Industry Conclusion

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Conclusion

• MFCA aligns with the APEC policies and directions. • MFCA is an effective method for both large firms and MSMEs to

reduce cost and minimize the environmental impact, a suitable method to overcome climate change issues.

• Through MFCA database developed by this project, MFCA would contribute in strengthening MSME’s competitiveness under the digital age.

• On a national level, MFCA or ISO 14051 would contribute to promote industry competitiveness within their economy. This would lead to fostering sustainable, innovative and inclusive growth among APEC economies.

• MFCA network and capacity development created by this project will not only serve to expand to others but also deepen to APEC region’s economic integration.

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Thank you for your attention!

Daiki [email protected]

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